"old files" doesn't mean unused, or not needed. They are just files that haven't been accessed in a period of time. I don't know the exact criteria it uses. These files could be programs and libraries and data files, or your own documents.
If you compress them, whenever you access them it will be slower and more CPU intensive. I recommend that you do not check that box in the disk cleanup utility. Moreover, I don't think there's a way to easily undo that operation in it's entirety.
If there are files or directories you wish to compress, do it manually. (right click and view properties and you'll see options on one of the tabs)
"old files" certainly does not mean files that can be deleted.
>When i do my disk cleaup , i do not check the compress old >files- I do not need them- how do i delete them??Win xp with >NTFS. Thanks