Not sure if it matters but I noticed that your screenshot is from ver. 10.0.2.2 whereas I only have ver. 9.3.2.2 which is supposed to be the official version.
Anyway if I click on the Folder when Fab is opened nothing happens. The folder you mentioned is not operational meaning not click-able. An error message comes up insisting that I "...load a source" first. It's only after I insert the DVD and after Fab spend a few minutes opening the DVD source that the Save To option box on the bottom becomes operational and click-able.
Alas I'm back to where I was before as the choice given to me is only ONE, the normal default choice on drive C that I always used before.