I was able to export my email selecting Export>Messages>Windows Mail from the File menu. As far as I can remember, I also had to save the exported file to the C: drive then copy it to an external drive as it wouldn't save directly to an external drive.
I then just downloaded Live Mail and imported the file into it which created all the exported folders, after setting up my email account in Live Mail I just moved all the contents of the folders from the imported ones to the new email ones and deleted the empty folders when done.
Here is what I found on the internet to export from Vista Windows Mail to Windows 7 Windows Live Mail.
1. Export your Windows Mail messages from inside Vista into a new folder (ex: Messages) on your Vista Desktop.
2. Save and copy the exported Messages folder to your desktop in Windows 7.
3. In Windows 7, open Windows Live Mail.
4. In Windows Live Mail, click on File on the menu bar, Import, and Messages. NOTE: If you do not have a menu bar displayed, then press Alt+M and click on Show menu bar.
5. Select Windows Mail, and click on the Next button.
6. Click on the Browse button and navigate to the Windows Mail Messages folder on your desktop (step 2), then select it and click on OK and the Next button.
7. Select (dot) All folders, then click on the Next button.
8. Click on the Finish button.
9. Your Vista Windows Mail messages have now been imported into Windows Live Mail under Storage Folders in the Imported Folders folder. NOTE: Expand the folders inside the Imported Folders to see all of your messages.
10. You can now move and copy the messages to any other email account folders that you like now. When done you can delete the Imported Folder folder if you like.
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