Dmg Not Recognized Snow Leopard

Hey all, I have a problem with a disk image I made a while back. For reference, I'm running a MacBook Pro, Snow Leopard
I had a Disk Image I created in Disk Utility about a month ago, and had a bunch of files on there, it was a 35GB sized file. My HD was filling up so I've decided to take all the stuff that I don't need on a daily basis (i.e. Large Movie Files, this Disk Image) and copy it onto my 1TB external drive to free up some space on my computer.
However, I originally thought I password-encrypted it but realized I hadn't, so before I copied the image .dmg over, I went to convert it to an encrypted file. Now the issue. I had a lot of programs up, and did 'command-Q' by accident, not realizing it was in Disk Utility. So the program quit while it was still halfway thru the conversion. I tried opening up the .dmg but it said 'error -43' can't recognize the file. Did I just lose everything on that disk image? I tried 'Repair' on Disk Utility, but that's it. I don't know much about disk images, can anyone help me out?
Thanks,
Nick
Dmg not recognized snow leopard free

Dmg Not Recognized Snow Leopard Images

Inside the DMG is a folder, inside of which is a package which can be run (see attached images). Something seems to be going on but I am not sure what. Is there anyone else out there using Snow Leopard who has installation success or failure stories to share with us?