External simplified representation update dialog ?

Hello,

We have stored some of our models in form of 'External simplified representation' in Windchill.

When we try to open the models in Creo 3.0 M60, we get following dialog,

I have following questions,

1. What is meaning of this dialog and why does it appear ?

2. How can we get away from it

3. What is meaning of 'update' of external simplified rep. here? Will it change the model ?

Thanks !

Swap