Thanks for the reply. The settings I see in my converter don't exactly match what I see in the article. I'm using converter standalone 5.5.
In the article, it has an option for thin provisioned under the type/cluster size, but all I have is preallocated and not preallocated. When I select not preallocated it still creates a vmdk file the same size as the entire volume (including free space). Am I doing something wrong?