That was all I did to the letter.
The file is located in a folder called "Sign".
In the folder is, a config, the texture in .Pac form and the two .P3ds.
Danger2_MLOD.p3d which is the attempted conversion from,
Danger2.p3d.
The converted .P3d opens without a hitch but when I press A and then load texture it crashes O2.