This has been answered in another topic but i'll post it here for reference.
Expand Folders is only available for for downloading.
The reasoning behind this is that the folders must be created as it is expanded, if you expand a queue and then don't finish the upload you end up with empty folders for everything that wasn't uploaded.
When you click expand folders what it really does is perform the same operation that's normally done when transferring the queue, except it doesn't actually transfer any files.
When expanding a folder the following takes place.
1. enter folder on the source site
3. get current path
4. list directory
5. created folder on target site
6. enter folder on target site
7. get current path
8. queue files using the source/target paths
If the directory isn't made at this specific moment then the queue may not have the exact target path, some ftp servers apply special formatting to the folder name after creation.
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