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Outlook 2007 Archive File Size Confusion

I am using Microsoft Outlook 2007. My Outlook.pst file was 10.7 GB. I created an archive and set it to archive anything older than 60 days. The Archive.pst file that was created is 10.2 GB. My confusion is that the Outlook. pst file is still 10.7 GB in size! I thought that when you archived items within Outlook that they were removed from the Outlook.pst and put into an archive file. Meaning that based on that expectation, my remaining Outlook.pst file should be about 500 MB, not 10.7 GB. What am I missing?
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Go to it using Windows explorer or within Outlook, or?
Ran the compact procedure from Outlook-Data_file_management-Data_Files(Tab)-Highlighted_the_Outlook.pst file, selected settings and chose compact. After the compact process ran, the Outlook.pst was the same size as it was before compact was run.
I would have thought the Outlook.pst file would have been about 500 MB, since the Archive.pst that was created from archiving messages from the Outlook.pst was 10.2 GB. The size of the original Outlook.pst was 10.7 GB and the size of the Outlook.pst after running the compact process, within Outlook, is still 10.7 GB.