Hi - Hope your New Year has got off to a flying start! A short time away from the PC always helps you think about things in a new way. Going all the way back to your post when you mentioned the disc would not play in your CD player begs the question, why do you need items on a CD for use with VLC media player? Really the only purpose of a disc is to be able to play it elsewhere, or use it for back-up copies and there are now much better options for the latter.
It's a point I rather overlooked whilst delving into the detail!