Xmarks won't sync

I didn't understand the initial screen so this is an amplification of my initial posting. I am using Firefox 3.5.3 with Xmarks 3.3.2. I converted my base computer from Foxmarks to Xmarks and went through the initial setup to put my bookmarks on the server. I converted a portable computer to Xmarks, went through the setup to the point where the synchronization began. I noticed a change in my bookmarks as the synchronization began. At the moment, the setup wizard has been running for about an hour with the horizontal progress bar in motion and bookmarks and passwords indicating (ready) but the process has not ended. The task bar icon says "Problem Syncing" and "Unknown error (3)."