WD 300 Gb SATA

My Computer shows a Red bar next to the drive. The Primary Drive, a 500 Gb Sata, shows a blue bar next to it. I am running Windows Vista Business. Does this mean (Red) is about to fail?  The WDDlg test only shows too many bad sectors and never gave me a Pass / Fail on the SMART test.

Hi if  WDDlg wont pass a test and to many bad sectors the drive is going to fail. You need to replace the drive if it is still under warranty you can start the RMA and check the warranty status from here. http://support.wd.com/warranty/index.asp?lang=en

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When I tried to format and chkdsk the drive, Windows told me that it could not read or gain access.  I am very fortunate to have backed up my files! Wow, that was a real lesson learned! If the capacity of the drive, showing used and available space; is in Red, does that mean something?  Obviously, I took that to mean something was wrong.  Or, did that mean the drive was reaching maximum capacity?