This is because you didn't freeze the new object. XSI keeps a relationship between every new object created and the object used to create it (like in duplications, booleans, merges....). So if you delete the original object the new one gets "uncreated".
The only way to break the relationship is to select the new object and hit Freeze (in the bottom of the MCP).
The utility of this relation, in case you wonder, is that if you make modifications to the original, these modifications will be carried to the new object. This is extremely useful, especially when the new object has lots of points.
Hope this helps
Salutations - Cheers
Bernard Lebel