AISGEN Image Compression

I am working on the OMAPL138.

I generated two images:  the DSP (205KB), and the ARM9 processor (29KB).  When I use AISGEN the image it generate is only 56KB, and the image works when I load it into NOR FLASH. 

But, how is the image size reduced so small?   And when the ROM Bootloader copies the images from RAM to Flash, does it uncompress the image into it full image size generated by the compiler?

LP