Well, this CUE file contains all the information about the different tracks that can be found on the large file: artist, album, song title, and limits of each track. This information is crucial if you want to be able to divide the file into the individual tracks it includes.
CUE Splitter is a useful tool that can read these CUE files and divide the audio so you can enjoy your tracks separately.
The new files will be MP3s and include all the information stored in the CUE file. CUE Splitter also lets you easily edit the file information as desired.