The madness doesn't end there.
Every song is a copyrighted work. The CD is a derivative work containing an encapsulation and encoding of the original works*. You don't actually get a license to anything, so you're not allowed to copy the works in any part, beyond the bare-minimum on-the-fly temporary copies made for decoding, and even those are debatable**. In essence, storing any part of a CD at any stage of decoding is prohibited without a license, even for personal or educational use***.
...Or so it was until the DMCA.
Under the DMCA, the Librarian of Congress periodically receives comments from the public and declares what is or is not exempt from the DMCA's restrictions. During the most recent review process, the argument in favor of medium-shifting was rejected, because it basically boiled down to the commenters saying they didn't want to pay separately for both a CD form and a downloaded form, while the industry groups put forth a long argument citing legal precedent regarding the derivative-work perspective.
In short, what you buy when you buy a CD is the physical copy. You are not buying the information contained on that copy, so you aren't permitted to copy or transform**** it in any way. This is the key detail that so many Internet users seem to have trouble understanding. Just because you have access to information does not give you the legal basis to do anything you want with it.
* Several notable music groups have fought their albums being sold as individual tracks, because they don't see their music as just songs. They view the album as the whole creative work, and argue that the artistic message is lost when it's broken up.
** I recall arguments over whether anti-skip buffering counted as copying. I don't recall much about them other than being a bad omen.
*** "Fair use" does not actually make copying legal. Rather, it's a defense to the accusation of copyright infringement. You still infringed the copyright and did something prohibited, but there's no punishment for it.
**** By "transform", I mean an actual change to the work. Decoding (as a CD player) and understanding (as in reading a book) are not considered transformative.