Right after you install SP2 you can delete the "old" version of the .ldf that is sitting in the same location as the .mdf.  There must be a check in...

Yep, that worked like a charm.  Thanks!

On a somewhat related note, on another server I was setting up, I installed SP2 prior to moving any databases and everything seems to be working...

Yes, I've moved them all, splitting the mdb and ldb onto different drives, including the mssqlsystemresource db.

Used the following commands to move it from the command prompt.

sqlcmd -Q"ALTER...

Alright, thanks for the info guys!  That will at least get me half way there by putting the mdf's in another path.  I'll have to just move the .ldf's after...

Ah, yeah, I know about that.  I'm more worried about all the system DB's like master, model, etc. that get installed during the original install.  They can be moved after...