Peter,

  Thanks for your suggestion.  Turned out the backup had been corrupted or truncated.  I pulled down the lattest version of the backup from our production machine and it worked...

I didn't see any errors when the database was backed up.

sorry, the [] are placeholders for the actual file path.

The restore statement should read:

RESTORE DATABASE dbtest_name

FROM DISK = 'e:\mssql7\backup\dbtest_backup_device.bak'

WITH recovery ,

MOVE 'dbtest_data' TO 'e:\mssql7\data\dbtest_data.mdf',

MOVE 'dbtest_log' TO 'e:\mssql7\log\dbtest_log.ldf'

And the error message...