Bo, this is a known problem. From the fix's readme:
This is FIXTEST Version 1.1.2.01. It includes the following fix:
- IC26111
If a SQL Server 7.0 database is at compatibility level 60 or 65, an
attempt to backup the database or its transaction log would result
in the DB-Lib message "Incorrect syntax near the keyword
'database'" and the backup would fail. This no longer occurs.
Databases at any compatibility level can now be backed up
successfully.
The fix is available at:
ftp://ftp.software.ibm.com/storage/tivoli-storage-management/patches/agents/ntsql/1.1.2/
Bob King IBM Global Services
[EMAIL PROTECTED]