Here is the situation:

1. Created an restore image for C: on an external hard drive.
2. Using the repair disk (created about a week ago) formatted Drive C:
3. Using the repair disk and the restore image on the external drive restored the C: drive.
4. Following problems:
- aero not working
- monitor type reset to default
- screen resolution set incorrectly (probably based on the improper monitor)
- windows live mail getting a dll failure
- logon screen (which was set to my own jpg) defaulted to the beta fish screen
- various other failures which directed me to report to MS

It looks as if the image copy restore does not really restore to the proper Windows 7 configuration (as backed up by Windows 7). This is really a problem since we should have confidence in the backup provided by the OS. Please be careful on this.

My Solution:

After struggling with various settings I did a restore point restore from a day old restore point and all is back to normal (I think).

Please forward any experience with this since this is really fundamental to the integrity of the OS