Windows Me System Restore Update
Microsoft has released an update to fix a problem with Windows Me System Restore. This update resolves an issue with the System Restore date-stamping functionality that may cause System Restore to date-stamp snapshots that are taken after September 8, 2001 incorrectly. This can prevent System Restore from locating these snapshots and can cause the system restore process to fail.
For more information about this update, read Microsoft Knowledge Base (KB) Article Q290700, Checkpoints That You Create After September 8, 2001 Do Not Restore Your Computer.
You can download the update from the Microsoft Download Center (249KB).