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oops, you are correct. Seems like I forgot a small step.
This is the first time I have ever restored from a sparse image file. I have always used bootable backups which I can easily use to start the computer and then clone onto the new drive. I now create sparse image backups because I want to backup automatically 3 computers on a network every night and just create bootable backups every few days. BUt I messed up the bootable backup by allowing SD to run automatically and wipe out the backup I wanted to restore.
Maybe it doesn't matter, but your instructions say to follow the instructions under the restore tab so if you are using Mountain Lion you area told to "click IMAGE" which puts the sparse image file not the backup in the source field. Of course maybe this happened because I was trying to run the restore from the disk I wanted to restore onto.
By the way, I am using Mountain Lion so I wasn't sure whether to use the OS X install disk or the recovery HD to access disk utility. I used the recovery HD because I wasn't sure if the old Leopard disks would mess up the recovery HD. WAs this the correct assumption?
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