SQLCMD.EXE on SQL 2008 doesn’t work – HResult 0×2, Level 16, State 1

I’ve built one of my test servers with SQL Server Express 2008 w/ Advanced Services. On a whole load of our servers I use SQL Express for local installations and SQLCMD.EXE works well as a good way to run scheduled backups. It’s done this way because SQL Express doesn’t support SSIS (SQL Server Integration Services), the component required for scheduled tasks. I wrote an article about this a...