Paul- Your comments are right on target - if she has the original 1.0 release without the update patch (still available I believe). Best bet would be to download patch again (uftree.com) and then try to restore the sqz file.
FYI UFT 1.0 was (almost)my firstgenealogy program, and in my first few days of experimenting, after I called Tech Support, I was able to restore a sqz file by going up or down one item on the backup/restore dropdown menu.
But somehow I didn't trust a program whose most important feature, backup/restore, had been burned into a CD incorrectly, and which required me to call somebody in Indiana for help. Gee what if they never invented the Internet and I forgot.