Follow these steps and see if they help
Steps to create a custom SQL 2005 database:
Open the Microsoft SQL Server Management Studio and log in to the instance as a database administrator (typically the account 'sa'.)
Right-click on the Databases folder in the Object Explorer pane and choose New Database...
Enter the name you wish to use for the custom SEPM database in the field next to Database name.
Click the Add button near the bottom of the dialog; repeat this step 4 times.
Click in Logical Name column (typically the left-most column) of the first newly created row and type the name of the database (as chosen in step 3 above,) then underscore, then content (eg. if the name of your database is 'sepmdb' then you should type: sepmdb_content). Click on the Filegroup column for this row (typically the third column) and click on the drop-down box. Click on <new filegroup> and type: FG_CONTENT next to Name and then click on the OK button.
Click in Logical Name column (typically the left-most column) of the second newly created row and type the name of the database (as chosen in step 3 above,) then underscore, then index (eg. if the name of your database is 'sepmdb' then you should type: sepmdb_index). Click on the Filegroup column for this row (typically the third column) and click on the drop-down box. Click on <new filegroup> and type: FG_INDEX next to Name and then click on the OK button.
Click in Logical Name column (typically the left-most column) of the third newly created row and type the name of the database (as chosen in step 3 above,) then underscore, then loginfo (eg. if the name of your database is 'sepmdb' then you should type: sepmdb_loginfo). Click on the Filegroup column for this row (typically the third column) and click on the drop-down box. Click on <new filegroup> and type: FG_LOGINFO next to Name and then click on the OK button.
Click in Logical Name column (typically the left-most column) of the fourth newly created row and type the name of the database (as chosen in step 3 above,) then underscore, then rptinfo (eg. if the name of your database is 'sepmdb' then you should type: sepmdb_rptinfo). Click on the Filegroup column for this row (typically the third column) and click on the drop-down box. Click on <new filegroup> and type: FG_RPTINFO next to Name and then click on the OK button.
Note: As an optional step, you can specify an Initial Size and an Autogrowth size (or disable Autogrowth and specify a fixed size.)
Click on the Options page on the left side of the dialog.
Click on the drop-down box next to Recovery model and choose Simple.
Click on the OK button at the bottom of the dialog to create the database.