I defined a simple DB using Visual Studio 2008 Express.
I tried all kinds of connection strings, the latest being:
"server=(local); Database=C:\CoveredCallsDev\TestConnection\TestCon nection\Database1.sdf; Integrated Security = SSPI"
I get an "provider: Named Pipes Provider, error: 40 - Could not open a connection to SQL Server".
I went to the SQL Server Config Manager. I enabled Named Pipes and TCP/IP. Rebooted the system. Stopped and restarted the services.