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Raster catalogs stored in SQLServer do not display after the 9.3.1 Service Pack 1 is applied to ArcGIS Desktop or ArcSDE for SQLServer.
This problem also impacts Raster Fields stored in Microsoft SQL Server. If there are Raster fields on the feature class, that information will not be accessible after applying 9.3.1 Service Pack 1.
If a direct connection from ArcGIS Desktop to an ArcSDE SQLServer instance is being used, raster catalogs will not display if Service Pack 1 has been applied to ArcGIS Desktop 9.3.1.
When connecting to an ArcSDE for SQLServer application server, raster catalogs will not display if Service Pack 1 has been applied to ArcSDE for SQLServer.
This issue is encountered after installing Service Pack 1 for ArcGIS Desktop 9.3.1 when direct connections are used, or after installing Service Pack 1 for ArcSDE for SQLServer 9.3.1 when application server connections are used.