Iphoto library needs to be upgraded?

I replaced my hard drive, reinstalled 10.6, and used migration assistant to restore from Time Machine (and will never do that again). iPhoto itself works fine (when the library is set to be the 'new' empty library), but when I try to access my old iPhoto library, I get the message:
"The photo library needs to be upgraded to work with this version of iPhoto.
Your photo library will not be readable by previous versions of iPhoto after the upgrade. . . "
If I click 'upgrade' it says "iphoto was unable to open this library" then closes.
I had 10.6 on my old hard drive, and 10.6 on my new one. Nothing should be different. I can see the individual photos by going to 'show package contents.'
Thank you!

At this stage you do not have an iPhoto library - an iPhoto library is a special folder (called a package) that contains many elements - original photos, previews of modified photos, thumbnails and files describing to iPhoto what is there, what edits have been made, how to connect the dots so to speak - simply having a package named iPhoto library is not an iPhoto library and to get an iPhoto library from a Time machine Backup you have to use TM to restore the library - it is the only way to properly collect all of the correct elements and put the puzzle back together
Your only alternatives are
1 - to use TM to restore the library (launch TM and go to the proper time, select the Photo library and click restore
or
2 - go into the TM backup and find all of your original photos and copy them out and then create a new iPhoto library using iPhoto and importing the original photos
for detailed help on Time Machine post in the TM forum
LN

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