Ok....i have some good news, I believe. Using King_Penguin's link and Apple's KB seems to have worked. I tried this under another windows profile on the same machine. The TRICK is to hold down CTRL W when opening up iTunes. This will prompt you to tell iTunes where the library is. The key is to copy everything from your My MUSIC\ITUNES folder. More info here:
http://support.apple.com/kb/HT1751
What is throwing me off is there is another option to, "Create LIBRARY". Not sure how that works. But the instructions are here: When you need to restore your backed up iTunes Library from your external hard drive to your computer, follow these steps:
1.Quit iTunes.
2.Locate your external hard drive.
Mac: On the Desktop or Finder sidebar.
Windows: In My Computer
3.Drag the iTunes folder (backed up earlier) from your external hard drive to whatever location you desire on your internal hard drive. It is recommended that you choose the default location for the iTunes folder, which is:
Mac OS X: /Users/username/Music
Windows XP: \Documents and Settings\username\My Documents\My Music\
Windows Vista or Windows 7: \Users\username\My Music\