Yes I'm also having this problem, I had my old iphone replaced to this piece of crap because my old phone had a cracked screen. At the moment, this phone now is completely useless, comes up with this exact error over and over. At first after upgrading to ios5 things were ok for a short while until I noticed my reception bar dropping to nothing and going into no service or sos only.
So I tried various things by turning off 3g of wifi and that seemed to help, until 2 days ago, the phone decided I needed to restore it....couldn't even get the process started out of dfu mode, even so I now get this error. I'm on a 30 day warranty and will be demanding a "new" replacement as I have a feeling this phone is only a refurbished phone which I'm not satisfied with considering it's costing me a fortune just to travel all the way to the apple store.
I seriously prefer my old phone with the broken screen and atleast it was usable, although I never upgraded the OS on that phone because I didn't want to make the effort on a phone that had a screwed screen.
I have had this new phone (refurbished) for 4 days, personally I would be embarassed working at apple if I was the customer service. So now I have to wait another 3 days to see them again next Saturday, if they don't give me a new phone, this one will end up being smashed on the ground infront of all the customers and I will just go buy a nokia and be done with it.
It's hard not having this phone while at work, I can't check the time whenever I'm out and about unless I ask some stranger. I feel naked without a phone at the moment and getting to the stage where I couldn't give 2 ***** about the features, this is why I decided to stick with my 3gs and not upgrade as the changes they made were so pathetically small.
See how things go Saturday, could be a good day for the person serving me or a bad one...I have a 30 day warranty so hoping they don't give me another crap refurbished phone and charge me more money for their screw up.
Hope you all figure out what the problem is, just a shame there is no information on what error -1 means.