There's no need to backup system data. It will most likely conflict with a different system. I've never restored system data, only apps.
CM7GB-602
Thanks for all your help!
Well, I went ahead and performed the sbf flash. I used the download provided by zedomax from the video, and I followed his instructions given in the video. His download uses RSD Lite (ver. 4.7). I did this on a machine running Windows 7 Professional 64bit. When I first attempted it, I kept getting "Failed Flashing process. (0x7100)" in RSD Lite. I closed the program, right clicked and selected Troubleshoot Compatibility. It suggested running under Windows XP SP2 compatibility. RSD Lite then worked flawlessly. After the flash was completed, and the phone rebooted, I was surprised to see that all my apps and settings were still intact. Based on all my research, I thought that they would all be wiped. The only thing that was different was that I no longer had root. I then activated my phone by dialing *228 and hitting 1 when prompted. That went fine. Finally, I applied the OTA update, and it went without a hitch. So, I couldn't be happier by how this all worked out.
ldopa, is it unusual for the apps to still be there? Any ideas as to why they didn't get wiped?
Also, will we have this problem every time an OTA update comes out if we have rooted our phone? Is the One Click Method reversible? I know I deleted NFS (Need For Speed) after I rooted my phone with z4root. It is the only stock app that I deleted, and it is probably what made the update fail. So, if I root my phone with One Click Method and don't delete any stock apps, will I be better off if a new OTA update comes up?
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