Attach a complete directory file listing of the VM's folder - detail mode (names, dates, sizes).
Also, the latest vmware.log for that VM.
FYI note - Time Machine backups are not a good method for backing up virtual machines if they are running. Refer to other threads in this forum for examples.
Welcome to the Community,
by default, virtual disks in Fusion consist of multiple files, a header/descriptor .vmdk file, and data .vmdk files.
The descriptor file contains metadata, including a list of data files which make up the virtual disk. These data files are usually names "...-s00x.vmdk". Please chech whether all of these files exist in the VM's package/folder.
"The system cannot find the file specified" usually means that one, or more of these files are missing.
Thanks everyone - I have taken a closer look at the Package contents of the VM and it looks as though the actual culprit is "Windows 2000-0-s022.vmdk" which I found is missing by comparing to the list in the Windows 2000-0.vmdk file. I have 113GB in there but I guess I am out of luck if I am missing this file?
If you can't find/restore this file, it's at least possible to replace it with an "empty" one that just contains the required metadata. This won't bring back the data, but it will allow to to open the virtual disk, and backup important contents.
If this is what you'd like to do, then please provide a complete list of the VM's files (the output of ls -l from the command line), and attach the descriptor .vmdk to a reply post, so that I can take a look at this, and let you know how to proceed.