I had problems setting up a mobile moodle for a colleague using PHP 5.0.3, and all the courses I restored on this version were gobbledygook.
Apparently this version has a bug which affects escaping HTML tags on unzip (or something like that - it didn't work anyway). I wiped the server install (it was the latest version of apache2triad on a windows laptop) and used an older installer bundled with PHP 5.0.2, this worked fine.