I am currently getting the error in sql server logs:

2011-04-19 08:59:10 - ! [298] SQLServer Error: 802, Cannot generate SSPI context [SQLSTATE HY000]

2011-04-19 08:59:10 - ! [382] Logon to server '(local)' failed (JobManager)

2011-04-19 08:59:10 - ! [298] SQLServer Error: 802, SQL Network Interfaces: The target principal name is incorrect. [SQLSTATE HY000]

2011-04-19 08:59:10 - ! [298] SQLServer Error: 802, Cannot generate SSPI context [SQLSTATE HY000]

2011-04-19 08:59:10 - ! [382] Logon to server '(local)' failed (ConnUpdateJobActivity_NextScheduledRunDate)

2011-04-19 08:59:10 - ! [298] SQLServer Error: 802, SQL Network Interfaces: The target principal name is incorrect. [SQLSTATE HY000]

2011-04-19 08:59:10 - ! [298] SQLServer Error: 802, Cannot generate SSPI context [SQLSTATE HY000]

2011-04-19 08:59:10 - ! [382] Logon to server '(local)' failed (ConnAttemptCachableOp)

2011-04-19 08:59:10 - ! [298] SQLServer Error: 802, SQL Network Interfaces: The target principal name is incorrect. [SQLSTATE HY000]

2011-04-19 08:59:10 - ! [298] SQLServer Error: 802, Cannot generate SSPI context [SQLSTATE HY000]

2011-04-19 08:59:10 - ! [382] Logon to server '(local)' failed (ConnAttemptCachableOp)

2011-04-19 09:18:14 - ! [298] SQLServer Error: 802, SQL Network Interfaces: The target principal name is incorrect. [SQLSTATE HY000]

2011-04-19 09:18:14 - ! [298] SQLServer Error: 802, Cannot generate SSPI context [SQLSTATE HY000]

2011-04-19 09:18:14 - ! [382] Logon to server '(local)' failed (SaveAllSchedules)