UPDATE:

One of my programmers got this to work.

Instead of

Response.Redirect("http://localhost/mypages/myReport.PDF")

He tried:

Response.Redirect("http://localhost\mypages\myReport.PDF")

... and the dang thing worked. The only difference being the direction of the slashes.

As an additional FYI: Internet Explorer doesn't care which way the slashes are. It works both ways.

Thanks for the help....

-Steve Kanski