I got the same bad results with Illustrator CS2. I next opened it in Corel X3 successfully although there were editing limitations. I then resaved it as Illustrator AI CS2 and it opened successfully in Illustrator.
Everything in the artwork is a bitmap with the exception of the line of text at the bottom right.
Here is the information on EPS DCS from the Illustrator Help Files:
Importing DCS files
Desktop Color Separation (DCS) is a version of the standard EPS format. The DCS 1.0 format supports only CMYK images while the DCS 2.0 format supports multichannel CMYK files as well as multiple spot inks. (These spot inks appear as spot colors in Illustrator’s Swatches palette.) Illustrator recognizes clipping paths in Photoshop-created DCS 1.0 and DCS 2.0 files.
Because DCS files are pre-separated, their use is limited to non-transparent, host-based workflows. The high-resolution color separations associated with the image are replaced with a low-resolution composite image when printing to composite or exporting to EPS and PDF. DCS files are not supported in In-RIP workflows.
So, in short, this is a file that can only be printed. Vectors are non existent for most of the artwork. In addition, this is a good example of where the client should provide a JPG proof along with the production file. The reason being that it looks different in Corel X3 than it looks in Illustrator.
If I were doing this job, I would open it at production size in Photoshop and then set my color mode and profile and save out of Photoshop in my preferred file format for printing.
