Hi Kris,

I found the answer.  This solved the problem for me. 

From: 
http://www.netbsd.org/Ports/mac68k/faq/faq-4.html

>>
4.23 Now that I've installed/upgraded to 1.5, why can't I boot multi-user?

The version of the Installer program that shipped with NetBSD 1.5 was not
updated in time to build the new devices that are required. You have a
couple of options for working around this. The first option is to download
the latest version of the Installer and used it to "Build Devices" once
again. The latest version is available here: 

ftp://ftp.netbsd.org/pub/NetBSD/arch/mac68k/installation/misc/Installer.sea.hqx 
The second option is to boot into single-user mode and do the following: 



mount -rw /
cd /dev
sh ./MAKEDEV all


Either solution should create the necessary device files and eliminate the
annoying /dev/ttyE0: No such file or directory. message that you are
probably getting. Please do not attempt to edit /dev/ttys to change the
console line back to /dev/ttye0 as this device is no longer used under
1.5.
>>