Hi Shane,
When a TeamRoom is configured for Kanban, the cut lines in the Backlog tab indicate the number of stories that can be completed in a 1 week time interval, based on the team's average Throughput (metric shown in the top right area of your TeamRoom). The dates on top of those lines indicate during what week the items below the line are likely to be completed.
Note that, since the lines represent "Done", the dates take into account any work in progress on the board. This means (for example) that the first week listed in the backlog may be in the future, since the team first needs to clear the board of all the items in progress, before they can take more items from the Backlog. This may be your case.
Additionally, the cut lines will take into account your preference on whether you like to see reports by Workitem count (more common for Kanban) or by Estimate (more common for Scrum). This preference can be set in the Preferences dialog in the menu under your name (top right).
I hope this helps. Please feel welcome to reply with any further questions you might have.
Haris Delalic
Product Manager at VersionOne