I found the error only occurs on my Win7 x64 box, but not my XP 32 box. It does seem to upload the code, even with the error. This error still exists in 0.0.4.
Here is the full build results.
Going to build using 'make' (ARM)
Compiling core...
Compiling any libs...
Compiling the sketch...
running linker asynchronously...
running obj copy asynchronously...
running size asynchronously...
C:\Users\siyuz\AppData\Local\Temp\build5070609246465647649.tmp\Blink.cpp.bin :
section size addr
.data 10936 0
Total 10936
Binary sketch size is reported above. Check it against a 17000 byte maximum.
Loading via dfu-util
Resetting to bootloader via DTR pulse
Opening USB Device 0x1eaf:0x0003...
Found Runtime: [0x1eaf:0x0003] devnum=1, cfg=0, intf=0, alt=0, name="DFU Pro"
Setting Configuration 1...
Claiming USB DFU Interface...
Setting Alternate Setting ...
Determining device status: state = dfuIDLE, status = 0
dfuIDLE, continuing
Transfer Size = 0x0400
bytes_per_hash=218
Starting download: [##################################################] finished!
error resetting after download: usb_reset: could not reset device, win error: The system cannot find the file specified.
state(8) = dfuMANIFEST-WAIT-RESET, status(0) = No error condition is present
Done!
Resetting USB to switch back to runtime mode