I get this error when I try uploading my folio with application loader : "In iTunes Connect, Newsstand is enabled for your app version. The Info.plist must include UINewsstandApp=true and a CFBundleIcons.UINewsstandIcon dictionary must be specified. For more information, refer to the Information Property List Key Reference."
We're currently experiencing exactly the same error. There's an open case with Adobe at the moment to try and ascertain if it's DPS or iTunes Connect that's causing the problem. I'll update this thread as soon as I have more information.
