There should be no issues with adding a settings bundle to an app in Xcode 4.
1. Create the project
2. Add file - Select iOS>Resource>Settings Bundle from the template. Name the file, typically "Settings" and Save.
3. Run the program, click the Settings app and the default settings are there. That is it.
All the stuff about icons is irrelevant, the default blank white one is used if no icon has been provided.
The author's handling of the synchronization of the local and the NSUserDefaults synchronization is weak, since it is hard coded (should parse the Settings.bundle>Root.plist to acquire the keys and default settings, then synchronize) but works for the example.
In an earlier book with the same project, the author's handling of the "loadSettings" method was not correct, but it appears from the downloaded code, that this issue has been addressed. (I don't have the book)
If your problem persists, send the non-working project to
I will try to figure out where things went wrong.