Problems with the Franzis Tutorial Kit

Hi all,

I picked up a tutorial kit (http://www.amazon.co.uk/Franzis-Tutorial-Kit-for-Arduino/dp/3645650776 to get into some Arduino tinkering, and after several hours I'm still having problems. I've followed the instructions, and checked everything in the troubleshooting guide. I suspect that the Arduino board is bust, but I thought I'd check here before I send it back.

The problem is that whenever I try to upload any program, I get this output:

Binary sketch size: 1,084 bytes (of a 14,336 byte maximum)
/Applications/Arduino.app/Contents/Resources/Java/hardware/tools/avr/bin/avrdude -C/Applications/Arduino.app/Contents/Resources/Java/hardware/tools/avr/etc/avrdude.conf -v -v -v -v -patmega168 -carduino -P/dev/tty.usbserial-FTW9OX0N -b19200 -D -V -Uflash:w:/var/folders/dw/kxzk4tbj41d_cmknnbb1zp4h0000gn/T/build1606516881197054825.tmp/Blink.cpp.hex:i 

avrdude: Version 5.11, compiled on Sep  2 2011 at 18:52:52
         Copyright (c) 2000-2005 Brian Dean, http://www.bdmicro.com/
         Copyright (c) 2007-2009 Joerg Wunsch

         System wide configuration file is "/Applications/Arduino.app/Contents/Resources/Java/hardware/tools/avr/etc/avrdude.conf"
         User configuration file is "/Users/Rob/.avrduderc"
         User configuration file does not exist or is not a regular file, skipping

         Using Port                    : /dev/tty.usbserial-FTW9OX0N
         Using Programmer              : arduino
         Overriding Baud Rate          : 19200
avrdude: Send: 0 [30]   [20] 
avrdude: Send: 0 [30]   [20] 
avrdude: Send: 0 [30]   [20] 
avrdude: ser_recv(): programmer is not responding
avrdude: stk500_recv(): programmer is not responding

avrdude done.  Thank you.

The "Board" setting in Arduino is set correctly "Diecimila or Dueminalove w/ ATMEGA168", and the port set to /dev/tty.usbserial-FTW9OX0N (I've tried various other combinations of settings).

I'm running a Macbook pro with OSX 10.8.2. I've also tried on a Win7 PC, with the same results. In all cases I'm powering the board through USB. I've also tried switching USB cable and ports. Hitting Reset before, during or after upload seems to make no difference.

When the board's plugged in, the PWR LED is on constantly, and the pin 13 LED flashes once a second. When I upload, TX and RX flicker for a couple of seconds, then it goes back to just 13 flashing at 1Hz.

I'm using all the latest drivers from FTDI, and the latest version of the dev environment.

Any ideas before I take it back?

Thanks,
Rob.

Forgot to say - it passes the loop-back test.