Olimex AVR-ISP500 was working in 0023 not working in 1.0

I use a Olimex AVR-ISP500 to program my Duemilanove (328) board, its on COM1, my system is Windows 7 64 bit.

I've been using Arduino 0023 for some time and had amended the programmers.txt as follows :

avrisp.name=AVR ISP avrisp.communication=serial avrisp.protocol=stk500v2

Then in preferences.txt I had amended the following two lines :

upload.using=avrisp programmer=arduino:avrisp

This works fine and can program the boards via the Olimex AVR-ISP500.

Recently I decided to upgrade to Arduino 1.0, I amended the programmers.txt under .\arduino-1.0\hardware\arduino as follows :

avrisp.name=AVR ISP avrisp.communication=serial avrisp.protocol=stk500v2

(i.e the same as under 0023)

Arduino 1.0 seems to use the same preferences.txt as before so I left that. Every time I try to upload a sketch I get :

Binary sketch size: 4494 bytes (of a 30720 byte maximum) avrdude: stk500_getsync(): not in sync: resp=0x00

However this configuration will burn the bootloader. So in summary works under 0023, doesn't work under 1.0. Bug or have I got something set wrong ?

Cheers,