Xcode 4 final - breakpoints on device (ipad) not working

Question

I downloaded and installed final version of Xcode 4. I opened my iPad project and realised that breakpoint's doesn't work on the device. They work ok on simulator though.
Before I was using Xcode 3.2 and everything was working fine.

I also tried creating an empty view based iOS application from scratch and have exactly this same issue. I was googling on that issue, but all solutions were based on previous versions of Xcode. Any suggestions what am I doing wrong ?

Here is output from a console when running application

Mar 10 14:34:44 unknown installd[547] : entitlement 'keychain-access-groups' has value not permitted by a provisioning profile
Mar 10 14:34:44 unknown installd[547] : entitlement 'application-identifier' has value not permitted by a provisioning profile
Mar 10 14:34:44 unknown SpringBoard[29] : Killing  me.device-debugging-test  activate:  deactivate:  for app installation
Mar 10 14:34:44 unknown installd[547] : entitlement 'keychain-access-groups' has value not permitted by a provisioning profile
Mar 10 14:34:44 unknown installd[547] : entitlement 'application-identifier' has value not permitted by a provisioning profile
Mar 10 14:34:44 unknown SpringBoard[29] : Reloading application state for 'me.device-debugging-test' as its modification date has changed
Mar 10 14:34:45 unknown SpringBoard[29] : Reloading and rendering all application icons.
Mar 10 14:34:46 unknown com.apple.debugserver-48[551] : debugserver-48 for armv6 Copyright (c) 2007-2009 Apple, Inc.  All Rights Reserved.
Mar 10 14:34:46 unknown com.apple.debugserver-48[551] : Connecting to com.apple.debugserver service...
Mar 10 14:34:47 unknown com.apple.launchd[1] : (UIKitApplication:me.device-debugging-test[0x4309]) Spawned and waiting for the debugger to attach before continuing...
Mar 10 14:34:47 unknown com.apple.debugserver-48[551] : Got a connection, waiting for debugger instructions for task "(null)".
Mar 10 14:34:47 unknown kernel[0] : lockbot[544] Builtin profile: debugserver (sandbox)
Mar 10 14:34:47 unknown kernel[0] : launchd[552] Builtin profile: container (sandbox)
Mar 10 14:34:47 unknown kernel[0] : launchd[552] Container: /private/var/mobile/Applications/(...) [69] (sandbox)

Answer 1

Reboot your device.

Short, sweet, and simple solution. After hours spent digging through all the XCode options.