During code signing, the entitlements corresponding to the app's enabled Capabilities/Services are transferred to the app's signature from the provisioning profile Xcode chose to sign the app. The provisioning profile is embedded into the app bundle during the build.
Select the Target and open the Build settings inspector. In the 'Code Signing Entitlements' build setting, type in the filename of the new Entitlements. plist file including the extension. There is no need to specify a path unless you have put the Entitlements.
Open the project using Xcode. Select the root project directory, and go to the Signing and Capabilities tab. Here, you can either check Automatically manage signing or do the signing manually. If you check the Automatically manage signing checkbox, then you will just need to select the Team from the drop-down list.
The solution lies in the new option in Xcode 5 which says provisioning profile. Just set the project target's provisioning profile to the right one and it'll work.
If you are like me and you think you tried EVERYTHING, archived your project over ten times, banged your head on the keyboard and still get this error. Please do yourself a favor and simply Restart XCode, it worked for me. Sometime Apple... I hate you.
I went through many of the steps above but what finally worked for me was refreshing my profiles in Xcode. Not sure why it was necessary since my app's distribution profile was showing up in the list already. Here are the steps:
In my case, i activated the same capabilities in Xcode that in Application services in developer.apple.com. Thats works for me
In my case (sorry) I switched "Team" to "None" in -> General -> Identity
In another case I needed to switch this identity from "None" to the developer account managing the identities and profiles.
Xcode sometimes messes up greatly with code signing, it seems. Or, we mere mortals simply aren't clever enough to understand what it is doing, of course. Don't give up, we're all going through some code signing torture at times!
In my case, I had to set correct Provision Profile for Release, and then had to restart Xcode. Before restarting, it had same provision profile, and didn't work. So, sometimes a restart can do miracles. Maybe this helps somebody.
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