i have tryed that 3 times and still get the same issue.
You will need to install the update manually....
Get 1.1.1 alpha. Here:
http://www.apptapp.com/summerboard/
Follow these instructions to a T. Keep in mind there are THREE Libraries... don't get the right stuff in the wrong library. And don't forget to fix permissions at the end... You'll need to CyberDuck to install the files (on a Mac - I dunno about the other brands) and use the Terminal to do the SSH stuff. Here you go.
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MANUAL INSTALLATION INSTRUCTIONS
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Copy the files to your iPhone as follows:
SummerBoard.framework -> /Library/Frameworks/SummerBoard.framework
SMBPrefs.app -> /Applications/SMBPrefs.app
Themes -> /var/root/Library/SummerBoard/Themes
com.apple.SpringBoard.plist -> /System/Library/LaunchDaemons/com.apple.SpringBoard.plist
Make sure that the plists permissions are as such:
-rw-r--r-- 1 root wheel 704 Oct 9 20:00 com.apple.SpringBoard.plist
Reboot iPhone, enjoy!