I believe this is a "feature" of Xcode 4.2 for Snow Leopard. Although SNow leopard supports ARC, it does not support all of arc, e.g., "zeroing weak references". Also, my linking is failing because it is expecting a Lion file.
I am trying to get through the Hillegas 4th edition, but in order to do so it looks like I'll have to upgrade to Lion for full ARC support.