Titanium Studio not recognizing that Android SDK is installed

Hi,

When I try to run a sample hello world project, I get this error: An Android SDK is missing. Titanium requires Android platform 2.2.

I click on the Install or Update Android SDK button, and the Android SDK Manager pops up, and spends about an hour downloading and installing a bunch of packages. The finished result looks like the image below.

But Titanium Studio doesn't recognize the install. I still get the same error message, and if a restart Titanium Studio it simply goes through the whole process again, re-downloading everything. I've done this cyle 3 times now with no success.

How can I get studio to recognize the android SDK? I am using the most recent 2.0 version on win7.

Thanks, Jonah