After having upgraded from TFS 2010 to TFS 2012, we configured the work items to best suit our needs. After having done so we now require the use of the new TFS features such as Backlog, etc. Unfortunately after having tried to go through the manual upgrade process we are still getting the error below. Any help would be appreciated.
[Error] TF400654: Unable to configure Planning Tools. The following element contains an error: RequirementWorkItems. TF400536: This element defines the category of work item types that appear as tasks on your sprint backlog. Each work item type must support an initial state value that matches one of the states defined in: RequirementWorkItems/States. The following work item types have initial states that do not include any states defined in the task board state configuration: Bug.