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Having trouble starting a project

I start uVision3 and clicked 'New uVision Project' from the Project Menu. A 'Create New Project' window appears. I enter the name of the project (LEDTest) and clicked save. Then a "Select device for Target 1' window appeared. I then double-clicked on Atmel and chose the AT89C55WD as the device and I clicked OK. Then a window saying 'Copy Standard 8051 Startup Code to Project Folder and Add File To Project' appeared and I clicked yes. As soon as I did that, the Project Window displayed. On the 'Target 1' folder are 3 red dots which I know means there's something wrong. I haven't even written code yet and I'm having problems. Does anyone knows how to correct this problem?