Hi. same problem here, but I found a workaround:
Edit the file <your project folder>/debug/libtool and replace line 2418
output_objdir=`$echo "X$output" | $Xsed -e 's%/[^/]*$%%'`
with
output_objdir=`$ECHO "X$output" | $Xsed -e 's%/[^/]*$%%'`
After that, compiling worked for me again.
It seems to me that there is a problem with the ECHO="echo" variable defined in
line 153.
But if I just change it to lowercase echo or add another variable called echo,
I get a lot of other errors.
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kdevelop can't compile programs in kde4 (intrepid ibex)
https://bugs.launchpad.net/bugs/285841
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