Thanks Erel, I figged it out. The ZipAlign file is part of Android SDK. B4A was trying to tell me it was bad. After reloading just that file I'm up and running again. Cranked out 5 more APPS this morning :icon_clap:
After Updating parts of the ASDK i had the same problem - issue: under .../tools/ there was no zipalign.exe (dont know if it was there before).
After copying it from /build-tools/ to .../tools/ all works fine again.