Your binary is not optimized for iPhone 5 - New iPhone apps and app updates submitted must support the 4-inch display on iPhone 5 and must include a launch image referenced in the Info.plist under UILaunchImages with a UILaunchImageSize value set to {320, 568}. Launch images must be PNG files and located at the top-level of your bundle, or provided within each .lproj folder if you localize your launch images.
Getting this error when trying to upload a build using Application Loader. The deployment target of the app is iOS 8.0 and it's using launch screens instead of launch images, therefore I have no idea whatsoever why this error appears...