Updated to the latest Storyline 360 version and now when publishing to LMS the images are not included

I was in the middle of developing a product in Storyline when I discovered the latest version has more xAPI capabilities. While I had xAPI added to track when each page is experienced, I needed to add more custome xAPI. The course was working great, published to LMS (xAPI), and was able to track in Watershed with no problems.

After upgrading, I added a new custom xAPI statement, published it to LMS with a report to an lms checked (xAPI).

Unfortunately, while it said it was compressing the images, when I look at the files, there are no images included.

In addition, when I launch the story.html file, I get an error message when it is trying to launch the story where the player partially loads (no logo image) and it says "You are Offline. Trying to Reconnect..."

If I publish it to Web, all the images are included in the files and it works with no problems. 

Is anyone else running into issues publishing to LMS with xAPI? I removed the custom xAPI I had added and tried republishing to LMS but it still will not include the images and I am still getting the error message saying I am offline. Any suggestions? Can I revert back to the previous version of Storyline so I can finish my project? ;-P