Windows 7 Solution:
Confirmed the problem is caused by ProGuard command line in the file
[Android SDK Installation Directory]toolsproguardbinproguard.bat
Edit the following line will solve the problem:
call %java_exe% -jar "%PROGUARD_HOME%"libproguard.jar %*
to
call %java_exe% -jar "%PROGUARD_HOME%"libproguard.jar %1 %2 %3 %4 %5 %6 %7 %8 %9
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