I am attempting to setup Spree for the first time. Everything was going well until I hit the image upload. I have installed Imageamgick using homebrew on Mac OSX Mountain Li
Check if png format is in the list of compiled formats of identify:
identify -list format
If it's not, you might have to recompile it with these options:
./configure --prefix=/usr/local --with-bzlib=yes --with-fontconfig=yes --with-freetype=yes --with-gslib=yes --with-gvc=yes --with-jpeg=yes --with-jp2=yes --with-png=yes --with-tiff=yes