Intellij Idea setup for Scala, clarification needed

Question

Using IntelliJIdea 12, i downloaded the Scala plugin and created a HelloWorld application.

The following import seems odd. Why does IDEA not recognize this to be a S

Answer 1

I got around this by downloading the Scala library from scala-lang.org, unzipping it and then pointing the project to it. It worked fine after that. But of course, I'm an eclipse guy so perhaps someone else might be able to give you a better automated (?) solution. Here's what my project looks like in Module Settings -> Libraries: