Basically, it just means that the packet containing the info about the specific IP address at that hop in the route hasn't been received by the computer running the traceroute routine (IOW, your Mac) in the time allocated for that.
For a more technical explanation, you might try reading the
Wikipedia traceroute entry or something similar, but (in my limited understanding of it) it doesn't indicate a problem with the route or endpoint server. As the "Security Concerns" section of the Wikipedia entry mentions, some networks are apparently intentionally set up to hide their internal routing architecture from traceroute.
Message was edited by: R C-R