I have this all working now. If you orig used a regular APPLE ID for your apple with configurator 1, you will now need to use a VPP (volume purchase program) ID. This means you need to re-download all your apps from the VPP store and tell it HOW MANY copies you need (even free apps). You also need to contact apple to get your paid apps from CONFIG 1 moved to config 2.
Here are a couple of things we found out when doing 72 new Ipads
-If you have to remove apps, Apple Configurator sometimes gets stuck on the syncing step. If you force quit and then reopen configurator, the app(s) will be removed and the iPads will be ready for the next step.
-Configurator is really sensitive about how many devices it can put a blueprint on at once. When we tried 16 at a time, it didn't work. The most iPads you can configure at once seems to be 8, and this morning we had to go down to 2.
-If Configurator has the internet connection problem, the only way we have been able to fix it is to restart the entire computer. Sometimes it works, and sometimes it doesn't. Usually after the 2nd restart it is fine.
-Apps that aren't device assignable show up with a red "no" symbol when you add them to a blueprint. They also have windows that will pop-up when they are being synced with the iPad, so even if you miss one or two, you are notified about which apps are causing the problem.