Externally Referenced error is produced after cloning a 4.6.1 project and converting it to a 4.7.6 project

A User in unable to save there project because of they get warnings for all of the objects in their scene saying they are externally referenced. This happens after cloning a project and then converting it in place from 4.6.1 to 4.7.6.

1. Create a 4.6.1 first person project
2. Clone the new project
3. Open the project in 4.7.6
4. Convert it in place
5. Build all
6. Save all
7. Notice that you receive warning for all of the boxes in the default scene saying that they are externally referenced.

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