Had the same problem , just ran vagrant reload and all fixed.
Hope it helps.

On Friday, September 23, 2011 2:54:25 AM UTC-7, prof3ta wrote:
>
> Hi,
>
> I have a simple Vagrantfile which uses a lucid32 box.
> I'm using Snow Leopard and vagrant version 0.8.7.
> When I try to launch the box, I get:
>
> > vagrant up
> ...
> [default] Waiting for VM to boot. This can take a few minutes.
> [default] Failed to connect to VM!
> Failed to connect to VM via SSH. Please verify the VM successfully booted
> by looking at the VirtualBox GUI.
>
> What should I look for in the GUI?
>
> If I try:
>
> > vagrant ssh
>
> I get:
>
> /Library/Ruby/Gems/1.8/gems/vagrant-0.8.7/lib/vagrant/ssh.rb:34:
> warning: Insecure world writable dir /usr/local/bin in PATH, mode
> 040777
> ssh_exchange_identification: Connection closed by remote host
>
> Any hint on how to debug this?
>
> Roberto
>
>

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