I attempted to follow the instructions of mohrayma, but when the program got to reconnecting with JVM I got a whole new error message. "Application loader was unable to connect with the devise". Though I hadn't moved the cord or devise I continued to get the error message when i repeated the steps. What am I to do?
Your device is what we refer to as "bricked" or "nuked." Fortunately, there is a fix. Follow the instructions from Crackberry at http://crackberry.com/blackberry-101-lecture-12-how-reload-operating-system-nuked-blackberry for restoring your device's software.
I have had that happen to me in the past. Leave your BB hooked up and start Desktop Manager (DM). DM will acknowledge that your device was not detected and that it may need to have the OS reloaded. It will look on your computer and find the OS and, eventually, install it. Be patient, replay to all prompts and allow it to run through the complete install which may take over an hour. Good luck and post back if this works.