Cannot unwrap, object scale not 1.0?

Hello all. I’m having a bit of trouble unwrapping with Blender 2.62, whenever I attempt to do so it gives me the notification “Object scale not 1.0. Unwrap will operate on a non-scaled version of the mesh.”. I don’t know what to do, Blender 2.5 and earlier never gave me this issue. Any tips?

In object mode use Ctrl+A /scale
The problem was the same in all previous versions but now you have a useful message to warn you

Thank you, that was very helpful.

I have same problem but except my mesh does this aswell as give me the same error message. Can anyone help me understand why my uv unwrap looks like this . . . .

Remove any double vertices,
Check your seams are correct,
Remove those pinned vertices in your uv unwrap window (the red dots, Alt+P to unpin)