I found the issue.
Somehow, (I do not have an explanation how) the Processor Expert created files "Events.c" and "Events.h" under /Sources folder within the bsp_twrk70f120m project.
The strange thing is I do not use the Processor Expert. I must have somehow clicked somewhere.
I removed the files and now I can build successfully.
I do not get why it was giving me the error above.
I think the error is saying it does not see Events_c. obj file.
However, it does not report any compilation errors on Events.c and Events.h, which I would think would mean that files are ok to compile and thus it would (should have) create an associated object file.
Mark and David, thanks for the help guys.
Boci.