I have the exact same problem. Please advise, as I have no idea what your instructions regarding using FTP actually mean. I get the exact same message as Ann when I try to update the theme the only way I can figure out to do with my no-knowledge regarding using FTP. WP won’t let the newer version of the theme be installed. Instead it says
Unpacking the package…
Installing the theme…
Destination folder already exists. /home/desig146/public_html/wordpress/wp-content/themes/attitude-pro/
Theme install failed.
Your response to Ann doesn’t tell us how to install the theme update. Please offer instructions that are comprehensible to a tech moron like myself who knows nothing about using FTP. Thanks!