Regression: transcoding or remuxing to mp4 doesn't work

On Mac OS 10.7:

MP4 files created using vlc.git are invalid and are always very small (<2MB, sometimes they are 0 bytes). I originally had this problem with VLCKit but found that VLC also does not work as I expect.

This is the command I used with VLC:

./VLC -I dummy ~/Movies/Avatar\ The\ Last\ Airbender\ B01E01\ The\ Boy\ in\ the\ Iceberg.mkv --sout='#transcode{vcodec=h264,venc=x264{profile=main,level=3},vb=800,scale=1,acodec=mp3,ab=128,channels=2,samplerate=32000}:standard{access=file,mux=ffmpeg{mux=mp4},dst=/tmp/test.mp4}"}' vlc://quit 

VLC 2.0.1 can at least produce an file with video but not audio, with the streaming/transcoding wizard. This is what the wizard shows at the last step:

:sout=#transcode{vcodec=h264,vb=1024,acodec=mp4a,ab=128}:standard{mux=mp4,dst=/Users/brendonjustin/Movies/convert.mp4,access=file}