Sprite animation is not updating (possible bug)

I have a simple animation of a foot which i want to change sprites from one sprite to another, which is seen in the following two images:
alt text
alt text
now as one can see in the animation timeline there is a change in sprites of the foot (a slight distortion), however if one looks in the inspector the sprite remains constant. The sprite in the inspector seems to choose whichever sprite was last placed on the animation timeline, until the game is played and at this point it reverts to foot1. The sprite never changes whenever you scrub through the timeline. This is a 2D project and I am running a 64 bit version of windows 8.1 running the most recent version of unity (which has been reinstalled), this looks like a bug to me but if i am doing it wrong then please feel free to tell me so. I am using C# in order to develop my project. I am not using any mods, or anything downloaded from the asset store.

I have tried uninstalling and reinstalling unity, so that is not the problem, my project is available here:


I have tried to give as much information as possible, but please do not hesitate to ask any further questions.

My computers properties:
8gb of ram
64 bit
intel i5-3230M CPU@ 2.60 GHz
Windows 8.1
Lenovo g780

If we talk about Foot1 object - you should remove animation component, but add animator. And add animation(s) in animator. Don’t forget to change animation type from legacy to generic, or you won’t be able to add it to animator (Inspector debug mode → Animation type → 2).
I checked, it works.