icl.exe exited with code 4 - invalid Microsoft version number: 89

Hi,

I recently installed Intel Parallel Studio XE 2016 and now have the Intel C++ compiler (update 4) integrated in Visual Studio 2015 (update 3).

When I create an empty c file, I can compile from the command line. However, when I take one of the sample solutions for Visual Studio I get build errors (I did run psxevars.bat): 

Error    MSB6006    "icl.exe" exited with code 4.    xres5    C:\Program Files (x86)\MSBuild\Microsoft.Cpp\v4.0\V140\Platforms\x64\PlatformToolsets\Intel C++ Compiler 16.0\Toolset.targets    377    

With output log:

1>icl: : warning #10121: overriding '/Qstd=c++11' with '/Qstd:c++14'
1>  main.cpp
1>  Command-line error: invalid Microsoft version number: 89
1>
1>  compilation aborted for main.cpp (code 4)

The only related topic I could find did not give a solution to this issue:
https://software.intel.com/en-us/forums/intel-c-compiler/topic/517998

Can anyone help me out on this issue?

Thanks.