World Creation Stuck on Building Terrain

Device: TMobile MyTouch 4G Slide (htc doubleshot)
Android Version: 4.0.4 (cyanogenmod 9.1.0-doubleshot)

UPDATE: This bug only occurs when the draw distance is set on the low end. Increasing the draw distance to maximum resolves the issue.

Expected: Clicking on "Create World!" should result in the complete generation of a world of the selected type.

Actual: World generation gets stuck on step "Building Terrain," with the progress bar a little under halfway. Must then kill app to exit. Upon re-entry, there's a listing for the "created" world, showing a size of 0 MB.

Steps:
1. Launch clean installation of MCPE (on the above device/system)
2. Select world options (any - those tested were old/creative, old/survival, unlimited/survival; no seeds)
3. See progress bar get stuck at a little under 50% while Building Terrain