Why would all of my playlists disappear from my iPod Touch after updating

After updating software, all playlists and most tunes are gone from the iTouch. They do appear when logged on at iTunes but most will not play. When clicking on "Play" an icon appears next to the song title showing an exclamation point (!) inside a circle.

How can I repopulate all of my music and playlists back into the device?

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