New iPhone5s won't Bluetooth sync to iMac

New iPhone 5s purchased last Thursday & can't get it to sync with late 2011 iMac (10.6.8)

Tried disconnecting the supplied Thunderbolt->USB cable and tried all the different USB ports on the iMac with no luck.

Cable works to charge the phone so I assume it's ok.

iTunes doesn't automatically open up and when i DO open it manually, no mention is made of a connected iPhone.

iPhone Settings->Bluetooth IS set to "On." iPhone, once connected says "Trust this computer?" and I hit trust.

I went to the Bluetooth System Preferences and started through the proceedure. iMac detects the iPhone but says "iPhone NOT connected" with "On" and "discoverable" blocks checked.

I click "setup Bluetooth device" and iMac shows searching for bluetooth devices. Takes about 1 minute for "iPhone - Smartphone" to show up. I click "continue" & "Attempting to pair with iPhone" then the sync code being sent to my iPhone. Phone shows same code and asks if I want to continue. Press continue - wait a few seconds - phone responds "Bluetooth pairing request" with same code and I hit "Pair" but seconds later (maybe 1-2) "Pairing unsuccessful" is displayed.

Anyone tell an old guy what I'm doing wrong?