Ma Hui,
Thanks for the response. I tried your files, but got the same result, I'm thinking something on my board is damaged. The process I went through was:
1) unplug board
2) hold reset button and plug in. Note that device shows up as MSD called Bootloader
3) Copy the MSD-DEBUG-FRDM-KL25Z_Pemicro_v114.SDA onto the drive. LASTSTAT.txt says complete
4) unplug board, replug board. Now MSD shows up as FRDM-KL25Z
5) drag blinky_green.srec into folder. Small green LED starts to blink rapidly in pulse groupings of 7 (I think it's 7, but they are fast). Reading LASTSTAT.txt after loading srec says "Error 7"
6) plug/unplug board no change.
7) pound head against wall....
8) unplug board, hold reset, plug in board. Opens as MSD called bootloader.
9) drag mbed bootlaoder back on.
10) unplug/plug in board
11) previously installed mbed app still on and functioning as before.
12) try dragging new mbed app on. This works too.
Thanks
Kirk