Normal Behaviour after a Reset?

I am trying to get my new board (sticker #4652) working (with either OSX 10.3.9 or 10.4.7). When I press the reset button (held down for ~2 seconds) then release, I get 3 different responses. (Note that this new board has an LED associated with pin 13)

when powered by USB, with jumper set appropriately.
least common - > 1. Quick flash on Tx & Rx, and the LED-pin-13, then no further visible action.
2. LED-pin-13 rapid, bright flashing
most common - > 3. LED-pin-13 lights up dimly

When powered by 9V battery (USB cable disconnected)

  1. no visible activity
  2. LED-pin-13 rapid, bright flashing

Is this normal behaviour? Which mode is the one I should see before uploading?
Thanks, Stuart