Looks like the kernel did not flash, hence the warning. You want the newer kernel
check the md5sum of the zimage file to make sure it is not corrupt. Then check that your os did not 'add' a .bin (or some other) extension to the zimage file.
I've just been told that it is still zImage, so ignore the comment in italics below:
Now originally 3 files were needed: initrd.bin, updater.sh and zimage, however I was under the impression that we would eventually move to naming zimage as zimage.bin (which is the same way things are done for the other machines - except the 5500/5000D which is just different as it doesn't use updater.sh). So if the md5sum is correct, but it still won't flash, try renaming zimage to zimage.bin and see if that works.
If you remove the initrd.bin you can just flash the kernel on its own (you need the updater.sh still to perform the flashing), this way you can keep whatever settings you have already made.
Si