Thanks, Edward, for your reply.
I have not tried the processor chip on another S1200BTLR board, but I should be able to do that by tomorrow (if the new board arrives today or tomorrow).
So, what does that LED code of hex 59 actually mean? I found some other "folk lore", so to speak, in other places on the web that suggests this means the processor isn't supported by the board. It would seem that if that's what the LED code means, then either the processor or the board is defective. Do you agree?
A few tidbits:
Installing the E3-1230V2 processor in another S1200BTLR board (PBA E98681-352) which was known to be working correctly with a E3-1230 (not a V2 processor) yielded the same bad results (the LED code of 0x59).
Installing the E3-1230 processor (removed from the known working S1200BTLR board) in the "suspect" S1200BTLR board (no other changes made -- using the same Kingston memory) yielded success.
Installing a new E3-1230V2 processor in the suspect S1200BTLR board yielded success.
I received a new E3-1230V2 processor via an Intel RMA for the faulty processor and installed it in the "known to be working" S1200BTLR board -- eureka! it works too.
So, it appears that the diagnostic LED code of 0x59 might indicate an "unsupported" processor or it might indicate the processor is defective in some way.
It would be truly helpful if Intel would document all of the diagnostic LED codes.