Did you follow the procedure carefully? It is supposed to behave like that. Sounds like you skipped the second half of the routine.
Do this: (it will not be shown anything on your TV until you are finished)
1) Insert the CD with firmware called EP35-dirty2
2) After awhile it will show VER UP in the display, then you press OK once
3) It will still show VER UP in the display for awhile, then it will count from STEP 1/4 until STEP 4/4
4) STEP 4/4 can take up to 20 minutes. Just wait and let it run its course.
5) The disc will eject and the player will turn itself off
6) Remove the disc and turn the player on with the remote
7) It will show WELCOME for awhile and then a small update will run, only STEP 1/1 and the player will turn itself off again.
8) Turn the player on with the remote and you have a regionfree EP35
It's too late now, but there is a much simpler way to make the HD-EP35 regionfree. For the EP35 there is a separate regionfree firmware (not the dirty discs).