problem with 16MHz system clock operation

I am using XBee PROS2B programmable module for my application. My application is working fine with 48MHz and 32MHz at a baud rate of 115200. But for low power application I wanted to use 16MHz system clock. I changed to 16MHz in Codewarrior config file. But I was not able to build my program. warning:C20000 Dead code detected
warning:C20001 Different value of stack pointer depending on control-flow

Error was pointing to system.c file
udelay_2:
dbnza udelay_2 /* 4 cycles */

I was able to build program after removing this part of code.

But I am unable to interact with Freescale processor via Hyperterminal. I felt like problem may be with baud rate. I tried 9600,19200 but the problem persists. Using XCTU I could communicate with module but the configuration parameters are entirely different from what I set using config.xml in Code warrior. Can anyone suggest a solution ?

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Iā€™m facing the same problem. Any solutions?

Two years later, dealing with this exact same problem.