Yeah my formatting had a backslash before the "r" and "n". But the Forum editor has stripped it off from my post and possibly from your reply too. I realize the note on OLEN size. It is right now "2". The code was a copy-paste from the Silabs IDE editor.

I did not post the whole code as the printing at 9600k was anyway happening consistently. But I will just post the ISR of the UART0 for check out :

//=============== UART 0 ISR ====================//

static void UART0_ISR (void) interrupt 4         // Serial port ISR
{
char c ;
if (RI0)                                         // Received data interrupt.
  {
  RI0 = 0;
  c = SBUF0;                                     // Read character..
  if ( istart + ILEN != iend )
     {
      inbuf [ iend++ & (ILEN-1)] = c ;           // Put character into buffer
    }
  }

if (TI0 != 0)                                    // Transmitted Data interrupt.
  {
  TI0 = 0;
  if ( ostart != oend )                          // If character in buffer 
     {
      SBUF0 = outbuf [ ostart++ & (OLEN-1)] ;    // Transmitt character
      FLG_Sendfull = 0;
     }
  else
     {
      FLG_Sendactive = 0;                        // All caharcters send. Clear sendactive.
     }
  }
}
//================================================= 

Raghu