- Install RSDLite (I used 4.9) in Windows.
- Install latest Motorola drivers if not already installed.
- Download SBF file you desire (stock Froyo in my case VRZ_955_2.3.20.zip, then extract to SBF file).
- Sync Google data and backup anything you don't want to lose.
- Turn Droid 2 off.
- While holding the up key on the slide-out keyboard, power the phone on. It will go to a black screen with some low-res white text.
- Connect the phone to the PC with RSDLite using USB.
- At the RSDLite file box, browse to the location of your SBF file and choose it.
- Click "Start"
- It'll take about 5-7 minutes. When it gets near 100%, hold a finger over the up key on the slide-out keyboard.
- When the flash reaches 100% in RSDLite and it briefly states it is rebooting your phone, press and hold the up key while it reboots.
- After it reboots, watch in RSDLite for the message at the right reading "PASS." Now you can close RSDLite, shut phone off, and turn back on.
The first time I tried this from Squidly back to stock Froyo, it worked. When it rebooted, I had to reactive my phone by dialing *228 and choosing option 1. Then I was able to receive the OTA Gingerbread update from Verizon.
The second time I needed to do this a few months later, before taking my phone in for possible warranty replacement, I got the "PASS" but when booting up normally, it always got stuck in a boot loop at the droid red light. I always had to pull the battery. Finally, I had to boot to the recovery menu by holding down the "x" key on the slide-out keyboard while powering up the phone. After booting that way, I saw a triangle with a "!" inside. At that screen, press the search key (I used the magnifying glass key on the slide-out). That brings it to the recovery menu where the volume keys can be used for navigation and the camera key to choose. I chose "factory data reset." It returned me to brand-new, out-of-the-box configuration with Froyo 2.2. I had to step through activating the phone, etc. just like when it was new. Then I went to Settings, About Phone, System Updates. That started the OTA Gingerbread update. After the long download, it installed and rebooted successfully to a stock OTA Gingerbread.
Now, if desired, it can be rooted with Pete's Droid 3 Linux root script, then install ROM Manager, then download and install whatever replacement ROM using ClockworkMod Recovery directly or simply using the option in ROM Manager.