TeG, I'd like to think it's discolored coolant too, but would discolored coolant leave a deposit when it dries? I took a "sample" and looked at it carefully. There seems to be an orange-brownish powder, which leads me to believe that whatever it is, it's not simply coolant.
I also tested the radiator, block etc with a magnet, and you're right, none of them were magnetic.
I flushed the coolant four times, as thoroughly as I can, but when I refilled for the fifth time, there was *still* some "rusty" powder that's visible in the radiator. For flushing, should I use a "coolant flush" product, instead of plain water?
Also, the coolant seems to be leaking out somehow; I have to refill the reservoir every 50 miles or so, which didn't happen before this "rust" problem. But there's no leak as far as I can see. Will check more thoroughly and post back..