You did extract the hex from the downloaded zip first?
Is the file you renamed still there? Then it probably has the wrong name or is in the wrong location. Must be storyeb07.hex (lower case) in the internal memory root, not on the SD card.
If the update actually executed (Story HD reboots automatically and removed the file) and it's still 1.34 after an additional reboot, then something else went wrong. In that case you should have a downgrade.txt in the internal memory. The contents of that file should point to whatever went wrong with the downgrade.
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