Basically; when you select a single face of an object, you used to get a grid showing clearly where each texture's edges are, with circles showing the centre.

Now however, this 'overlay' only appears once, the rest of the repeats are covered by by a single colour.

Please see the image for clarification; observe that the cube has 4 repeats per face.

Step-by-step reproduction:

• Rez an object (a cube is just fine), or locate a suitable object that you already have in-world
• Right-click and choose edit
• Change the edit mode to 'Select texture' (top-left of edit window)
• Select any face, or select all faces
• In the texture tab, set the horizontal and/or vertical offsets to a number greater than one.
• Observe that only one of the repeats appears normally

I'm suspecting that this is an OS or GPU specific case, so anyone trying to repro this please post your viewer details (Help >> About Second Life, copy/paste the top part of the window). Mine are included in the environment.