Overlay file addition Issue to Zephyr Project in SES

Dear, I copied the Button sample project to another drive i.e. G. I added the overlay file. The file is attched. The included file is shown on ltop left corner side under dts category. Then, click RUN CMake. The dialog appers as shown in attached file dailog.png . After clicking YES , in the OUTPUT window, there is a message  Restoring state from previous session, as shown in attached file restore.png. May the overlay file be included in .dts category ? Am I making any misyake in overlay file.

//****** lcd16x2 Overlay File ****
/{
aliases{
lcd0 = &lcd0;
lcd1 = &lcd1;
lcd2 = &lcd2;
lcd3 = &lcd3;
lcden = &lcden;
lcdrs = &lcdrs;
};

lcd16x2 {
compatible = "lcd_pins","arduino-header-r3";

lcd0: lcd_0 {
lcdgpios = <&gpio1 4 GPIO_ACTIVE_HIGH >;
label = "LCD_D0";
};
lcd1: lcd_1 {
lcdgpios = <&gpio1 5 GPIO_ACTIVE_HIGH >;
label = "LCD_D1";
};
lcd2: lcd_2 {
lcdgpios = <&gpio1 6 GPIO_ACTIVE_HIGH >;
label = "LCD_D2";
};
lcd3: lcd_3 {
lcdgpios = <&gpio1 7 GPIO_ACTIVE_HIGH >;
label = "LCD_D3";
};
lcdrs: lcd_rs {
lcdgpios = <&gpio1 8 GPIO_ACTIVE_HIGH >;
label = "LCD_RS";
};
lcden: lcd_en {
lcdgpios = <&gpio1 9 GPIO_ACTIVE_HIGH >;
label = "LCD_EN";
};
};
};lcd16x2.overlay    

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