Well after spend about 90 minutes on to Customer Care and working up through Rebecca, Marsha, been transfered to Sandy at Corprate (had to get called back due to the bad conferance line) and then been transfered to Hilda. And now have an incident open with Corprate Engineering.

So far I've learned:
The Nirtus is un-suitable for jogging - get something from the Stree range for that - their words.
That there is not a known issue with the hard drive in the Nitrus.
They have offered todo an out of warranty repair to it, for $125, which would bring my over all cost for the Nitrus to $425.

A few things are bothering me, so I'm just going to vent:
One; I should have gotten the Best Buy service plan, then this would be their actuarists problem.
Two; I'm way to honest for my own good, I should never have mentioned to any of the Customer Care reps that my wife jogs with it - they seem to have bitten on to this.
Three; there was something else, but I've cleared my chest.

In case who has access wants to read up, the incident # is 644259.

edit:
If anyone has an educated guess or opinion on this I'd appricate it, thanks.