Recently my iPhone had died on me and I had gone into the apple store to discuss potential replacement. Of course, the phone would be covered if there had been no water damage. The employee took his flashlight, and rather than looking down the headphone plug-in, he looked at the bottom where the USB cord is plugged. He told me that there was indeed water damage, to which I argued there was no litmus indicator on the bottom. Is it true that the 3G has two litmus water damage indicators rather than just one, like the iPod touch or is this employee trying to avoid a repair or potential replacement?