Just got off the phone with United Radio (Onkyo Service in New York)
Sounds like my 1008 is on its way back to me via FedEx Ground, although the service rep says she doesn't have access to any detailed information at the moment on exactly what has been repaired or replaced, but she assures the problem should have been rectified.
I am crossing my fingers, hope I don't need to send it back again.
And no apparently it did not "evolve" itself into a 1009. Sigh...
I am actually playing with my thumbs over whether I should keep the RC-370 or the 1008 now.