There is no such thing as a waterproof product. As a result, the US.government doesn't allow a manufacturer to state that its products are waterproof. Even diving watches that are intended to be used 100 meters under the water are called water resistant to that depth. As is usual with Samsung, the truth is a slimey thing. So out of 6 phones tested by CU and cnet, 4 were found to be damaged by water. That's hardly a "small number" Samsung is counting on the fact that very few phones actually fall in the water. So giving those very few their money back won't be an issue, and they can hide it.