FYI, typing in all caps is the internet equivalent of yelling and is considered rude. Please refrain from it.
The GSBTP plan you have on your iPod covers mfg. defects, dust, heat, humidity, power surge, and normal wear and tear. Unfortunately, the plans that cover water damage were not sold until around July. At this point the damage to the iPod would not be covered by the plan. You can get a pro rated refund for the plan by bringing your receipt back to your local BB. In addition, if you wish, GS can send the iPod out for a repair estimate.