White vertical line on ipad screen

There seems to be a problem with my iPad screen.. white vertical line bar appears across the screen. It just decide to happen one day for no apparent reason (never drop it.. been well taken care of.. still looks new). As I recall.. i just did my sync with iTunes and update IOS as required. The weird thing is this problem happen soon after my iPad free warranty period expires.. hmmm i have performed sync and update before (when it was under warranty) and no problem at all after that. The screen problem happen after i performed the update IOS to 5.01 recently for the 1st time after warranty period expires.
The thing I don't understand is.. I went to the Apple Authorized Service Center at my nearest location..to get my iPad check and repaired (understand that if warranty expired, I need to pay for service & repair - no problem). The Apple service guy told me that it's hardware problem.. but Apple's support policy does not do any repair for iPad hardware problem - only replace with new unit for free (if under warranty period). If warranty period expires already.. the Apple service guy told me my options are 1) pay for a replacement unit (probably a refurbished ipad) for a price slightly below the retail price of a new iPad or 2) buy a new iPad !!
Is this the true Apple support policy ??
Annie.

If you  feel you can't use it the way it is, I would go for the refurbished one. I have heard that they very good. The cost for Apple to repair your iPad would not be worth it. But seeing its out of warranty there may be other options.

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