Soooooo.. I got my answer and it is a good news bad news thing.
First the good, I double checked my records and my factory warranty actually expires - get this - TODAY -
Bad news is the cams are toast and god knows what else....I'm not to happy with the situation considering the bike only has 7400 FREAKIN' miles on it

The dealer is coming to pick it up Thursday and the factory warranty will cover me

- Thank you to the DEALER ( HD is on my sh*t list at the moment), the folks at the dealership just smiled and acknowledged the problem with poor heat treating of the parts in question and also went on to say they have seen MANY cases of this. They didn't define many but probably more than should happen -- Hello HD are you out there? --
the dealer will open up the cam chest, replace the cams, replace cam chain tensioners, inspect cam bearings, inspect oil pump ect... also will drop the oil pan and inspect that for any debris - like fine metalic dust and stuff... right now I'm just hoping they can at least leave the top end alone, but at this point optimism is not my friend.
AND I ended up working with the dealership to buy the ESP today since it was my last day to do so...I'm sure it won't go to waste, especially if I have to do this much "maintenance" every 10,000 miles....the cost of the ESP was about the same as the estimate for cam replacement - if I had to pay that, so the way I'm looking at it I'll pay the repair cost and get 5 years of ESP free.....If the damage is more extensive I'll definitely come out ahead.