See Part 1 for the backstory.
The lines have come back. Apparently the appear when I do not use my flash. Pictures look fine with the flash on, but horrible with it off. For now, I have switched back to the old camera. It still takes good pictures, just not as high a resolution. I need to look at my warranty info and see what I have to do to get this repaired or replaced.
At least it happened after the conventions.