Samsung Issues 'Fire-Proof' Boxes for Returning Note 7s

The box says the devices can't be shipped by plane.

ByPaul Blake
October 12, 2016, 1:25 PM

— -- Now that Samsung has ceased production of its fire-prone Note 7, the company is arranging for the return of all the potentially hazardous smartphones.

To do so safely and in compliance with government regulations, and presumably to prevent igniting any mail or courier trucks, Samsung is providing customers who bought their phones from the company's website with the option to receive a pre-paid fireproof box.

The people behind XDA Developers, a site dedicated to coders who focus on cellphone software, have posted a YouTube video showing the box that they received.

The return kit, according to the video, includes the "thermally insulated box," gloves for handling the device and detailed instructions.

Check out the video here:

The exterior of the box features a label saying "Damaged/Defective Lithium Ion Battery" and "Forbidden for transport by aircraft ¶ Ground and Vessel Shipment Only.”

In a research note sent to investors that was also passed to ABC News, financial analysts C.W. Chung and Chris Change at Nomura, a Japanese firm, estimated the disposal expenses of the Note 7 at about $1.4 billion.

Their calculation was based on the assumption that the company had sold 3 million units during the third quarter of this year, had another 1 million units in inventory, as well as the assumption that the phone cost $350 to make.

In a statement, Samsung said it was providing "prepaid shipping packaging," because "a device containing a lithium ion battery subject to a recall must be shipped in accordance with government regulations, and these special boxes are required by government regulations."

The company said it was also providing customers the option of having someone come to retrieve the device.

ABC News' Whitney Lloyd contributed to this report.

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