In a press conference held today at the North Pole, Santa Claus announced that the Xbox 360 was being exiled to the Island of Misfit Toys effective immediately. Speculation has been hovering around the console for a number of months because of the high defect rate being reported. It has been claimed that as many as 30% of all Xbox 360's delivered by Saint Nick have been returned because of the so called 'Red Rings of Death'. Santa stated 'It is our policy not to go into details about why toys are exiled , but suffice it to say, this was a situation that I could no longer ignore. The elves in the complaint department were being becoming un-jolly and I decided this was the only course of action. We could not afford to have another N-Gage fiasco on our hands.'

This is not the first time Santa has had problems with electronic toys being exiled. While early misfits toys like the Coleco Adam and the Atari 5200 were noteworthy, it was the Sega Saturn that had many believing that Santa's Elves had over-reached their technical ability.

Some observers asked if it was the complexity of the Xbox 360 that causes the elves to make more mistakes when assembling the unit. Head Elf, Bob Twinkle Leaf, steadfastly renounced this. 'We are trained specialist elves working here. We arent a bunch of Community College drop outs, we're frigging Elves! I personally built 42 PS3's before breakfast. We have elves that make Nintendo Wii's in thier sleep. Literally, while they sleep. Rocking horse, toy train, Multi Processor entertainment console, to us they're all they same. Red Rings, Green Rings, Onion Rings, all I know is we build these things to spec, and a month later, they fall apart. That can't happen. We're Santa's Elves, we have a reputation to uphold. These Xbox 360's are just broke. Not our fault. If you want someone to blame, dont blame the elves that build it, blame the faeries that designed it. Merry Christmas'