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Talk to Kindle CS first. They may offer to replace it for free or to give you a discount on replacing it. Somebody else had a Kindle 3 that got chewed by a dog and Amazon sold them a refurb for significantly less.
The serial number is inside the Samsung flash in the small shielding can on the left. It is a BGA chip so you're going to need the correct SMD rework tools to replace it properly. Reflashing the block with the serial number is risky due to the presence of the bootloader as well and it may not actually be possible to write to the first block without further changes.
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