If you're getting four red lights then it's an AV cable problem...
http://support.microsoft.com/kb/906652
If it's three red lights then the 360 needs a free repair/replacement...
http://support.microsoft.com/kb/907534
Make sure the 360 and power brick are well ventilated.
You still have to send it in - it probably isn't the AV cable itself, but
the port dealing with the AV cable.
Well, it COULD be the cable. If he sticks in a composite cable (which comes
with the 360), then it's the cable, and not the 360. 3 red lights means it's
the 360. 4 red means it could be the 360 *or* the cable.
Yes RROD is covered by the 3 year warranty and MS will either replace or
repair your 360 free of charge.Call MS and they'll send you a pre-paid
shipping box for you too pack it in. When you call MS ,they'll ask you
allot of questions trying to see 'if' you caused the RROD through
operator error. Just tell them you didn't use any 3rd party peripherals
like say a intercooler fan or a 3rd party power brick, don't even tell
them you used a surge protector, you just plugged it into the wall. Just
don't offer them information ,let them ask the questions first though
and just say NO to the obvious questions.