Nikon responded by email the day after UPS delivered it to them with the following:
Reason for Service: Total Amount 0.00
OPTICAL ALIGNMENT INTERNAL OPTIC LENSES HAVE COME LOOSE &
RETICLE/CROSS HAIR ARE SITTING SIDEWAYS*INSIDE TUBE
This repair is covered under warranty
That is a quick response, and they agree to fix the problem. Hopefully they will do a good job and return the scope in a reasonable time. Looks good so far.