No, the brakes aren't covered under warranty. The dealer wanted $600 for rear brakes ($350 for parts, rear rotors and pads). The rear rotors were rusted out and crumbling to pieces.

I didn't notice any difference in braking. I did have to have them adjusted because for the first week there was drag. Don't know if I'm a "hard braker" but the inside pads on the driver side were worn down to the metal.