The sheathing around these service cables seems melted to me. Are you seeing what I’m seeing? Is it a defect?
Yes, if it is melted, it is a serious defect…and it certainly looks melted from N. MI.
And, welcome to our forum, Jeff!..Enjoy! 
Thanks Jeffrey and Larry. I think I am going to recommend that they have an electrician come out for a service call to evaluate further, given that it could be NoAlox but looks like melted insulation.
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Just my opinion but with the enlarged photo from Jeffery I see no heat damage at all, just a big wad of anti-oxidant paste.
Even without photo enlargement it looks exactly like AO paste.
agree, looks like paste
Thanks all- I’m going to adjust my report to not include this as a defect.
Just be sure you always take a very close look at the situation, as the next one MAY BE melted/burnt and needs reporting! A Tip would be to carry a wooden skewer or popsicle stick in your tool bag to touch/probe the contact area to assist in determining the material condition.
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I know I am a bit late, but it simply looks a bit over stripped and then packed with anti oxidant paste. They were liberal with the AO Paste…just my opinion.