Hi.
First of all thank you to all who shared their information here. Thanks to you I think I diagnosed my Pocket Pod. Similar issue here - background noise in the Phones Out port.
In my case one of the 1000uF 6.3V caps is swollen (no 1). I decided to replace all three of them, so I purchased same-sized 10V 1000uF low-ESR caps that are able to withstand 105 degrees C. They should last longer than original ones.
However I have a problem removing the small board with the display to get to soldering points. Do I need to unsolder the connection between boards? At first I thought it was only slipped on.
If it has to be unsoldered and than soldered back it seems too much for my basic soldering skills.