In an effort to protect my new 'toy' I purchased a leather cover. At the time I was in an unfamiliar city so was using GPS and the compass for navigation.  After fitting the cover, the next time I went to use the compass it was all screwed up. North was where ever I pointed the phone.  I discovered that the new cover was held closed by magnets.  So I removed the cover and vented my displeasure at the shop for selling a cover that had magnets in it, for a phone that has a compass!  They swapped it for a gel cover instead.

However, ever since that time the compass has been out-to-lunch, traumatised (I assume) by the proximity of such a strong magnetic field.  What I am wondering is whether it is a permanent condition or whether there is something I can do to degauss the phone without destroying the compass (or the the phone) completely?  I tried removing the battery and re-installing it, no change.  Is there a chance the battery has been magnetised?

Any assistance in resolving this would be appreciated.  I also hope this may warn other smartphone owners with compass' installed.

EDIT:  Mods please move this to the 'Mobile Handsets' thread, where I thought I had put it.