<< I wouldn't use ASIII. It's conductive. Good way to fry your card. ASIII just came out. It's a new compound from AS that yields temps that are ~2-5C degrees lower than ASII. Not many reviews out there yet.
Buy Arctic Silver Alumina Epoxy. It performs as well as ASII, but isn't conductive nor capacitative. That way you don't have to worry about shorting out your card.
You won't void your warranty if you cut the epoxy with some thermal compound. It decreases the bonding strength so it isn't permanent. Put it in the freezer and pop the RAMsinks off if you need to RMA it. Little alcohol to clean and voila. No trace. >>
First off, if you want to RMA your card, do not over clock it or alter the card in any way. That voids the warranty.
Second off, Artic alumina is LESS thermal conductive, and does not transfer as much heat.
Third, I am not going to RMA a piece of hardware I killed. When you over clock, you take the chance of frying something, and overclocking will void your warranty.
Forth, The moral is, if you are concerned on RMA'n your card, you should not be reading a post called "Modding Radeon 8500".
I also said I was going to be coating the ram pins with silicone to ensure they so not get covered with ASII epoxy. I have fried 2 cards in the past. I did not RMA them, and the reciept is setting right here......