All,
Riding down the hwy doing about 120km, i felt a grinding in the rear, pulled over to have a look and found that the majority of bearings in the right side of the rear hub were missing (counted about three left). called up the shop and they came and picked up the bike. When speaking to the guy he informed me it was a common fault with the hubs, not the bearings ( i ride a 2008 FXST). Luckily it is still covered by warranty. my advice is check your rear hubs and make sure you haven't lost any bearings.
interesting point Scotty, considering I only had the rear tyre replaced by the same shop about 8000 km ago. Will check the tension myself after I pick up the bike. By the way the word "common" was used in general conversation and could have meant a couple of times, who knows.