The chime sounds like the startup sound... so it's booting. But the vertical lines are reminiscent of what people encountered when their screens were pooched.

Sounds like you got a bum unit, and I'm sorry to hear that. If you can forgive that and stick with it, I'm sure you'll be as happy as the rest of us. (11 months later, sitting out on the balcony this morning and reading the news, I'm still amazed.)