My Dad's brothers, some of whom were in the Service then, suggested (and Col. Brophy seems to confirm) that the total number of burst '03s from bad heat treat never exceeded about four per cent, it was just that a couple of the accidents happened in very public circumstances, and you guys know better than most how well rumors propagate. The Army had to do something to restore the Doughboy's faith in his rifle, and after all the new heat treatment was a real, measurable improvement. I wish even one or two of my uncles or Dad were still around, I have so many questions-- Dad test drove the first Bantam Jeep prototypes through the impact ranges at Camp Holabird to see what broke, and later was James Jabara's 1/Sgt--
ETA: Some years ago I had the honor of refurbishing the local American Legion post's '03s, eight four-digit rifles sent from Redstone Arsenal to the Post in 1947. Lots of pre-1906 parts, modded sights, all kinds of fun, and I got an "Old Rifle Fix-It Award" and a load of good will from the Post. There was so much jacket metal in their bores that if there had been any problems they would have let go by 1922. It is hard for me at this point to decide whether the Army's blanket ban on the use of the low-number rifles was based on insufficient info, or (more likely in my mind) a CYA maneuver on part of someone in Ordnance.
Did I mention I love 1903s? The lady who is now my wife, the first Christmas we were together (1998), gave me a 1902-dated Phillippine Constabulary Krag carbine-- I knew right then she was My Kind of Woman!