WD My Passport 1TB Extended Test is Failed. Help me please!

As you suggest, I did write with zeroes and repeated all the testing. Still the EXTENDED TEST is failing. Results are here,

Test Option: WRITE ZEROS
Model Number: WD My Passport 0740
Unit Serial Number: [Deleted] 
Firmware Number: 1003
Capacity: 1000.17 GB
SMART Status: PASS
Test Result: COMPLETE
Test Time: 08:09:33, March 27, 2013

 

Test Option: QUICK TEST
Model Number: WD My Passport 0740
Unit Serial Number: [Deleted] 
Firmware Number: 1003
Capacity: 1000.17 GB
SMART Status: PASS
Test Result: PASS
Test Time: 08:18:42, March 27, 2013

Test Option: EXTENDED TEST
Model Number: WD My Passport 0740
Unit Serial Number: WX41A713XXXX 
Firmware Number: 1003
Capacity: 1000.17 GB
SMART Status: PASS
Test Result: FAIL
Test Error Code: 08-Too many bad sectors detected.
Test Time: 09:09:21, March 30, 2013

 

My drive is covered under warrenty. I lost few of my data due to bad sectors. I am really clueless about the cause for this problem. I am unhappy now. :mansad: