I took a day trip to Macau today and unfortunately had a bad experience... somewhere coming out of the ferry terminal to catch the Venetian shuttle bus, perhaps when I was a bit distracted looking at the map, someone opened my backpack's outer pocket and helped themselves to my iPhone 3G

On the bus I found the zipper open and my phone GONE!
I tried reporting it to the ferry terminal police but they couldn't really do anything. I DO have autolock turned on so I believe the criminal cannot access my email and data and will be forced to restore the phone correct? I am led to believe that once 10 incorrect attempts the phone will permanently lock and require the PUK code.
I'm also very lucky that the SIM that was in the phone was a prepaid SIM I bought in India which is not really useful anymore.
Should I also report this to AT&T as well since it is an international incident? Also, I am looking at eBay for a replacement 8GB 3g and they are going for $300, holy shykes, I thought the 3g was quite obsolete by now... I am eligible to upgrade to a 4g with a new contract for $199 so I may just do that! geez!
The problem is that I am going to Ecuador for 6 months and had a really cool spanish language app on the phone arghh, this sucks!

so depressed!