I've only worn mine about 3 times because it hasn't rained much since I bought it, and until recently it has been so mild, hence my surprise at the reflective bits peeling off.
I did get it heavily discounted from my LBS as there was a slight mark on one of the cuffs, so am slightly reluctant to make too much of a fuss.
On the other hand given the number of similar instances reported here it looks like there must be a manufacturing problem so I'll talk to them tomorrow and see what they have to say.