An MRB disposition that formally precludes a Serial Number from any operational use. Usually involves physical alteration of the discrepant item (e.g., painting, part marking or otherwise disfiguring up to and including outright destruction) that irrevocably differentiates it from items accepted as complying with the requirements of the identifying drawing.
Special cases include “scrap to Engineering” (e.g., for use as a mockup or demonstration part) and “scrap to bonded storage” (e.g., for retention of qualification articles as residual hardware after testing is complete).