Thanks to all for the feedback. Unfortunately, I checked the batteries ( car's brand new & new remotes also) and took it back to the dealer who refused to open the car up. He said that, because I live in silicon valley, there's lots of radio interference and a range of 5 feet was normal. I thought that was a pretty lame excuse and I'll probably look for a different dealer when I have to service my car.
Thanks again for the input.