[quote=RichardR]I think I just attached a picture of the damage, looking up at the beam where it meets the knee brace, with PP damage excavated as much as possible.

Here in Richard's words he says the damaged area was excavated as much as possible. I suspect that it was excavated by a person, revealing the bug tracks/tunnels. Then painted with some solution. I also suspect if we had a bigger picture of the frame we would see more "blue" stain through out the frame.

I could also be mistaken, as well. I have used plenty of pine in various stages of "rot" reclaimed, if you will. It is even present on the cover of the latest issue of Timber Framing. There may even be a spot of ambrosia beetle present on the cover, in the wane on the top plate.