Well I guess they were telling the truth about the bandwidth. Though they don't tell you that with far less bandwidth there would be no difference at all...
Yes the optical cables, first there is electrical signal which is fine, then they convert it to light and then back to electrical signal. Not much wrong with it, though there is no advantage whatsoever. This was just a gimick of technology and later on they started implementing serious optical technologies with multimode and single mode technique. There would be no point in using that for audio for the same reasons as mentioned above though, the only place where these have an advantage is at lengths above 10Km...
The corrosion, or resulting resistance will probably not affect the sound. There is a tiny tiny nomansland in there where it might affect the sound, but that would mean you'd better run to get a lottery ticket as well as the chance is about just as slim. This has nothing to do with cable or connector quality though, as still for this application the demands are very minimalistic.
------
Pics can help a lot to diagnose something from any place on the globe...