Yes, I have run into this on hundreds and hundreds of vehicles from all sorts of makes and models over the years. Your problem is actually quite common, and is very often misdiagnosed, or is never properly explained as to what can/will cause a squeak. As I stated above, there are several likely culprits...and after a quick search on google, here are a few of the links...
http://www.gosstire.com/Brakes.htm"For example, Nissan has adopted semi-metallic brake linings that provide excellent brake performance. However, because of the metal-to-metal contact between semi-metallic pads and the brake rotor, these pads may sometimes produce more noise than pads with asbestos linings. As a result, some people may think that the noise they hear indicates a problem with the braking system. To further reduce noise, especially for disc brakes, manufacturers such as Nissan have begun introducing non-asbestos organic (NAO) pads. Nevertheless, a certain amount of noise from brake components is not unusual."
http://www.2carpros.com/topics/brakepads.htm
http://www.meineke.com/save/dashboards/2002-10.htm
http://ths.gardenweb.com/forum....html "Newer designed semi-metallic pads have a tendency to squeak like crazy. It seems that the better pads you use, the more they squeak."
http://www.canadiandriver.com/...9.htm"Stopping all brakes squeals is almost impossible, and most manufacturers state in their owner's manual that some brake squeak is normal."
This last link has some good info for trying to eliminate disc brake squeak. Perhaps the "red silicone crap" was packaged as an anti-sqeak material, designed to be applied to the backside of the pad.
"Some are like a silicone rubber that cushions the brake pad to the caliper so the pad does not vibrate. Other types of material are like lubricants, that allow the pad to vibrate without squeaking. Do not use ordinary grease to lubricate the back of the pad. The high temperature created by your brakes will quickly burn it off!"