White flakes on hydrangea

Winchester, TN

My blue hydrangea have a lot of white flaky stuff on the leaves & ground. It appears that something has bored into dead canes from last year and the white flakes are the "core" of the stems. I can't find anything online to identify this or how to treat it. These photos were taken after I had blown off most of the flakes--it was piled on the leaves. HELP!

Thumbnail by Judytennessee Thumbnail by Judytennessee
Winchester, TN

Ah, ha! Thank you. I will start pruning and keep my fingers crossed.

Derby, CT

I posted about this, including some pics of the culprit insects on a similar thread.
You can see it here:
http://davesgarden.com/community/forums/fp.php?pid=10099646&extraimg=0

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