Since this would probably get lost in the old thread I figured I would start another.
Anyway Brandon from T E A found that all of the valve seals had torn away and were sitting in the top of the valve springs !
So basically I had no valve seals in place which has probably worn the valve guides. He did say the color of the valves were fine and did not see any other problems.
Now they are getting ready to go get all shiny for the new combo.
More news as it comes up.