OK - here's what they did at the shop:
Re/Re cylinder head, all new gaskets & seals, new timing chain and guides,
injector cleaning and seals, new water pump (old one was leaking), all new
valve guides, timing belt tensioner, thermostat; plus coolant, oil & filter,
air filter, spark plugs, various hoses, clamps, etc.
Total Damage: $2200. Ouch. The mechanic said it should go another 100K
miles. Sure hope he's right.