Before you condem the turbo, make sure the boost control system is working -- if the boost sensor line to the ALDA is plugged or leaking, you will get very little turbo effect. This is a much cheaper fix than the turbo....

You can have the turbo repaired by any reputable diesel injection/turbo service. Cost will be aprox $400 for a simple seal replacement to about $750 for a cartridge (bearing and compressor/turbine set). Or you can purchase the cartridge and install it yourself -- its basically everything but the housing front and rear.

R&R isn't bad on those cars. You will need to get a new oil supply line -- keep the reciept as the warrenty on the rebuild or new cartridge will be void if you do not install new oil lines at the same time. Also a good time to replace the o-rings on the drain back into the oil pan, too.

Peter

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1972 220D ?? miles
1988 300E 200,012
1987 300D Turbo killed 9/25/07, 275,000 miles
1985 Volvo 740 GLE Turobodiesel 218,000
1972 280 SE 4.5 165, 000 - It runs!