I have an '89 260E with 182,000 miles. Burns about 1 qt per 500 miles. Good compression but a leakdown test showed that it's losing @ 70% compression in #6 cyl. Foe a while, replacing #6's fouled plugs periodically would let it run smoothly. Now that doesn't work.
I've been told that I probably have a cracked piston and need either a factory new or factory remanufactured engine at close to $6,000... apparently a short block is not available. Noone seems to want to consider opening it up and doing the necessary repairs.
I need a little guidance here...is it worth having the work done...what are the pros/cons re factory new v reman? Short bock? Is repairing this engine rather than replacing it practical? What's a reasonable cost?
Overall the car is in good shape, but it has never had any transmission work...
Would I be better off looking for a '96 or '97 E320 and trading it in for whatever I can get???
Thanks

I have never seen this before. The 103 engine is likely burning oil due to a worn valve guide. Be sure to have a second opinion!!!!!! The valve job usually costs about 2,500 dollars U.S.

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Benzmac:
1981 280GE SWB
1987 16V
ASE CERTIFIED MASTER AUTO TECHNICIAN
SERVICE MANAGER FOR 14 BAY FACILITY
MERCEDES SPECIALIST 8 YRS
PARTNER IN MERCEDESSHOP.COM

I agree, these engines very rarely have lower engine problems in less than 250,000 miles or more, The problem is almost certainly worn out valve guides, typical of 260/300e engines with more than 100000 miles.
JK, ASE Certified master MB technician

I also "third" that. I would almost be positive that your problem is due to a worn valve guide. However, should your problem extend elsewhere, I would give Metric Motors a call. They are probably the best MB engine rebuilder. Pricey, but they do good work. If the rest of the car is in good shape and you would prefer to keep it, than by all means go for the rebuild. Figure a fresh engine is much cheaper than a new car!

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Rgds,
Aaron Greenberg
MB technician
'67 250SE Cabriolet
'77 450SL
'79 6.9
'80 300SD
'85 380SE
'89 420SEL
'93 300E 2.8