Thanks for the replies guys. Well, he said its a little over half way. I personally think that the "mechanic" is trying to pull a fast one. I told him to be sure he has ruled out the radiator, water pump, fans, etc before paying $$$ for a headgasket. I think he was quoted $1700 for replacement.

As far as the rear struts/shocks go, I personally would not change them if the car was mine. Yeah, it was a little floaty, but nothing bad. I thought it gave the car a pleasant ride. I would be more concerned with the steering response. It seemed a little vague. Something was definitely in order to be replaced.