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Final Vote 19 - 7 to Keep it and fix it up.
My Daughter couldn't be happier with the decision. The truck is with the mechanic now and should be ready to give to her on Friday when I get back home. I went with a rebuilt transmission and repairing the blown head gasket and exhaust leak. I will post pictures when it comes home.

Thanks for all the offers to help and to teach me how to DIY. You Guys are the BEST! <img src="/forums/images/graemlins/smile.gif" alt="" />

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1988 Dodge Raider 2.6L A/T

I would've upgraded to a Clearwater head so it won't break in the future. Being down in Florida, the enigne could be more prone to overheat and crack the head. My headgasket leaks right now, its probably what I'll go with. If not, it would be a diesel or turbo engine swap when the 2.6 dies <img src="/forums/images/graemlins/kewl.gif" alt="" />

'88 Raider, 33" Maxxis, 2" body lift, 10K winch