$600 for a block and two heads sounds fair to me. What I don't like the the store credit. Do they have $600 in stuff you would want? It's certainly a great deal for them. You get $600 worth of their product that might cost them $300.
I would take that $600 and put it into rebuilding the engine...
Dude, that's nothing. I would put it back together and run some quality oil through it. I would suggest syn, but it might make the seals start leaking.
I've been getting stuff lately at Claremont Toyota in Claremont, CA. Discount has been around 30%, with free shipping on orders over $75. There are several discount dealers now offering free shipping. For AISIN aftermarket I use Rockauto.com, and the MUD discount.
5% Discount Code...
I've had three FelPro head gaskets fail on me (I didn't install any of them). I only run OEM head gaskets. The only other part I'm going to suggest OEM is the timing chain. You might be OK with the gears. I had an aftermarket chain (installed by a reputable individual, again not me) break on the...