Im curious to what happened too... Hows your coolant look? Oil? any Leaks? Will it start in Flood mode? Id say first step is to take the car to a second opinion. Also you can get a remanufactured Engine from Porsche in the sevens if you find a good dealer... the labor shouldnt cost you more than 2000, but more like 1500...
3.4 is basically a direct swap. The 3.6... not so much, although Im doing one right now. Its the swap were your 02 will need an upgrade to the 7.8... check out renntech.org for more info.
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