Here's Pedros Clutch Bleed Instructions:
http://www.pedrosgarage.com/Site_3/Bleed_the_Brakes_%26_Clutch.html
From what you have described it sounds as if you may have a bad clutch master cylinder or a bad clutch slave cylinder, or the clutch pressure plate simply failed:
http://www.pelicanparts.com/catalog/shopcart/986M/POR_986M_Tclutc_pg3.htm#item16