Those compression numbers look pretty good to me. Looks like someithng may be starting to happen in cyl #1 though. Probably nothing to worry about right now. Did you do a leak down test? That would tell you if a ring is bad. Does the engine have any of the famed 'piston slap'? Mine had it bad at 240K km when I bought it and still has it to a lesser extent since it was rebuilt at just over 260K. Unfortunately I think we have to replace the head gasket again this spring because we switched the cooling system to 'Dex-cool' and the seals don't seem to like it :( The head gasket has reciently begun to weap coolant in a couple places (seems to be no mixing with the oil though). Good thing these engines are easy to work on and that I'm friends with a Volvo mechanic! Well, I can give you a few more pointers I think; Check for rust around the radius rod chassis mounts (VERY common and will eventually cause problems). Make sure the floor is dry and that it stays that way. You may want to pull up the carpet and spray the floor with rustproofing (Something like 'Fluidfilm' which can be found a Princess Auto). Check for rust in the well in the trunk along the forward wall by the spare tire. Make sure the rear 'tubs' are draining properly. I didn't notice if it has the Volvo mudguards or not. Excellent investment if it doesn't. Check closely for rust in the engine bay, specifically, lower body joints (passengers side by the turbo). Also, check the body trays under the battery and airbox/washer bottle. Hope this helps! Send me an email if you are wondering about something else that I might be able to help you with :)
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Chris. Halifax N.S. '91 745Ti, 272K km.