No, no Y26. Just get a nice hardtail at the price. You can hook up a nice Rockhopper or similar Gary Fisher for around that, and it will be lighter and much more durable, as well as a nicer parts spec. Check it out:
http://www.specialized.com/bc/SBCBkModel.jsp?spid=12989
VS:
http://www2.trekbikes.com/bikes/bike...d=1116600&f=15