Well, it looks like Specialized is gonna come through and warranty the repairs and parts for the bike.
Bascially the only things not getting replaced are the frame, seatpost, saddle, fork and handlebars.
so with specialized replacing everything I am gonna toss in a few bucks of my own so that I can upgrade everything to Ultegra/Dura Ace. Also, since I already went out and got a set of Dura Ace 9x3 shifters and a pair of the Pro 3 Race tires I am getting credit (what it would cost Specilized to replace the 4500 shifters and Mondo Pro tires).
So, i would like to thank specialized for standing behind their products and pending good follow through with the warranty and parts replacement, I think my next purchase will be a Specialized Tarmac that the LBS has had sitting for a while (around my area most folks mt. bike, so a road bike does not sell very fast).