Complaint Review: First Extended Service Corp & People & Centennial GMC

My 2004 GMC Envoy has been services with Peoples & Centennial GMC since I purchased it in 2003.
I have kept my service up to date with them. We had a complete back flush with chemical and new coolant in June and drove over 5 thousand miles before it started to make noises in September.

When the vehicle started making noises we were bring it in. One block from the service entrance it stops and overheated. It started up again and we drove it to the service area where they (Peoples & Centennial GMC) drove it around to their service bay. After inspection they stated we needed a new engine.

I have extended warranty with First Extended Service till 10/2009. They came and inspected and said "The water pump barring came apart and there are signs of coolant leak at the front of it. They cylinder head are warped .012 in. and spec is .004 in. The head gasket is breached between all the cylinders. All of the cylinder walls are scrod. All of the pistons are discolored. The intake manifold is melted at the head mating surface. The thermostat looks fine and is part of the housing it could not be tested. The rod bearings look fine. There are no signs of lack of lube, sludge/varnish, inner mix, or contamination. The residual oil and coolant smell burnt.

Cause of Failure;
Material failure to the water pump causing loss of coolant, overheating with continued operation damaging the cylinder walls and head.

Recommendations for repair;
Replace all failed parts with new.

The warranty co does not want to cover anything. They stated we were operating without proper lubrication or coolant and abuse through continued operation of and impaired vehicle. After we in good faith had it service properly.

Vanessa
Las Vegas, Nevada
U.S.A.