No doubt its a tired motor, but a few things can cuase low compression. Tired motors can still go a long way, just lack some of the original power they once had. His guage could also be inaccurate. But still, even if the guage is inaccurate, he can still measure how uniform each cylinder is to each other. I still think its a good idea to do these tests though. If he finds its to tired, I wouldn't waste money on getting the head gaskets changed. As long as the plugs aren't fouling, just keep an eye on the coolant level, a good on the temp guauge and be saving funds for a motor. Believe it or not, saving the $200 in labor and $80 in parts, since 89S can probably do a long block motor swap himself. Personally, I'd rather do a motor swap than take those heads off.