A few rebuild and compability questions.

Ok, I purchased the stang for $100.00. After much consideration and work, I've decided to make this car my beginning phase. I have spent numerous hours grinding rust from inside the engine compartment and under the vehicle. (everywhere.) Again after MUCH consideration, 2 cheap angle grinders and a half dozen or so brushes, I have decided to keep this vehicle for the time being and upgrade parts (keeping the old around) on a montly basis, until the time comes when I find a local foxbody in good shape. I am in the final stages of the engine rebuild and was wanting some information before installing.
Some information you may need to know is. It's an 89 G.T. 5.0 H.O. displacement left @ 302 C.I.

1.) For the initial break-in period- Where should I set my timing? Example: 10 degrees BTDC, 8 Degrees BTDC----ETC--, Also any other safety precuations I should take during this period. (Wait to install off-road x-pipe exhaust system-remove smog pump,etc)? I don't want the computer riching the a/f ratio during this process? Completely stock.

2.)I'd like to convert to change the rear-end. Very shortly, I'm going to be purchasing a 3.73:1 dif gear. I figure during this time I might as well upgarde to a 31 or 32 spline axle (whatever is available for the 89 mustang.) Also I want to convert the brakes to an all disc system. I know I will have to replace the master cylinder and proportioning valve. However, I'm not sure what is interchangeable and what is not. I have no clue where to start in this area, and any information would be very helpfull.
Here is a link to a used (sn95) system. How is this interchangeable? What else is required?
http://cgi.ebay.com/ebaymotors/ws/eBayISAPI.dll?ViewItem&rd=1&item=7972459775&category=33564&sspagename=WDVW

3.)Lastly, I don't like how the car sits. I'm going to be upgrading the suspension. I got on summit and noticed both eibach (highly respected in my book) and ford racing products both sell a lowering spring kit. Eibach runs $250 and fords racing product line is only $140. Is there a stiffness or height difference here, or am I just paying for the Eibach name?

I plan on keeping the engine stock for the time being. I will probably stroke the engine :naughty: when I find a new body.

Look forward to your responses.

Just do everything as you would normally. install your exhaust and set the timing to factory specs which is 10*. Just be sure to prime your oil sytem and your fuel system before your start it. Your can also buy break in oil which is just a lightweight oil and run that for a couple hours then change it to regular 10w30. Dont run synthetic oils yet it wont let the engine break in. Let it idle in your driveway at about 1500-2000rpm for two or three hours with the break in oil. Now is a good time to check for fluid leaks, oil pressure, operating temp, etc. Then change the oil.Then go cruise around and accelerate from full throttle from 30mph to 50mph then down to 30mph with the throttle closed. do this 10 or 12 times. it allows the rings to seat properly. change the oil every 500 miles until you get 2000 miles on it. after that consider the engine broken in.

for your brakes i think 50resto www.50resto.com has a rear disc brake conversion kit