1200 sounds extremely high, especially since that doesn't even include removing the heads.
call 972-243-1204, Special Interest Automotive in Dallas. i worked there for a summer. good people. ask them to give you a quote to replace the valve stem seals. i trust them, they do good work.
also, you might try contacting user AdamVR4 at 3si.org. he's an Austin kid but goes to school at SMU in Dallas. knows a LOT about 3/S's and has much experience working on them. he says he'll do a valve stem job for $450 labor and you can expect to pay around 150 for the seals. here's the link at 3si:
http://www.3si.org/forum/showthread....2&page=2&pp=10.
hope those 2 options work. i'm sure Adam will give you the best deal.