Head Gasket Replacement Struggles

[805chris]

Earlier this week, my 3.0 2001 x5 (147k miles and has been super dependable to this point) overheated due to water pump failure. After simple repairs to the cooling system, it was discovered that the head gasket had also blown, and it gets worse. The sleeves that accept the head bolts have stripped. and I understand this to be a common problem with the aluminum block (not common for steel blocks). Does anyone know of a fix around this. Right now, I'm looking at buying a rebuilt shortblock, but would prefer to not go this route if possible (cause if I replace the engine, should I also replace the transmission while it's out...it is only worth about $8-$10k anyway...

Thanks in advance for your comments.

Chris