RE: O.S. Engine Lost Compression...
Lost compression in an ABC-type car engine is very common. That's because we've seen them with dirt damage, overheat damage, bad breakin damage, and so on. Those are very common reasons for compression loss. Neither case is covered under the warranty. About the only reason the engine would lose compression from a warranty reason would be if some kind of metal came free inside the engine and damaged the parts.
You can send the engine to us, but we can't assure you that the warranty would apply.