Dang..Ken that is terrible..did ya sit down and cry a little I think I would have after all this...
I am sure you double checked but Mac is right on the groove deal..did YOU lay eyes on the right bearing in the back?? the cam should have been grooved already if its a factory replacement piece.
I had similar deal years ago, truly tests your love for the car.
Mark a GTO guy I know does your method and claims it works fine as well...I set them a tick above 2k and let them go and lightly rpm up a little and back to the throttle stop at 2k in 3/5 min intervals, but have not broke a new came in lately and have been watching everyone under the sun have problems...my used cam stash is looking really good about now.