Well, I just got back from picking my car up after having Inspection II and a few other things done to my 2001 330i.
This is basically a follow up to a thread I started a few months back asking if Inspection II was too expensive at dealers for what they actually did to the car: http://www.bimmerfest.com/forums/sho...=inspection+ii
I live in Philadelphia and called/went to 3 different dealers asking about the cost of an Inspection I on a 2001 330i that is out of warranty. After I asked that, I then asked about the cost of an Inspection II. I was amazed to see that the price difference was as much as $300 between the two. If you look the checklists for Inspection I and II on an E46 you will see that the only difference is the intake air cleaner element. If you want to do Coolant Flush or Brake Fluid flush, which is recommended every 4 years and 2 years respectively, you'll have to pay extra.
After talking to some service advisors in the area that looked too "clean" and "neat", I felt that I didn't want to use the dealers if possible. Mostly because I want to be able to see what is being done to my car, talk to the mechanic that is going to/has worked on my car for more than just a couple of seconds. Basically, I need to trust who will work on my car and will take care of it as I would do. I also didn't want to feel like I was being ripped off and not getting my money's worth.
Searching here and at the 'Fly I found references to a couple of local shops that work mostly on bimmers. I visited 3 of them and the last one I talked to was Mike Yaskin at Bavarian Specialties in King of Prussia.
Mike and Pete (and I forget the other person's name) were straight forward, easy to talk to and very informative. I was even able to get to under my car and while it was being worked on. Since it was going to be an all day thing, Mike was cool enough to give me this car as a loaner (try to find that at a dealer!):
That is a 1985 grey-market M 6er. How cool is that? Still has all the dash lights, indicators and switches in German. Only the speedo reads in MPH.
I just returned now from picking my car up. I had them do Inspection II with coolant and brake fluid flush, spark plugs, fuel filter, front control arm bushings, belts, oil change, intake air cleaner, microfilter, diff oil and PA state inspection since it was due.
I don't know if it is psychological, but the car purrs like a kitten now, (not that it purred much different before) and I am a happy customer now. Goodbye dealers (for the most part

)
Here's my car now

(no Zaino, not washed in over 2 weeks, never garaged!

) and yes, I know the wheels are filfthy... get over it, that's what happens when you drive

PS: If you have a garage where you can lift up the car, are used to working on your car a bit and have a manual like the Bentley, you can do all of this stuff yourself. It may take you all day or several days doing each item at a time. If not, find an independent mechanic you trust and feel comfortable with.