Well after a long month battle with idle and runability problems I finally found the problem. I thought I would post my results in hopes of helping other rennlisters. Through out the last month I have replaced the distributor and idle control valve. I had to have the car towed to the dealer because she left me stranded and would not start. The dealer computer said the hall sensor in the distributor was bad. After seeing the car run perfect with a used distributor I had mine rebuilt by Vertex. I now believe the distributor hall sensor was ruined by spark jumping from the bad coil because the car ran great for a week after it was replaced.
The week after the distributor replacement the car started stalling and bucking at idle and was not to drivable. A clicking noise was prevelant near the idel control valve/air flow meter. I removed the idle valve and cleaned it. The car ran great for another day then the same thing started all over again. So instead of running back to the dealer for another code check I replaced the idle control valve.
Once again the car ran great for only one more day. At this point I was getting very frustrated so I did many searches on rennlist. I swapped my DME relay with the one from my 944 Turbo that I knew was good and they happen to have the same part #. I cleaned and checked my battery ground. Then I ran the engine for as long as I could keep her running with the lights out in my garage to check for spark jumping. None of these tests helped so I was stumped.
I finally figured that the clicking noise that started with the stalling and stumbleing was the air flow meter flap hitting the door stop so fast because something was causing the car to cut air or fuel off so abuptly. I knew the plug wires were pretty old so I put the garage door down and turned all the lights out in the garage. I started the car up and kept her running just to notice a faint spark near the coil plastic cap. I ran the test agian but this time I looked from the passenger side of the engine bay towards the coil and saw a bright spark thru the coil gap where the plastic cap clip together. I ripped off the coil cap to find that the top of my coil was all spider cracked causing the spark to jump between the negitive and postive conectors on the coil! I wrapped the coil top with electrical tape to test and erekia! she ran great again. Time to find a coil now.
What I dont understand is how the car would run great for a day after I fixed the other problems if the coil was bad? I do beleive the distributor was bad but now I am left with an extra idle control valve. Hope this may help someone in the future...

 

i had very similiar symptoms that turned out to be a miss-connected spark plug...which was also causing an erroneous spark. it seems any errant breakdown on the primary side of the ignition will cause the system to freak out. interestingly...if it happens on the secondary side it doesn't have the same effect.

was your coil on the primary side?

 

Man, your story reads just like mine from several months ago when I replaced my original coils with some crappy PVL coils. Within a week, one of the new coils was melted and left me stranded on the side of the highway with exactly your symptoms. Glad you figured it out...congrats!

 

Doug,
It was the coil on the left if you are looking at them straight on. I did not even think to see if its the primary.

REDRS,
I was thinking of throwing in an after market high performance coil I have laying around. I think you have changed my mind to order a new factory coil.

 

I think you are way better off with a factory Bosch coil in these cars. I will never mess with another coil again. I'm not a big fan of getting stranded on the side of the road.

 

that's the primary