I'll second the nomination for FelPro. I always use them and have always had good luck with them.

It does indeed look to me like a blown head gasket from the compression readings, but before you go pulling the head, just to verify you might want to do a cooling system pressure test. With the spark plugs out you can listen at the holes with a piece of hose or tubing for any hissing when the cooling system is pumped up.

With the loss of compression on 2 adjacent cylinders, I'm sure it's the gasket rather than a crack. It sure can't hurt to check the block with a straightedge but as Bart said, you probably won't have a problem there.

Of course, be sure to clean everything up well. Might not hurt to have the valves touched up while you've got the head off.