The only reason I can think of is that the dizzy accidentally turned. I mean, that's a performance killer. Well, actually I do know that some engines in the early smog days were set with retarded timing for emissions reasons. I don't know if that applied to your motor, though. The other reason might be that there was detonation, for some reason, and retarding it was necessary, but that doesn't sound reasonable ... unless, maybe the PO was trying to use 87 octane with an 11:1 engine??? What are the cam specs? If the cam is small, that compression would make lots of dynamic compression. Usually that kind of compression would be matched up with a fairly aggressive cam when used with pump gas. Anyway, that's what comes to mind.