Anytime I deal with any business entity, I have a piece of paper or a notebook in front of me. I make notes on who I talked to, the time, the conversation, etc. Make sure you get the name, even if you have to ask them to repeat it. Otherwise, it just doesn't work as well. I agree, you have already established that machine isn't working well and may not be fixable or may not be fixed (in other words, it might be able to be fixed, but they can't seem to get it fixed, so it's not working either way). Are there any consumer reporters locally? We have Clark Howard, Plus several of the TV news shows have a consumer reporter. A lot of times those are helpful. The biggie is the "nasty gram" to the company president. You can explain the situation, why you are not happy and what you want done: current machine properly repaired or new one, also maybe ask for extended warranty for free for your trouble. Give them a reasonable time frame, 2 weeks, 3 weeks, etc. If you don't get a response, you can also go to your state's attorney general for fraud.
Good luck...and let us know what happens!