Here I am again with an update.
I found that the dealer is not very helpful. Their solution is to replace the unit for around 500. Never made it to Best Buy. I did some more searching online and came across the unscientific approach Andy C. had posted on a different site: While the CD changer is making its noises trying to recognize CDs, hit the dashboard medium to hard above the in-dash player.
Too good to be true? My wife was ready to try it. And it worked!!! We were so happy to hear that CD come back to life. The unscientific approach is pretty scientific since the CD was able to shift back into its proper position.
Thank you, Andy, for posting your success! This makes now two of us. If it doesn't work you can always replace the unit.
Sven 10/30/06, October 2006