We've all read about it, talked about it, and struggled with it. The m42 is "a bitch to bleed". The following ridiculously easy procedure was shown to me by twistednut here on the forum and has worked flawlessly for both my own and my father-in-law's m42 powered e30s as well as an e46 330i. Mix yourself up 7qts. of coolant, open your heater valve, and:

1. Remove the hose clamp that holds the upper radiator hose onto the thermostat housing and pour coolant into the upper radiator hose until the coolant reservoir is at the cold fill line, then put the hose back on and tighten the clamp.

2. Remove the hose clamp that holds the upper radiator hose onto the radiator and pour the remaining coolant into the upper radiator hose, then put the hose back on and tighten the clamp.
DONE.

1. Remove the hose clamp that holds the upper radiator hose onto the thermostat housing and pour coolant into the upper radiator hose until the coolant reservoir is at the cold fill line, then put the hose back on and tighten the clamp.

2. Remove the hose clamp that holds the upper radiator hose onto the radiator and pour the remaining coolant into the upper radiator hose, then put the hose back on and tighten the clamp.
DONE.
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