Worn rings & probably bores. Does it improve if you squirt oil through the spark plug holes before carrying out the compression test? If it does, that confirms it. If you re-ring it without reboring, remember to deglaze the bores while you've got the pistons out.
That's what happens when service intervals are extended to 20k miles. You can't beat an oil and filter change every 12 months or 10k miles (whichever comes soonest). Fresh oil is cheaper than a new engine.
ChicksFan
December 2010