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I had the same problem in my 97. I ended up removing the liner, cleaning it the best I could, and reinstalling it with can spray adhesive. Looked great cause I took my time. I had the car 3 more years before I sold it and it still looked great.
I pulled down the headliner, sanded the underside and painted it - I have to say that I'm much happier now that it isn't falling on my head on a weekly basis! I've thought about taking it to one of our custom paint shops in town to have something airbrushed on there, I think that would look pretty sweet.
The foam in my original headliner fell apart. I glued it back up once, but it didn't stay up for long. I ended up peeling the old liner off, and put in some generic headliner fabric. It turned out really well.
Remove the headliner and clean the foam off the base. Go to a fabric store and purchase new foam based headliner material and use 3m interior adhesive to install it.
This will restore it to like new for less than $30.
Vader, over in the "What did you do to your C5 today" thread, post #14419 I posted how I fabbed a new headliner for my car. I'm horibbly tech unsavvy and could not figure out how to link that post to this thread. If you're interested take a look and I can fill you in on any finer details if you want. BTW, if anyone knows how to cross link threads, I'd love to know!
Mine started to "droop" 2-3 years ago. I carefully removed it, cleaned the backside of it, and reattached with several pieces of 3M tape. It was OK for a while, but I notice that it's starting to fail, again.....
Mine ended up on the side of SR-72 in Florida after falling on my bald head and scaring the **** out of me at 80 mph, second failure to stay up. I ended up cleaning, sanding and painting the inside roof panel with a satin black spray bomb, looks great!
If the foam on the underside hasn't started coming apart and everything is intact but it just unglued...3M spray adhesive will do the trick. Mine started separating in 2008. I used 3M spray adhesive and it hasn't had an issue since. At least 30k miles of driving with that top on since the fix.
I used EV foam sheet you can get at HobbyLobby. It cuts easily and is sandable for fine tuning. Here is what my foam backer looked like prior to covering: Got the headliner material at JoAnn Fabric and all in all I would agree I've got $30-40 in the whole project.
Took mine to an upholstery shop and they were able to replace the headliner with the same materials GM used on them. At least that's what the guy said - Said the foam was some kind of weird flame-retardant material that is hard to get now a days. Anyways, from all the C5's I have driven it's identical to them but just... brand new. Was not super expensive either.