BLS Timing - Will this end in tears

[JustCruisn]

I have take my sisters Caddy while she travel around Oz. It broke down a while back and I thought I'd try to revive it.

VCDS Scan shows Cam Position errors. Engine starts when sensor unplugged only. Throws out of range or implausible signal when connected.
Bench testing the sensor shows its still working.
Water pump is leaking badly.

I decided to check the timing.
Once the cover is off I see this fluffy crap everywhere. The belt is wearing, does not look good.
The timing looks to be about 1 tooth out.

Am I right to think I can adjust this timing, chuck in a new WP, Tensioner & belt and it will be golden ?
Did the belt breakdown due to the leaking coolant ? or something else ?

[Umai Naa!!]

Time it up, put a new belt on, and see what happens.

[JustCruisn]

Time it up, put a new belt on, and see what happens.

Thanks
I ordered the timing belt kit.
Water pump is proving to be difficult to remove, lots of penetrant sprayed, I will hit it hard when the I get back to it on Saturday.

[JustCruisn]

SUCCESS !
New belt, pump, tensioner, idler and mount bolts.
Fired right up, no codes and it has heaps of power again.

It is a keeper.