$800 in Alterations?!

I ordered an EOA dress and the salon I purchased it from insisted I get a size 16 due to what the chart said with the measurements the manager took of me (she took them with my clothes and lined bra on). The dress came in and I decided to take it elsewhere to get it fitted because they were not very nice and charged me a rush fee I don't believe I needed and I felt a bit taken advantage of. Well the dress is about 2 sizes too big. I was at the new salon getting fitted for 2 hours and was told they had to completely redo the bodice because of the sizing issue. I was in tears seeing the dress on me as it looked/fit nothing like the sample I originally fell in love with. I got the alterations cost back and it's going to be $800. I could buy a whole new dress for that amount! I called the original salon about the issue and how I was upset I have to spend that money because they sort of messed the sizing up and my concerns were invalided and dismissed. the owner called back and said she's willing to have her seamstress do the alterations and do the bodice work for free and she thinks I'm getting swindled at the other salon. I feel bad because the lady made me a priority and spent so much time with me pinning and making it fit as best she could and now everything has to come out and reworked by the original salon. I called the seamstress and she was taken aback that I told her the salon will do the bodice work for free and wants to charge me for her time which I would have offered anyway but all of this is so overwhelming. Has anyone been in a similar situation? Is $800 excessive for bodice work, taking it in, hemming, and a bustle added?