How to remove broken brake bleeder nippl

[ATTDCS!TMBWPO1!sjagernaut@dcstm1.attmail.com (Stephen Jagernauth)]

My cousin and I were changing the brake fluid in his '87 5kcstq this weekend 
and broke off a nipple.  The rubber boot was broken and water had gotten in, 
corroding the threads.  The others came out with a little help from my 
pencil torch.   Luckily, there is no fluid leaking so the car is driveable. 
  What's the best way to fix this?  Can the threads be drilled out?  Should 
we take the caliper off and take it to a machine shop or just raplace the 
caliper?    Are used calipers likely to be rusty?

BTW, I just replaced my front rotors with OEM Ate rotors and MM metallic 
pads from GPR for a total cost of $108 and replaced the fluid with Ate Super 
Blue Racing.   Braking is much firmer and do not need to be hot to work as 
I've read here recently.   (This is for street use only.   I stick with CC 
for the track.)

Regards,

Steve Jagernauth  sjagernauth@attmail.com
'87 5kcst, '88 5ks, '74 911/3.0