I wouldn't call 202 overheating. Remember with tighter emission standards being mandated by the feds, even on tractors, thermostat ratings and running temps are going up.
Cars used to come with 160-180 degree thermostats and now all of them have 192 or higher in them. They say it makes a more complete burn.
A lot of diesel truck owners have gone up to a 202 deg thermostat because supposedly that is the most efficient temperature for them to run at. I'm still debating that one but its not going to hurt it. Too cold certainly will though. I wouldn't recommend pulling hard on any engine untill it's at least up to 160. Back when tractors had shutters instead of thermostats it wasn't uncommon on the hard working ones to replace the rings after every season or two. My old farmall is a perfect example. I have a C model without a water pump or thermostat that never comes off the cold mark and I replaced the rings once a year for it's last owner. He worked the tar out of it. My super C has a water pump and thermostat (originally 165 degree but now 180) and I have only rebuilt it once so far. It has several thousand hours on it now.
I would be willing to bet you have a gauge problem. I was a Kubota mechanic for quite some time and we could have 20 of the exact same tractor on the lot but not a single one of them would have the same reading on the gauge as the next. With electronic clusters there is always a varience between different machines. Some say low some high and some just right. 202 with a digital thermometer anywhere on the engine block is definitly not bad. On the outlet end of the radiator it would be a problem but not on the block. Just for grins I went out and checked around my new tractor with the laser thermometer and the only place that was under 202 was near the injector pump and the water pump. Most of it was around 210 -220. The turbo was way higher than that on the turbine end and colder on the compressor end.
I think the mechanic was just having a bad day myself. I've operated tractors all the way down below zero, WAY below zero, and above 140 ambient temps and the only ones that truly overheat had a problem that was pretty obvious.
As for the hydraulic leaks that's pretty common. Within the first 10 hours on my new one (not a Kubota) I had to tighten a few hydraulic lines, both suction and discharge lines on the AC compressor, a power steering hose and a couple fittings on the Injector pump. It was a few ounces low on freon too. It took me about 30 minutes to tighten it all up and add some 134 to the system. The problem with that stuff is AC fittings especially, Hydraulics to a lesser extent, should be put together with lubricated O rings but they never are. Everything is assembled dry at the factory. I could not even begin to count the number of AC leaks I've fixed on new cars or compressors I've had to rebuild or rack and pinions I've had to reseal. I used to really hate that stuff. Warranty work doesn't pay for squat. That's why I don't work for dealerships anymore. I work for myself and only work on tractors or vehicles that are ones I like. Kubota has always been one of the best brands of tractors out there. They had by far the fewest problems of any brand I worked on when new but a few small leaks can probably be expected.