As the title reads, "Brown Showed". Meaning, the UPS dude arrived at my door and hand delivered to me a package of items. The package consisted of about 25 gaskets and about 20 O-rings as well as a set of Piston rings from Ohio Cycle. An expensive beginning, but necessary. There was of course no saving and of the dried out gaskets and most of the O-rings were more like D-rings. I find the most difficult part of gasket replacement is removing the old gasket material that invariably sticks to the aluminium or steel parts. I purchased gasket removal stuff at $9.00 because of the amount of material I had to remove. Did it work? Not well. I think you can do just as well with a ton of patience and some "Goo Gone". One area of caution if you have not done this yet: Gasket removal stuff removes paint as well - so remove gasket first and paint second or you will be touching up your paint job.
I spent the evening putting the engine back together. Had some difficulty with the Piston rings but everything slid in eventually. I think it would be helpful if I had, had another set of hands - maybe just one extra hand. Holding on to two pistons, squeezing the rings and trying to lower a 15lb head slowly was difficult. I have not torqued anything down quite yet. I've read here in this forum on multiple posts on the importance of torquing down and re-torquing the head bolts. I always get great ideas, so if you have any, let me know.... Here's what it looked like when done:

100_3641 by nestwoodmotors, on Flickr

100_3640 by nestwoodmotors, on Flickr
The rope around the kick start will be removed of course once I install the engine. I will install it without the right side case to lower the weight and not scratch it up.
While I was at it, I replaced the Condenser. I don't know if the old one was functioning properly, but it would be difficult repair if it was not working and the engine was re-installed. I also do not know how to test the unit. I typically replace them as it can be cheap insurance.
After assembly of the motor, I realized I'd have to put it all back in the bike. This was always in the back of my mind, but I was concentrating on the engine. The bike needs painting for sure. It has surface rust on about 80% of the metal. I need to take her down to the last bolt. This is gonna take time.
My parts table is starting to look more red then rust. More clean than dirty. I've painted up almost everything that bolts on now. I prime on day 1, wet sand with 400 on day 2 and paint the next day with 3 coats all within 25 minutes. After about 5 days, I will re-sand everything red with 1000 grit wet. Finishing up with some rubbing compound and then polishing compound. Hopefully, it will look pretty good for a Rattle-Can-Finish. I don't have proper tools for air spraying or powder coating :(

100_3647 by nestwoodmotors, on Flickr
I removed both wheels and cleaned up the front. The rim is salvageable but the rust is pitting the surface pretty bad. Tire is shot. It's not original, but it's probably 15 years old - cracked and hard. Surprisingly it does hold air. I polished up the hubs but I have to finish on the spoke section of the hub. Tires will be replaced after the motor is fully tested.
Here's what the frame looks like now. The only items remaining is the stem, stand and wire harness. I've taken a bunch of pics of the harness so hopefully, I can put it back together properly.

100_3644 by nestwoodmotors, on Flickr
Next step is removing the steering stem, checking over the bearings and removing the wire harness and the stand in order to start the sanding process to paint with the frame. Messy work! :)
Thoughts and ideas are welcome....Steve