Thanks for the tips, I will explore all of them.
Mark, how do you remove that ridge, if indeed it is there?
Bodi, no, I have no history on the engine, but the bike only has 10K miles on it, so unless something catastrophic happened to it in the past - which I doubt because I haven't seen any evidence of that EXCEPT the #3 cylinder was pretty dodgy...and as you can see, #2 as well...IIRC the #3 valve was a bit stiff coming back out too...I got the head off and the cylinder walls are fine though, being smooth and unremarkable (luckily)...but I don't understand how those two pistons got that crapped up because when I got the bike (which had languished outside in a falling-down shed for God knows how many years) all the plugs were in place. As I mentioned, I was able to gently tap the sticky valves out, and the exhaust valves came out okay, but those two intakes took a little gentle tapping. How do you ream it, and are these reams available? (I would assume they are...)
Bryan, I don't think the valve is bent due to an incorrect fitting of the top cover...I mean, it could be, but I rolled it on the tabletop and it didn't have a wobble or anything; and as I mentioned, I *think I'm the first person to dig into this engine - but of course I could be wrong/don't know.
FWIW, all the rings are clear and loose except for #3. Before I took the head off, I was able to turn it over with the kick starter for a few turns, but then it bound up, leading me to taking it apart and discovering the difficult valves...this isn't an interference engine, is it?? I didn't see any evidence of banged-up pistons or valve faces...