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I'm definitely not one to steer people away from riding fixed gear bicycles (see profile pics), but in this case, that bike looks like it is in superb condition. I would clean it up, get it tuned up, and ride it as is. I'm a fan of only tearing down an old bike if it's in unrideable condition- such as broken derailleurs, or just a frame, or if it's just a good frame with crappy parts on it.
Just my opinion mind you- the frame on that rig would be good for a fixed gear. Just know that a winter in Chicago will wreak havoc on it.
I hear you. I do tend to keep my current bike clean and lubed, even through the crappy months, so whether I go fixie or not on this one, I'm going to baby it.
Thanks for the advice. Do you have a good bike shop that you rely on to get work done or are you one of those do-it-yourselfer's?
Yeah, I'm a do-it-yourselfer. If I had to take my bike to a shop, I think I'd use Uptown Bikes on Broadway or a shop up by where I work in Northbrook. Should be fairly easy to do though for anyone since by the late 70's I think most Peugeot stuff was English standard rather than French thread.
Also, a few other pics...
1977 Catalogue Picture- http://mysite.verizon.net/imagelib/sitebuilder/misc/show_image.html...
1977 Catalogue Specs- http://mysite.verizon.net/imagelib/sitebuilder/misc/show_image.html...
Looks like it says tubular rims, which if you have would be a pain to work with for a city bike. In that case, a new wheel build might be necessary, so maybe a better candidate for a fixie than I thought. Just save everything that comes off in case you want to rebuild it later.
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