Classic & Vintage - newb classics owner with Schwinn Circuit

Newb in this section of BF. I picked up a 56cm 87' schwinn circuit off CL for mounting on the trainer and light riding around. Seemed like a good buy to me, all OEM grouppo that shifts smooth , Concor saddle with a small tear in the rear, and black Araya rims. Has really thin leather bar tape and old black/tan tires (not rotting yet). I don't think it was riden too much, but stacked w/ other bikes for some of its life as nick marks in a number of places with some surface rust (no bubbles). What is the best ways to treat these areas with surface rust? Other then that I'm thinking I just need to add some cork tape, clean the hoods and maybe swap out some tires. This should be a nice change up from my carbon bike:twitchy:

Congrats and welcome! Those mid-to-late 80's Schwinns are well regarded in these parts.

finally got a chance to clean it up some and take pics w/ the sun out. When adding the bar tape, I found out the handlebar clamp bolt was stripped out. Not sure how to remove it in such a tight space. Til then the bars are left as is, I'd like the tops to be a bit flatter though.
http://farm8.staticflickr.com/7193/6898796647_451eb7b756_z.jpg (http://www.flickr.com/photos/67003117@N00/6898796647/)
Schwinn Circuit (http://www.flickr.com/photos/67003117@N00/6898796647/) by jsigone (http://www.flickr.com/people/67003117@N00/), on Flickr
http://farm8.staticflickr.com/7182/6898798633_cfaa05443a_z.jpg (http://www.flickr.com/photos/67003117@N00/6898798633/)
Schwinn Circuit (http://www.flickr.com/photos/67003117@N00/6898798633/) by jsigone (http://www.flickr.com/people/67003117@N00/), on Flickr

Looking good. Have you tried forcing a little strip of sand paper or steel wool with the hex tool into the stripped head bolt. Sometimes that will get you enough grip to turn it.

I tried some tape on the hex tool to help increase the size, but not sand paper (great idea!)