There are specs of surface rust here and there on the frame... I've got some OA, so i'll be able to soak the parts I can get off (don't have a tool to take the crank off). The rims and folk have quite a bit of rust though.

Also, I put a new chain on it and it rode (though definitely needs new cable housings) - the one problem is that sometimes the rear cassette would engage and sometimes it would not (i.e., i would spin the pedals but would not move...) does anyone know the problem?

The fenders are in excellent condition though!