I think it's interesting that Trek is giving OP such a generous credit, likely close to what he paid several years ago. He'll get a much nicer bike, modern spec and components several levels better. Cost to him will be as if he had traded in his old bike w/o any depreciation. Plus he got quite a bit of use out of it, including at least one accident. With a little thought he could use any gearing he wants, including a triple. I wonder if he can keep the old components?