I have extremely good experience with Specialized shoes and Performance Forte Pro Mg/Ti pedals (light and efficient, although they're SPD)

Specialized Shoes:

Specialized Sport '05... They're about $80.00 but if you can get your hands on '04 model which is the same, you should be able to find some for less than $60.00...

Performance Forte Pro Mg Ti Road Pedal... Very good and light and you can also use them with road shoes.... and not a bad price for $70.00