Fit for restore?

All, been lurking on here for quite some time and must admit I mostly look at the MTB stuff, when funds permit will be getting either an early 90's Orange P7 or Kona Explosif. I used to be quite into road bikes too.
Anyway I was at my parents over the weekend and it turns out the old Bianchi I had about 14 years ago was still in their shed! I thought the bike had been given (with my consent) to a friend of theirs. It turns out he just "borrowed" the bike and it was still in their shed! So I've bought it home and as you can see it is in a very sorry state. I am wondering if I should restore it and if I can find out a bit more about it, year, model etc.
For a bit of history I was given the bike from a triathlete I used to know, all I really know about it was that it was a Bianchi, he had it resprayed not long before he gave it to me. It looks as though the derailleur and saddle have been "swapped" by LBS - when I agreed that the bike could be given I away I advised the headset needed sorting as it was forever loosening when I used the bike, it seems that LBS fitted a "more comfortable saddle" at the same time (it orig had a brown suede very nice saddle) and also for whatever reason they "replaced" the shimano 600 derailleur that was on there. If I remember correctly when the bike was given to me the kit that was put on it was from my mates stock so not original. From the little research I have tried to do so far it seems the Shimano Z401 shifters are from around 1984 but other than that I am stuck. I find it a little interesting that the serial number is engraved into the head tube - does this mean it was made in Italy opposed to the ones of that period that were made in Japan?

The current spec as I can identify so far is:
Serial No. 630279(or g) on head tube no other serial numbers on frame
72 degree stamped above seat tube
Shimano Z401 shifters - brazed mounts
Shimano Z series front mech
Shimano Altus C50 rear mech - "replaced" by LBS
Gipiemme dropouts on front forks which are all chrome
Ambrosio Extra 19 rear wheel
"made in eruope" front wheel
Mallard and Ofmega skewars
SR Sp150 pedals
CPi 170 crank arms
Weinmann type 500 brakes

The pics are from when it was in my car:

ah hah the old invisible bike photo gag....always fall for that one me....humpf...

Is the frame rusty - as in holed?

does it have any major dents dings bent bits?


if no, then spray it black, bung some cheapy stuff off here or fleabay and ride it.

You can get Campagnolo Cranks for as little as £20 plus P&P as a start

pics now on
more pics to follow later

frame is not really rusty at all, even in the areas where all paint has worn away, just grey metal. The brown you can see in the pics is primer under the black

Started to strip it down now but got stuck with 2 identical probs. The ally quil stem is stuck in the steel steerer, have freed the bolt inside but the ally has coroded and stuck to the steel. I can with force spin the stem in the forks but it doesn't look like it is going to free itself. The other issue is the ally cranks have siezed onto the steel bb shaft - any ideas?

Also still looking to identify the model and year?

If you can spin the stem it will come out. A squirt of PlusGas (not WD40) every morning and evening for a week will solve it. Turn the bike upside down so that it pools around the stem.

For cranks then a small hub puller will get them off if the extractor threads are stripped. If they are cotterless give them the plusgas treatment.

extractor threads?

Strip it, paint it celeste and ride.

I concur with icantthinkofausername ...

If its worth saving its worth doing properly. From what I can gather it looks like a pretty frame. I'd get the lugs chromed and have it painted celeste. If you give it to Bob Jackson it will come back looking glorious for £70.