New rings on a piston with proper ring groove clearance, (especially the top groove) will likely hit the ridge and be damaged on the first run.
The old rings had worn down and matched the ridge they created, the new ones probably won't.
Yes, the pistons and rods come out the bottom.
On my 5U D2 I was unable to cut the ridges with any of my reamers due to the extremely hard liners. I ended up honing them down with an adjustable circumference hone. It also helped ensure the liners ended up perfectly round when I was finished. Although when you're honing you need to make sure you don't have to take so much material out that you exceed specs.
You can get the seals for the sleeves cheap through CAT. I say pull the sleeves and clean the cooling jacket. Mine had rust and dirt buildup halfway up the sleeves which caused cylinders 3 and 4 to run hot. Plus your pony will not warm the main properly because its passages to the main will be plugged up which will make the pony run hot also.
I had the same problem with my old 933 the block was full of rust and curd,we took the liners out to clean it, luckliy the seat and seal area were good, some time back someone on here posted a link to a short video showing Cat parts been reclaimed during WWII, if you don't blink your eyes you will see the ridge cutting and etching of a liner.
Andy
http://uk.youtube.com/watch?v=H4X-DnIbMMs
11A933 - the film was excellent! GWH
I second that! Excellent!!