JYL,
Nice bike! Great way to get your daughter into some classic stuff!
My first thought was those brakes in the rain. Are those Mafac? Very nice! I would recommend getting some Matthauser(sp) cantilever posted brake pads or rain specific. There is another brake pad that I'm thinking of and can't remember right now but makes rain speific compounds in red or yellow.
Almost done with this for my wife. I need to find grey Weinman cable housing.
NRD