Okay, so the final chapter for now...
I was able to glue a piece of walnut veneer over the bad section on the stock.  Had to spot glue a few bubbles, then scraped/sanded down flat.  Used red mahogany stain, followed by about 5 coats of formby's tung oil.  I contemplated getting a new 1892 stock and putting a full length barrel on it, but since the receiver already had those four damn holes from a scope, I figured it would never be perfect anyways.  I have not shot it yet.   

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