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Others will have to advise you on the chassis issues - As far as a speaker replacement, I'd find another KLH unit, they are pretty common & show up on Ebay regularly. It's the same driver as KLH used in models 11,14,15,19 loudspeakers as well as others and is a really nice little driver. It's an acoustic suspension design that has a 3/8 of an inch cone travel and a very large magnet for such a small speaker....great little speaker !
Sounds like that radio got kicked around a bit. They're worth putting some work into, they sound fantastic when serviced.
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