Hi Dave,
The key point here is that you need very accruate measurement of the bore to make a good decision. Often it's not the size of the bore that is so important, but the uniformity of size down the cylinder. Wear is never uniform, so you need to find the regions of greatest wear before you can decide what size to bore the the cylinder.
Re the measurements you mention: 2.691 is 14 thou greater than the +0.040 piston - way too much to consider.
Get some careful measurements, and with luck it might bore out to +0.060.
Good luck! Leon
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