KHS frame spacing and derailler problems

I removed the rear wheel to better access the derailer and try to figure out where it was bent. When I did this the dropouts popped outward noticeably and it was obvious that the spacing was not set correctly on the hub/axle. The axle was solid(not quick release) and I noticed a washer on the outside of each dropout next to the nut. If these are placed on the inside the proper spacing is better maintained. I decided to put them on one side, the non drive side, in order to maintain the chainline and not risk a bent axle with more unsupported length on the drive side. This required redishing the wheel in order to center it in the frame.

Here is the KK hub correctly spaced. The washers are visible on the left. This hub seems older than the bike considering it uses a freewheel rather than a cassette. I do like the logo though! This photo shows the hub after the overhaul.

KKhub

Finally, I returned to the rear derailer. Aside from appearing bent, it was jiggly and beat up. I decided to get a new derailer. When it arrived and I installed it, believing it would now just require adjustment, I was disgruntled to find its angle in relation to the frame the same as the old derailer: the cage angling away from the wheel. So, it was the frame hanger that was bent. After noting the proper angle, I took the wheel off, removed the derailer, and tentatively tried to bend it with a large adjustable wrench. After several small increments of adjustment, installing and removing the wheel (cogs got in the way of the wrench) and derailer, I finally got it straight. I wish I had taken a picture when it was bent, but I was too nervous to think about it.