Well, I cant answer all of your questions, but I'll answer what I can.
I found out only today about the red engine top (funny coincidendce!). I just had to buy a new engine from ebay a few weeks ago, and I was told today that if I'd waited I would have found a red top one. Apparantly, it is a bit more finely tuned.
I've not got any ideas about the revving to 12k, but it could be possible that it has a rev limiter. Don't really know anything about them, just heard them mentioned, so that could be the explanation for that. If it is the CDI, read my recent post "I know there are enough of these....." and you will get a bit of info about fixing it. (Not only did my engine blow up, but the CDI died at the same time and I am having to get a new one!) Sounds easy enough to fix, but I can't get the parts I need.
To make it a bit more powerful, read the sticky post at the top of this forum about the Big bore piston kits that GSXR400 racer is selling. You could also consider things like getting new sprockets with more/less teeth (
http://forums.banditalley.net/viewtopic.php?t=1696&start=0), or you could advance your ignition timing (
http://forums.banditalley.net/viewtopic.php?t=38&highlight=poor+mans+ignition+advancer)
Im sure there are loads of other ways, but those are the only 2 that I know much about.
The top speed will be somewhere about 120mph, and the BHP will be somewhere about 54? possibly, that was what I heard once.
And for things like fairings and exhausts, try
http://www.banditmania.comI got a nice top fairing and belly pan from there, for about £50 each.
I just saw in another window that gsxr400 racer replied while I was writing this, so I am probably just repeating what he said, but hopefully some of it is helpful to you.
And gsxr racer, you didnt answer the question about top speed/bhp!