Has an NEC V20 processor on it.. Maybe change it to AMD 8088.
Unless you really want a genuine 8088 machine, I wouldn't change it. There's not really any disadvantage to the V20, and the speed boost is quite nice. And it's not like it's 'wrong' for that sort of machine anyway... it was a common upgrade for XT-class machines back in the '80s.
As for RAM, it looks like the easiest (or rather, cheapest) method would be 8 44256-equivalent chips and just disable parity. That'd give you 1MB RAM, and the BIOS should support using the >640KB memory as EMS. If you want to add parity, you'll need an additional four 41256 chips. (Old Trident 8900 VGA cards are a good source of 44256 chips, BTW, if you can't find a good deal on loose ones.)
And I'd personally want to stay away from MFM... it does have kind of a 'cool factor,' but other than the interesting noises the old MFM drives make, it's not particularly fun to deal with, and the drives don't tend to sell cheap. And especially if you plan to use the thing a lot, a 25 year old hard drive may not be the best investment reliability-wise... you might want to consider the XTIDE card instead.
I think the biggest problem may be finding an 8-bit HD floppy controller... they're not exactly common, given that XTs had mostly gone by the wayside by the time the HD formats gained traction.
luckybob wrote:thats REALLY cool AT board you have there! (XT had 5 slots)
Er... It's called AT form factor, but the XT had 8 slots same as the AT. The original 5150 PC had 5 slots.