Can anyone help me identify this?

That looks pretty ugly and definitely an unsafe situation by having the tire rub that much against the fender. Raising back to stock height should easily solve that issue. You should be able to get a cheap replacement for that inner fender on eBay...plenty of Gen I parts on there.

With that amount of damage, I have to wonder if something else was done to the bike, perhaps making it too low? Is the shock shot? Was the prior owner a very large/heavy person? Did that person travel with pillion a lot?

Why it seems this way to me is that the shock should bottom out before your tire hits the tail. There should not be this significant amount of damage from even extreme cornering even with that lowering link in place and NOT at the lowest setting. I don't think a company would sell a link that would put a rider in this much peril.

Something else is very wrong here.... I'd do a lot of investigation, like start tearing it all down and compare notes with Gen I owners here. IF anything, just for your own safety?!?!? Please?

Thanks for the input. I've returned the bike to stock height and put an aluminum plate over the hole for now. A friend of my dad had an English Wheel and formed it to match the concave of the plastic. We've got it riveted in and sealed up with silicone.

I also started setting up the suspension in the rear. I did get the shock set up so there is about 31.7 mm sag between it just sitting there and me on it, with plenty of clearance for the wheel. I was unable to see any markings on the shock to determine what brand it was though.

The shock looks really new, and seems solid, so I doubt that it is shot. It did appear from looking at the lowering link that the previous owner had it on the lowest setting at one point, and the shock was almost as soft as it would go when I got it. Not sure what happened there yet, and will probably never know.

I actually bought the bike from a local dealer, so I don't know who the previous owner was. I do trust the dealer though, so I'm sure the shock is fine or they would have caught it on their check over.

I did get the shock set up so there is about 31.7 mm sag between it just sitting there and me on it, with plenty of clearance for the wheel.
 
Ah.... makes sense. Perhaps the person who traded it with the dealer had "exhausted" the shock and then the dealer put on a new one to sell it? For you, I hope this is the case. :tup: Nice to know that you're getting it set up properly too. Well done!
 
Here is some good news for you... Although it's a lot of work to replace it, the rear fender is pretty cheap! Ronayers.com: Search for $82.87 found on the fiche here: Ronayers.com Fiche Desktop Motorcycle Yamaha 2003 FZS1000SP FZ1 FENDER

I'll have to keep that in mind. I've got a good fix right now, but I might be interested in replacing it in the future. I have a few other things on the list before that (frame sliders, handlebar/risers, axle sliders, bar ends, brake/clutch handles, grips, cover, maybe rear tire hugger) and have to pay it off yet.

Can't wait to get this project underway.
 
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