Looks like it snagged a ring on the exhaust port at one time. Take the cylinder off, flush out the bottom end and see if you find your piece of reed or your piece of piston lol. Cant tell on the jetting due to the broken reed.
Id just bore it to the next size. You have plenty of life left in that cylinder at 66.75.
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86 Honda 310R Power Valve
Paul Turner Eliminator pipe
39mm Sudco racing carb
215psi 110 octane
310esr p/v Ported by Neil at C-Leigh Racing
+4 Durablue axle
+2 Burgard A-arms
87 Quadzilla
Lonestar custom swingarm
Lonestar axecaliber axle
Lonestar steering stem
Powder coated frame
Custom Paint
42.5mm mikuni Alky carb (soon to be 48mm Packard Lectron)
Marvin Shaw suspension
LOTS OF CHROME
Trinity Drag port ( I know its Trinity, but do you want to race it ?)
CPI oof drag pipe
am I forgetting anything? hmmmm 
Never argue with an idiot. They'll just drag you down to their level, and beat you with experience!
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