It's fixed. Problem was caliper mounting plate not manufactured correctly. Basically, the front brake pads were not parallel to the brake disk. So, it took too much pedal travel to force the pads to the disk. Contact was on edge of pad only. Both front calipers had this problem. Using a large crescent wrench i bent the bracket to allow proper alignment. Careful measurement to ensure top and bottom mount were same distance from rotor and parallel. Pads now make even contact and pedal does not go to floor and performance is good. All visual flexing/movement of caliper when brakes applied is gone.
To be clear, CPP was the MC cylinder/booster manufacturer. Brothers was the disk brake kit manufacturer. Neither blamed the other and were generally eager to help solve the problem.
The caliper bleeders are virtually straight up if not at 12 high, just a bit off vertical like if the hour hand was at 12:30 or less. It did not matter. With caliper removed and pads blocked in place, I could get no additional air out of system.
I do not have any residual valves added. It is my understanding that proportioning/balancing valve has 10 psi residual valve built into the rear outlet port.
Thanks much to all who offered suggestions. They all got me thinking.
Last edited by DavidF; 06/30/2014 2:19 PM.