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Not to be a bite in the ass but you are probably best going with the stock (ew!) platinum plugs and making damn sure all the proper specs are in place. Careful handling the plug wires since every time you bend or handle them you are driving up the resistance.
You can lose anything that silences the airflow by making it quieter, but give credit to the factory engineers. I don't know how many kms you have on that thing but if your rings and cylinders are good then you are not wasting your time. I found he power dropped on mine at 160k but it still didn't use oil at 355k. Just do some basic maintenance before you have visions of unsilenced air cleaners and nitrous.
I can't see headers making a huge difference since Toyota did a pretty efficient job at making the stock exhaust manifold a nice 4-2-1 step with heat sheilds (see where the oil filter is? Use the stock manifold unless you are going with a set of huge side draughts). Maybe a better muffler, but it only has 1.6 liters, so too big will just hurt bottom end torque.
BTW these things were built light to begin with. Congrats on the excellent hand me down (if you don't want it send it my way. I still miss mine).
If it were mine and the engine was not so fresh (sorry about the negative implications) I would seriously rebuild with new pistons and rings, bearings and seals, plus get it balanced (WELL worth the low bux). You will make more power and have a better mill to breath nitous into (unless you live in the draconian Ontario, let's make laws since that's all we are here to do) Cack!
Clean up the entire TVIS and make sure everything works flawlessly. Once evrything is working right them you can re-evaluate what you think you need.
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 '89 Corolla GT-S (RIP 1989 - 2003 very sad!)
'67 Chevelle (2owner)
'10 Passat (1owner)
'84 Honda XL350R (1owner)
All mint!
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