[Patrick]

Pat, I would follow the schematic and replace the line input with two .01mfd either "Y" or "XY" caps as indicated.  Replace the existing one across the A/C line.  These should be "safety caps" used in this position.  They will not fail shorted which is nice across the A/C line.  Many people just remove them totally.  It won't hurt the radio but may increase the noise from A/C line problems.  
Best,  Jerry

Thanks Jerry,

Just the answer I was looking for.

Pat