Since the OE pegs are mild steel, it might be worth it to bring them to a machine shop and have them modified (cut and some additional material welded in) to lower them an inch. It will likely move them outward just a tad to properly brace them, but I don't think it'd be particularly expensive to do.
BTW, it was fun riding with ya (I'm the guy on the far left).
gaspipe [the original]
Hair of the dog....