Cool comments everyone!
I've never owned one of these horizontal thingys before, so I'm very glad of, and happy to listen to advice from those with more experience...
However, like Panzers mates, I have run the bike in very hard after an initial oil change at 25 miles and another at 250. This hard break-in entailed a lot of full throttle hard acceleration and decels with a warm engine right up to near redline to properly seat the rings. Now at 850 miles and due for the first service tomorrow, the oil is still reasonably clear, although all manner of muck was in the oil at the first 25 mile change, and again at 250 miles it was pretty black.
The bike has loosened considerably since new and is quite revvy now and pulls hard in all gears. I did a roll on test with a colleague who's 03 GS has 1000 more miles on it than mine, and I pulled away noticably from him. He's mentioned noticable oil use but obviously much better fuel economy than me. I've yet to get more than 140 miles from a tank! But the hard break-in is pretty much done now and I expect to be a bit lighter on the throttle from now on. I've also noticed almost no use of oil, the level is unchanged.
I'll see where the Y piece, K&N and Pipe leave me after a couple of weeks. I won't do a lot of motorway riding but perhaps as you say, the "E" gear is the better of the options.
Once again, thanks everyone for taking the time to share your experience and advice - very much appreciated.
Kind regards,
Finbarr.