The blade itself looks fine. It could be honed up and you could shave with it as is. You have two options for the blade. You can leave the existing patina on it, or you can have it buffed up to make it shiny like new.

The scales obviously need to be replaced. There are many options for scales. If you look in the workshop section you can get some ideas of what possibilities exist. Personally, because of the sentimentality of it, I'd recommend that you try to get it re-scaled with something similar to the current scales. Alternatively, you could go with fluorescent green acrylic scales with embedded glitter!

If you look in the workshop section, it can also help you find someone to do the work for you. If you look in the member services section of the classifieds you will find the people who are openly advertising their services.