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Actually, some early-70's Varsities also came with the Shimano-made rear derailer, and also came with Sansin-made, hi-flange hubs having the Schwinn-trademark triangular flange cutouts.

But by 1974, the Varsity was back to using French-made hubs and a Schwinn-Approved Huret Allvit-derived rear derailer having an advanced new patented pulley cage (see below).

The shielded, Shimano-made freewheel was smart in that the plastic shielding ring repelled rainwater from entering the bearings and ratchet while the bike was tilted to the left while parked on it's kickstand. It was a Schwinn exclusive, so that plastic ring was likely invented in Chicago.