Here is a follow up. Instead of saving for a new bike I decided to upgrade the M50's drive train. I spent a bit more than I wanted but every thing is working well. Here is my final parts list with pictures. This was a great learning experience since it's been a long time since I've wrenched a bicycle. Thanks for everyone's input..
Shimano Deore M540 175mm Octalink Crankset with 44, 32, 22 chain rings
Shimano ES51 68x113 Bottom Bracket (the 121 measured a 54mm Chainline)
Crankset
Shimano DeoreLX FD-M580 Front Derailer (31.8mm)
Front Derailer
Shimano HG50 6,7,8 speed chain
Chain
Shimano Alivio RD-M410 Rear Derailer
Rear Derailer
#43 Derailer hanger