Jan, Mark and SI - Welcome aboard, glad to have ya'll along for the ride.
Gary - you do have a point about the paint and determining the right shade of a particular color. Unfortunately without the benefit of color photos we can only make an educated guess as to the right color.
I do know that the Dragon color scheme is incorrect though. I believe I have decided on a path using the Lifecolor Kriegsmarine Set I.
Obviously the black will be black, but I believe I will be using Silbergrau (RAL 7001) for the sides, Dunkelgrau for the stripes. It seems a close match to RAL 7016 (Anthrazitgrau).
I do need to pick up some sky blue for the edge of the main armament and still decide on the transition color in the vicinity of the boot stripe.
So for now that is the plan, lets see if it stays intact or falls apart upon first contact.
Now on to the more fun conversation, the build. As promised I started today and decided that the stand would be beneficial to have in the beginning verse the end.
So I drilled the required holes in both the stand base and the bottom hull and put the stand together.

It makes for a good resting place while I am not working on the hull.
The next step was addressing the port holes.

As you can see they are well molded with the brows and probably could have been left alone and filled with wash to make them pop, but I couldn't. So I began the tedious task of drilling out all of the ports using a 1 mm drill bit. It was a perfect fit.
Once I was finished drilling I cleaned the backside with a standard hobby knife and a round file in order to widen the backside of the port. It reduced what was an unnatural thickness.
Once that was complete I moved on to mounting the bottom hull piece to the upper hull. No picture yet but will follow. Initial impression was that the fit was good. After letting it rest for about 30 minutes I took a closer look and the fit is near perfect. No gap between the upper and lower hulls. However on one side there is a little overhang that will need to be addressed. I will provide before and after pictures tomorrow.
The next step was beginning step one which leads the builder to start the AA weapons and main armament guns.
So I started one of the AA guns and found the first error in the instructions. Having followed many of Si's build I was expecting an error as I cannot remember on of Si's Dragon builds that didn't have one.
Luckily this was simple to decipher. As you can see in the picture they have part H5 and H7 misidentified on the instructions.

After deciphering that issue I moved on. Here I will place a warning. While it is great that Dragon did not go the easy way and just mold lumps of plastic AA guns they did break the AA guns down a little too far. The parts are extremely small.
So I am taking these slowly and exercising patience so that I do not ruin them. Here is the beginning of one and what was my stopping point for the night.

Believe it or not there is a PE seat under the plastic part in the middle. Again a very small part.
I will keep the AA pedestal on the sprue until it is build so that I am not fighting with small pieces.
Well that is it for now, so far a great kit that will challenge my abilities, one I am excited to undertake.
More to follow tomorrow.
Thanks for stopping in and as always, comments, suggestions, and criticism are welcome and encouraged.
Dave