Sorry to be late in responding Sanda. I had limited (i.e. dial-up) internet access for about 24 hours on a "spare" computer, so was a bit out of sorts...

Things seem to be better now, but for no apparent reason (either for not having cable service or it returning.)
Anyway, I came to the same conclusion that Jak did - keep the red channel and throw the others away. (I did this by using the channel mixer and putting red at 100%, G & B at 0% and checking "monochrome".)
Then a bit of cloning. I didn't have a lot of time to spend on it, so this was about 10 minutes worth. Looking at the original stained image, I finally figured out why it looked like she had two elbows. One was from the stain.

I tried painting the arm back in on a new layer, but as you can see, I'm really terrible with a brush. If it were me, I'd go looking for new arm in another photo - even if I had to bend it to make it look right. But you should be able to see what I was going for.
Also, I duplicated the layer and set the new layer to multiply mode and reduved the opacity to 45%. This added a little more depth to the detail that is left in the photo. (It also increased the scratches, etc in the sky especially - which I didn't take the time to correct.)
Hope this helps. Please let me know if anything I've said doesn't make sense and I'll try to explain it better.
Jeanie