160 F is a typical operating temperature for rolling element bearings, it is 60 Deg. higher then human body temps. SKF gives some guidance here.
http://evolution.skf.com/us/whats-normalthe-role-of-temperature-in-bearing-applications-3/
While it may be wise to inspect the bearings to be sure they are properly lubricated I do agree that bearings of that era do run HOT to the touch. Here's a warning note from the operators manual concerning the heat generated by the motor bearings in my Sanford MG surface grinder: