Smoked Bearing -- Spindle Damage - Axle Replacement??

IMHO, it doesn't look totaled. The seal surface appears to be unscathed, and the inner races are obviously toast, but as long as the inner races didn't spin on the spindle, odds are it's salvageable. The chewed-up area between the races doesn't matter at all if it's chewed up. The only thing that sits there is grease that's been squeezed out of the bearings.

If it was mine, I'd cut off the races and see if the spindle has been damaged. If not, throw a new set on with a new nut and washer, and call it good!