Yamaha 40 Issue Finally Found

[markt111]

So I beat my head against the wall long enough and finally took it to the mechanic... it's a 1992 2 stroke, super clean, I had been thru carbs multiple times, checked out stator, fuel system, alarm system, full tune up etc...Issue "Water in #2 cylinder, hole in the exhaust jacket"is this common on a fresh water engine, anything else I should be concerned about?

[88workcar]

Common yes, no worries once it is swapped out