Your stainless muffler looks very much like mine when I bought my boat. I immediately replaced it with a fiberglass Centek and it has been trouble free ever since. Moyer offers a stainless replacement too.
The replacement can be safely done in the water, there are no special considerations. Might want to scrutinize the hot section at the same time.
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Neil
1977 Catalina 30
San Pedro, California
prior boats 1987 Westsail 32, 1970 Catalina 22
Had my hands in a few others
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