It sure looks prior to cleaning as though it ha alot of water in it for a long period of time. Didn't you write that they were starting it each year? Those are pretty tough engines and take abuse pretty well but I agree that without knowing where it came from and how it got into the affected cylinder you might be throwing $ down the drain if you have block or head damage. Were the plugs still in the head? Was the engine cover and carb breather cover off? Something is missing, is it your engine?
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