Hello, this is a Mercruiser Alpha One Outdrive off of a 5.0 V-8. The unit does have a chip in the bottom of the housing as the pictures reflect, but it does not effect the performance. The unit has clean oil, shifts smoothly, and the gears are in great shape. It is ready to go on another boat, the motor and transom went bad on this boat and it was not worth fixing. Local pickup only.. Thanks!