Sorry about the quality of the pics.
Was inspecting the underside of the goat and found this....

http://i141.photobucket.com/albums/r53/FROROCKS1/P1010003.jpg

http://i141.photobucket.com/albums/r53/FROROCKS1/P1010004.jpg

This is right next to the pinion yoke and before the muffler, passenger side.

I also notice these...

http://i141.photobucket.com/albums/r53/FROROCKS1/P1010002.jpg

http://i141.photobucket.com/albums/r53/FROROCKS1/P1010001.jpg
So this is how they come from the factory? I mean won't that restrict some air flow?

Yep, don't ya' just love those factory crimps? Glad I've gone aftermarket.

Yes and yes, but would you rather pay another 2-3 grand for it? After production costs and etc thats probably what it would cost to get a decent exhaust system in a car from the factory.

I saw the same when I pulled my old exhaust off blew me away.