"James, It is likely not out o
"James, It is likely not out of alignment with the out drive. The flywheel cover and engine could rotate quite a bit, and yet not affect the out drive connection.
However, I think that I know what alignment you are speaking of! You are speaking of the exhaust manifold to the down tube alignment so that the rubber coupler can connect...... correct?
On this engine (possibly cantilever hung), the flywheel cover needs to align with an anti-torque device (rubber cushion) that is set into the exhaust tube.
This torque unit must align with a corresponding receptical in the flywheel cover.
There will be some adjustment to the tune of a few degrees (not much).
You will want to support the engine and loosen all six flywheel cover "clamping ring" bolts.
(Use caution if you suspect any corrosion here.)
Now, if you can get the large sealing rings to break loose, the engine is now free to rotate and be indexed correctly.
Tighten the six bolts back up making sure that the rubber cushion fits into it's socket.
Does that sound like what you are after?
."