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The color and quantity of exhaust smoke tells a great deal about the condition of a marine diesel engine. All marine engines create smoke to some extent, but if the diesel engine is in good condition, the quantity will almost be invisible. Defects that affect the fuel, breathing or compression will prevent correct combustion and lead to excessive exhaust smoke.
The following analysis comes from U.S. Master Marine Surveyor Rob Scanlan and is presented courtesy of RCR Yachts.

Here is a link to more Catalina 320 technical info.... Click here
A failure of the steering cable was reported by Ken Danko on hull 802 on 12 October 2008. Conditions at the time were choppy seas and 25 kt winds. Ken's assessment and photos are captured below, along with responses by Gerry Douglas (Catalina Yachts) and Ed Siess (Edson).
At the end is additional thoughts and learnings from Ken and a reaction to the information provided by Edson.
My suggestion would be immediate inspection of your steering cable and rudder stops, looking especially for wear in the same area as Ken's failure (recognize that cable wear has also been reported at the chain link end inside the pedestal). Follow up with annual cable and stop inspections.
On WindWalker II we have Whale Brass Shut-off Valves to control the flow from the water tanks. The valve selector on one of my valves has become loose and I had to use pliers to turn the tank on.
My Standard Operating Procedures (SOP)I am sure that some will be controversial but I like to error on the safe side.

Warren Updike located an article by Jack Harden to help boat owners align their engine and prop shaft with minimal fuss.
The PDF file of the article and a spreadsheet to assist with analyzing the measurements is available from the Download Files section.
The article is available here in PDF format.
The spreadsheet is available here in Microsoft Excel format.
The article is posted here without permission, so we may be required to remove it or obtain permission at some point.

Gerry Douglas is the designer of the Catalina 320 and the C320 MkII for Catalina Yachts. We were very fortunate that he was willing to take the time to come speak at the 2006 Catalina 320 International Association annual meeting and regatta held in Coronado, CA.
Here is an edited recording of him announcing and discussing the C320 MKII successor to our beloved C320.
NOTE: This is a streaming .mp3 audio file. Most computers are configured to play this automatically. Contact the webmaster if you're unable to play it.

This article was contributed by the Anchor's designer and shouldn't be considered an endorsement of this anchor by the association. If you have first hand experience with the anchor, feel free to add comments!
Anchors are right at the heart of cruising. They allow remote and wonderful places to be visited, without the benefit of a solid dock or even mooring buoy. Put that notion with the recent comments from yachts surviving (or not surviving as the case may be) the recent spat of hurricanes worldwide, and it is clear one of the most important pieces of equipment onboard is your anchor, and associated gear. Here in New Zealand where the author resides, the majority of visiting cruisers still carry the older generation boat anchors such as plows (e.g. CQR), Deltas, claws (e.g Bruce), and flat-blade Danforth types. These boaters may not be fully aware of the benefits of the newer generation type anchors on the market – which have raised the bar somewhat in expectations of anchoring performance. Cruising can be something of a numbers game, and ensuring you have the best anchor possible is one way to stack the odds in your favor.
Read the full article here (Note: This article link points to the designer's website and launches in a new window)