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You are probably thinking of cut-outs. Normally they mount behind header collectors and allow you to uncap the exhaust for a straight shot into the atmosphere. Very loud. Enough to get you a big fat ticket from the cops. Power gains on mild street engine will be just that, mild. Most of the gain is made in the upper rpms, espically in an engine that makes power above and beyond 6500rpm.
Here's what one looks like. Just imagine it being inline along the exhaust system somewhere. All you are doing is bypassing the mufflers and increased exhaust flow.
My barber was telling me a story about a rod he had "back in the day" It had cut-outs like these, and they used to plug them with these rubber *****. Long story short, one time he was at a light, someone wanted to go, so when he stomped on it (actually his WIFE might have been driving) the rubber ***** shot out, and uncorked the exhaust. A totally unintended effect, but it scared the p00p out of the challenger, and the car went like a scared rabbit. He lost the ***** but was lucky enough to find some at some tourist shop..the guy said "I've never had anyone buy these ***** before" He bought em all.
jay- I know i am still waiting for the transmission to get fixed, i think i outdid u this time, normally u are the one breaking things all to hell, i asked him how bad i broke it...and he laughed...cant be good :)