I removed the cutlass bearing by carefully cutting from the inside with a reciprocal saw. Maybe not careful enough, because I scored the stern tube interior interior with two of the cuts, but the scoring was shallow and short so I don't think the stern tube integrity will be an issue going forward. I used a new/fresh blade for an even cut over the whole length of the long cutting surface. Two lengthwise cuts allowed me to start to peel back a section using locking pliers. I had made a third cut but not all the way, so it just improved the ability to squeeze the bearing in diameter for removal. Once I started the bending of the cut section I used cold chisel (with a light hammer) to extend the bend inward. Then I compressed the diameter of the cutlass bearing with locking pliers so it could be removed easily. I will clean the inside with a moist ScotchBrite synthetic scrub pad, rags and brush.

I have completed the above, and will start the insertion of the new bearing soon, hopefully this weekend.