I never saw any exhaust coming out. But those gasket look to me like they were leaking, at least at some time. I have less than 2k on the bike. I did go over the bike after the less than stellar 500 mile service. I did snug up those exhaust nuts, a fair amount. The lloydz gaskets seem to be much better.
'12 Vegas, 78 Bonneville, 69 BSA project.