That's a fail on the first coil. It will still be stored but not active. Bad coil should shut you down on that cylinder but.. Might be worth checking connections to your coils and maybe move the coils around. If the fault changes to coil #2 after moving 1 to 2, get a new coil before it fails totally.
As for water in the hull, most common on that generation is the OPAS rubber tubes that run from the fins to the pump opening. The rods that move the fins travel inside a soft rubber tube that goes between the 2 hull openings. Easiest way by far to find a water leak is fill up _inside_ the hull and look to see where it comes out. Since it certainly won't be forward, you can tilt machine back about 20 degrees on trailer. Fill up above the sponson bolts. You'll be able to see where it comes out pretty easy.
