The cats are the ones right at the front.
Don't cut them out - emissions go up, yes... but so does the
stink! Non cat cars smell BAAAAD!
2 seconds behind my '72 Beetle and you get a headache, you'd probably survive fine, for 20 minutes in a closed garage with my mrs BMW.
I doubt there's any real performance to be gained from an exhaust swap on an R32 engine anyway - everything else is farly restrictive , and they're by NO means a "performance" engine - they're very average output, though the low end torque is quite good, for their day.
The front parts can all be changed with R32 bits, and the rear suitcase muffler can probably be modded to be a lot like the R32 muffler.
I have some pics of the inside of an R32 rear muffler somewhere - One pipe goes around the inside in a loop and through some convoluted paths, and the other is a straight through pipe full of little holes to the flapper, which opens at the right times
