Shifter boot leak, or something...
 

Just recently I bought my second car, a 1989 S5 GXL. I'm going through the whole car fixing everything, because the car needs some tlc. I have been getting an odd smell from the shifter, and I open it up and see this....

http://img10.imageshack.us/img10/727...0802165701.jpg

It looks like it had the boot cut away? This is my first manual tranny car, so I'm not sure what I looking at. PS, I am replacing the bushings this week because they are really sloppy.