Got the water heater out but it was an ordeal. It does come out through the exterior. However it looks like it was put in and then the inside was skinned during manufacture as the interior wall was a smaller opening than the exterior and had to be enlarged at the top of the opening by about 1.5 inches (aviation shears , dremel and hacksaw blade). Also had to cut flush the supply nipples.This heater also has a pin in it that fits a bracket in the floor and it can only be pulled to the outside. In pulling it slip a piece of sheet metal or mat board(used for framing pictures) between the heater and the floor or the pin will catch the belly pan metal that wraps on the floor. I learned the hard way with two minor tears that I will now learn to repair.