It could be designed like a shaker where the air comes in through the front, then around to the back. That way the water doesn't hit the engine directly. Ibelieve the Ram Air setup is just a tube with drain holes on the way to the CAI.

 

They do have drains, my turbocoupe the water went though the intercooler onto the turbo and header, (side note, ever seen one of those things after a hard run down the turnpike at 20psi? it glows bright red! lol)

 

If you cut, it will rust. (at least in MI it will.lol) Thats y I dont have cab lights yet.

 

you just have to make sure it is primed and/or painted good