Brought this Rheem water heater home yesterday, unboxed it and saw this dent. It's at the very bottom on the seam in the rear and is indented about 1". Is it ok to install it?
IMHO you should be safe. There is simply a free-air-flow system for combustion air in that area. Yes, impinged could affect performance and for that reason, maybe screw into the shell and try to pull out as much as possible.