When it loosened up it wiped the key off the flywheel? I'd think the casting/machining would make it difficult to cast a key into a flywheel(could be wrong)I put the flywheel back on (you can still see where the key was), and torqued it down, and it fired up. My question now is - is the key critical for power transmission, or is it strictly for timing? My guess would be that being a tapered shaft, that the key is primarily for timing but still am not certain. The key was cast right into the flywheel.
New flywheel is $76 here
http://www.partstree.com/parts/?lc=husqvarna&mn=365 Special EPA (1999-11)&dn=082960011
It's an M8X1 nut which I believe is 28-32N-m torque spec
If the flywheel moves it'll be the equivalent of an engine "jumping time"
Except this one's spinning at what? 12k+ rpm - Hopefully there's enough safety margin built into the jug/casing to hold it together