It's kind of rough looking but not the worst I've ever seen. Replace it, clean out the air box and maybe vacuum out the excess of your older air filter just in case you need a backup. Like a lot of people say here you get the most where by opening up the air box is that's when the silicone is at the highest during a oil analysis. You would surely be a candidate for a dry flow air filter. Wash it out with cleaner AKA simple green light detergent let it dry and reload it into the air filter box