1. Does this process remove items from the MySQL Audit tables? Or Just Audit Logs?
It deletes the records from MySQL Audit tables.
2. If from the MySQL tables, will the format allow for readable searches on the content?
The audit records are stored as plain text files compressed into .ZIP archives (on the target FTP server).
3. Will the content include everything we see in the View/Gateway Audit Events Panel?
Yes, It takes the dump of the audit records from the DB and stores in a plain text file.