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octane and E/S/W trans operation in 960 900

More pre-purchase questions:
What is/are long-term consequence of running a 960 on 87 octane? Not sure that the present owner has always done this, but when we gassed up during the first test drive he happily poured in 87 and whined about the price, so I don't think he's been springing for 89/91/93 of late. Warning sign?
Question 2: present owner was also surprised when I switched the transmission modes, "Always wondered what that thing is for..." Found it in "S" mode, don't know if it is always there or not, especially given how easy it is to switch it accidentally (my dog does it all the time in our 850). Anyhow, Is there anything negative about always being so darn "sporty"?
Thanks for all advice. I'm trying hard to not make the mistake(s) I made buying an 850 5 months ago, so I'm trying to ask about everything, and I'm grateful for the resources here.
--JP






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