I believe the two version used their GAIN recording method.
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There is no such thing as an Ultradisc 1, there are simply the original Ultradisc reissues and the Ultradisc 2 reissues. Your reissue, from 1991, is in the original Ultradisc series. It was never issued as an Ultradisc 2. For your convenience here is the Mobile Fidelity discography, that verifies this, http://members.aol.com/boardwalk7/mofi/mofiulcd.html
To answer your other question, the British LP is the copy preferred by audiophiles that have made the comparison.
I have the first pressing Track Record/MCA vinyl Quadrophenia purchased on the day the album was released in the U.S., as well as the Mofi CD. The vinyl sounds much better than the Mofi CD, apart from the glow of nostalgia of bonging through all four sides twice in a row listening to Advent speakers in my freshman dorm in the fall of '73.
I bought a few of the early Mofi Ultradisks and could not hear a wit of difference between them and standard issue CDs. I believe the GAIN System/UD IIs were mastered on Mofi equipment upgraded with Theta technology. To my ear these are a step up from the original UDs, tho perhaps no better now than subsequent reissues by the record companies.
THe point is that the master recordings will all differ. It would be difficult to compare a UDCD-1 that has been copied from a great 30 IPS, 2 inch Master, to a 15 IPS 1/4 inch tape that used the Gain 2 system. I really like the Moody Blues Gain 2 CDs. There are certin moments where notes are hit and does take on the appearince of a sence of realism. ( who am I kidding ) I a very general broad sence, I do like the gain 2 system better.