It uses XTS (CipherText Stealing).
I couldn't find it in a manual (but didn't look very hard). 
Found it in one of CeCe Lewi's presentations:  
https://www.zexpertenforum.ch/images/87/GSE_201710_Z_security_for_Data_set_encryption_092017.pdf
  (See slide #9)

Greg Boyd
[email protected]
www.mainframecrypto.com

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