This doesn't work in any other A/T vehicle I've ever driven, but in my minivan when I lift off the gas I can feel, just for a second, a tiny bit of engine braking, then the TC seems to freewheel while keeping the engine speed up, but the current MPG climbs very quickly because of the DFCO.
I haven't done scientific coastdown testing, but there seems to be very little difference in speed or FE readings between coasting in gear or in neutral, and I have gone back and forth on this quite a bit to see.
Like I say, this is the only vehicle I've found this on, so I don't know if this is an anamoly, or if this is by design.
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