The DelayWithFeedback, when Allpass is selected, implements a Schroeder allpass delay (as shown below), but with an inverted output:
 where b0 and aM are both equal to Feedback.
where b0 and aM are both equal to Feedback.
When an impulse is sent into the DelayWithFeedback, you will get an immediate impulse out, scaled by -Feedback. After M samples, the impulse will appear at the output of the internal delay line; the output will be the difference of that impulse and a scaled version of that same impulse. The end result is that the amplitude of the first delayed impulse output will be 1 - Feedback squared.
We tried to replicate your result, but did not see/hear the same behavior. Can you confirm that you are seeing this in the most recent version of Kyma (Kyma 7+)?