Part 1

DISASSEMBLY
REAR RETAINER
1. Remove extension housing bolts.

Fig. 10:

2. Tap extension housing with plastic or rawhide mallet to loosen sealer.
3. Separate extension housing from rear retainer.

Fig. 11:

4. Remove rear bearing snap-ring.
5. Remove bolts holding rear retainer to rear case half.

Fig. 12:

6. Loosen rear retainer with pry tool to break sealer bead. Pry only against retainer boss as shown.

Fig. 13:

7. Remove rear bearing O.D. retaining ring with snap ring pliers. Then tilt pump and slide it off output shaft.

Fig. 14:

8. Remove pickup tube O-ring from pump but do not disassemble pump; it is not a repairable part.
9. Remove seal from oil pump with pry tool.

Fig. 15:

10. Remove bolts attaching rear case to front case. Note position of the two black finish bolts at each end of the case. These bolts go through the case dowels and require a washer under the bolt head.

Fig. 16:

11. Remove rear case from front case. Insert screwdrivers into slots cast into each end of case. Then pry upward to break sealer bead and remove rear case.

CAUTION: Do not pry on the sealing surface of either case half as the surfaces will become damaged.

Fig. 17:

12. Remove oil pickup tube and screen from rear case.

YOKE AND RANGE LEVER
1. Remove front yoke nut:
a. Move range lever to 4L position.

Fig. 18:

b. Remove nut with socket and impact wrench.

Fig. 19:

2. Remove yoke. If yoke is difficult to remove by hand, remove it with bearing splitter, or with standard two jaw puller. Be sure puller tool is positioned on yoke and not on slinger as slinger will be damaged.
3. Remove seal washer from front output shaft. Discard washer as it should not be reused.

Fig. 20:

4. Remove nut and washer that attach range lever to sector shaft. Then move sector to neutral position and remove range lever from shaft.

FRONT OUTPUT SHAFT AND DRIVE CHAIN

Fig. 21:

1. Remove drive sprocket snap-ring

Fig. 22:

2. Remove drive sprocket and chain.

Fig. 23:

3. Remove front output shaft.

SHIFT FORKS AND MAINSHAFT

Fig. 24:

1. Remove shift detent plug, spring and pin.
2. Remove seal plug from low range fork lockpin access hole. Then move shift sector to align low range fork lockpin with access hole.
3. Remove range fork lockpin with size number one easy-out tool as follows:
a. Insert easy-out tool through access hole in side of transfer case and into lock-pin.
b. Tap easy-out tool into lock-pin with hammer until tool is securely engaged into the lock-pin.
c. Install a t-handle, such as from a tap and die set, onto the easy-out tool.
d. Securely tighten the t-handle onto the tool.
e. In one motion, pull upward and turn the t-handle counter-clockwise to remove the lock-pin.

Fig. 25:

4. Remove shift rail by pulling it straight up and out of fork.

Fig. 26:

5. Remove mode fork and mainshaft as assembly.

Fig. 27:

6. Remove mode shift sleeve and mode fork assembly from mainshaft. Note position of mode sleeve in fork and remove sleeve.

Fig. 28:

7. Remove intermediate clutch shaft snap-ring.

Fig. 29:

8. Remove clutch shaft thrust ring.

Fig. 30:

9. Remove intermediate clutch shaft.

Fig. 31:

10. Remove differential snap-ring.

Fig. 32:

11. Remove differential.
12. Remove differential needle bearings and both needle bearing thrust washers from mainshaft.

Fig. 33:

13. Slide low range fork pin out of shift sector slot.

Fig. 34:

14. Remove low range fork and hub.

Fig. 35:

15. Remove shift sector.

Fig. 36:

16. Remove shift sector bushing and O-ring.

INPUT GEAR/LOW RANGE ASSEMBLY
1. Remove front bearing retainer bolts.

Fig. 37:

2. Remove front bearing retainer. Carefully pry retainer loose with screwdriver. Position screwdriver in slots cast into retainer.

Fig. 38:

3. Remove input gear snap-ring.

Fig. 39:

4. Remove input/low range gear assembly from bearing with Tool Handle C-4171 and Tool 7829A.

Fig. 40:

5. Remove low range gear snap-ring.

Fig. 41:

6. Remove input gear retainer, thrust washers and input gear from low range gear.

Fig. 42:

7. Inspect low range annulus gear. Gear is not a serviceable component. If damaged, replace gear and front case as assembly.
8. Remove oil seals from following components:
- front bearing retainer.
- rear retainer.
- oil pump.
- case halves.

DIFFERENTIAL
1. Mark differential case halves for reference.
2. Remove differential case bolts.
3. Invert differential on workbench.

Fig. 43:

4. Separate top case from bottom case. Use slots in case halves to pry them apart.

Fig. 44:

5. Remove thrust washers and planet gears from case pins.

Fig. 45:

6. Remove mainshaft and sprocket gears from bottom case. Note gear position for reference before separating them.

ASSEMBLY
Lubricate transfer case components with automatic transmission fluid or petroleum jelly (where indicated) during assembly.

CAUTION: The bearing bores in various transfer case components contain oil feed holes. Make sure replacement bearings do not block the holes.

BEARING AND SEAL

Fig. 46:

1. Remove snap-ring that retains front output shaft front bearing in case. Then remove bearing. Use hammer handle, or hammer and brass punch to tap bearing out of case.

Fig. 47:

2. Install new front output shaft front bearing with Tool Handle C-4171 and Installer 8033A with the tapered cone upward.
3. Install front bearing snap-ring.

Fig. 48:

4. Remove front output shaft seal using an appropriate pry tool or slide-hammer mounted screw.

Fig. 49:

5. Install new front output shaft oil seal with Installer 6952-A.

Fig. 50:

6. Remove input gear bearing with Tool Handle C-4171 and Remover C-4210.
7. Install snap-ring on new input gear bearing.

Fig. 51:

8. Install new input gear bearing with Tool Handle C-4171 and Remover C-4210. Install bearing far enough to seat snap-ring against case.

Fig. 52:

9. Remove the input gear pilot bearing by inserting a suitably sized drift into the splined end of the input gear and driving the bearing out with the drift and a hammer.

Fig. 53:

10. Install new pilot bearing with Installer 8128 and Handle C-4171.

Fig. 54:

11. Install new seal in front bearing retainer with Installer 7884.

Fig. 55:

12. Remove output shaft rear bearing with the screw and jaws from Remover L-4454 and Cup 8148.

Fig. 56:

13. Install new bearing with Tool Handle C-4171 and Installer 5066. Lubricate bearing after installation.

Fig. 57:

14. Install new seal in oil pump feed housing with Special Tool 7888.

Fig. 58:

15. Install new pickup tube O-ring in oil pump.
16. Remove rear retainer bearing with Installer 8128 and Handle C-4171.

Fig. 59:

17. Install rear bearing in retainer with Handle C-4171 and Installer 5064.

DIFFERENTIAL
1. Lubricate differential components with automatic transmission fluid.

Fig. 60:

2. Install sprocket gear in differential bottom case.

Fig. 61:

3. Install differential planet gears and new thrust washers. Be sure thrust washers are installed at top and bottom of each planet gear.
4. Install differential mainshaft gear.

Fig. 62:

5. Align and position differential top case on bottom case. Align using scribe marks made at disassembly.
6. While holding differential case halves together, invert the differential and start the differential case bolts.
7. Tighten differential case bolts to specified torque.