You need to know about this problem. I didn't know about it, and just had my output shaft bushing come completely out of my transfer case on my trip back from Montana this past weekend. I am not sure what I'm going to do, but I drove home okay. My truck has 163K miles on it. Apparently this is another one of those KNOW problems that GM won't do anything about for their truck owners.


http://www.dieselpowermag.com/tech/1...ting_disaster/

http://www.youtube.com/watch?v=RPBUAKUiB2A

I have never seen any oil come out of my transfer case. Apparently it only comes out while driving, and can trash the whole transfer case if you're not careful. There is a kit made that will prevent the hole if it hasn't already popped through like mine has. Otherwise you have to replace the rear case and install the kit in it. With 163K I'm not sure if it makes more sense to get a rebuilt transfer case with the fix already incorporated.