Removal (Explorer & Ranger)

Raise vehicle on hoist, and position jackstands under vehicle. Remove skid plate (if equipped). Remove damper from transfer case (if equipped). If disassembling transfer case, drain fluid from transfer case. Install plug.
On manual shift transfer cases, disconnect 4WD indicator switch at transfer case. On electronic shift transfer cases, remove wire connector from feed wire harness at rear of transfer case.
Disconnect front and rear drive shafts from transfer case output shaft yokes. Disconnect speedometer cable from transfer case rear cover. Disconnect vent hose from shift control selector lever and housing.
On manual shift transfer cases, remove shift lever retaining nut and lever. Remove both large and small bolt retaining shifter to extension housing. Remove shift control selector lever assembly and bushing.
Support transfer case with a jack. Remove bolts attaching transfer case to transmission extension housing. Slide transfer case rearward off transmission output shaft. Lower transfer case from vehicle. Remove gasket from transfer case and transmission extension housing.