I managed to get to a local pick&pull and look at a very nice alternator, unmolested. After taking off the 3 phillips screws and the 13mm nut holding the black rear cover in place, lo and behold, a lovely voltage regulator held in place by 2 phillips screws!
Very easy to replace, nothing has to come off the engine. Tasca sells the voltage regulator for $52.22 (plus shipping) http://www.tascaparts.com/parts/1996/VOLVO/850/GLT/?siteid=213668&vehicleid=1433981§ion=ALTERNATOR&group=ALTERNATOR&subgroup=ALTERNATOR&component=VOLTAGE%20REGULATOR
FCP sells one for $54.49+
http://www.fcpeuro.com/products/volvo-voltage-regulator-100amp-9130518
Again, no need to replace your alternator just because the brushes are worn down. A few local shops in your home town may even have the proper brushes for $10, but then you would have to do another bit of labor to R&R the two magnets.
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