Spent last weekend with a friend dropping the tranny on my '87 740 Turbo (M46). We thought a bad pilot bearing was causing the clutch to drag slightly; shifts into first were difficult, and entering reverse was impossible with the engine running. The car had a new clutch a year ago, incl. pressure plate, disc, release bearing and release arm and a rebuilt slave; and a new clutch master about 6 months ago.

End result? With new pilot and release bearings and a thorough inspection of the disc and pressure plate (looked great except for a bit of surface rust on the PP due to a missing [now replaced] boot around the release arm), everything should be kosher... but it still grinds when attempting reverse.

The hydraulics are well-bled. We topped up the tranny (needed about 3/4 quart) with a little Redline Type F and dino Valvoline Type F that my friend had lying around. Otherwise, the tranny supposedly has some form of Redline in it.

Any other ideas?

Thanks,
-Dave