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Dear Andrew in AL,
Hope you're well. How long has it been since the automatic transmission fluid (ATF) was flushed? I asked, because a double-flush cured transmission slippage on a '95 940. The in-service ATF was simply "worn out".
Is the ATF milky/cloudy, rather than a medium rosy red? If the ATF is cloudy, coolant has entered the ATF, thanks to a failed in-radiator ATF cooler. Solution: at once, replace radiator and flush the tranny twice, first with Wal-Mart ATF and then - after 1,000 miles - with standard or synthetic ATF.
If water contamination has been brief (a few days), you may be able to salvage the tranny. Water does not lubricate and turns to steam at normal transmission operating temperatures. Water also attacks the glue that adheres clutch pack facings to the metal substrate. Fibers of clutch material can also clog fluidways. A flushing undoes some of this damage.
If water has been present for a long time, shop for a replacement transmission. While Aisin-Warner trannies are no longer plentiful, they usually outlast the cars. Seek a unit with ATF that is rosy red, rather than dark red, black, brown, or orange (all evidence of age/abuse).
If there's no water in the ATF, hunt for the leak. A loss of a quart suggests a major leak.
Hope this helps.
Yours faithfully,
Spook
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