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"...leak in my ATF cooling line where it is clamped to the undercarriage..."
A common, common, common problem. Three of my 240s have suffered this disease. In fact, the last several I bought with AT, I fixed the problem before it occured (wrapped tape around the pipe and stuffed it under the clamp so the pipe couldn't vibrate 'n chafe...).
Those lines are under essentially no pressure, so the repair is easy. You have several choices:
1) Buy new pipes from Volvo ($$$$)
2) Cut and splice the pipes using compression or flare fittings (takes time).
3) Solder or braze the pinhole (messy, takes time, must remove and wash out the pipes).
4) Cut out the chafed part (about 2" long) and patch it using the highest quality fuel injection Neoprene hose and high quality screw-type clamps. (Quick, easy, cheap, repair-in-place.)
I've always used approach #4 and have put over 150k miles on several repaired cars without further failures of the pipes or splices.
Once you splice the pipes using hose, secure them to the support brackets so they cannot vibrate. (Plastic zip ties work well for this.)
--
Don Foster (near Cape Cod, MA)
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