DEFINITION: A few drops of lubricant that are leaking from the splined yoke are normal. This condition does not require attention.

The slip yoke barrel is burred, nicked, corroded, or worn.

1. Inspect the slip yoke for burrs.

Careful use of crocus cloth or fine stone honing can remove minor burrs.

2. If the yoke is badly burred, corroded, or worn, replace the yoke. Refer to Rear Propeller Shaft Replacement .
3. Replace the oil seal. Refer to one of the following procedures:

•	Rear Output Shaft Seal Replacement for the BW 4485-NR3 transfer case

•	Rear Output Shaft Seal Replacement for the NVG 246-NP8 transfer case

•	Propeller Shaft Front Slip Yoke Oil Seal Replacement for the 4L60-E automatic transmission

There is a faulty oil seal in the transmission or in the transfer case output shaft.

Replace the oil seal. Refer to one of the following procedures: