I am working on my 95, 5.2, automatic, 2wd. I separated the extension housing from the transmission before I dropped the transmission. When I got it off, I looked at the transmission shaft that goes into the housing. Halfway down the shaft, this part was hanging. I took it off but didn’t pay attention to its orientation.

One side has a recessed groove around the outer circumference. The other side has a raised ridge around the inner circumference. Anyone know what this is, and more importantly, which way the side with the recessed groove should face, the transmission or the extension housing?

 

It looks like a seal. Do the parts of it move/rotate? Then it might be a bearing.

 

It’s not a seal. It’s either a bearing or a spacer.

 

That inner raised ridge does turn. So it must be a bearing.

 

I figured it out. It only fits flush against the extension housing if the inner, raised ridge faces the transmission.