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Old 09-16-2009, 09:16 AM   #20
mrshelley
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Join Date: May 2004
Location: Bethlehem, PA
Posts: 916
My Ride: 2004 330i
I know that when Jim Blanton first did an e46 diff (in 2000) he had to machine out the case just to get the diff in. It worked OK but there were some problems and after 2 burned up diffs, he finally got a carrier to fit without machining and everything has been fine since.

I do suggest using the Redline Shockproof (Blue) gear oil.
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