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The first water cooled engines are starting to have problems with the intermediate shaft bearing. Porsche changed the bearing type for the watercooled engines (a sealed type bearing) and it apparantly is failing after years of being soaked with oil.
My friend has a 2001 996 with 68k miles and his IMS bearing just failed and resulted in cracked heads. The car is at Jake Raby's for repair (complete rebuild) and some improvements and the cost is about $18k. Another buy in our local PCA had his intermediate shaft break after a bearing failure and his repair was $12k
I think that Porsche cured the problem with either the 997 or 997.2.
Vern
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