I am in the process of replacing the passenger side cable. I too discovered the new cable head would not fit into the guide and so I ground it down to where it fits now. However the cable itself, with the added felt, produces to much drag in the guide causing the clutch to slip (as it should).
So I searched the forums for a solution and am happy to find this well documented write up. I will continue today with the removal of the felt and see how it goes. Thank you nine11speedster for your post.
