Hi Michael, If the thrust washers around the intermediate gear are ok, ie any surface wear has not broken thru the hardening, leave well alone if the end float is around 0.012" or less. The best way to check is to assemble the cases with the intermediate gear and bearings as a unit by themselves, and nip up all the fasteners. You can then get in with a feeler gauge to check end float. A few thou over will not make much of a difference, but much over may set up a harmonic oscillation in the primary at higher speeds. If the thrusts are deeply scored, option one would be to reverse them and use the previously unworn side, and repeen gently. Using a dab of grease to locate them before peening until you are sure you have the correct clearance.

I think you are spot on with your advice, Tim. And if Michael feel that the thrust washers are too thick for the countersink, small indentations in the rim of the washers can be ground for the peened material to grab into. See to first that the washers are flat, level and doesn't rock. The peening doesn't have to be overly done, but the washers should be secured firm. Normally they shouldn't be subjected to a lot of load.

Harmonic Oscillation in the primary Tim ? ...does this come in around 40 mph as an escalating vibration with increased revs ?