wait, is it an electronic transfer case? that could be your problem right there
Hope this helps.THROTTLE VALVE CABLE ADJUSTMENT
AOD Transmission With Fuel Injection
ADJUSTMENT WITH ENGINE OFF
Set the parking brake and put the selector lever in Neutral.
- Remove the protective cover from the cable.
- Make sure that the throttle lever is at the idle stop. If it isn't, check for binding or interference. NEVER ATTEMPT TO ADJUST THE IDLE STOP!
- Make sure that the cable is free of sharp bends or is not rubbing on anything throughout its entire length.
- Lubricate the TV lever ball stud with chassis lube.
- Unlock the locking tab at the throttle body by prying with a small screwdriver.
- Install a spring on the TV control lever, to hold it in the rearmost travel position. The spring must exert at least 10 lbs. of force on the lever.
- Rotate the transmission outer TV lever 10–30°and slowly allow it to return.
- Push down on the locking tab until flush.
- Remove the retaining spring from the lever.
You are correct Mark V that is my mistake.Usually a bad transmission the RPM's will be higher cause of the slipping, I never heard of the opposite.