One problem related to transfer case has been reported for the 2001 Chevrolet K2500. The most recently reported issues are listed below.
Vehicle is 2001 Chevrolet silverado 2500 hd with 6. 6l duramax diesel and allison automatic transmission. At approximately 88,000 miles / approx 2500 hours, the transfer case hydraulic pump wore through the rear half of the transfer case, resulting in large amount of transmission fluid being released on the underside of the vehicle. Since the oil is flammable and it gets sprayed all over the bottom of the vehicle (including the exhaust system) it probably presents a fire hazard. . Read more...