Chrysler Repair: 1996 LHS Transmission, shaft speed, turbine speed

Question
Just had the transmission for a 1996 LHS go into "Limp-in" mode with 130,000 miles.  No previous repairs on transmission.  I recently moved from WA to Northern AZ and no longer have the services of the mechanic I've known for years.

Went to local Chrysler dealer and had them run the transmission computer.  Here are the numbers:
36 P1790
53 P0733
54 P0734

Dealer said I needed a rebuild/overhaul. Two quotes from dealer are $3005.55 for remanufactured Mopar trans. Or,$1764.99 for overhaul.  Engine, frame, and body are in great shape.

Do the computer numbers confirm needed repairs?  Any help with which repair job I should get, or should I be getting another opinion?   

thanks, Seth

Answer
Hi Seth,
If you haven't checked the transfluid level recently that should be done. If it is in the normal range then from the manuals that I have it is doubtful that there is anyother explanation for those trouble codes other than internal mechanical problems. The latter two codes say that there is apparent slippage in two different gears (3rd and 4th) and the first code says that it is detected shortly after the gear shift happens. That is the kicker that indicates a mechanical rather than an hydraulic possible cause for the ratio error between the input turbine speed and output shaft speed from what it would be expected if the clutches were holding firm. If the fluid is low, then add some Chrysler 7176 to bring it up to normal range to see if that has any effect.
But absent that, it would appear that the likelihood is high that a remanufactured or overhaul is needed. I have no experience with that choice. Probably the warranty would be the tipping factor.
If it were something less costly, the codes might have pointed to an hydrualic fault as well but because not and the 36 also displayed I would say that the chances of any other repair being effective are low.
From what I can tell these transmissions have a finite life before a major problem develops, and I don't believe that 130k miles is atypical. But if there is an independent trans shop (non-franchise) that has a good reputation it would be worthwhile speaking with the owner about the codes and the history and see if he can offer an alternative approach or a more attractive bid on the job. Of course compare warranties.
It makes me leary of getting a Chrysler with this type of trans. My '89 had the 3 speed non-electronic but at 100k I can't say it has proven itself yet. But I am hoping it will get quite a bit further before giving problems.
Let me know if something comes out of the fluit level check or second bid request, please.
Roland