Volvo Repair: 2004 XC90 T6 - coolant in transmission fluid, light message, message transmission


Question
I have a 2004 XC90 T6 in New Zealand.  It's in the workshop with transmission problems. Two days ago it got stuck in 3rd gear - limped home with a warning light and "transmission service urgent" message. Transmission worked next day - but light & message still on.

The service guys here think they have found coolant in transmission fluid and they are testing it overnight to make sure.  They have tentatively suggested they might want to replace seals.

What's your view on this problem?  
Is replacing seals an effective solution?
I notice with alot of other x90 owners that most serious transmission problems have to be resolved by complete replacement.

Also, I have not yet established with them yet what the warranty situation is.   I am the 2nd owner, the vehicle is 68kms and was a new purchase sometime in 2004 (will have to check month).  I am guessing the warranty is 3 yrs/100kms or something like that - does a normal warranty cover something like a faulty transmission?
Any views of what the Volvo policy is, in general?

Thanks in advance
Rod White  

Answer
Rod, here in the states its a 5 year, 50 thousand miles on those.  I would check with your dealer there.  It shouldnt matter if you are the second owner or not.  You need to check the in-service date of the vehicle.  I would not let these guys do anything to it.  This transmission is covered under warranty.  Let me know how it works out.  Roger