For Automatics, you have some options:
1) Change gear ratios and put larger tires on. This is actually the best option. I used to have two identical station wagons. One had 3.07 gears and got about 20 mpg on the highway. The other had 2.72 gears and it got about 25 mpg on the highway. I liked the 3.07 gears better because it accelerated much faster, but the difference in RPM at 75 mph was huge. I also convert all of my Eagles to the standard Jeep Cherokee tire size of 235/75R15. I do not trim any externally visible parts of the fender, but it does require trimming up under the fender.
For reference if your engine is at 2500 RPM with 205/75R15 tires and 3.07 gears you’re going 63.66 MPH. Changing to 2.72 gears you’ll be going 71.85 at the same 2500 engine RPM. Changing to 235/75R15 tires you would be going 67.82 MPH with 3.07 gears and 76.55 MPH with 2.72 gears.
2) AW4 conversion: This transmission is relatively weak and has a reputation for overheating easily and being very inefficient for fuel mileage. In my opinion the fuel savings of having an overdrive does not make up for the fuel that is lost in overheating with this transmission. The transmission is also much more complex, prone to failure, and considerably harder to rebuild than a TF998. I believe you will be grossly disappointed by this conversion if you decide to do it.
They hold up fine in 4.0 Jeep Cherokees that are driven as daily vehicles, but they do not hold up to large tires or aggressive driving. They are computer controlled and you should only install one if you also install the fuel injection to go with it. The computer harness is tied into the fuel injection harness and there is a cable that goes from the throttle body down to the transmission that is meant to work with the fuel injection manifold. The best plan is to buy a whole 4.0 Jeep Cherokee 1991 or newer and transplant the entire drivetrain and wiring harness into your Eagle. The transmission is about 4 inches longer and you will have to contend with changes to your driveshafts.
3) TF727. This transmission is rated at 450 ft/lbs and is strong enough for even a well built 401 V8. It is found behind AMC 360 V8s in full size Jeeps and Grand Wagoneers. The case is fatter around the middle but otherwise looks identical to our TF998s. All the linkages and shift levers from the TF998 will work with it and the transfer case output is identical. It has a similar gear ratio for first and the same 1.00 third gear as the TF998. It’s a great upgrade for an Eagle, but not necessary. A TF998 is plenty strong enough for a 6 cylinder Eagle.
4) TH400: This transmission was found in 77 to 79 CJs and Full size Jeeps with special offset rear axles. It has an AMC bolt pattern but it has a crazy long output shaft and strange bolt pattern that will not work with our transfer cases or easily adapt.
5) 700R4: This is a GM transmission, only available with a GM bolt pattern. It’s the modern version of the TH400 with an overdrive added. It can be easily adapted to our transfer cases and adaptors to Jeep engines are available through Novak adaptors, but there are driveline length issues and flexplate issues that make this a very complex conversion.
6) 42RLE: This is the transmission I have in my 2006 Rubicon. It is computer controlled. It has a very high 4th gear at 0.69 overdrive. It is a modern variation on the exact same TF998 that we already have in our Eagle as indicated by the “2” as a second digit. The first digit “4” means four speeds. The V8 Grand Cherokees were the only Jeeps to get a modern TF727 equivalent, called a 45RE. The “5” means 5 out of 5 strength. Those transmissions only exist with a Chrysler bolt pattern and couldn’t easily be installed in an Eagle. Any Wrangler 4.0 transmission could be put in an Eagle if you had the wiring harness and computer and lots of money and patience.
-Dave Spillane-