D2 A8/S8 (1997 - 2003)
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There are two differentials in the quattro transmission.
Posted by: hyperlogos (20841) on 2017-09-27 13:39:25
In Reply to: I don't understand how differential fluid can be leaking out from the transmission. posted by TomaS8 on 2017-09-27 12:52:14

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The transmission is actually a transaxle, and it contains the front axle differential, a standard open diff. But the transmission also includes an integral transfer case, which contains a torsen diff which is what makes the vehicle AWD and not 4WD in the common parlance. Consequently it can leak either transmission fluid, gear oil, or gear oil with friction modifier. There are three fill plugs, since there is a differential at each end.

The three output shaft seals (LF, RF, rear) are all common points of failure, and they are also all a PITA to replace. The rear one will leak again if you don't also replace the shaft, and then it will still probably leak again.

If you need a new transmission, and you are not afraid to spend money, then you should either take it to Tozo for a rebuilt slush box or you should 6-speed swap it.
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