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Yes, the spring was there as you described. Now I need to get the lower unit back together, not sure the orientation of the prop shaft bearing housing, oil holes facing up or down? Seems like someone has been in the lower unit several times before me, and may have installed the prop shaft bearing housing both ways(holes up and holes facing down) at one time or another. I want to put it back correctly this time. It seems like the pinion gear teeth on the end of the drive shaft contact the prop shaft bearing housing if installed with the oil holes facing down, as there is a groove worn in the housing corresponding to past gear tooth interferance. I do not think this is the correct orientation, as I think the holes should be facing up. Can you confirm this? Jonathan