IIRC correctly there's TWO seals - one that seals the large shift lever shaft to the case, and a 2nd seal, an "o-ring" type of seal for lack of a better tem for it(and not a metal cased one) for the kd shaft that runs thru the center of the larger shaft that is sealed by the larger washer. I'd drop the valve body and change both, for piece of mind. The 2nd seal is under the e clip and washer.