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I appreciate all the replies, sorry I haven't gotten back sooner, but such is life with the holiday season. Anyway, I have just about everything and will tackle this project on my next day off. I have herd differing opinions on Transfer Case and Transmission fluids. My gut says go with Mercon V, but before I screw up and use the wrong stuff I am hoping to get a general consensus on weather to use just ATF, or Mercon, Mercon V or what have you.
4R100 trans can use any branded Mercon V trans fluid. For your transfer case the only recommended fluid is XL-12.
Ford directed their dealerships to stop using Merc V trans fluid for the transfer case back in 2012 IIRC.
Please don't take my word for it. Do a quick Google search or even a search here for more info.
Stewart
I remember coming across this tidbit out of the blue last fall (something about a specific seal or o-ring or something?).
I've been running Mobil 1 ATF (Mercon V compliant) in my transfer case since I bought in back in 2007 and haven't had any issues (for all I know the internals are slowly dissolving). One of these days I'll change it out for some XL-12 before the transfer case melts.