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There are both bands and clutches in your transmission and likely you have an internal pressure loss that is affecting overdrive. Repair cost i can't give you but being as old as it is likely you can get an identical vehicle for what it will cost to repair. You may be able to prolong the inevitable by using a conditioner such as lucas,(only one I've seen that actually does help in some cases) but it can't fix what is worn, so even if it works better, it will only be temporary. I know that isn't exactly what you wanted to hear but that's the way it is.
first thing i would try is changing the transmission fluid out and filter, i beleive its almost 8 quarts. use a full quart of lucas transmission additive with the new fluid. if this doesn't help, the transmission will either need replaced or rebuilt
I had the same problem. The seal in the tranny that applies pressure to the overdrive clutches had blown out because the clutches had too much wear and the piston with the seal on it was coming out of it's bore causing the seal to rupture. Sounds complicated but there's a somewhat easy fix. The assembly on the passengers side of the tranny (jack up the car and remove the wheel) with about five bolts holding it on, is the complete OD clutch and piston assy. You can remove the bolts and remove the assembly, then inspect the clutches and the piston seal without removing the tranny. I pulled the parts from another tranny I had, but any transmission shop should be able to get them for you. Good luck.
motor mounts don't have anything to do with this problem. sensors and vacume lines do. You can start checking all your wires, and vacume lines first check to see nothing got crimped chipped, cracked or damaged in any way. If none of these its a sensor.
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