Page 533 of 1002
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Exhaust System
M52 engine
(5281 1997-1 998)
1. Exhaust manifolds
2. Sealing washer
3. Plug
4. Gasket (manifold to cylinder
head)
5. Clamping sleeve
6. Post-catalytic converter oxygen sensor
7. Pre-catalytic converter oxygen
sensor
8. Hanger
9. Rear muffler
10. Vibration dampener
11. Center support bracket
12. Clamping sleeve
13. Front pipe with catalytic
converters
14. Hanger
15. Center muffler
16. Gasket (front pipe to manifold)
Page 534 of 1002
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I Exhaust System
M52 TU and M54 engines
(528i 1999-2000
and 525i 2001-2003)
1. Transmission bracket
2. Center support bracket
3. Front muffler
4. Clamping sleeve
5. Vibration dampener
6. Hanger
7. Rear muffler
8. Hanger
9. Center muffler
10. Oxygen sensors, post-catalytic
converter
11. Oxygen sensors, pre-catalytic
converter
12. Exhaust manifoldlcatalytic
converter assemblies
Page 535 of 1002
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Exhaust systeml
M54 engine
(5301 2001-2003)
Clamping sleeve
Front muffler Rear muffler
Hanger
Vibration dampener
Clamping sleeve
Center muffler
Hanger
Gasket (front pipe to manifold)
10. Exhaust
manifold/catalytic
converter assemblies
11. Oxygen sensors, post-catalytic converter
12. Oxygen sensors, pre-catalytic converter
Page 536 of 1002
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I Exhaust System
M62 engine
(540i 1997-1 998)
1. Right side catalytic converters
2. Support bracket
3. Support bracket
4. Center muffler
5. Hanger
6. Rear muffler
7. Clamping sleeve
8. Oxygen sensors, post-catalytic
converter
9. Oxygen sensors, pre-catalytic
converter
10. Left side catalytic converter
11. Sealing rings
12. Left front exhaust manifold
13. Left rear exhaust manifold
14. Gasket
15. Exhaust manifold, right front
16. Exhaust manifold, right rear
Page 537 of 1002
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Exhaust systeml
M62 TU engine
(540i 1999-2003)
1. Oxygen sensors, pre-catalytic
converter
(2)
2.
Oxygen sensors, post-catalytic
converter
(2)
3.
Hanger
4. Rear muffler
5. Clamping sleeve
6. Hanger
7. Center muffler
8. Clamping sleeve
9. Catalytic converter, left side
10. Catalytic converter, right side
11. Exhaust manifoldlcatalytic
converter,
left side
12. Gasket (2)
13.
Gasket (2)
14.
Exhaust manifoldlcatalytic
converter, right side
Page 581 of 1002

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--.
- - Manual Transmission
- V-8 engine: Remove heat shield from left front axle support.
< V-8 engine: Remove engine speed reference sensor from
transmission.
- Where applicable, remove brackets for transmission under-
body protection (adjacent to transmission).
4 Support transmission with transmission jack.
- Where applicable, remove reinforcing cross brace from
below driveshaft at transmission.
- Disconnect harness connector from back-up light switch
on transmission.
- Free harnesses for oxygen sensors and back-up lights
from crossmember and transmission.
Remove transmission crossmember: Remove transmission mount bolts
(A).
Remove transmission crossmember bolts (B)
Where applicable, remove bolts (C).
NOTE-
5-speed transmission shown in illustration. Crossmember
assembly for 6-speed transmission is similar.
Disconnect driveshaft from transmission and hang to one
side. See
260 Driveshaft.
I CAUTION- I
Do not damage constant velocity joint orprotective boot at
rear differential.
- 6-cylinder engine: Remove stabilizer bar links and swivel sta-
bilizer bar
u~wards.
Page 616 of 1002

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260-1 0
/ Driveshaft
Driveshaft, installing
- Prepare CV joint for reinstallation:
Extend joint to limit.
Clean off old grease and fill with fresh grease
Install new seal.
- Bend driveshaft slightly at center universal joint to install
CAUTION-
Do not allow CVjoint seal to become displaced.
- Align matchmarlts on driveshaft to matchmarks on final drive
and transmission flanges.
- Fit constant velocity joint to final drive input flange. Alternate-
ly tighten two opposite nuts to draw constant velocity joint
evenly into the final drive input flange. Once seated, tighten
down remaining nuts.
I CAUTION-
I Do not reuse self-locking nuts. These nuts are designed to be /
I used onlv once. 1
- Insert bolts in front of driveshafl to transmission output
flange. Counterhold each bolt while tightening nut.
CAUTION-
. Do not reuse self-locking nuts. These nuts are designed to
be used only once.
Avoid stressing the flex-disc when torquing the bolts.
Do this by counterholding the bolts and turning the nuts
on the flange side.
- Position center support bearing and install mounting nuts.
Use new self-locking nuts.
- Install heat shields.
- Install rear transmission support crossmember.
- Install exhaust system. See 180 Exhaust System.
Reconnect oxygen sensor wiring harnesses and reattach
wiring harness retainers to rear transmission support
crossrnernber.
Page 962 of 1002

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OED-2
On-Board Diagnostics
Specialized OED II scan tool equipment is needed to access
the fault memory and
OED I1 data.
The extra hardware needed to operate the OED
I1 system
consists mainly of the following:
* Additional oxygen sensors downstream of the catalytic
converters.
Fuel tank pressure sensor and device to pressurize
fuel
storage system.
Several engine and performance monitoring devices
Standardized 16-pin
OED II connector under the
dashboard.
Upgraded components for the federally required reliability
mandate.
Malfunction indicator light (MIL)
OED II software illuminates the malfunction indicator light
(MIL) when emission levels exceed 1.5 times Federal
standards.
4 For E34 cars covered by this manual, three different MIL
symbols were used, depending on year and model.
MIL illuminates under the following conditions:
Engine management system fault detected for
two
consecutive OED iI drive cycles. See Drive cycle in this
repair group.
- Catalyst damaging fault detected.
Component malfunction causes emissions to exceed 1.5
times OED
II standards.
Manufacturer-defined specifications exceeded. Implausible input signal.
Misfire
faults.
Leak in evaporative system,
Oxygen sensors observe no purge
flow from purge valve 1
evaporative system.
ECM fails to enter closed-loop operation within specified
time.
ECM or automatic transmission control
module (TCM) in
"limp home" mode.
ignition key ON before cranking (bulb
check function).
OED
II fault memory (including the MIL) can only be reset
using a special scan tool. Removing the connector from the
ECM or disconnecting the battery does not erase the fault
memory.