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In Reply to: 2 questions... posted by Dave Hunt on October 22, 2000 at 12:25:08:
Try swapping the diff out to a better "off-the-line" unit like one with a ratio of 3.45 or higher, instead of the economy minded 2.93 that came with the car. Works great, and you really notice the improvement. Use any of the larger car BMW diffs like on a Seven, or Six Series, or use a 325 diff that's higher than 3.25, and swap the rear cover and side axle flanges over from your diff.
You can't use any 4 cyl diffs, as the body is different, just the 6 cyl 3 series after switching out those parts, or a straight swap with the Seven & Six Series diff. I wouldn't go over 3.73 unless you don't care about messing with your top end drastically[like hwy driving rpms]
The diffs should have the metal ratio tag on them to let you know which diff you're looking at.