To all. Before I left for work tonight. I noticed the shift lever housing bolts were loose, and after taking the housing off, I noticed water under the gasket. Again, I rebuilt the lower unit this winter with all new seals, some bearings, shims, impeller, etc. However, I didn't have all the correct bolts to bolt everything down the first time I put the lower unit back together. When I got home from work, I installed the correct bolts to bolt down the shift lever housing, with some gasket sealer too, and will install the lower unit sunday. With that, and installing new lower unit seals on the gearcase screws. I'm hoping that will take care of the "milky" oil in the lower unit. I will run the motor in a tank, and let you all know the outcome. Thanks again Guys. Dan