It's hard to say without being there to look at everything. I would take it completely apart and sand blast all the gear teeth, not the bores or splines. If the gears are heavily pitted I would replace them, If the bores are pitted at all I would replace them. I would replace ALL the bearings and blocking rings.
You may in fact, have to replace a lot of parts. You may want to check Walcks, Novaks and others for an exchange tranny/transfer assembly. �