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think of the 203 like a differential. "Loc" will lock the front and rear drive shafts together so both front and rear axles have power. almost like a locker in a rear how it catches posi. then in the "unlocked" the wheels with the least resistance get all the power so if your front tire is in mud it will get all the power and spin and will be the only tire to spin, as in a open differential and only one wheel spinning
i dont know if im not thinking right or just not reading it right but i thought the only difference in the modified and stock 203 is the "hi" in high is 2wd while the "lo" unlocked is still the 4wd