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2004 Xterra XE 4WD Auto 3.3L NA V6
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Yes it turns the overdrive on and off. You should see a dash light come on and off for "O/D Off"
Overdrive is "on" upon starting the engine. This button turns it off if you want to keep the tranny from dropping into OD at high speed.
It never hurts to validate what someone says...
 
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