Turfman, I have the LA401 loader with the 3-position (also known as the "old type") valve. You'll probably get an LA402 loader with the 4-position (also known as the "new type") valve. The only difference I've seen in the 401 and 402 loaders is the position of the clip and pin you pull to remove the loader from the tractor. I guess I'd say the 402 is better, but don't think I'd give a nickel for the difference. And even after a cursory look at the service manual for both valves, I'm not sure about telling you the difference. I know with the 3-position, you can't simultaneously roll the bucket back and raise the boom (pull the lever to the lower left corner) because the one with the least resistance will move first. I think (can't say for sure) that the 4-position valve corrects that. And I believe I've read somewhere that the 4-position valve has some advantages if you put hydraulically powered implements on the front of the tractor (turn snowblower chutes or front blades). I'm not even sure about that. At any rate, it's the newer, supposedly better, valve so I'd agree with your dealer. As far as the tip 'n tilt (that's what I called it until other folks on the forum corrected me - the "official" name is Top 'N Tilt/w3tcompact/icons/wink.gif/w3tcompact/icons/laugh.gif), it won't make any difference which of the valves you have because they both have Power Beyond which can be used for that purpose (and a number of folks have used that method, instead of the optional hydraulic outlet block that I used). In other words, there are two places you can get the hydraulic power for that purpose and which of the valves you have for the loader makes no difference.
