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I believe they were called 'modular' because the engine package could be produced with minute changes in tooling to support any of the engines in that line. Also because the engine/trans package were installed at the factory lines as a 'module' in the same area, but probably less so for that.
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"¿ʞɐǝɹɟ ɐ ǝɹ,noʎ uǝɥʍ 'ʇı ʇ,usı 'ʎlǝuol s,ʇı"
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