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I just did some investigation and here is a PI that was issued:

Subject: Internal Transfer Case Noise - keywords grind growl rattle #PIP3467B -



Models: 2006-2007 Hummer H3




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PI is being updated to add model years. Please discard PIP3457A.


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The following diagnosis might be helpful if the vehicle exhibits the symptom(s) described in this PI.

Condition/Concern:
Any type of internal transfer case noise.

Recommendation/Instructions:
Engineering is conducting an investigation on internal transfer case noise. If the abnormal noise can be isolated to the transfer case using conventional methods, please contact the Technical Assistance Center for further instruction and diagnosis.

Note:: Remember do not operate the vehicle in unlock (4hi) mode on the hoist as damage to the planetary gear set may result due to an over speed condition.

Please follow this diagnostic or repair process thoroughly and complete each step. If the condition exhibited is resolved without completing every step, the remaining steps do not need to be performed.