Probably that both floor pods are worn out. Those are the easiest to get to. The defrost is the default position, so that is why you are getting heat there. The climate control unit(CCU) also go bad, so you probably want to rule that out as well. Can you pull the glove box and test the system per the instructions in the thread I sent you?
Chris

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1987 300TD 309, xxx 2.8.2014 10,000 mile OCI


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