I'd like to post the resolution to the shifting issue. After much consternation and discussion I took the car to the dealer yesterday and spoke with the shop foreman. (By the way, I've found that if you talk to these guys respectfully and exhibit some anecdotal knowledge, they're usually more than willing to help/offer advice.) He pointed out that the Bowden cable has an indicator that tell you the proper adjusting point, which is basically two levers (some call them arrows) that line up when the cable is adjusted properly. He suggested loosening the cable more, but it was already more than loose. I realized that to bring the "levers" or arrows back in line I needed to tighten the cable quite a bit. That's CCW revolutions. The adjustment nut is showing lots of thread, and the arrows, or levers, are pretty much in line. Seems to be shifting properly. Wow. The indy wanted to replace my valve body for about $700.