We wanted to upgrade the clutch...
We wanted to upgrade the clutch on Associate Editor Johnson's 5.0 notch yet stay within a budget. Sometimes we get in the habit of installing the best, most expensive part simply because the company sends it to us. Centerforce makes clutches and flywheels for dozens of Ford applications, and we opted for the Centerforce II clutch instead of the top-of-the-line Dual Friction model. We used a pressure plate for '93-'95 Cobras (PN CFT360057; $275.95), a clutch disc (PN 381021; $100.95), a release bearing (PN N1714; $42.95), and an SFI steel flywheel (PN 700320; $308.95). Centerforce also offers its LMC (Light Metal Clutch) systems, as well as aluminum flywheels and more to handle any power need.
Horse Sense:
Just as with a new set of brake pads and rotors, you want to give your new clutch and new or resurfaced flywheel several hundred miles of break-in driving to bed the clutch disc materials into the flywheel and clutch cover before attempting any John Force burnouts. Are you reading this, Johnson?
If you own a manual transmission-equipped Mustang, you'll be working on your clutch at some point. Whether replacing the clutch assembly or performing some other repair, you'll need to know how to access the clutch area.
There's no way around it in...
There's no way around it in a clutch swap-the H- or X-pipe will have to be removed for access. Remove the fasteners retaining the H- or X-pipe to the after-cat system and to the headers, disconnect the oxygen sensors (they may require removal depending upon brand of exhaust), and remove the H- or X-pipe from under the car.
The Mustang's clutch is the "coupler" between the engine and transmission. Disengaging the clutch allows the car to idle at a stop (or you can place the shifter in Neutral). It also allows upshifts or down-shifts as the driver requires. When the clutch is engaged, the engine's power is transferred through the clutch into the transmission, to be multiplied. This multiplied power is then sent via the driveshaft to turn the rear tires. While this is a basic, "Transmission 101" definition, you can see how important it is to have a properly functioning clutch. Without it you're going nowhere, fast.
There are a lot of clutch choices out there, and if you listen to all your buddies and read all the ads, your brain will be hurting in short order. One thing we want to stress is that the clutch should act as a driveline fuse. If there's too much traction or too high an rpm with a lot of power, you will blow the clutch instead of breaking a driveshaft, transmission, or rearend. We don't know about you, but we'd rather replace a $300-$400 clutch than a $2,000 transmission.
With that said, you need to determine the power range of your Mus-tang's engine, its intended use, and your budget. There's no sense in putting a Stage Nine Super-Carbon Kevlar Ultralight Clutch with solid center hub matched to an SFI aluminum flywheel when you have a cold-air kit and a set of Flowmasters on your daily driver. So, be realistic in your needs, and your replacement clutch won't make your left leg three times the size of your right.

Once the H- or X-pipe is out...

Once the H- or X-pipe is out of the way, you can then tackle the transmission crossmember bolts. Remove the retaining nut from the long through-bolts, but do not remove the bolts just yet. Leave them in place to support the back of the transmission for now.

If you don't drain the transmission...

If you don't drain the transmission of its fluid, you'll end up wearing it as you remove the transmission. Besides, your transmission is due for a fluid change anyway, right? Remove the lowermost 3/8-inch square-drive pipe plug from the passenger side of the transmission to drain the old fluid. Once the fluid is removed, you can also remove the driveshaft, which is retained by four 12-point, 12mm bolts and a whole lot of thread-locking compound.

To remove the transmission,...

To remove the transmission, first remove the upper shifter handle from the shifter body for enough clearance under the car. Disconnect the speedometer cable by pulling it straight out of the speed sensor, and disconnect all electrical connections. Remove the four metric bolts that retain the transmission case to the bellhousing and the two long crossmember bolts.

Pull the transmission back...

Pull the transmission back until the input shaft clears the bellhousing for removal. Our transmission jack made this part a one-man operation, but the T5 can be wrestled out with a floor jack and an extra pair of hands.

To remove the bellhousing...

To remove the bellhousing and access the clutch, remove the two 1/2-inch bolts that hold the starter (disconnect the battery if you have a PMGR starter that has a hot cable to it at all times), the six 5/8-inch bolts at the perimeter of the bellhousing, and the two small retaining bolts at the bottom of the bellhousing. The bellhousing will then lift off the engine block dowels. Don't forget to disconnect the clutch cable before removing the bellhousing, though. If, as we did, you find oil inside the bellhousing, you probably have a rear-main-seal leak.

Six 1/2-inch bolts hold the...

Six 1/2-inch bolts hold the clutch pressure plate to the flywheel. Carefully remove these bolts in a star pattern to remove the pressure plate and clutch disc together. The pressure plate is a bit heavy, so make sure it doesn't fall on you if you're flat-backing it.

With the clutch removed, the...

With the clutch removed, the flywheel is the last item to come off. The flywheel bolts have some serious torque behind them, so you'll need an air or electric impact gun, or a friend holding the crankshaft from the front of the engine. The flywheel is even heavier than the pressure plate, so be careful during removal. The engine block plate will usually fall off with the flywheel, as it just rests over the block's locating dowels.

After the flywheel and block...

After the flywheel and block plate are off, you'll be at the back of the block where you can inspect your rear-main seal. As suspected, the seal on Johnson's car was leaking like his 55-gallon drum of hair gel. Replacement is not difficult, and the new seal will run you around 10 bucks at a parts store.

Using a small flat-blade screwdriver...

Using a small flat-blade screwdriver or a pick tool, work the tool around the outer circumference of the seal and carefully walk it out and off the crankshaft. Do not put any tools between the crankshaft and the seal, as they may nick the crankshaft sealing surface, which will tear the new seal.