If the filter had just loosened, you would have lost oil pressure long before it fell off.

Any chance the threads on the filter failed and it blew off the engine?

If that was the case then it seems likely you have a defective filter and could go after the manufacturer.

As far as the engine goes, if you are down on power from bearing damage it very likely that the crank shaft is scored.

An oil analysis would be an easy way to find out whats going on inside.

Last edited by Kevin C; 11/29/12 03:47 PM.
87 Turbo Intercooled Raider, roller cam, torsen rear diff, LSD front diff, lockup auto with modified converter, V6 brakes, low transfer case gears...