got your pm tim.
i would make the setup in the truck work, for multiple reasons.
1) its already in there and paid for
2) choice of different low range ratio
3) possible drive shaft issues
4) it'll cost you a lot less to go thru the split case than to adapt and atlas in there.
have you talked to AA about your adapte/203 issues? how about the company that actually markets the adapter? i know AA is making them for him and then they're sold thru 4 vendors only, one of them being gary aka mudrak.
and to reply to your other question:
the atlas will mate to the th700 with an AA adapter. if your th700 is a 4wd model, then all you have to do is trim the output shaft some and you're in business. since you have the 203 range box behind it, i would assume that you have an AA output shaft in the trans. not sure if that would work in conjunction with the atlas or not, but it should cause the spline count is the same. length is the only variable.
the other possible option to adapt the atlas to the th700 would be to use the stock gm cast irnon th700-np241c adapter. i'm exploring that possibility for "project isabel" right now cause i do not like the fact that people are breaking the AA adapter and that the AA adapter is 2" taller than the gm unit and it uses a crappy mounting bolt patter for a 2wd style trans mount. the gm adapter uses the wider truck style mount which is a much better design in my opinion. i will get into this more on the build up thread when i have gathered all the info i need.
but here's a teaser pic: