Hydraulic Clutch with 302 Engine
Reply #1 –
#1. No such thing as an '88 SC.
(if you do indeed have a SC, it's an '89, and not so sure a T5 will work. Didn't SC's use the M5 that Rangers and F-150's used, with some differences..?)
#2. First gear will be useless very quickly if you have 3.55s or (numerically) higher ratio out back..and..
#3. Yes, cable.
:D I don't mean to come off as a pompous ass...but an SC is a whole other beast compared to what we work with here. 
Far as I'm concerned (you MN-12 guys will LOVE this lol) the last true Tbird was an '88.....I've driven long term an '89..utter junkola.
/end thread derail..