The idea of using a deep pan is to get more fluid in the transmission. The pan is all about keeping the transmission cool. The more fluid, the longer it takes to heat and the easier it is to control. The pan itself acts as a heat sink and dissipates heat as air flows past it. As far as using the 700-R4 filter, it picks up from the bottom, but not the bottom of the pan. It is way better than the stock filter if you can get it to seal. It is a challenge to get them to seal, I use multiple methods and placement to get a correct seal. The powder will insulate the pan some if only on the outside. It won't hinder its cooling much. Laser removal is the best choice or maybe dustless blasting. If you mill the pan rail, it will most likely start to flake at the edges. Depends on the quality of the work. Sandblasting or glass beading the pan is a bad idea, as Steve said, you will never get media cleaned out. Not sure if an alternative media will get the coatings off. But the cost of all these option, you are only a few bucks away from buying a new one. I recommend having them pay for the pan or at least refund what you paid the coating.