My '94 F150 has developed a "shutter" when I accelerate from a stop. It is more noticable when I am towing/hauling. One mechanic has told me it sounds like a possible bad torque converter or the bands are slipping. anyone else had a similar problem??

Hmm, if it's and AOD, then your TC is shot. If it's ONLY under acceleration from a stop, and the 1-2 upshift does NOT stop it, then the TC is shot.

You guessed right, It is the torque converter. I have a 94 150 with the 4.9l and I bought the truck with 86,000 miles, and the first thing I had to do was replace the converter (ford dealer item) it cost around $250. but it was worth it. The truck now has 164,000 and other than routine maintence I haven't had to do much to it. Change you fluid every 35,000 miles or so and it will last for a long time.