BINGO!!! I think you solved your own problem. The head definitely should not be loose on the shaft like that. The question now is why is it so loose like that? You said you changed the main shaft, are you sure it is the correct shaft? You didn't forget to put the "Jesus bolt " in the head, right?
Tony, at the moment I was in the middle of something and for some reason I couldn't remember what the ring or shims on the main shaft were called so I just called it a snap ring. But your solution of spreading the bearing blocks is a pretty good idea. I don't like using the shims either. Just another place to collect dirt.
Also, the blades being too tight or not straight when spooling up is a common problem that is often overlooked.
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That is actually quite common on a lot of the Align heads. My Pro has the same slack, but not that bad. Maybe see if you can get a piece of aluminum foil in there. Grab a little water or something and wrap the foil around the shaft 1 time and slide the head on. If there is still play, try another piece until the slack is gone.
I just read your newest post and gotta say that I have never had that problem on any of my helis. But, I don't have an Align head either. I have the Tarot Split Lock DFC head. If that is a common problem with the Align head then I will be sure to never get an Align head. Plus, I'm very happy with the Tarot head.