N (Neutral) Position
WARNING: This page is about a different car, the 2006 Suzuki XL-7. However, it is still accessible from the selected car via links, so may be relevant.
When N position is selected from 4H position by pressing the "N" switch of the 2WD/4WD switch, the transfer shift control actuator motor runs and both reduction drive shift cam and front drive shift cam rotate in the arrow direction "C". The reduction shift shaft shifts in the arrow direction "A" by rotating the reduction drive shift cam, and the reduction shift sleeve moves in the arrow "B" direction.
The driving force from the transmission is transmitted to the transfer input gear. However, as the reduction shift sleeve is not engaged with the transfer input gear and output low gear, the driving force is not transmitted to the output rear shaft and the output front shaft.