Woody,
You are right that is the factory aux transmission cooler. If you actually measure it the finned area id 16 x 3 which gives you 48 sq in of cooler. The U-tube being so long and thin makes it look small but if you look at aftermarket aux coolers you will find this one.
I looked at the B&M site and they sell a cooler rated for 16,000 lbs and it's dimentions are 11"x5-3/4"x3/4" or 63 sq in of surface area. So IF the ralation of cooler size to vehicle weight is a straight line relationship, which it is not, then you'd only need 32 sq inch to cooler your transmission.
Being a Mechanical engineer I know sizing heat exchangers, that fancy name for this cooler, is a black art. Just because you double the size of the heat exchanger does not mean you will get double the heat out of the fluid.
I installed the same cooler on my 88 XJ three years ago when I I was moving and thought I had to move myself. I have full confidence in the sizing. Remember the guys who picked out heat exchanger took in to account how the XJ was rated and where it would operate it. Also they provided you a warranty if you had it installed and towed up to 5000 lbs.
I would leave it alone and follow the owner's manual service interval of 15,000 mile for ATF changes if you plan to tow and DO NOT use Mobil 1 ATF in the AW4 transmission. I lost 3-4 mpg using it and ended up having the transmission flushed at the dealer to get back good old Dextron.
If you are concerned about AFT temperature I'd spend my money on buying an AFT temp gauge and install it in the oil cooler line, the Mopar perforance web site had a very nice block you placed in the hard trans line. You cut the line and remove approx 1 inch of tube, then you install this block with ferrel type fittlings if I recall then you screw in your temp sensor to the block, very sweet. This way you can monitor ATF temperature and know if you have too hot or too cool AFT.
Here the block I talked about:
http://www.mopar.com/m_perf_parts_product_part.jsp?categoryID=10013&itemID=342
In case the page does not work here the P/Ns
P4876057 5/16" O.D. tubing
P4876058 3/8" O.D. tubing
Then buy the gauge and gauge pod of your choice and install. Nothing like having another gauge!!!
HTH
Martin