Yes, works fine.
I used the needle bearing on mine and it looked fine after ~50k....
There's some controversy whether the balance is different between the 7.3 & 6.9 flywheels and if it's enough to matter. The ford manual do state that there's a difference between 6.9 & 7.3 flywheel/balancers, however there is also evidence that the same DM flywheel was used on the 87 6.9s with ZF5, and the LUK flywheel is speced for those motors as well. The general conclusion seems to be that there is a small difference, but it's minor enough not to matter. I had ~50k on my rig with a SM when I tore is apart and I had no issues abnormal vibration nor did I see any evidence of wear or damage internally.