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You have the Volvo/Chrysler ignition used on 240s from mid '81 thru 1988. It's been found that the V/C Ignition can contribute to High NOx, and that plugging the vacuum line to the ICU can reduce NOx levels, with little or no effect on normal operation. Note that this is NOT a guaranteed fix, but worth a try IF your other numbers (and cat) are good.
This is my canned post on the subject. It might work for you as it has for several others, especially with a new cat. This isn't my on theory -- I just happened to find it on a 'net search in 2004. For a technical description, see the original post here, and the resulting success story here.
Other positive responses are posted in this thread and this one,
and one more here.
Yet another one .
And another on 2/04/06.
Here's the latest, from 3/12/07.
And 1/29/08 Here .
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Small Exhaust Leak? Yeah that will cause it! [200]