A hybrid drive system for a four-wheel drive system arranged to supply motive power to a primary output shaft of a transfer case from an internal combustion engine and to a secondary output shaft from an electric motor/generator. The transfer case is comprised of a planetary gearset having an input driven by the motor/generator and an output directing drive torque to the secondary drivelines. This hybrid drive arrangement permits use of a modified transfer case in place of a conventional transfer case in a traditional four-wheel drive driveline.