First, try different settings of the mic gain control while watching the ALC meter.
Second, while watching the plate current meter (ip) try different settings of the mic gain control
Third, while watching the ALC meter, switch the Mode switch to AM or CW. This will give a clue. Of course if you choose CW you have to have a closed key plugged into the key jack in back. If you are in the AM position, which is most likely, again note the ALC readings as you vary the mic gain control
Fourth, while watching the ip meter, switch to AM mode. You should see plate current, no more than about 100 ma.
If the mic gain control is fully counter clockwise, it is normal for the ALC meter to 'peg' to the right, or nearly peg. By the way, turn off any compression for all these readings.
One possibility is that you have a bad microphone cable, of course.
The PO meter should NOT peg when you have tuned the rig up. It should read about 3/4 scale for 100 watts output. I would not push the radio to 120 watts output, but into a dummy load that will not likely harm it. As I recall, the plate current should read about 150 ma.
However when you are speaking into the microphone, during normal operation, you should see around 80 ma on voice peaks. The RF PO meter should show about 1/3 scale on voice peaks. You should see a similar reading on any external power meter you may have, indicating about 25-30 watts output. That is normal, and is full power.
The question would be, how does it work on CW? You can plug in a key plug and short it, and switch to CW and see what kind of power out you are getting. The ALC meter may be pegged during CW operation, and that is normal! But don't stay in key down CW more than about five seconds at a time. Then let up and give the tubes a chance to cool, perhaps half a minute at least.
Good luck. The FT101E and EE radios were very good, quite reliable, but you do have to be very careful with the finals! They can go out in seconds of misuse.
Ed, CHOP, W5HTW - Novice 1956, General, 1957, Advanced, 1968, Extra, 1969. Keep the [B][U]amateur[/U][/B] in amateur radio, keep the pros, and Part 90, out of it.