My nano had a "swollen" battery which wedged the LCD between battery and front glass. As a result, this step didn't work, I couldn't pull out the TFT and botched case, TFT and TFT frame until it came out. Telltale sign was a display that looked like there is a water between glass and LCD. The other nanos I've opened didnt have this problem and came out effortlessly, so if yours is stuck, don't feel bad, there's not much you can do!
I just finished an additional step, I.e. Replaced a defective dock connector. This involved removing the shield bracket and then carefully cutting the two shield tabs on one side. The opposite side was easy to unsolder. With the shield gone, I heated each of the gold contacts from the top, not touching the board! The heat quickly travels down the contact melting the solder, then you can effortlessly lift off the contact. This is important because you don't want to tear off the solder pads! With the terminals gone the plastic part is loose and just falls off. I then cleaned the pads with a solderwell tip and flux remover. The four holes need to be sucked clean as well. Unfortunately ifixit doesn't carry the connector, so I got one from China via eBay. Took a few weeks to arrive, but original Foxconn part, fit perfectly and installed in 5 minutes. Be sure to use plenty of flux and clean well afterwards! While I had it apart I also replaced the battery (that one I got from iFIxit). Works like a new again!