In 1976, Muskie was a credible candidate. Ford had improved somewhat since taking office, but his pardon of Nixon, though the right decision in the long run, still left bitterness in much of the country in 1976. As well, Ford had a tendency for making missteps.
Liberal Muskie is pretty well shut out of the south. Sanford is not much help in the south, but is able to deliver North Carolina, where he is popular. Muskie picks up strength in the northeast, midwest, and west, to win the election.
(Actually, I doubt that Muskie would have carried North Carolina even with Sanford on the ticket, but I put it for Muskie on the map in recognition of Sanford)
Muskie/Sanford 298
Ford/Dole 240