A perennial favorite, the Honda Civic, is new and better than ever. We love the wide range of bodystyles, engines, and equipment. Civic is a solid car that has good performance, a nice ride, and a high degree of civility. New last year was the Ford Focus. Though we loved almost everything about the Focus, we were reluctant to rank it a Best Buy because it was new from the ground up. After a year of living with a ZTS model, we can say that the reliability is good. Focus ranks a notch below Civic in some areas but costs less. Topping the crowded Recommended list are the Volkswagen Golf and Jetta. They easily could be Best Buys as they are better than the Civic in many ways. However, they are also the most expensive cars in this segment. Other Recommended choices include the no-frills Dodge Neon and Toyota Echo, the slightly-upscale Nissan Sentra, and the roomy Mazda Protege. If you are looking for a budget buy, the Hyundai Accent offers a lot for your dollar, however, it's not as refined as more-expensive competitors.

Focus was a solid sales hit in its first model year. Despite negative publicity stemming from several early recalls, U.S. demand for Ford's latest "world car" was very healthy, with calendar-2000 deliveries of some 286,200 on top of nearly 56,000 in the closing months of 1999. Only the Honda Civic attracts more buyers in the subcompact class here, though by some accounts, Focus is now the best-selling car line in the entire world.

Ford continues trotting out limited-edition specials to keep Focus in the news and on consumers' minds, and more should be coming for 2002. Definitely coming this fall is the ZX5, a 4-dr companion to the ZX3 hatchback. Family-oriented "5-dr" models have accounted for the bulk of Focus sales in Europe since day one, but the new North American version will be as youthful-sporty as the 2-dr ZX3.

Even sportier is the coming ZX3-based SVT Focus developed by Ford's Special Vehicle Team in-house performance arm of Mustang Cobra fame. Highlights begin with a much modified 2.0-liter twincam 4-cyl engine with horsepower boosted to 170 and torque to 145-lb-ft. Also featured are a new 6-speed manual transmission--the only one offered--plus a firmer, lower-riding suspension, standard 17-inch wheels with performance tires, "aerodynamic" body add-ons, and an upgraded interior with heavily contoured front bucket seats and bright accents. Starting at around $18,000, according to Ford, the SVT Focus looms as a strong contender in the growing "sports compact" field against Acura's Integra-replacing 2002 RS coupe, Nissan's upcoming Sentra SE-R and Spec V sedans, and the 2002 Pontiac Vibe/Toyota Matrix "sportwagons." And if the SVT isn't enough competitive ammo, Ford can always bring over the even wilder, 230-hp supercharged RS version that hits the British market this July. Initial SVT sales are being limited to 7500, but Ford can undoubtedly build more than that if demand warrants.

Meantime, overseas sources have been reporting early news about the fully redesigned Focus that should appear starting with model-year 2004. This one will be even more important for Ford on a global basis, as the next-generation Mazda Protege and Volvo 40-Series will be derived from it. Ford is seeking to cut costs by using one platform for three high-volume models with combined worldwide year-2000 sales of some 1.3 million, which makes it imperative that the basic foundation be a good one.

Word is that the next Focus will have a much stronger inner structure, upgraded interior materials, and sleeker yet more mature styling, though still of the curves-with-angles "New Edge" school. Sedans, hatchbacks and wagons will continue, but Ford will add a "mini-minivan" version that's rumored for U.S. as well as European sale, though probably not before 2005. The tall-boy wagon will have three-row seating and four front-opening doors. A 2-door coupe for Volvo is all but assured, and Ford is said to be mulling a Focus version to replace the slow-selling Mercury Cougar. V6 power is possible for sportier models; Ford has been testing a current ZX3 with a 2.5-liter Duratec V6. The mainstream 4-cyl. will reportedly gain power and efficiency from a new direct-injection system that squirts fuel right into the cylinders instead of delivering it from a central "rail." All-wheel drive is also said to be in the works for Volvo, though it's not clear whether Focus would offer this too. Other changes include a likely switch from hydraulic to electric power steering and a more sophisticated rear suspension.