This hotly contested segment has its benchmark in the Lexus ES 300. It blends comfort, style, luxury, and sport into an efficient package at an affordable price. ES 300 manages to offer a little more luxury than others in the class.

We Recommend the Acura TL, Audi A4, and new Infiniti G35. All offer comfort, speed, and nimble handling at attractive prices. The sporty and Euro-flavored BMW 3-Series is Recommended as a rear-drive alternative. The "3" has enough bodystyles and engine choices to suit anyone. At the other end of the near-luxury spectrum is the posh and comfortable Buick Park Avenue--an old-school luxo-cruiser from Detroit.

The new 9-3 has been handily outselling the old one in Europe, and could do the same in the U.S. Being less Saab-quirky may help, but it's too early to tell. Interestingly, sales of the old 9-3 jumped 17.2 percent in the first nine months of 2002 following a 5.4 percent year-to-year loss in calendar '01. Strong overseas demand is one reason why the Arc and Vector versions won't be available until next March or so, though dealers are taking orders now. Meantime, there's talk of a high-performance Aero sedan to take over from the departed Viggen hatchback. New-design convertible models, possibly including an Aero, are definitely on for 2004.

Saab is also eyeing a first-ever 9-3 wagon for '04, including a high-riding quasi-SUV with more rugged looks and standard all-wheel drive. The latter would reply to the Volvo V70 Cross Country and other upscale car-based crossovers. However, GM recently canceled plans for a true Saab SUV to go against Volvo's new X90 and similar rigs. Corporate brass apparently deemed it out of step with Saab's mission and image.

But GM is said to be thinking hard about a small 2-seat Saab sports car, now rumored for late 2004 or early '05. The recent 9X and 9-3X concepts hint at the probable wagon-like 2-dr styling, but final approval depends on whether GM also okays a related Pontiac patterned on the recent Solstice concept. That's because neither model would likely generate enough sales to earn money, but the two of them might, thus justifying the expense of a new purpose-designed platform. One possible sticking point is powertrain layout. The Solstice assumes rear-wheel drive, but Saabs are known for front-wheel drive. The answer may be for the Saab to borrow the AWD of that upcoming crossover wagon. One thing sure: GM's Swedish branch is branching out like never before.