Consumer Guide® Automotive places each vehicle into one of 17 classes based on size, price, and market position. Premium Compact Cars are similar in size but more expensive than Compact Cars. Premium Compacts have more standard equipment and an upscale image when compared to Compact Cars.

Our Best Buys in the Premium Compact Car class are Acura TSX, Audi A4, and BMW 3-Series. At this time we have no Recommended picks.

New or significantly redesigned models in this class include Audi A3 and Lexus IS.

Back in 1999, Jaguar set out to boost its yearly worldwide sales beyond 200,000. The entry-level X-Type was key to that goal. But the X-Type was seen in many quarters as just a gussied up European Ford, and it has never sold as expected. As a result, Jaguar managed only 120,000 worldwide sales in 2004, about where it was when the X-Type launched in '01. Worse, the X-Type effectively made Jaguar's operations less efficient. The added overhead has combined with continuing weak sales and a falling dollar to create huge losses--a hefty $1.1 billion in 2003 alone.

With all this, some sources feel the X-Type will be dropped after 2007 and not redesigned as scheduled. Apparently, some Jaguar insiders are against another entry-level sedan, instead favoring an iconic, image-boosting 2-seat coupe or convertible. The only problem is money. Though parent Ford Motor Company has promised to pump in more cash to turn Jaguar around, it's unclear whether funds would exist for a new fourth model line. Tune in tomorrow--or at least keep checking with us--for the next chapter of Britain's most famous automotive soap opera. Meanwhile, we don't see the X-Type changing much, if at all.