2004 Volkswagen Phaeton V8 Introduction

Third Place: 2004 Volkswagen Phaeton V8

Years ago, who would've guessed that one day a luxury-sedan ranking would rise from BMW and Jaguar to Mercedes-Benz and then, uh, Volkswagen? Yet here we are, with a long and sleek new VW shouldering its way into this ritzy price class -- and not a bud vase or Grateful Dead paint job in sight.

The Phaeton is a big car, leading the group in width and stretching to within a tick of the elongated Audi from nose to tail (you could have a pajama party in the huge rear seat). Unlike the A8, though, the Phaeton utilizes aluminum only on the doors, hood, and trunklid -- one of the reasons the VW is nearly 600 pounds heavier than its Audi sibling (in fact, it's the heaviest car in this group). Thus, despite the field's highest horsepower rating (at 335 horsepower, the 40-valve, 4.2-liter V-8 makes 5 horsepower more than it does in the Audi), the Phaeton is the slowest to 60 mph (7.0 seconds) and delivers the group's poorest EPA fuel-economy figures (15/22 mpg city/highway).

Our seat-of-the-pants impressions were more favorable, however. "Darned if this big VeeDub doesn't carry her weight awfully well," wrote one editor. "While others were complaining over the walkie-talkies about crosswinds, the Phaeton was tracking straight and true." A healthy dose of steering boost makes the Phaeton feel light to the touch on the highway (some editors thought too light). And once off the line, the engine feels plenty strong. "Purrs like a kitten, with almost unnoticeable upshifts," praised one editor. The Phaeton hammers down the road like an express train.

This may not be the most distinctive-looking sedan on the road, but it definitely has a rich, impressive presence. And the airy cockpit received near-universal thumbs-up. "As black interiors go, this one manages to be actually inviting -- more wood and chrome trim warm it up compared with the Benz," wrote one editor. "Excellent one-button interface for adjusting everything from the climate-control fan to the shock settings," noted another. "And the gauges all look like Swiss watch faces!" We weren't quite sure what to make of the "no drafts" Climatronic ventilation system, though. Some editors thought the motorized wood panels, which whir down over the dash vents once most of the cooling or heating is completed, "scream luxury"; others deemed them frivolous gadgetry.

Only when pushed to its limits on our tight, twisty handling loop did the Phaeton stumble a bit. "Reveals its heft in aggressive curves in spite of its all-wheel drive -- pushes a lot through the corners," wrote an editor. "Great at mellow driving, but if you push it gets unhappy," noted another. "Lots of tire squeal where I didn't expect it." Wrote a third: "Steering feels disconnected near the limit. The car is slow to react to changes of direction."

Those criticisms are fairly minor -- on our handling loop, we were driving the Phaeton far harder than most owners ever will. What our final scoring revealed instead was a healthy admiration for the VW's spaciousness, ride (cockpit-adjustable shocks let the driver tailor the feel from luxury-soft to sporty-firm), user-friendly technology, and exceptional fit and finish. For now, the VW badge on the hood may not say "premium" to many auto shoppers, but one drive in the Phaeton will be enough to convince them that it should.