Subaru has announced its new 2.0 litre Legacy saloon and estate in time for The London Motor Show (Earls Court, October 20-31).

On sale in the Autumn and on display on Subaru Stand F6, Hall One, the aggressively priced Legacy 2.0 GL matches mainstream models such as the Ford Mondeo and Vauxhall Vectra, priced at �15,495 and �17,750 OTR for the saloon and estate respectively.

However, the new 2.0 litre Legacy offers the active safety benefits of full-time all-wheel drive and ABS plus passive safety advantages such as standard side airbags and driver and passenger airbags.

These new 2.0 litre models - available with both manual and automatic transmission - complete the Legacy range. The 2.5 litre GX estate and Outback were launched at the end of '98 and the 2.5 GX saloon was introduced in Spring '99.

The previous shape US-built Legacy Classic estates - which feature alloy wheels and air-conditioning as standard and are priced from �15,500 on-the-road - will continue to be available for several months.

Highly Praised Interactive Handling

Highly praised for its strong performance and interactive handling in 2.5 litre form, the new Legacy saloon range is aimed at the sporting executive sector dominated by the Audi A4 and BMW 3 Series, while the estate targets models such as the VW Passat and Volvo V70.

And with the removal of import restrictions on Japanese cars confirmed for the millennium, Subaru (UK) Limited - which doubled sales between 1996 and 1999 - plans to make inroads into both the company car and retail markets now its new Legacy range is complete.

"We have enjoyed outstanding press reviews for both our 2.5 litre Legacy estate and saloon especially in the areas of ride, refinement, handling and build quality, " said Managing Director, Ed Swatman.

He added: "Combine that with Subaru?s string of customer satisfaction awards plus sought-after models such as the Impreza Turbo and Forester, we see no reason why we cannot double sales again without damaging our strong residual values.

"However, we plan to grow our volumes in a business-like manner on the firm foundation of dealer back-up."

Engineered For Enthusiasts

Like all Subarus, the new Legacy 2.0 GL?s engine and suspension have been engineered for enthusiasts who appreciate a distinctive engine note and ?playful? handling, while retaining Subaru?s legendary reliability and durability.

The all-alloy, horizontally-opposed four cylinder ?boxer? engine is similar to that fitted to the latest Impreza and Forester and has been tuned for strong low and mid-range torque but is also able to tackle high engine revs with smoothness and enthusiasm.

Maximum power is 125 PS at 5,600 rpm, while torque is a class-challenging 135.8 lb. ft at only 3,600 rpm. As a result, top speed is 120 mph for the manual saloon (117 mph estate) with 0-60 mph times of 10.3 and 10.7 seconds respectively.

Redesigned cylinder heads, optimised valve angles and a high 10:1 compression ratio help produce impressive economy figures of 23.3/39.2 and 31.4 mpg on the tough Urban/Extra Urban and Combined Cycles for the saloon and 23.0/36.7 and 30.1 mpg for the estate. Automatic versions differ only marginally.

The new two litre Legacys share the same throttle-adjustable multi-link rear suspension as the 2.5 litre models together with long-travel MacPherson struts at the front.

Coupled with front and rear anti-roll bars and the low centre of gravity provided by the ?boxer? engine, the new Legacy fully exploits the benefits of full-time all wheel drive which transfers torque to the axle with the most grip during cornering.

Comprehensive Standard Equipment

The new Legacy 2.0 GL saloon and estate boast comprehensive standard equipment which belies their Mondeo-class prices.

Apart from full-time all-wheel drive, anti-lock brakes and driver and passenger airbags, the new Legacy 2.0 GL also has side airbags, four electric windows, a three-point centre rear seat-belt, three rear head-restraints, driver?s seat height and lumbar adjustment, body-colour electrically-adjustable door mirrors, outside temperature indicator, anti-theft immobiliser and remote, infra-red central door locking.

In addition, the entire Subaru Legacy range now benefits from a special locking device for the easy fitment - and reduced movement - of a child safety seat. This locking device is compatible with the two outer and centre three-point rear seat belts.

Subaru has taken the unusual step of publicly and categorically denying any plans to withdraw from the World Rally Championship - either next season or in the foreseeable future.

This vigorous rebuttal of ill-informed rumours follows recent speculation in the motorsport press. The articles claim the Japanese manufacturer is to hold a ?crunch meeting? in June to decide on the fate of the Prodrive-run rally team and the continuation of Subaru?s rallying activities.

However, not only is the June meeting a routine event but the subject of withdrawing from rallying is not even on the agenda.

Commenting on the rumours, Ed Swatman, Managing Director of Subaru (UK) Limited, said: "There is as much chance of Subaru pulling out of rallying - and doing nothing but selling cars - as there is of Manchester United giving up playing football and devoting itself exclusively to selling football merchandise.

"Rallying is a fundamental element in Subaru?s product development and marketing strategy.

"Much of our tremendous sales success over the past few years can be attributed not only to us winning the Manufacturers? title in the World Rally Championship three times in a row, but also consistently challenging the very best in competitor cars and teams. Subaru?s recent temporary lack of wins is just that - temporary."

He added: "Enthusiasts and potential customers alike can relate to Subaru?s ?boxer? engine and all-wheel drive technology which is shared between the Impreza Turbo competition cars and the standard product. It is a heaven-sent marketing message and one we would be crazy to give up."

The Subaru Impreza Turbo 2000 AWD five door has been voted ?The Best New Car You Can Buy? according to the weekly car magazine, Autocar.

Subaru?s cult classic beat 100 other contenders in the magazine?s annual survey including the Ferrari F355 F1, Porsche Boxter and Lamborghini Diablo SV - the latter costing more than �128,000.

Autocar?s motoring staff tempered their natural passion for exciting cars with a logical scoring system which evaluated how each car fulfilled its role. Criteria included design, performance, handling, practicality and value.

As Autocar said: "We always expected the Subaru Impreza Turbo to do well, but even we were surprised by the margin of the victory."

"Its massive points haul is as much to do with its day-to-day usability as its giant-killing performance and exploitable four-wheel-drive chassis.

"What other �20,000 car can humble a BMW M3 one minute then haul a family, two dogs and all the shopping across a muddy field the next?"