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The rivalry between BMW and Mercedes-Benz dates back to 1959. On December 9, Daimler-Benz tried, via the Deutsche Bank, to take over BMW, which was on the brink of bankruptcy. But the minor shareholders, the dealers, and the unionized workforce prevented the takeover at the eleventh hour. Over the next few years, the Quandt family bought a majority stake in BMW, but even with fresh cash, it took the company until the early 1970s to establish a truly competitive model range. From that point to the present day, Mercedes-Benz and BMW have been fighting each other in the marketplace. Instead of aiming at gaps in the enemy's product portfolio, each would invariably challenge the other head-on. The current lineup still reflects this eternal duel: 1-series vs. A/B-class, 3-series vs. C-class, 5-series vs. E-class, 6-series vs. SL, 7-series vs. S-class, X3 vs. GLK, X5 vs. ML, Z4 vs. SLK, Mini vs. Smart, M division vs. AMG, Rolls-Royce vs. Maybach, BMW Sauber vs. McLaren-Mercedes. Both makes ventured downmarket by teaming up with a volume brand, and both failed: while the Bavarians almost went under together with Rover, the Swabians can still feel the aftermath of the Chrysler debacle. BMW hasn't followed its rival into trucks and buses, and Mercedes has steered clear of motorcycles.

The Audi A4 Avant may not turn heads like a chiseled Cadillac CTS Sport Wagon and, at least in this test car's configuration, won't win any races against a grocery-toting BMW 3-series. But make no mistake, this is a handsome, pleasant-to-drive vehicle.

With the arrival of the CTS Sport Wagon and a coupe model in the near future, Cadillac is setting the stage for a product lineup much more closely mimicking that of BMW's 3 Series. For decades, BMW has spread its engineering costs over several 3 Series body styles and capitalized on the recognition and reputation of the mainstream sedan. The wagons, convertibles, and coupes may not sell in the same volumes as the 3 Series sedan, but each one certainly plays a role in BMW's business. We drove a 2009 BMW 328i xDrive Sports Wagon to see how the golden standard of the sport sedan world translated into a wagon.

I've never had the opportunity to drive an X5 xDrive30i (that's German marketing-speak for the gasoline six-cylinder version), but I'd say upgrading to this diesel is a no-brainer. For about $4000 more -- a surcharge you'll likely get back in tax rebates and fuel savings -- you have a markedly more powerful, more efficient vehicle. Like all the modern diesels we've sampled from German automakers of late, this 3.0-liter has no obvious drawbacks compared with a typical gasoline engine. There's no hesitation, no smell, no cement-truck noises. All you notice is a slightly different mechanical sound.inline_mediumwraptextright24585421/green/reviews/0908_2009_bmw_x5_xdrive35d0908_09_z+2009_bMW_x5_xDrive35d+side_view.jpgTrue

According to BMW's Chief Executive Norbert Reithofer, BMW is not going to launch a fourth brand to BMW, MINI, and Rolls Royce as some media outlets had reported. During a telephone conference, Reithofer did confirm that the new Megacity-vehicle program (dubbed Project i) will be launched under a "BMW sub-brand" comparable to BMW's M badge. The launch of the electric BMW will come after 2010 and prior to the 2015 model year.

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