The Volvo S60 boasts a nice ride quality, even over nasty bumps, even with 17-inch wheels. Volvo tightened up the base suspension for 2007, with firmer springs and shocks, front and rear; and thicker anti-roll bars supported by solid bushings. Roll stiffness was increased by 25 percent.

High-speed stability is extremely good. Front-wheel-drive models exhibit some torque steer under hard acceleration. Stand on the gas and you'll feel a tug on the steering wheel. It's especially noticeable on the T5 with its more powerful engine. It's really no big deal, though, and you get used to it. Still, the S60 definitely engages the driver because you have to pay attention to the steering when you're driving hard.

The T5 produces prodigious thrust from its high-pressure turbocharger. Yet it rates an EPA-estimated 18/26 mpg City/Highway.

We found the S60 brakes on the soft side, but braking was stable. When activated, the ABS was very smooth.

The steering is slightly heavier in the 2.5T AWD because of the weight of the all-wheel-drive system. It also has a more on-center feel (less play, in other words). The ride is firmer on the all-wheel-drive model, which has stiffer shocks to handle the increased weight. Overall, we think the AWD model's improved traction and handling in the rain and snow are worthwhile for anyone who annually faces those conditions.

We drove over gravel roads in the 2.5T AWD, and found directional stability on loose surfaces excellent. Power in the 2.5T AWD is distributed between the front and rear wheels using a wet multi-plate clutch controlled by electronics that monitor driving conditions. With a steady throttle on dry pavement, about 95 percent of the power is transmitted to the front wheels; but up to 50 percent can go to the rear wheels when required. The balance changes seamlessly and instantaneously. When one wheel slips, the balance of power shifts away from that wheel, thus replacing the slip with grip. In other words, it's more secure and better stuck to the road when the weather gets nasty.