Ah, what a difference 60 hp and two cylinders can make to a car. With the 300-hp V8 under the hood, the S-Type moves from “junior executive” status to full-fledged partner. It has the elegance and muscle expected of a premium mid-size sport sedan, and loses just one mile per gallon in the city (as measured by the EPA) compared to the V6. I often averaged 22 – 23 mpg in mostly highway driving versus 24-25 with the V6 automatic S-Type driven the week prior. So you can see why I think it’s a trade-off that you can live with quite easily.

The V8 had many of the same options as the V6, including the communications package ($2,250), heated front seats ($500), the navigation package ($2,200), and auto-leveling xenon headlamps ($675). All worked well, though – again – the xenon headlamps should be standard on a car that starts at $49,300, and not an addition that helps jack the final price up to $55,600.

My guess is that the platform underneath (shared with the Lincoln LS) is a big part of the cost. Word around town has it that its components are so expensive that the 2004 Mustang will have MacPherson struts up front and a live axle in the rear to help shave costs from this base. And the interior is said to be a bit…cozy due to the platform’s narrowness. I have no doubt the latter is true. This is a narrow platform, and interior room is adequate, but not plentiful.

I do hope, however, that Jaguar keeps the basic styling, but keeps refining it over time. The shape and details are drawn from the classic Jaguar Mark II of the early 1960s, but show signs of too many compromises made to placate consumer clinics and those unwilling to finesse the hardware under the skin. And adding a coupe should be given consideration.

But enough of the complaints. The S-Type V8 has a firm-but-supple ride that is admirably free of impact harshness and wallow. It tracks with precision, and handles corners without complaint. While not overtly sporting, it rewards the sporting driver by showing good manners under duress. It could, however, use a bit more steering feel, and a firmer brake pedal.

Despite this, the S-Type V8 is a much more complete interpretation of a mid-size sport-luxury car than its V6 brother. The extra power and refinement work well with the sumptuous leather interior and sensuous exterior, and combine to create an aura of quiet confidence and even privilege. Not every contender in this segment can make that claim.