Start your engines, baby vroomers! (evaluation) Jerry Edgerton.

Full Text: COPYRIGHT 1985 Time, Inc.

You're feeling pretty smug as you and your family head for a country auction in your $21,000 BMW 325e, the road-hugging and head-turning dream machine coveted by many reformed members of the Woodstock generation. But it's you who does a double take when you're passed, pedal-to-the-metal, by a sleek sedan that banks deftly through a sharp curve and disappears. Your bruised ego turns indigo as you pull up to the auction and park alongside the same car--a showroom-fresh Ford Merkur XR4Ti--still sporting the dealer's window sticker. Like you BMW, this Ford is imported from Germany and equipped for the fast lane. But its price is $16,400.

Pull over, makers of expensive high-Achtung motorcars that handle like roadsters yet are roomy enough to haul a family of five in comfort. Detroit and Japanese auto giants are now entering the upscale sports sedan derby with spirited new mid-size models competitively priced between $13,500 and $16,500. Leading the pack is Ford's Merkur (pronounced Mare-coor), a 130-mph thoroughbred manufactured by the company's German subsidiary and introduced in California in late January. Sold by Lincoln-Mercury dealers, this two-door hatchback will be available nationwide this spring, with a four-door Merkur set to debut in 1986. Other aspiring BMW Busters include souped-up standardbreds such as the Toyota Cressida, Nissan Maxima SE and Pontiac 6000 STE, the top contender among recent entries from General Motors and Chrysler.

It's too early to tell whether this new breed of sedans will achieve the status--or high resale values--of established and similarly equipped European models: the BMW 318i, which lists for about $16,400; the Audi 5000S ($17,700); the Saab 900 Turbo ($18,000); and the BMW 325e ($21,000). But the Merkur is quicker, and the Pontiac, Toyota and Nissan cost much less to buy, insure and service.

Though BMWs, Audis and Saabs accounted for less than 2% of the cars sold in the U.S. last year, 1984 sales of these pricey sports sedan were up about 29%, compared with a 13% sales gain for the entire auto industry. The reason: "Power and handling are increasingly important to sedan-buying baby boomers who are coming into their affluent years," notes Chris Cedergren, an analyst at the automotive market research firm J.D. Power & Associates in Westlake Village, Calif. These buyers are also attracted to the elegant but understand styling of European sports sedans. Continues Cedegren: "They don't care about fake wood and chrome. They want cars that are functional as well as fast."

The Merkur's clean lines and racy reputation convinced David Smith, 40, a Los Gatos, Calif. surgeon with four children, to place an order for one in December. His $18,500 car, complete with sunroof, leather seats and metallic-paint finish, was scheduled for delivery in late January. It will share the driveway with a full-size 1981 Mercedes 300SD that's more in keeping with a physician's image. Says Smith: "The merkur is my second-childhood sedan."

To win over performance-minded buyers like Smith, designers of sports sedans marketed by U.S. and Japanese companies have copied the look of European models, especially the BMWs. In most cases, interiors are comfortable wihtout being cushy--more like, say, an Eames chair than a Barcalounger. Dash-boards usually feature easy-to-read dials and gauges, not flashy digital displays and idiot lights. Form follows function with aerodynamically shaped bodies that reduce drag, improving fuel efficiency and stability at high speeds. Handling is enhanced by responsive rack-and-opinion steering, extra-stiff shock absorbers and four-wheel independent suspension plus anit-sway bars. The result is a road-holding but unforgivingly firm ride that may seem rought to drivers accustomed to the boulevard-smooth feel of Detroit sedans.

Under the hoods are high-revving engines, some borrowed from sports car models, that can produce top seeds at least double the legal 55-mph limit. Drive trains commonly include a standard five-speed transmission linked to a fuel-injected engine, usually a V-6 or a peppy four-cylinder with turbocharger. This device kicks in when you gun the accelerator, dramatically boosting engine power by forcing more air into combustion chambers. Federal estimates of these cars' gas mileage typically range from 20 mpg in city driving t 25 mpg on the highway. That's similar to the mileage estimates for BMWs, Audis and Saabs.

Operating costs are another matter. It's considerably more expensive to insure European sports sedans, which have become prime targets for auto thieves. These cars are also costlier to repair and maintain, primarily because of high-priced replacement parts made in much lower volumes than those for American of Japanese models. In addition, BMW, Audi and Saab dealers tend to charge more for service calls because they often have a captive market of well-to-do owners. In the Chicago area, for instance, a 35-year-old man with a clean driving record pays Allstate $606 annually for complete car coverage--for liability, collision, personal injury, theft and fire--on a BMW 318i, vs. $454 a year to insure a Pontiac 6000 STE. The dealer's bill for a 15,000-mile tune-up and maintenance check, which includes a change of oil and filters, is about $250 for the BMW, vs. $200 for the Pontiac.

Here's a closer look at the Merkur, Pontiac, Toyota and Nissan sedans, based on recent test drives by members of Money's staff. Prices cited are list figures that, in the case of sports sedans, cover a wide range of standard equipment: radial tires, air conditioning, AM-FM stereo cassette player, and power steering, brakes and windows. You can expect to pay $800 to $1,300 more for models sold with optional leather seats and sunroofs. MERKUR XR4Ti: $16,400

Americans may mispronounce its name, but there's no mistaking the Merkur's advanced aerodynamics and signature double-wing spoiler, an airfoil that improves the car's stability on the highway by creating downward air pressure on the rear drive wheels. The Merkur doesn't take long to get up to speed. A turbocharged 2.3-liter four-cylinder engine--the same one that powers Ford's American-made Thunderbirds and Cougars--enables the Merkur to sprint from zero to 60 mph in 7.8 seconds. That's about two seconds faster than the BMW 325e or Audi 5000S.

The Merkur is even a shade swifter than the Saab 900 Turbo, which is renowned for press-you-back-in-the-seat acceleration. When the Saab is pushed hard through a series of curves, its slow down for the next bend, thereby disrupting your driving rhythm. In contrast, the Merkur's turbo provides prompt, silky surges of power during concerning. It's also much smoother and quieter than the turbo on Chrysler's recently introduced LeBaron GTS sports sedan, which rivals the Merkur in flat-out acceleration.

Wraparound front bucket seats keep Merkur drivers comfortably upright through the tightest turns. Despite the car's rakish profile, there's ample head and leg room for a pair of six-footers front and back. No-nonsense speedometer, tachometer and turbo dials are easily viewed without peeking around the steering wheel. Adn the Merkur's German designers haven't been too proud to learn from Japanese automakers, the innovators in thoughtful interior touches. These include compartments to store audio cassettes and a handy coin candy for turnpike driving.

Mechanics at Lincoln-Mercury dealers are being especially trained to work on Merkurs, and the company gives new owners a toll-free telephone numbers to call to report service problems. Lincoln-Mercury has had an admirable service record in recent years, according to a 1984 consumer study by market researcher J.D. Power. The firm surveyed buyers' satisfaction with new-cars dealers, from delviery of their cars through later servicing, and found that Lincoln-Mercury was the only domestic automaker to finish in the top 10--along with BMW, Audi and Toyota. PONTIAC 6000 STE: $15,125

This front-wheel-drive sedan is a sleeper. At first glance, the 6000 STE looks like several other mid-size General Motors models equipped with overstuffed seats and dashboards resembling video games. But this unusually clean-cut Pontiac pakcs many surprises, such as a muscular 2.8-liter V-6, which propels the car from zero to 60 mph in a respectable 10.6 seconds, and the best sports-suspension package available on a GM sedan.

Pontiac engineers have steadily improved the 6000 STE since its premiere two years ago. In 1984, for example, the braking system was upgraded fromd front-wheel disk brakes to disks all around. This year, the engine's carburetors have been replaced with more efficient fuel injection. The only transmission offered is an automatic, a serious setback for shift-happy car buffs. But many buyers apparently prefer to keep both hands on the steering wheel of a sedan that corners as crisply as the STE.

Being shiftless doesn't bother bachelor Kurt Hollanitsch, 38, a White Bear Lake Minn. policeman who suffers from a game left knee. Last fall he paid $15,700 for an STE after owning a series of imports, including a Saab and a Subaru wagon. Reflects Hollanitsch: "I've stayed away from American cars for the past 14 years because, let's face it, the European and Japanese competitors were simply superior." He was particularly impressed by the Pontiac's styling, taut suspension and quality of manufacture. Says he: "It's very un-Detroit." TOYOTA CRESSIDA: $15,700

The performance edition of this rear-wheel-drive luxury sedan, which made its debut last October, comes with a five-speed transmission, a fuel-injected 2.8-liter straight-six engine and a racy suspension--all similar to those used in Toyota's Celica Supra sports car. The five-speed Cressida has sober European-inspired instrumentation. Though acceleration is certainly brisk, cornering is on the slow side of sprightly. But two's going to notice when you're surrounded by so many endearing gadgets? Among them: a five-function trip computer, electric defogger for the driver's outside mirror, and seat belts that automatically strap you in whn you turn on the ignition. NISSAN MAXIMA: $13,500

For $2,000 less than its Cressida rival, the Maxima SE offers you a comparable array of gewgaws and a five-speed transmission coupled to a powerful three-liter V-6. For instance, you can choose your ride, depending on road conditions, by switching electronically among the suspension's three settings (soft, normal and firm). And the front-wheel-drive Maxima can run with the BMWs and Audis, clocking zero to 60 mph in only nine seconds.

One of the Nissan's most avid fans is Gary Blake, 37, who owns a San Francisco advertising agency. Blake, married with one child, recently ordered a Maxima SE as a replacement for his fifth BMW: a luxurios 1983 533i that cost $27,000 new and is now worth around $20,000. Says he: "The Maxima gives me 95% of the value and performance of the BMW at about half the price." Once the Nissan is delivered, he intends to sell his 533i and invest the proceeds. Beams Blake: "I'd rather build up my net worth than drive it down the street."

Products: Merkur XR4Ti (Automobile) - Evaluation
Pontiac 6000 (Automobile) - Evaluation
Toyota Cressida (Automobile) - Evaluation
Nissan Maxima (Automobile) - Evaluation