Let us stress the all-new part. This is a Jaguar engine, developed from scratch, and at 441 pounds it is the lightest in its class. Ford intends to employ Jaguar's new engine in future Lincolns, but it shares nothing with Ford's own 4.6-liter V8.

Jaguar's new V8 delivers excellent thrust right from idle and sophisticated power music from the exhaust. It delivers enough punch to propel these elegant cars from 0 to 60 mph in less than 7 seconds. It takes just over 17 seconds to reach 100 mph, and top speed is electronically limited to 155 mph. That's pretty brisk for a car in this weight class--3,673 pounds for the coupe, 3.867 for the convertible. Fortunately, the XK8's stopping power is just as brisk.

Stimulating acceleration is only half the story. The XK8 also delivers an inspired blend of ride and handling. It combines decisive response with limited body roll, excellent weight distribution and impressive grip from 17-inch Pirelli P-Zero tires.

Jaguar's chassis and suspension engineers have done exemplary work here. The XK8 has the supple feel the luxury market demands, but it also has the immediate reflexes that separate sporting machinery from ordinary cars.

The key to this is chassis rigidity. Just how well the development team did its work shows in the convertible's impressive handling performance. Although the convertible is a little heavier--the result of added structure to compensate for the absence of a steel roof--its handling is indistinguishable from the coupe.

In two days of touring, including a long, lonely stretch of mountain road that's one of California's best sports car exercise arenas, we were unable to provoke Jaguar's new cat into the slightest hint of unseemly behavior.

We tried all sorts of unlikely capers--entering decreasing radius turns (turns that tighten up) too fast, tramping on the brakes in mid-turn--until the co-driver finally said enough was enough. Through it all, the XK8 never missed a step.

If we could add one thing to the XK8's dynamic recipe, it would be a manual transmission. Jaguar's J-gate automatic shifter allows the driver to select specific gears, but like all automatics and semi-automatics, it's just not the same. Jaguar product planners feel there just isn't enough demand in this market to justify the substantial investment required for a new manual transmission.

For all its backroad competence, high-speed stability and high-tech power, the XK8's number one appeal is its head-turning good looks, a factor that figures high in the driving experience. Even in Santa Barbara, a community that has a high percentage of automotive exotica, the XK8 stopped traffic and elicited questions from passersby: "How much? When can I get one? Can you pick me up after work?"

With its handsome proportions and smooth lines, this is a stirringly beautiful car. We were disappointed that the color palette does not include a true red, yet does include electric blue and dark green olive that seemed inappropriate to us. Fortunately, the 1998 additions lend more choices.

Naturally, the convertible got lots of attention in sunny Santa Barbara, particularly when we raised or lowered the top with the car in motion.

The top, a power-operated affair with a glass rear window that latches itself automatically, will go up or down at speeds below 10 mph. This means you don't have to hold up traffic when the light turns green with top midway up or down. That's luxury. And it certainly attracts attention.