Yeah- Engine. My aunt's 540i had a very bad engine, and also the transmission had to be completly replaced at less than 60,000 mi. Thank God for BMW ext. warranty.
BM would probably say it's down to an incompatability between their titanium lined cylinders and high sulphur petrol that was (is?) sold in the UK. I thought that it was mainly a problem with the M52 straight six. I've not heard of it being a V8 problem but I might be wrong.
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