Iceman

The yhad such plans, then they decided to keep the 545 model designation, then they decided to call it 550... Currently, I guess, there are just a couple ppl at BMW who really know the truth.
We'll have to wait.

Hormazd

I test drove the new 2006 530iA yesterday. Very respectable acceleration and power. My Saleman said that the new 525 feels as good. Mated with a 6spd or SMG, its a great car, tuly narrowing the gap between it and the current 545.

I asked about badging for the 550. He has been selling BMWs for 20 years and feels that the pre formal announcement rumours are very normal. There is no reason why it will not be badged as a 550. BMW like to change badges to reflect their greater displacement. The E34 had their first V8 a small block M60 whose dispacement started at 2926cc and went up to 3982cc. Different badges. Post 1992 530 was a 2997cc V8 and 540 was the same M60 with 3982cc.

I am very confident that MY06 we will see a 550i

NES

Does value of the outgoing model designation substantially lower when it is replaced by a newer model designation?

The 750 replaced the 745 not only because of its looks and engine displacement, but also because of the poor press, quality and value associated with it. They had to do something to reinvigorate the seven. I dont think thats the problem with the 5er. Some may love it, some may hate it, but its still selling well.

Hormazd

I would imagine that a new model will always lower the value of an old one somewhat. 530i Feb 05 build and 530i March 05 build are two different cars. The older 05 car is less desirable than the newer 06 with the Magnesium engine. I am sure the same will apply to the 545 and 550. I don't think it really matters to BMW AG , who will not stop improving designs and engines to preserve the value of their older cars.

NES

Probably not, but im sure that somewhere they look at the substantial changes which will cause a sufficient drop in value and use with caution. Afte all, an automobile is not an investment, but owners of cars dont exactly want something that wont be worth anything at all...especially after shelling out over $50k. Lets hope they do actually consider this.