2007 Mercedes-Benz S-Class S550 4dr Sedan 5.5L V8 4MATIC with all upgrades .

2007 Mercedes-Benz S-Class 4Matic Sedan 4-Door Description

2007 Mercedes BenzS-550 4matic .

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Perhaps the best news is that the new system, developed 100-percent in-house by Mercedes, is now teamed with the company's excellent seven-speed automatic. For now, the new all-wheel drive is exclusive to the S550 4MATIC models keep the old version with the five-speed tranny, and while the all-wheel-drive have the seven-speed, it's a different setup.

The new 4MATIC system is reportedly 60 pounds lighter than the old one, making an S550 4MATIC just 145 pounds heavier than a standard S550. That massive weight reduction was accomplished by using aluminum front axles instead of steel as well as eliminating the transfer case altogether by incorporating the planetary center differential into the transmission case. That second bit also saves on complexity: S-class 4MATICs no longer require a separate, wider transmission tunnel. Mercedes claims the friction within the system has been reduced as well, and reports a 60-percent reduction in the fuel-economy penalty of its all-wheel drive. But we're a bit skeptical of that claim as the S550 4MATIC's fuel economy drop according to EPA ratings is 1-mpg city and 2-mpg highway (15/22 versus 16/24), nearly identical to the previous S-class' ratings.

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