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Brand-new for 2006, Audi’s A3 is a compact sports wagon derived from the latest-generation Volkswagen Golf — but with a sleeker roofline and unique styling cues, including the bold front grille design that first appeared on the ’05 A6 sedan. For 2007, an S line Package replaces the Sport Package from 2006. Equipment content is the same, but the new S line package also receives more aggressive front and rear fascias and S line badging on the exterior. The A3 also has a new Technology Package with Bi-Xenon adaptive headlights, Bluetooth hands-free cellphone technology and a light and rain sensor. The Sound Package has been renamed the Audio Package and includes Sirius satellite radio. The A3 shares its 200-horsepower 2.0-liter turbocharged direct-injection in-line four engine with the A4 sedan. It drives the front wheels via either a six-speed manual transmission or Direct Shift Gearbox (DSG). A 3.2-liter, 250 horsepower V-6 is optional and offered with DSG and Audi’s quattro all-wheel drive system. Seventeen- inch wheels and tires are standard, with 18-inch rims optional. Audi’s Electronic Stabilization Program is included, along with front-seat side-impact and head-curtain airbags.