VW is again chasing the upper end of the market-where the Phaeton failed-this time with a five-door, Passat-derived coupe that likely will debut in 2007. Triggered by the success of the new Mercedes-Benz CLS four-door coupe, this handsome hatchback will get a neatly integrated, double-hinged tailgate that opens in two steps. Push the concealed button once, and only the lower lid will lift. Push it twice, and the entire assembly, with the rear window, will swing skyward. Front- or all-wheel drive will be offered, while U.S. engines are likely to include a 280-hp, 3.6-liter VR6 and a 400-hp turbo version for a sporty R36 model. See more photos in the July issue of Automobile Magazine.