December 2002

Re: BMW … VIN #

Dear Valued M Enthusiast,

We hope that you are continuing to enjoy your M car and that your BMW ownership experience is everything you hoped it would be. At BMW of North America we are committed to maintaining a level of automotive and service excellence that exceeds your expectations now and in the future. We are grateful to you for your passion and enthusiasm for M cars.

BMW has always maintained an open dialogue with our valued customers and BMW centers. As you may be aware, we have seen cases of damage to the connecting rod bearings resulting in engine failure. We are listening to your comments and concerns and have been meticulously researching this issue. We promise to keep you informed of any issues that affect your vehicle’s engine.

To further strengthen your confidence in your BMW and assure you of our commitment, we will extend the warranty on the above referenced vehicle identification number for all internal mechanical engine components that are lubricated by engine oil to 6 years or 100,000 miles whichever comes first. Enclosed is a copy of the extended warranty statement for your records. Please insert this page into your Service and Warranty booklet, as it is transferable to any subsequent owner.

We continue to recommend that you only use BM
W approved SAE10W-60 synthetic oil in your engine. Please be aware that your engine needs to be at operating temperature before you take advantage of its full power at high engine speeds. Please do not overrev the engine under any circumstances. Be careful not to pump the accelerator pedal when there is no engine load, e.g. when the vehicle is not in motion. The best, most efficient and safest way to warm up an engine is to drive with moderate engine speeds until you reach the operating temperature.

We assure you that we stand behind our product and will always continue to listen to our customers. If you have any additional questions please contact your authorized BMW center or call Customer Relations at 1-800-831-1117.

We wish you many more safe and thrilling miles in your M car.

Sincerely,

Hans G. Duenzl
Vice President,
Aftersales & Engineering


Inter-BranchMemo
To: Hans Duenzl
Dept.: VP, Aftersales & Engineering

From: Nina
Dept.: Aftersales Development & Quality Management

Date: 12/09/02

Re: Text for S54 Extended Warranty Statement for Insertion into the Service and Warranty booklet


New Vehicle Limited Warranty Enhancement - S54 Engine
Vehicle Identification Number:
(Valid only in the Continental USA and Puerto Rico)

BMW of North America, LLC warrants on the above referenced VIN all internal mechanical engine components lubricated by engine oil against defects from material or workmanship for a period of 6 years or 100,000 miles, whichever occurs first.

The New Vehicle Limited Warranty is described in your Service Warranty booklet supplied with your new BMW.

The warranty begins on the date of the first retail sale or the date the vehicle is first placed in service as a demonstrator or company vehicle, whichever is earlier.

Please insert this into your Service and Warranty booklet.

====
Here you go...

http://forums.roadfly.org/bmw/forums/e46m3/forum.php?postid=817858&page=1
====

I inserted the actual letter here in the post. -Kevlar

Check it out:


http://forums.roadfly.org/bmw/forums/e46m3/forum.php?postid=817858&page=1

Finally. :clap:

BMW's just renewed my faith in them.

They've gone a long way in ensuring my next car(s) are BMW's.

Not too often that you get a race-bred motor with a 100k mile warranty!

so should we all be expecting this letter in the mail soon??:az:

Originally posted by HTownM3
so should we all be expecting this letter in the mail soon??:az:

For the most part yes. When I talked to the BMWNA representative on the phone, she said all '01, '02 and current production '03s would get the letter.

I heard that you'll get a letter after the first of the year.

This is awesome! :)

All the bitches who were poking fun of our ticking time bombs are now suddenly silenced.

Brian

Sounds like good news, does this apply to roadsters as well?

Yes, I just called BMWNA also and they will be sending the letter out in phases. At first I was hesitant to hop into an E46 M3, but with a 100,000 mile warranty it's as good a deal as ever.

If they only came in 4-door versions.....

Wes
'95 M3

This as real as it gets. And I applies to the M coupes and roadsters as well. See below the answer from BMWNA about my inquiry on Owners' Circle.

Florian



Dear Florian Popescu,

I'm with BMW of North America, LLC, and your Owner's Circle inquiry has been forwarded to me for response. This warranty is being offered on all S54 Engines in M3 coupe, convertible and M roadster and coupe model year 2001, 2002, and until further notice, current production 2003. I hope this information is useful to you.

Best Regards,

Amber Wood
BMW Customer Relations



--Original Message--

formid: 1001

Comments: Hello!

Recently there have been a significant amount of rumours regarding an
extended warranty (6 years/100,000 miles) to be offered by BMWNA for M3
owners for the S54 engine due to the known issues with this engine.

Now my question would be if BMWNA considers offering this kind of warranty
for the M3 model years 2001 to 2003, will this warranty be offered for M
Coupes model years 2001 to 2002 that share the same basic engine with the
M3?

Thank you!
Florian Popescu

If I'm reading the BMW letter correctly, it seems that BMW will only warranty specific 03's, which I take as they only intend on extending this warranty to S54's that DON'T have the revised engine slated for 11/03 and beyond? :95

>>This warranty is being offered on all S54 Engines in M3 coupe, convertible and M roadster and coupe model year 2001, 2002, and until further notice, current production 2003.<<


Basically all S54's are warrantied until BMW fixes the problem..... or doesn't, and gives up and just flops a V8 under the hood...

Originally posted by zenon
>>[B] gives up and just flops a V8 under the hood...

I'm for that! :clap:

Personally I think a high revving short stroke 3.5-8 litre V8 would be a barrel of monkeys.:)

Originally posted by zenon
Personally I think a high revving short stroke 3.5-8 litre V8 would be a barrel of monkeys.:)

Why not just use the 4.0L V8 from the GTR car... just tune it down. So the aftermarket companies can then tune it back up and make some sick power...

Yeah, baby!! That 4.0L V8 had to breathe through some restrictor plates, too. With a regular sized intake, even detuned, 400hp stock should be easy. With a flat crank, that was one of the most amazing sounds to hear that GTR zoom past. Ahh...music to my ears. I'd buy one for sound alone!

4 litres would be great, how big is the M5 V8 tho? I thought the GTR had an M5 motor in the ____ (new LTW whatever they're calling it now) If they went for a destroked M5 motor that was closer to 3.5 then it would be back to the S14 days of 8500 reliable RPM in stock form... more with mods:D

The M5 V8 is 5.0L (actually 4.9L). There were a few 5.0L V8 M3s that ran in a different series than ALMS before the debut of the 4.0L race-motor. Man, how expensive would it be to get that motor? Even the 5.0L V8 for the Z8 and M5 is expensive enough that they stopped using it for the Z8. They now used the Alpina V8 from the X5 4.6is.

They have an Alpina 4.6 in the new z8's?:eek:

Yes. They helped tune the V8 in the X5 4.6is, and that's the motor that is now being used in the Z8. And, they've renamed it to the Alpina Z8 Roaster or something like that. New Alpina rims, too. I think you can find it on BMWs website.

The M5 motor was more powerful, but I think it ended up being too expensive to make.

Originally posted by VoltesV
I heard that you'll get a letter after the first of the year.

I received my letter today. I've heard many others are receiving theirs also.:redspot

Got my letter yesterday. I wish they would have doubled the years to 8 like they doubled the miles to 100,000, as I don't put too many miles on my car.

Great news nonetheless.


:emo

:clap: woohoo!! just received my letter! now let's go put some miles on that car!!:buttrock :evil2

Got my letter...

Boy the value of these cars will be going to shit after 100k...I sure as hell wouldn't buy one running 6-digit plus mileage..

Before 100k...

:evil2 Sign me up...

Do you guys push your car hard with a little fear? It's awesome that BMW owned up to the problem. My step father is getting an 02 M3 shortly. I'll be driving it once and a while. I like to drive pretty hard.

Do you guys worry? I've read some horror stories...

Originally posted by kapolani
Do you guys push your car hard with a little fear? It's awesome that BMW owned up to the problem. My step father is getting an 02 M3 shortly. I'll be driving it once and a while. I like to drive pretty hard.

I drive my car hard all day every day. There isn't a day when my car doesn't see 7000+ rpm. If I wanted a car I would have to baby every day, I'd have bought a *insert crap car here*.

I wouldn't want to baby a performance vehicle either, but you can't deny the fact that engines are blowing for no reason.

Originally posted by kapolani
I wouldn't want to baby a performance vehicle either, but you can't deny the fact that engines are blowing for no reason.

yeah, engines are blowing... that's very true. the way I look at it is. If i baby it, the engine may hold together... only to blow one day after my warranty has expired... probably the week after the warranty goes.

Or...

I can drive it how I want (and enjoy it)... and if it blows, it blows ... BMW tosses in a new engine and then I'm on my way... but if it's going to blow, it'll blow in the warranty period.

Makes sense.

You're absolutely correct that it COULD blow at anytime. Now. next week, or a day after your warranty expires.

I just hope it doesn't decide to blow after the warranty. People would be out of luck then.

He decided on a 540i w/ sport package. He just can't deny the fact that something is wrong - and the warranty is just a bandaid to alleviate fears. He keeps cars for a long time - warranties eventually expire.

Originally posted by kapolani
He decided on a 540i w/ sport package. He just can't deny the fact that something is wrong - and the warranty is just a bandaid to alleviate fears. He keeps cars for a long time - warranties eventually expire.

I have one of those too ... it's a shame tho, the M3 is a totally different car. 540i is more of a autobahn cruiser, the M3 is more of a canyon carver...

I'd love to get one. I keep hearing about the next iteration getting the V8 engine though. That sucker is going to rock.

Originally posted by JasonJ75
Boy the value of these cars will be going to shit after 100k...I sure as hell wouldn't buy one running 6-digit plus mileage..

Before 100k...

:evil2 Sign me up...

I'm confident that if the engine doesn't blow before 100k miles that it's not going to blow after. At least it wont blow due to the engine related problems we are talking about today. If there is something wrong with the mechanics of the engine, it will blow well before the warranty expires, especially if driven hard. Therefore, I'll have to disagree that the value of these cars will be going to shit after 100k.

That's the educated opinion.

But, as we all know, many other variables factor in. Getting a bad rap from the beginning can only hinder resale value.

Csae in point - my stepfather went with the 540i instead of the M3 because of this problem. It DEFINITELY swayed his opinion.

With a 400hp 8 cylinder on the horizon it makes it even harder to justify buying this grenade.

Originally posted by VoltesV
Yes. They helped tune the V8 in the X5 4.6is, and that's the motor that is now being used in the Z8. And, they've renamed it to the Alpina Z8 Roaster or something like that. New Alpina rims, too. I think you can find it on BMWs website.

The M5 motor was more powerful, but I think it ended up being too expensive to make.

No, they put the 4.6 litre in the Alpina V8 Roadster because the M5 engine was too powerful for an automatic. Putting an auto in the Z8 was the whole premise of the Alpina car.

Stupid, yes. Whatever keeps BMW independent works for me though.

Does anyone know what was the last build date that got the warranty extension?

I took delivery on 1-4-03 and have not received any letter.

Originally posted by jsheffel
Does anyone know what was the last build date that got the warranty extension?

I took delivery on 1-4-03 and have not received any letter.

Get your VIN number and call 1800-334-4BMW... give them your VIN number and they will check for you.

Alpina Z8 is a 4.8 L version of its old 4.6 L which is in the 4.6is.

Originally posted by jsheffel
Does anyone know what was the last build date that got the warranty extension?

I took delivery on 1-4-03 and have not received any letter.

You aren't even close! The "service action" is through 02/02 build date. You are almost a year off.

Check inside your door on the VIN tag for the build date. You are probably 11/02 or 12/02.

Relax - you're safe!

Originally posted by jblack
You aren't even close! The "service action" is through 02/02 build date. You are almost a year off.

Are you talking about the service recall or the extended warranty? My car is a 10/2002 build date ... I'm not part of the service recall, but I got the 6yr/100k warranty.

You are right...I'm answering the wrong question!

Sorry!

I was at Life Quality BMW (Brooklyn, NY) this past week getting a last min. oil change (read "expensive") before a weekend at the Glen and met a "new" M3 owner at the service department.

He had purchased his Ti. Silver a little over a month ago, and has put about 2k miles on it. Hasn't had any problems with it, etc...

He received a notice from BMW N.A. to bring in his car to have it serviced. I was listening in, and the service department indicated that they were only doing one a week, and that he would have to come back once it had been scheduled...

I asked to see the letter from BMW which he showed me for a couple of seconds before he stormed out... I couldn't make out what was the issue with the motor this time...

Has anyone else seen a new Service Action from N.A.???

I heard or read somewhere that BMW would have an answer to this engine issue by November, 2003. The answer may be to lower the rev limiter to 7500.

A V-8 for the M3 seems like the best long term solution. Is this speculation or will this really happen? Are we talking 2005 model year or when? I've heard this mentioned several times, but it seems to be more hopeful speculation than anything else?

The issue with the engine has been discovered and fixed. There is no change in the readline. i don't know who picked "November, 2003", but that is like saying that they will find a cure for the common cold in March 2016 - just a random guess.

There will be no V8 in the current general production M3. There was speculation, but nothing behind it. Nobody from Bavaria ever speculated this would happen, and they are the only ones who opinions count! There may be a V8 in the next generation M3 (or M4).