Taken from autoexpress.co.uk
Finally, Auto Express can officially reveal the future for Subaru! Although we were the first magazine to break the news on bold plans for a hatch to replace the Impreza (issue 853), not until now has the sheer scale of the model's reinvention become apparent.

While the hatchback's intro-duction has shocked fans of the marque, it's only part of a radical series of upgrades which are designed to push the firm's best-selling model back to the top of its class. Quite simply, the fresh Impreza is one of the most daring cars of the year - and one which represents a dramatic change of direction for the firm...

The newcomer, due in mid-2007, also looks certain to represent the most extreme evolution yet of Subaru's now-familiar design direc- tion. Christened the B5, it will be unveiled at this month's Tokyo Motor Show, and features the firm's aeroplane-shaped grille, a clamshell rear hatch and chiselled flanks.

It is made even more distinctive by its upswept door styling, while inside are four generously sized chairs swathed in daring colours, plus a practical boot. In a nod to the tradition of the Impreza STi, the rev counter is mounted in the centre of the dash, although it now contains a digital speedo just like in the Porsche 911. The motivation behind the change is Subaru's desire to shift upmarket; insiders say matching Audi's reputation for build quality, performance and quality is the ultimate target. But, as we've already reported, the radical chan-ges don't end with the styling.

Under the newcomer's distinctive bodywork, huge upgrades are being made to the powertrain, too. Although the Subaru will continue to use a turbocharged evolution of the firm's famous flat-four motor, the arrangement is being given a futuristic twist with an innovative hybrid system - the first designed to work with a turbo.

Officially referred to as a new Turbo Parallel Hybrid (TPH), the 2.0-litre boxer turbo-based set-up is expected to produce more than 300bhp - nearly 30bhp more than the standard Impreza STi which is available today. But as well as offering masses of power high in the rev range, the system will boost bottom-end torque considerably, while enhancing fuel economy and reducing CO2 emission levels at the same time.

The B5 will no doubt feature Subaru's usual superb handling and performance. But it's interesting to note that the concept pays tribute to the firm's rally heritage, sitting 200mm off the ground and wearing tyres with tread shaped to offer all-terrain capability.