IT is the little and large show from Audi, with new models at each end of its size and price scale, and plenty more happening in between.

The newest version of Audi's little A2 model transforms it from a city runabout into a long-distance family car.

By slotting a larger 1.6-litre petrol engine beneath the bonnet, this version of the A2 gets much more pulling power, which results in decent performance, even when fully laden.

It is a very sophisticated engine with petrol direct injection, which basically means there is more power than you would expect for its cubic capacity.

It means that the lightweight aluminium-bodied Audi A2 has a fair turn of speed, but maintains impressive economy in the process.

It can nip smartly to 60mph in fewer than ten seconds, and has a top speed of 125mph.

This 1.6-litre FSi version tops a line-up that now includes 1.4-litre petrol and diesel models, with prices ranging from £13,145 to £15,125.

The A2 achieves a remarkable amount of interior space despite its exterior shortness, thanks to a format that is generally recognised as being a mobile monument to perfect packaging.

The idea is to demonstrate that a car no longer needs to be big to be stylish, sophisticated, solid and safe.

Being made from aluminium, the A2 is light enough to survive on small engines, whilst offering an excellent combination of fun and frugality.

The seats are designed for just two people to sit abreast, rather than three, so they have more individual shape and offer better support.

The rear luggage space is larger than the average of cars in two classes above, and the rear seats can be folded completely flat to create even more.

For those who simply must have a car with five seats, the A2 comes with an optional rear bench to replace the individual seats, but that compromises its versatility enormously.

The quality of the fixtures and fittings is the same as that of the £50,000 flagship Audi A8, which aims to be more advanced in every aspect of its operation than either of its two main rivals, the BMW 7-Series and Mercedes S-Class. The all-aluminium body is relatively light in relation to its size, so the power-to-weight ratios of the two V8 engines is good.

The A8 comes with the significant advantage of permanent four-wheel drive, which few of its rivals has. There is a six-speed tiptronic transmission, adaptive air suspension with three settings and a myriad of safety features. Other features include an advanced key authorisation system and electromechanical parking brake, which are already features of the BMW.

There is also a multi-media interface, which some drivers find more confusing than traditional knobs and switches.

Initially there will be a 2.7-litre V6, plus a choice of two V8s, of 4.2 and 3.7-litres.

The 4.2-litre version offers 335bhp to give scorching acceleration to 60mph in just over six seconds, thanks largely to the lightweight aluminium body.

The 3.7-litre version manages 280bhp, which knocks about one second off the acceleration times, but achieves slightly better economy.

Prices start at £38,300 for the V6, with 193bhp for a 145mph top speed, and a 0-60mph time of ten seconds, with a pair of turbodiesels looming large on the horizon too.

Indeed, such is the sophistication of the new generation of diesel engines that Audi has just introduced the first oil-burning cabriolet, and it is a corker.

The result is the gorgeous A4 cabriolet with a list price of £26,385 with a 2.5-litre six-cylinder diesel engine mated to a six-speed manual gearbox.

Acceleration is brisk enough off the mark, with a 0-60mph time of 9.9 seconds, and even more impressive once on the move, through the gears, thanks to the engine's massive pulling power.

An increase in power, from 155bhp to a new high of 163bhp in the cabriolet enables the car to reach 140mph, which enables it to cruise effortlessly at half that speed. Economy is about 40mpg, and there are huge benefits for anyone choosing this cabriolet as their company car.

The CO2 figure, upon which benefit-in-kind tax liability is based, is 235 grammes per kilometre in the case of the 2.4-litre V6 petrol model, resulting in a tax liability of 32 per cent of the £24,670 list price.

In the case of the new diesel version the CO2 figure is 194g/km, which results in a tax liability of 23 per cent of the £26,385 list price.

Updated: 10:49 Friday, May 30, 2003