I plan to complain to Jaguars local upper level (local) management as I believe this was a known problem to them when the car was sold to me. I bought it just before the winter set in and found that it had no traction in the snow. I bought a car cover and kept it covered for the remainder of the winter.In March when I had a chance to start driving the XJ-8 I noticed that when driving between 50 -70 mph there was noise and vibration coming from the wheels. I thought the tires needed balancing so I went to a tire and alignment facility to get the tires balanced and filled with nitrogen. It was determined that one of the front rims was bent and it was sent out to be straightened and subsequently placed in the trunk for a spare. The remaining tires were balanced and refilled with nitrogen. I again experienced the same vibration problem and returned to get the tires balanced again. The computerized equipment was thorough and up to date and

accurately balanced the tires. The problem persisted and I eventually went back to the Jaguar dealer to get the oil changed. I was then revealed to me that the rear pinion seal was leaking and gear lube was getting all over the rear underside of the car. I was told it would cost $1000.00 to repair. I later informed the that I had purchased a warranty for $3,000.00 when purchasing the car from them. After my claim was submitted they told me that Continental warranty company denied my claim because this was not a covered part. I was informed also that even if I replaced the pinion seal it would not stop the vibration. The entire rear differential center section would have to be replaced.(a very expensive option) I have had the car for 8 months and have only put 4,000 miles on the car, usually driving only on the city streets because you don't feel the vibration as much and I still have to get the seal replaced to keep from leaking all of the gear lube out. My contention is that they knew of this problem before they sold me the car and the dealers who had the car did not enter this problem into the Car Fax partly due to the age of the car and the unsaleability which would have ensued if it had appeared and alerted the buyer. An astute buyer would have investigated the expense involved and not purchased the vehicle.