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Ed, the air pump has been eliminated, if I am not mistaken on the MY200 (correct me if I am wrong on this, guys). So that problem would be out of your hair, assuming I am correct, but like I mentioned, there are other issues. The S70 has actually undergone quite an evolution through its product cycle. There a bunch of other things that became problematic. If I were you, I would stick with the car you have. Air pump does not really need to be replaced, it is only used at cold starts to blow some extra air into the exaughst to bring the catalytic converter up to operating temperature quicker. Nice intention on Volvo's part to be sure (the faster the cat is up to op temp, the less pollution the car produces on startups). But if the darned air pump breaks all the time and costs a fortune to replace (because of ill-designed placement), then why bother fixing it? It is a design flaw, but the one that doesn't really effect car's operation. I would just unplug the air pump and be done with it. I am not sure if that produces Check Engine light events, but if it does, you can turn off the CEL with a simple tool sold in auto parts stores for inspection purposes.
As far as brake calipers go, I am pretty sure that design has not changed, so you would not benefit there by going to MY200. Also, I would double-check your dealer's diagnosis there. Not saying he is full of it, but sometimes these guys like to perform more than necessary. The brake system on these cars is not problematic, and this is the first time I hear of this kind of "failure", so double-check (at an independent shop or yourself).
The light bulb problem has been addressed by a recall, but I have never had a problem with headlights burning out on my car. I turned off DRLs before I left the dealer's lot upon delivery and have never had the problem. Also, I got into the habit of turning on my headlights AFTER I start the car and turning them off BEFORE I shut the engine off. This was because I suspected some transient "spikes" of current in the system during cranking or something like that. Anyway, no problems with the lights. BTW, if you want your dash lights to last, dim them down even just a little. I don't like the full brilliance of the dash anyway (I find it too bright even in the city), so I turn them down about a 3rd, but you don't need that much. Just a little down and you will prolong their life significantly. These are all just common sense things, nothing magical and nothing that could be addressed by a newer model.
As far as putting on 30K a year, you picked the right car. Volvos can take high mileage. The engines a re great and love to be driven long and hard. No problems in that department.
Good luck.
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Vladimir. 1998 S70. Base, 5-speed manual.
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