Hi Larry,
Assuming you're in N. America, the S60 was introduced as a 2001 model. Perhaps you were referring to the S70, which was introduced in 98? Either way, they are front wheel drive, and therfore completely different cars.
Basically, the only thing that makes financial sense would be to replace the engine with the same type used, or rebuild the current engine. However, check out the 700/900 FAQ's on the 960/S90...the engine is prone to self destruction unless it's been meticulously maintained, so be careful with used engines. I'm not sure exactly what it's worth, but I personally wouldn't pay more then $2k.
Good luck!
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