We loved our 93 940T wagon so much we decided to upgrade to a 2003 XC90. We bought ours at 36,800 miles. Service was done correctly, but after driving it for 2000 miles, and 20 miles after an oil change from the dealer, we had a cloud of white smoke pouring out of the tailpipe.

The dealer diagnosed the problem as a failed seal in one of the turbos. This is obviously very dissapointing as the turbo in the 940T is going strong. Does anyone know why this would happen? The service records indicate oil was changed appropriately. It just doesn't add up to me.

Dealer claims the catalytic converter was not damaged becasue we pulled over right away. Does this sound right? What about the muffler, and should I worry about the other turbo?

It seems they should have perfected turbos by now. Now we're not so certian this is a reliable vehicle. Is this just bad luck, or has Volvo had other problems with the turbos. Thanks for any advice you can give.