BMW introduced the E39 M5 for the 1999 model year. Based on the E39 5 Series, this new car was the first M5 to be powered by a V8, being fitted with BMW's S62 engine, which was a 4.9L naturally aspirated unit. This new engine generated 394hp, which powered the rear wheels through a 6 speed manual transmission. In addition to the powerful engine, suspension and steering changes improved the response and feel of the chassis. Built until 2003 with a total of 20,482 examples produced, the E39 M5 was replaced by the E60 M5 starting in 2006.