Three letters which will bring a tear to the eye of any BMW enthusiast:
CSL. Back in the '70s, lightweight CSL coupes terrorised the world's tracks in a racing career, which was honourably continued by the old E30-shape M3.

There isn't such a glorious heritage in store for the new M3, as BMW chooses to campaign it against amateurs in the ADAC GT Cup rather than against serious competition from Mercedes and Alfa Romeo in the German Touring Car Championship. So it's not BMW we have to thank for this revival of the CSL badge, but AC Schnitzer. Their battle-ship-grey lightweight M3, the S3 Sport CSL, is a testament to the religion of weight-saving and a truly worthy standard-bearer for the glorious CSL tradition.

The story starts with a Schnitzer carbon fibre/Kevlar bodykit, featuring bulging fenders which increase the car's width by 6cm, and new side skirts to dramatically emphasise the M3's already low stance. Schnitzer's front apron incorporates cooling ducts for the front brakes and the cool-ers for water and oil. At the rear end there's a rounded bumper,, bootlid spoiler and - in another visual tribute to the battling coupes - a window-shrouding roof spoiler.

Weight-saving really has been taken to the extreme on Schnitzer's CSL. The steel bonnet and boot lid have both been replaced by carbon fibre items, and one of the windscreen wipers has been dispensed with, leaving a single arm which sits vertically on the screen when not in use. Even the M3 's small mirrors have had to give way to fieldmouse's ear-sized reflectors.

But the exterior mods look positively tame compared to the interior, where just about everything has been changed with a view to producing a genuine touring car racer look in a road-legal form. Full carbon-fibre racing seats skinned in fine leather weigh just 3kg each. Four-point harnesses hold the two passengers in place, and there will only ever be two passengers because there are no back seats -just carpet over a car-bon-fibre cover which opens into the boot. The centre console is all carbon/Kevlar with supplementary switchgear mounted on an aluminium plate. Aluminium pedals and shift knob combine with a suede steering wheel and digital LCD instrumentation to complete
the race-car fantasy.

Before the howls of 'poser' spring up from all and sundry, be advised that the race car look is fully backed up in reality. The 3.0-litre six comes with Schnitzer's 34bhp upgrade (exhaust, Motronic reprogram, and cams) to take power up to 320bhp. With 160kg trimmed off the stock M3's weight, the predictable result is fierce performance: 0-62mph comes up in 5.Ssec, and top speed improves to an (ungoverned) 173mph.

To put this little lot onto the tarmac, the CSL comes with a height-adjustable chassis that's a full 5cm lower than the stock M3. Adjustable torsion bars allow individual setting-up for each customer, as AC Schnitzer boss Michael Lauer explains. "We offer tailor-made solutions, from sporty-comfortable up to very hard for use on the racetrack." Black three-piece modular wheels (9x18 front, 10x18 rear) wear 235/40 and ultra-radical 285/30 Bridgestones. Big vented discs and special brake pads (coupled with the standard ABS system) haul the plot down to earth.

The demo car I drove came in rock-hard spec, much too hard for daily use but guaranteeing plenty of fun on smooth, curvy roads. Like a Group A racing car it follows every move of the wheel, but it also passes on every small bump immediately to the driver.

Handling remains neutral for a very long time, though injudicious use of the trottle can (as you'd expect) bring the back end around.
At DM136,000 about £55,000, the Schnitzer CSL is not an obvious bargain, but it actually is an economic alternative for hobby racers who don't fancy Porsche's Carrera RS. The different tuning stages are available independently from each other, so anyone can convert their E36 into a CSL on a step-by-step basis.

With the softer-tuned chassis, this car will offer a combination of driving experience and day-to-day practicality that is hard to beat.

More from another source..
Remember the AC Schnitzer CLS that was revealed at the same show two years ago and stunned the tuning world? Now meet Son of CLS - CLS 2. Based on an M3 coupe, the CLS 2 incorporates many parts tested on the Group A racing BMW M3 run by the motorsport arm of AC Schnitzer.

The 3-litre six-cylinder M3 engine is uprated with replacement camshafts, a new high performance exhaust system with large catalytic converters and revised engine management system mapping. In addition, the compression ratio is raised, forged pistons are fitted and the cylinder head is gas-flowed. A new induction system with a larger airbox completes the picture. These modifications raise maximum power from 210kW (286bhp) to 257kW (350bhp) at 7800rpm. Torque is increased to 355Nm (2621b-ft) at 4400rpm. An AC Schnitzer Short Shift is added to the gear linkage to reduce gear lever movement in the six-speed gearbox.

Weight has been saved by using panels made from composite material carbon/Kevlar. This treatment extends to the bonnet, bootlid and the body kit. The latter incorporates a new front spoiler that reduces lift at high speeds. A wing is mounted above the rear window in the familiar AC Schnitzer fashion. The bootlid-mounted rear wing is electrically controlled and extends at higher speeds. It incorporates a Gurney flap -an aerodynamic device normally only used on racing cars.

A wing profile air duct under the rear of the car generates additional downforce. Other detail changes to the exterior of the standard M3 include streamlined door mirrors and a smoothly rounded rear bumper. The CLS 2 is painted a special AC Schnitzer colour - Competition Green.

Because the CLS 2 has even wider wheel arches than the CLS, larger tyres have been fitted - 9.5xl8in at the front and 10.5xl8in at the rear. Corresponding tyre sizes are 255/35 and 285/30. The green painted wheels have contrasting yellow rims. Height-adjustable progressive rate springs lower the car by 35mm and adjustable dampers and anti-roll bars provide race car handling allied to road car ride comfort.

Inside, the standard seats are replaced by lightweight racing versions trimmed in green leather to match the exterior. The rear seats are removed and special carpet fitted in their place. The steering wheel is ergonomically designed and has a suede leather rim.

100kph (62mph) comes up in 5.lsec from standstill and AC Schnitzer quotes a maximum speed of 288kph (179mph). The price is 225,000DM (£l00.000) for a complete car but many components can be ordered separately.