The 2007 Jeep Compass is all new, a term usually meaning that a vehicle has been completely redesigned. But in the case of the Compass, it's a completely new vehicle: first generation.

One way to measure the value of the Compass might be to compare it to the trusty Jeep Cherokee that was enormously popular for 18 years and finally ended its run in 2001. The Compass is slightly bigger and light years better than the Cherokee was 10 years ago. The new Compass costs about $1000 less, in today's dollars. When you consider inflation (28 percent by the Consumer Price Index), that number blows up to more than $6000 cheaper.

The Compass is built on a front-wheel-drive, car-based platform (called the GS, a modified version of a platform that supports the Mitsubishi Lancer). The Compass comes with a choice of front-wheel drive or all-wheel drive.

The Jeep Compass uses DaimlerChrysler's 2.4-liter, four-cylinder World Engine, developed jointly for 21st century efficiency with Mitsubishi and Hyundai. It's a solid, sophisticated, 16-valve engine, quieter and stronger than a four-banger was believed capable of being, 10 years ago. It features electronic variable valve timing that continually changes the torque curve, bringing more versatility to the 165 peak pound-feet of torque, and more capability to the 172 peak horsepower. Emphasis during development of this engine was on fuel mileage; even carrying 3326 pounds, the Compass 4WD with a five-speed manual transmission delivers 25 city and 29 highway miles per gallon, estimated by Jeep.

The Jeep Compass offers a Continuously Variable Transaxle, which performs like an automatic transmission, and it's a doozy. The CVT is optional with the Compass Sport model, and standard on the Limited, where Autostick can be added to the CVT. Autostick enables the driver to shift up and down over six steps, making it feel like a six-speed gearbox without a clutch pedal. The combination of CVT with six-speed Autostick is the best of both worlds, and works more precisely than the manual/automatic transmissions in many expensive sports sedans.

The safety, ride and handling of the Compass are all excellent, with a strong steel structure and well-planned subframe. Side-curtain airbags and electronic stability control with anti-rollover sensors are standard. Although, in order to keep the advertised MSRP down, air conditioning and power windows and locks are optional.

The styling is similar but sleeker than Jeep's other small SUV, the Liberty, which uses a six-cylinder engine. There's good interior space all around, with rear seats that fold flat to make about 54 cubic feet of cargo space. Options for added versatility include reclining rear seats and a passenger front seat that also folds flat, creating either a table or eight-foot-long space for storage.