John, This is *Exactly* like my 300e 2.6 (same engine as your 260e)... In the mornings, the car drives fine (ample power) for approx the first 10 min. then, after it reaches approx 60 degrees...it seems to get the sluggish acceleration issue mentioned above.. Weird! hmmm.. do you think it could actually be this coolant temp sensor? I did reseat the connector on the sensor, but it didnt seem to change anything...