Rolls-Royce (literally the "Rolls-Royce" of automobiles) revealed in Paris that they've started working on their long-awaited "baby Rolls-Royce", which it projects will be ready within four years from now.

Saying "baby Rolls-Royce" is relative when it'll still cost as much as a small house, but considering its big-brother Phantom costs as much as a large one, the projected price in the €2-300,000 range seems like a bargain by comparison.

Currently the BMW-owned super-luxe carmaker offers only the Phantom sedan. The smaller sedan, which is expected to share some bits with the next BMW 7-Series, will be joining a few more models, including a stretched Phantom, a new cabriolet (previewed at Geneva '04 by the 101EX showcar) and its possible coupe derivative.

(Follow the jump for the short press release.)

STATEMENT FROM ROLLS-ROYCE MOTOR CARS
29.09.2006

Rolls-Royce new model series

At a private function at the Paris motor show yesterday evening, Ian Robertson, Chairman and Chief Executive of Rolls-Royce Motor Cars, confirmed that work has begun on a new model series. It will be launched within the next four years. The new car will be smaller than the Phantom and cost between 200,000 Euros and 300,000 Euros before tax. Planning permission has been granted to expand business operations at Goodwood. Further details will be announced in due course.

Sales of Rolls-Royce Phantoms are forecasted to be around 800 cars by the end of 2006, marking a fourth consecutive year of growth. The Phantom and extended wheelbase version will soon be joined by a new convertible model that will be unveiled in 2007.