NEW YORK (CNNMoney.com) --

The new design has softer edges and corners making it look more like a larger version of Toyota's popular Rav4 small SUV.

The Highlander is a car-based crossover SUV based on the engineering of the midsized Toyota

"The 2008 Highlander takes the car-based SUV concept to a new level," said Don Esmond, senior vice president for Toyota Motor Sales. "I say that with conviction, because it's a category we invented."
The new version is about four inches longer than the current Highlander and includes second row seats that can be changed from separate "captain's chairs" with armrests to a single bench-style seat.
When not in use, the center portion of the "bench" can be hidden in a compartment under the front center console.
The second row seats also recline and can move 4.7 inches forward or backward to create more legroom or cargo space.
A four-cylinder engine will no longer be offered in the new Highlander. Instead, buyers will get two drivetrain choices. The new Highlander will be available with a 3.5-liter 270-horsepower V6 with a 5-speed automatic transmission or a gasoline/electric

Fuel economy figures are not yet available for the new Highlander. The current front-wheel-drive V6 Highlander gets an EPA-estimated 21 mpg in combined city/highway driving.
The current FWD

The non-hybrid Highlander is expected to go on sale in July, 2007 followed by the hybrid version in September.