Thanks for the info on the hp rating. The mileage imporvement remains something of a mystery.
We had been looking for the 2.5i Limited with a manual transmission, but Subaru has deleted that option for 2007 and there aren't any 2006s around. For '07, you can get the manual transmission with the Outback "base wagon", 2.5i, XT and XT Limited, but not the 2.5i Limited. We're pretty ticked off about that, as are some Subaru dealers we've been talking to.
We had looked at the XT a year ago and it was a blast. Lately though, we really decided we'd rather have something a bit more economical, and the 2.5i's better mileage and lack of a premium gas requirement, unlike the XT, made it a better looking option until we found out that bombshell above. So, it's either a de-contented 2.5i or suck up the extra cost of the XT. Decisions, decisions...