2003 BMW Z4 3.0 with the smg transmission (w/ sport package). The following instance has happened twice within the current 2,600 miles on the new vehicle. While in the "manual mode" in the smg transmission and downshifting to first gear (at a 4-way stop intersection), while waiting to accelerate out into the intersection the transmission "slipped" into netural without myself (driver) knowing, so when it was time to accelerate through the intersection I was very suprised to find I did not move but heard the engine just rev while I stayed put!! after waving off (hold on a minute) to the cars waiting behind me, I had to keep my foot on the brake and put the vehicle into reverse, wait.., then put the vehicle in netural, wait.., then put the vehicle in first gear, wait.. it engaged and I proceed from there. The second incident was very similiar but was at a 4-way traffic light, and was a little more difficult to get back into first gear (also, other vehicles beeping horns, etc.). I have brought the vehicle to my local BMW dealership and explained this to them and they had not heard of the problem and could not fix a problem that they could not duplicate and/or had no information from BMW about a fix? I filed a formal compliant through bmwna on Friday August 22nd, 2003. Through forums on web-sites, I have found I'm not alone with this problem. I fear that a driver could be put in a very compromising position, such as when making a left turn in a left turn lane, emergency avoidance, giving right of way to emergency vehicles, etc.). possiblly a quick temporary solution such as an "audible tone" when generated while the smg transmission "automatically" slips into netural from first gear? thank you.

- Belvidere, IL, USA