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RWD Subaru is confirmed and Toyota seeks to make Subaru its sporting arm...maybe.

At a press conference in Japan today, Toyota CEO Katsuaki Watanabe finally confirmed that his company is jointly developing a pair of rear-wheel-drive sports cars with Subaru. Each brand will get its own version of the car, which will be powered by one of Subaru's boxer engines, though the engine's displacement, power output and even number of cylinders is not yet known. We're also not sure if the Subaru version will feature the brand's trademark all-wheel-drive system either as an option or standard equipment, or whether Toyota might offer AWD as well in an homage to the Celica GT4. The styling will most likely resemble the sketch that was leaked out yesterday, though we don't expect one car to be a rebadged version of the other. Mark your calendars for 2011, which is when the new sports cars are scheduled to arrive. They'll be riding on a brand new platform and be built in Japan at a new plant by Fuji Heavy Industries, the parent company of Subaru. Toyota also confirmed rumors this morning that it will be buying up more of Fuji, raising its stake in the company from 8.7% to 16.5%. -Source: Automotive News