The Matrix receives a revised front bumper, taillights and grille to freshen up the exterior, along with a new audio head unit design, optional side curtain airbags and other minor interior changes. Stability control is also newly optional.

The Matrix is based on the Corolla platform, as is its sister car, the Pontiac Vibe. The goal of both cars is similar: to offer the interior functionality and flexibility usually associated with larger vehicles but in a compact package. It's part of a growing list of sporty and affordable five-door hatchbacks/wagons, including the Chrysler PT Cruiser, Ford Focus, Honda Element, Hyundai Elantra GT, Mazda 3, Mitsubishi Lancer Sportback, Suzuki Aerio SX, Subaru Impreza and Volkswagen Jetta. Unlike previous wagon variants of the Corolla sedan (last seen as the DX wagon in 1996), the Matrix stands tall -- 5 inches taller than the Corolla -- and this gives the cabin a spacious feel, not unlike a Chrysler PT Cruiser. This also allows it to accommodate adults comfortably in the backseat. On the outside, the Matrix has a more angular front fascia, including its own grille, headlights and taillights. And while the Corolla has a traditional, smooth-bodied profile, the Matrix benefits from an artisan's chisel, as a gentle valley breaks up the tall body side with an S-shaped character line flowing below it. Climb into the cockpit, and one can't help but fixate on the large amount of conspicuously faux aluminum on the dash and doors. Neither this nor the hard plastic dash and door panels gives the cabin an upscale feel; soft-touch surfaces are nonexistent, unless you count the two-tone mesh upholstery on the seats. However, with the added help of individually sunken gauges with electroluminescent red lighting and bright chrome rings, the overall look is certainly distinctive and sure to get the attention of buyers drawn to bright colors. In lieu of a wagonizing cargo box, designers gave it an abridged rear (it's about 7 inches shorter than the Corolla sedan), such that it is essentially a hatchback and isn't likely to turn away younger buyers. The trade-off, of course, is cargo capacity -- the Matrix might offer a taller load area, but its 21.8 cubic feet of capacity with the rear seats up and 53.2 cubic feet with the seats folded are still less than "true" wagons, like the Volkswagen Jetta, provide. At the same time, the Matrix is more practical than most of its larger-capacity peers. Its backseat offers enough room for adults to get comfortable, while its durable plastic cargo floor offers adjustable tie-down points for securing all manner of bulky and/or messy cargo. What's more, both the rear seats and the front-passenger seat fold perfectly flat to allow owners to transport items up to eight feet in length. In sum, however, we're convinced that the Matrix would be a satisfying choice for many people -- it rides comfortably; it handles capably enough; it has plenty of room in the backseat for your friends (or your kids); and it provides a lot of flexibility for those whose interests require a lot of equipment. The Matrix is about getting your friends and cargo to your destination with minimal hassle, discomfort and expense along the way and perhaps enjoying a tailgate party once you get there.

For cargo, the Matrix is very similar to a compact SUV. The tailgate opens upward, and the rear glass can be raised independently. The main cargo area and rear seat backs are unapologetically coated in hard plastic, the idea being that it's a lot easier to clean dirt and mud off one long expanse of plastic than out of matted carpet. A special cargo-floor track features eight adjustable tie-down hooks. Underneath the floor is a hidden storage compartment. The 60/40-split rear seats can be folded flat, thereby expanding cargo room to 53.2 cubic feet. The front-passenger seat also folds forward, allowing items more than 8 feet long to be carried with the tailgate closed.

Antilock brakes are standard on the Matrix XRS and all-wheel-drive models, and optional on front-drive base and XR models. Seat-mounted side airbags for front occupants and full-length side curtain airbags are optional across the line. Stability control is another worthwhile option. In NHTSA crash testing, the Matrix earned five stars (the best score possible) for driver and front-passenger protection in frontal impacts. For side impacts, it received five stars for front-passenger protection and four stars for rear-passenger protection.

Despite Toyota's claims, the Matrix isn't particularly sporty. With the base and XR cars, acceleration is only average. AWD-equipped cars come off as particularly taxed because of their extra weight and obligatory automatic transmissions. Even the XRS with its 180-hp engine isn't particularly rewarding as most of its power is made in the high reaches of the rev range. Handling, too, is modest. The Matrix's ride quality, however, is smooth and comfortable.