Mahindra is developing a smaller model of its successful MUV Xylo.The new Xylo will be a 5 seater with 4 metres length.The vehicle will be available with a diesel engine under 1.5 litres.The design of the car is almost similar to that of its anscestor Mahindra Xylo.This will definitely be a very good move from Mahindra to modify an MUV and conert it to a family Hatch back..This would probably be the first attempt by any company in india to build a small car from an SUV s base.The chasis will be a smaller version of the current Xylo.The mini xylo will have a 3 cylinder engine.The mini xylo will only have two rows of seats and so the maximum seating capacity is 5.The price of this car is expected to be 5 lakh.The car will be available by 2011 in indian roads.This new model will definetely make a new segment of family cars on Indian Market.