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I had a problem with the VANOS in my 2001 M5. It turned out to be a faulty camshaft position sensor in one of the banks. Apparently a fairly common problem.
The problem was initially intermittent and the SES light would come on whenever the symptoms appeared. Eventually the problem became constant.
There was no unusual noise coming from the valve train, but the exhaust and intake noise were different and the car felt as if it was missing 100 of 400 the horses.
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