Hello Newby,
Sorry to hear about your ETM. Have a look at this post:
http://www.volvoforums.org.uk/showth...ghlight=us+etm
There are a few others, but this one is the most uptodate.
The warranty extension in the US came about from an issue of increased air polution, with the Californian Air Pollution Control Authority (something like that anyway) negotiating the 200k 10 year extension. It's not a lemon law thing, but having said that the National Highways Agency is doing a full investigation into the matter which could lead to further benefits for US owners.
Our equivalent in the UK is VOSA. They've consulted with Volvo on the issue and have accepted a simpe software upgrade as a solution. It is not. The part physically wears out at the rate you report above.
Another very informative site is Vexedvolvo. You'll find links in the above thread or just Google it.
Have a read - it is long - and join the list of miffed owners.
ATB
Oli