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Lord Flashheart said:
I was under the impression that the new engine was brand new. Built from the ground up but this makes it sound like it's the Halo 3 engine completely re-worked. Maybe that's why they're having to "bend" the xbox.
If only it was a completely new engine

I guess it depends on how technical you want to be.  There is no such thing as a "completely" new engine these days.  Those types of things would take literally 4+ years to develop one.  From what I understand, they completely gutted all but the most necessary/best parts of the Halo 3 engine and rebuilt it from then on up.  Basically a brand new engine but saved them some time, money, and resources.