Not all 1988 M3s had ellipsoid headlights; the very earliest U.S. cars (like my henna car, chassis # 2195019, production date 3/87) came from the factory with sealed beams. Ellipsoids came later in the 1988 model year. Sealed beams reappeared in later years on airbag-equipped cars as a cost-saving measure (I am told). Most (all?) U.S. henna cars, which were produced only in the beginning of the '88 model year, had sealed beams.

keith