The e-rater® system has been used by ETS for automated essay scoring since 1999. This paper describes a new version of e-rater (v.2.0) that differs from the previous one (v.1.3) with regard to the feature set and model building approach. The paper describes the new version, compares the new and previous versions in terms of performance, and presents evidence on the validity and reliability of scores produced by the new version.