Having now logged about 4000km on our 2009 CE, I can't comment on the XRS suspension, but I can on the CE's set-up...
1. The cornering is very flat with excellent body control. I have pushed the car to the limits of adhesion a few times just for the heck of it, and the body roll control is very good.
2. There is a slight amount of bump-steer thanks to the slight miss of the bound-rebound equation and the beam axle in the rear. Only noticable if you're really pushing the car on a washboard road, but it is there. I am spoiled by the superb five-link MB rear suspension. But, more than 2x the price...
3. The tires on the CE are the main culprit when it comes to the lack of character. Compared to others in the category, the 195/65-15's are skinny and higher profile, and the low speed rating has mushy sidewalls. The suspension on the CE is not bad, but you can really feel the tires squirm when you begin pushing the car. However, given the car's mission/demographic, the tire choice is appropriate. The size has MANY tires to choose from, and I think that keeping the same size and going to an H-rated tire would be a better compromise of ride quality, economy and handling for myself.
4. The FWD platform understeers, like most. The car could do with a bit less front sway-bar (or more rear), but were I a Toyota designer, I would have gone with the way it is now, thanks to the average Corolla driver's ability level.
As an aside, the longer brake pedal (break peddle?

) travel is GREAT for hustling this car along, as you can modulate the brakes precisely during trail-braking so well that the car's transition is superb. The loss of the grabby binders is a major help to the overall driving exprience of this car compared to the 08.