Those 300 buck K&N deals are deffinetly not worth it. Here is what you do. Buy a 6X9 K&N from Rusty's (I hate Rusty's but its the cheapest place to get these, plus he didn't make them, so you can't go wrong). Anyway, take out you airbox. Use the stock hose and buy a 3 inch PVC elbow form Home Depot, a 3 inch rubber connector tube, and go to the auto store and buy a breather. The hole setup will cost about 50 bucks for filter and parts.
Instal: Connect the PVC to the stock air hose, the rubber connector to the PVC, and the rubber connector to the filter. I used some rubber cement to get a good seal. Take out the current breather hose on the valve cover and RTV a breather right to the vavle cover.
Oh, and if you want even better air, use a sun shield for the windshield as a heat shield.
I have two pics of my setup for a better understanding for this cheap cool air intake. I'll E-mail them to you because its way to big to post. I can't figure out how to shrink them. So if you want, PM me your E-mail and I'll send it to you. That goes for anyone else too.
97 XJ - Black Sport, 4.0L AW4, D30 and 8.25
6" Skyjacker/RE, 33x13.5 Swamper LTB
Cracked Frame, good for steering!!!
MY XJ PICS