I've been told that warped rotors are VERY common on the 850, especially automatics where you can't use the torque to slow you down. My Jetta at 65 slows down quite a bit when you get off the gas.
Our Project 854R, which is going up soon, is having the same problem. I'm fairly certain it's more of a design issue and the brakes don't cool enough for someone who uses them heavily, and in DC traffic, I use them heavily.
We're talking to IPD right now about two options. The first are slotted rotors and new pads. This could be the fix, but they've also been trying to source a newer Volvo OEM big brake kit using existing parts and thus ease of part replacement. There is another European big brake kit through Volvo dealers made by ALCON maybe??? but getting the pats here in the US is not easy. Most other big brake kits necessitate use of 17" wheels year round which is not an option here for me in the North East, not to mention they are very expensive.
I'll make sure to keep you guys updated on the IPD thing.