It's in permanent 4wd but in normal driving condition about 90% of the power directed to the front wheels, when the front wheels start to lose grip the car automatically sends power to the other wheels, this way it saves on the fuel.
I got a say for me it's the perfect balance for a general mooching, family and travel to work car.
MPG Wise it does around 45 Mpg with some spirited driving, if I drive like my wife it gets over 50 to 55mpg..