The Accord may break the 110" barrier in '08, but Honda doesn't need a full size car. They are successfull with their current formula. Toyota has the Avalon, but it is not their bread and butter car. The Camry is. And for Honda to bring out a car to go directly head to head with an Avalon is kinda crazy. Hondas have always been more performance oriented than Toyotas (certain exceptions apply with the Celica, Supra, MR2), and it is no secret that if you let a blind person drive a Park Avenue and an Avalon back to back, they couldn't tell the difference.
So, why should Honda make a bigger car? Just to have one?