Obviously it's not firing properly on all cylinders. Unburnt fuel in the exhaust causes backfire and sooty exhaust tips. I'm sure the performance is down as well as the fuel economy.
You should run ECU diagnostics first to see if there are any obvious issues.
http://www.ttzd.com/tech/diagnostictech.html *Make sure you run the heated o2 sensor test.
I would guess you have corroded connectors unless one or both of the o2's are bad. All of the dozen or so with the spring clip are prone to this. The ones to check are: Coolant Temp Sensor, CAS, PTU, MAF, Injectors, AAC, FICD, Air Regulator, and TPS.
Pull the Coolant Temp Sensor connector as it's the easiest to get to and have a look. If it appears greenish or white in color you need to clean them all. Scrape away all you can, then use a high quality spray contact cleaner. Without very good connections, the various sensors and active components can't do their job.