The Solar Optical Telescope onboard Hinode revealed the fine-scale structure of the Evershed flow and its relation to the filamentary structures of the sunspot penumbra. The Evershed flow is confined in narrow channels with nearly horizontal magnetic
fields, embedded in a deep layer of the penumbral atmosphere. It is a dynamic phenomenon with flow velocity close to the photospheric sound speed. Individual flow channels are associated with tiny upflows of hot gas (sources) at the inner end and downflows (sinks) at the outer end. SOT/Hinode also discovered ``twisting motions of penumbral filaments, which may be attributed to the convective nature of the Evershed flow. The Evershed effect may be understood as a natural consequence of thermal convection under a strong, inclined magnetic field. Current penumbral models are discussed in the lights of these new Hinode observations.
