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Why Cadillac is willing to lose 43 percent of its dealers

Cadillac is offering about 400 dealers in the United States a lump sum of money to close down. That represents over 40 percent of Cadillac dealers in America. Offers start at $100,000 and top out at $180,000. The average offering is around $120,000. According to Automotive News, Cadillac chief Johan De Nysschen estimates it will cost the automaker around $50 million to close these dealers. Any dealer that chooses to remain open will have to submit to Cadillac's ambitious Project Pinnacle, which will divide dealers into incentive categories based on how many units they sell. "Every single Cadillac dealer will have the potential to earn significantly higher profits than they do today," says De Nysschen. Dealers have until November 21 to decide if they want to take the cash or submit to Project Pinnacle. A logical question: Why is Cadillac willing to spend $50 million to close down 43 percent of its dealers? First, GM's luxury brand has way more dealerships than it needs. Second, the 400 dealers with offers to shutter each sold 50 or fewer vehicles in 2015, representing just 9 percent of its sales volume in America. So, while closing these smaller dealerships may have a small initial impact on sales, it's not going to be a major hit to Cadillac. Related Video: News Source: Automotive News - sub. req.Image Credit: Gary Cameron / Reuters Cadillac Car Dealers Luxury Performance

Cadillac CT4 Luggage Test | How much fits in the trunk?

If you go by exterior specs, the Cadillac CT4 is more similar to a BMW 3 Series or Mercedes C-Class. However, if you go by interior space (or price), it's more like a Mercedes A-Class or BMW 2 Series Gran Coupe. That's definitely true of the trunk, which measures a rinky-dink 10.9 cubic feet, according to GM's specs. That number is what you'd expect in a small luxury coupe rather than a sedan. Indeed, the old ATS Coupe had 10.4 cubic feet.  Nevertheless, the CT4 is somehow not the smallest in the segment. That would be the A-Class and its 8.9-cubic-foot trunk. Good grief. Now, Mercedes has been known to shortchange its cargo capacity numbers so we'll have to luggage test that at some point to know for sure. Today, let's see if the CT4 is in keeping with that 10.9 number. Also, how much worse is it than the also rinky-dink CT5 trunk or the overly optimistic 2 Series Gran Coupe? Yep, that looks pretty small. Also, note the weird rail-like things that hampered the CT5 (below right) are also present here in the CT4 (below left). There's also a similar lip to clear for the folding back seat, but the CT4's opening seems bigger.  As in every luggage test I do, I use two midsize roller suitcases that would need to be checked in at the airport (26 inches long, 16 wide, 11 deep), two roll-aboard suitcases that just barely fit in the overhead (24L x 15W x 10D), and one smaller roll-aboard that fits easily (23L x 15W x 10D). I also include my wife's fancy overnight bag just to spruce things up a bit (21L x 12W x 12D). All but the biggest bag fit, which is exactly the same number that could fit in the CT5. As the below photo shows, the bigger car has just a bit more space left over. Maybe for a pair of grocery bags. That would be consistent with the difference in cubic feet: 11.9 cubic feet versus 10.9. What about the BMW 2 Series Gran Coupe? BMW says it has 15.1 cubic feet of space, but it doesn't. At least not using the same measurement criteria that the vast majority of other manufacturers use. It can carry the biggest bag, but it would still need to leave the fancy bag behind. That's also while utilizing the 2 GC's ample under-floor storage compartment.  As such, the CT4 does indeed have a small trunk, but it's at least in keeping with its competitors. The CT5 cannot say that, regardless of which segment you compare it to.  Unfortunately for the CT4, though, the story does not stop here.

2020 Cadillac CT5 revealed, will replace the CTS

Between the end of most of Cadillac's sedan offerings and the launch of the underwhelming XT6 crossover, things were looking dreary at the American luxury brand. But now we get an exciting surprise in the reveal of the 2020 Cadillac CT5 sedan. It's a clean, and arguably conservative-looking sedan, but there are a number of things that have us intrigued. The sedan is clearly the CTS replacement, since the name falls just below the flagship CT6 sedan. Under the hood are two familiar Cadillac engines, a 2.0-liter turbocharged inline-4 and a twin-turbo 3.0-liter V6. Power numbers haven't been announced, but expect each to make similar power to the current CTS: 268 horsepower and 295 pound-feet of torque for the four-cylinder and 420 horsepower and 430 pound-feet of torque for the V6. Rear drive and all-wheel drive are available, and both engines get a 10-speed automatic transmission. The car also adopts the trim level scheme introduced by the XT4 and XT6 crossovers, which means there are just two choices, Sport and Luxury. The Sport model, pictured in gray, has a more aggressive front fascia and dark taillights, while the Luxury model, shown in burgundy, has a more demure appearance and classic red taillights. We only get a glimpse of the interior, and it shows the latest electronic gear shifter shared with Cadillac's recent crossovers, along with a physical knob for interacting with the infotainment system. Cadillac announced that the car will make its public debut at the New York Auto Show, and it will be built at the Grand River factory in Lansing, Mich. We expect to get more details and images of the car when it's revealed at the show.