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GM offering factory-backed extended warranty for Chevys, GMCs, Buicks and Cadillacs

Cars are generally more reliable than ever before. When things do go wrong, every automaker offers some form of factory warranty (in most cases at least three years and 36,000 miles, though many extend even longer), providing peace of mind to new-car buyers that many faults will be fixed at no charge to the customer. Starting today, GM is offering a new optional plan that will extend the factory warranty on all new Chevy, GMC, Buick and Cadillac products. In the past, extended warranties have been offered as dealer add-ons, with all profits from these sales going to the dealership. GM's new program can be viewed as another nail in the the looming dealership-model coffin. According to Automotive News, some dealers aren't happy to see GM cut into their business like this, saying that it helps GM far more than it does dealers. GM says the new program will help keep customers in the GM family. Customers are also more likely to visit a GM service center rather than going to an independent repair shop. Currently, new Chevy and GMC vehicles come with three-year/36,000-mile warranties. Buicks and Cadillacs are covered for 4 years or 50,000 miles. The new program extends Chevy and GMC warranties to five years or 60,000 miles. Buick and Cadillac warranties extend to six years or 70,000 miles. GM, citing IHS Markit, says most owners keep new cars for about 6.8 years, so these warranties will cover most of the length of their ownership. The extended warranty will add between $1,000 and $2,000 to the price of a vehicle, and the additional cost can be rolled into the vehicle's purchase or lease price. Unlike many dealer extensions, the factory program covers the vehicle no matter who owns it. That should help increase the car's resale value if it's sold within the covered timeframe. GM says there's no deductible and no need to file a claim form when getting warranty repairs. Additionally, dealerships can continue to sell their own extended warranties or service contracts. Related Video:

Cadillac CT6 V-Sport wants to take prisoners with 550-hp 4.2L TT V8

With the refresh of the Cadillac CT6 for 2019, Cadillac welcomes the first CT6 V-Sport as well as a new trim strategy. The changes at the front for the CT6 lineup don't appear substantial viewed head-on, one needs a side view to appreciate the greater three-dimensionality. Thinner headlights and a thinner bumper above a slightly larger lower front intake emphasize the mesh grille, and the vertical LED DRLs make more dramatic statements thanks to those narrower headlights. By angling the main units back toward the rear of the sedan, the CT6 now has a certified, sculpted snout. The rework appears to add substantial overhang, but overall length only increases by a tenth of an inch, to 204.1 inches. What's under the V-Sport's probing hood is just as interesting as the redesign and the sporting thrust: A clean-sheet design of a 4.2-liter DOHC twin-turbo V8. In the V-Sport, the engine produces 550 horsepower and a Bentley-esque 627 pound-feet of torque. As an optional engine elsewhere in the CT6 range, the same engine produces 500 hp and 553 lb-ft. The displacement, specs, plus the fact that "each engine will be hand-built at the Performance Build Center in Bowling Green, Kentucky" indicate this was one of the rumored powerplants for the mid-engine Corvette. The coming sports car was tipped to get a 4.2-liter and 5.5-liter DOHC twin-turbo V8. Based on the position of the turbos in this engine vs. their positions in the previous CAD drawings, we assume the drawings represented the 5.5-liter. (Note: Cadillac said Corvette will not get the new 4.2-liter twin-turbo engine.) The 4.2-liter item features an aluminum block, heads, and pistons, direct injection with a 9.8:1 compression ratio, cylinder deactivation, cylinder oil jets, and a variable-pressure oil system. The twin-scroll turbochargers capable of 20 pounds of boost sit in the 90-degree vee, working alongside twin water-to-air intercoolers, twin throttle bodies, and twin electric wastegates. Cadillac says 90 percent of torque arrives at 2,000 rpm and loiters through 5,200 rpm. Power gets sent through GM's 10L90 ten-speed automatic transmission and on to the standard all-wheel-drive system. Cadillac didn't list 0-to-60-mph times in its press release, but engineers have track-worthy alacrity in mind for the CT6 V-Sport.

A few signs that Cadillac's revival is taking hold

Only a flatworm would not have predicted the Cadillac ATS would help increase sales for America's erstwhile luxury brand of record; however, even the best automotive oracles didn't realize by how much: The ATS fueled a 49-percent increase of the brand's year-on-year sales in March, the sixth straight month of growth for Cadillac. The momentum helped push General Motors to post a 6.4-increase in sales in March versus 2012, leading its domestic competitors.
Dealership salesmen are among the first to register the shift occurring at Cadillac. A Texas dealer related an incident in which he helped a mother affix a baby seat in a car for a test drive, explaining that as opposed to the older buyers that are still a Cadillac mainstay he's getting "a pretty diverse group that's coming through the door now" who are "younger and better educated." Aided by incentives on the ATS, Cadillac's sales are up 38 percent so far this year, overtaking Acura as the fourth best selling luxury brand, and GM stock is benefiting with incremental gains because of it. Based on early response, the new 2014 Cadillac CTS should keep things going in the same direction.
The trend at the Wreath and Crest is part of a larger sales trend happening among domestics - with other models like the Dodge Dart and Ford Fusion doing well - and overall US car sales. Head over to Bloomberg for the big picture and role the ATS plays in it.