2014 Cadillac Srx Premium Collection on 2040-cars

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GM's Cruise Origin EV platform to be shared by many electric vehicles

GM on Monday announced that it was spending $2.2 billion at its Detroit-Hamtramck facility, part of its $3 billion commitment made after the UAW strike to transform Hamtramck into the company's first plant to exclusively build a wide variety of electric and autonomous vehicles. The operation will eventually employ 2,225 people. Hamtramck is still building the Cadillac CT6 and Chevy Impala. Production of those cars will wind down Feb. 28, when GM will idle the lines for 18 months of retooling. During the transition, more than 800 workers will likely be transferred to build pickups at Fort Wayne, Indiana, or Flint, Michigan. When Hamtramck production of new EVs begins in late 2021, the Cruise Origin electric shuttle revealed last week will be among the first vehicles built there. Also, an electric pickup likely branded as a Hummer to be sold as a GMC, which will be debuted by LeBron James during the Super Bowl this Sunday. GM made quite a few pronouncements during the unveiling of the electric, autonomous Cruise Origin last week in San Francisco. We heard that the Origin was designed to last for for 1 million miles, be "roughly half the cost of what a conventional electric SUV costs today,” and riders could save as much as $5,000 per year by giving up their cars for Origins. Much was left out, as well, such as detailed specs on the platform, and when the Origin could see wide deployment. Carscoops addressed one open question about the platform, reporting that the Origin's bones will be shared among a number of other GM battery-electric vehicles, probably starting with the Cadillac EV due in 2021. The site received confirmation of that tidbit from Megan Soule, the automaker's assistant manager of Electrification, Battery Technology, Fuel Cells, R&D and GM Ventures Communications. It seems what we've been shown in the Origin is the first fruit of the multi-vehicle EV strategy GM CEO Marry Barra presented at the 2017 Barclays Global Automotive Conference. One of the slides (below, full PDF presentation here) touts an "All new multi-brand, multi-segment platform" with a "Structurally integrated all new battery system." The next slide places that modular platform at the center of 11 new vehicles, the van-looking silhouette on the upper right labeled "SAV," for shared autonomous vehicle, apparently in reference to the Origin.

Frustrated GM investors ask what more Mary Barra can do

DETROIT — General Motors Co Chief Executive Mary Barra has transformed the No. 1 U.S. automaker in her almost five years in charge, but that is still not enough to satisfy investors. Ahead of third-quarter results due on Oct. 31, GM shares are trading about 6 percent below the $33 per share price at which they launched in 2010 in a post-bankruptcy initial public offering. The Detroit carmaker's stock is down 22 percent since Barra took over in January 2014. After hitting an all-time high of $46.48 on Oct. 24, 2017, the shares have declined 33 percent. In the same period, the Standard & Poor's 500 index has climbed 7.8 percent. Several shareholders contacted by Reuters said GM could face a third major action by activist shareholders in less than four years if the share price does not improve. "I've been expecting it," said John Levin, chairman of Levin Capital Strategies. "It just seems a tempting morsel to somebody." Levin's firm owns more than seven million GM shares. Barra has guided the company through the settlement of a federal criminal probe of a mishandled safety recall, sold off money-losing European operations, and returned $25 billion to shareholders through dividends and stock buybacks from 2012 through 2017. GM declined to comment for this story, but the company's executives privately express frustration with the market's reluctance to see it as anything more than a manufacturer tied mainly to auto market sales cycles. GM's profitable North American truck and SUV business and its money-making China operations are valued at just $14 billion, excluding the value of GM's stake in its $14.6 billion Cruise automated vehicle business and its cash reserves from its $44 billion market capitalization. The recent slump in the Chinese market, GM's largest, and plateauing U.S. demand are ratcheting up the pressure. GM is one of the few global automakers without a founding family or a government to serve as a bulwark against corporate raiders. In 2015, a group led by investor Harry Wilson pressed GM to launch a $5 billion share buyback, and commit to what is now an $18 billion ceiling on the level of cash the company would hold. In 2017, GM fended off a call by hedge fund manager David Einhorn to split its common stock shares into two classes. Einhorn, whose firm still owned more than 21 million shares at the end of June, declined to comment about GM's stock price. Other investors said there were no clear alternatives to Barra's approach.

2014 Cadillac ELR

Well, this is awkward.
A few years ago, Audi Of America's boss Johan de Nysschen went on record describing the Chevrolet Volt as "a car for idiots." Fast-forward to earlier this summer, and the well-regarded executive suddenly found himself in a new office with new business cards bearing the title: President, Cadillac. That means that among other challenges, de Nysschen is now tasked with selling the ELR, a car that is, at its core, a Volt in a sportier, less utile frock wearing a price tag that's twice as expensive.
Frankly, it's not a prospect we imagine the South African executive and recent Infiniti boss relishes. Just about nobody is buying the ELR - Cadillac has sold but 774 examples of its plug-in hybrid coupe this year and it presently has an almost a 200-day supply according to Automotive News. What's more, those numbers actually represent big improvements over just a few months ago, before GM started heaping on the incentives. The cynic in us says that the bad news for De Nysschen is that he's got a borderline sales-proof car in his new corporate garage. The good news? Cadillac customers apparently aren't idiots.