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GM invests $175 million to replace 3 Cadillac sedans with 2

We've already had confirmation that Cadillac is sunsetting the ATS compact sedan and strong hints that Caddy would discontinue the full-size XTS (pictured above) and midsize CTS, too. Now all three are confirmed, with GM saying it's investing $175 million to build two replacement sedans. GM has already begun installing new tooling at its Lansing Grand River assembly plant in Michigan. That will go toward building two new sedans, which reports suggest are likely to be called the Cadillac CT5 and CT4, or possibly the CT3. It's part of Cadillac's plan to introduce a new vehicle every six months by the end of 2021. A spokesman told the Associated Press that the new cars will debut within that time frame and that the changes won't affect staffing levels at the plant, which employs 2,000 people. Of the three, the XTS is expected to go away entirely, while the CT5 would replace the CTS, straddling the line between a compact and midsize four-door. The CT4 or CT3 would take the spot of the ATS and likely be smaller. That would leave the CT6 as the brand's largest sedan and leave Cadillac with three sedans starting with the 2019 model year. Meanwhile, Cadillac has only one model, its top-selling XT5, representing the all-important and red-hot luxury crossover segment. It's prepping a midsize XT4 crossover for sale later this year as a 2019 model. Cadillac's global sales rose 15.5 percent in 2017, thanks largely to growth in China, but sales in the U.S. fell 8 percent for the year to 156,440 vehicles. Sales of the ATS fell 39 percent, dropped 35 percent for the CTS and 27 for the XTS last year. Related Video:

Cadillac's de Nysschen won't budge on raised pricing

According to new Cadillac boss Johan de Nysschen, it will take between 10 and 15 years to elevate GM's top brand, which was once hailed as "The Standard Of The World," back to prominence in the minds of American customers. And to hear the executive talk of it, the brand is going to have to be willing to see sales falter in the near-term before they recover:
"Either you have to bring your volume aspirations into alignment with reality and accept that you will sell fewer cars... Or you have to drop the price and continue to transact at the prices where you were historically... I think the logical conclusion is that it's better to build off a very solid base in terms of [product] credibility, charge a fair price for the car and realize you have to wait until the volume comes."
In other words, sales will fall before they rise, and the brand has to be okay with that. Notice, too, that de Nysschen speaks of "a fair price" for Cadillac cars and utility vehicles. In this case, "fair" means more than many of the brand's traditional buyers are accustomed to, and roughly in line with the brands and machines Cadillac believes it is competing against. For instance, the newly enlarged 2014 CTS carries a suggested retail price that is over $6,000 higher than it was in 2013, and some trim levels boast an even higher price premium over the models they replace.

Cadillac ATS-V shares track time and new face with CTS-V sibling

It's been about eight months since we last heard anything on the eagerly anticipated Cadillac ATS-V, meaning it was high time a new batch of photos arrived of the twin-turbocharged, V6-powered sedan.
This latest round includes a shot of the hot ATS-V alongside the upcoming CTS-V, allowing us to glimpse through the camouflage and spot the family resemblance between the two über sedans. According to our spies, this is the first time we've gotten a look at the ATS-V's fascia without a nose bra to obscure larger details. This isn't the first time we've seen a vertically slated grille on an in-development Cadillac V car, although it is the first time we've seen it on the ATS-V. Aside from the main grille, the shapes of the sportier front fascia of the ATS-V tie in nicely with its big brother. We are rather curious about the hood on the ATS-V. It's difficult to tell from these images, but it looks like there may be some vents up there that may be meant to improve cooling to the alleged 425-horsepower engine.
Other details that we can see include swollen fenders and larger wheels that hide amplified brakes. The rear of the car remains heavily obscured by camo, with the sole details of note being the quad exhausts, which we've spotted on previous ATS-V prototypes.