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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 SRX likely to see next-gen built in China

Here's some shocking news to no one: People love crossovers, including those living in China. Since introducing the Cadillac SRX there in 2009, the model's sales have gone through the roof. Now, the brand is considering moving some production of the next-generation model in China to eliminate import tariffs and make it an even bigger player in the market.
According to a recent report in The Wall Street Journal, the crossover is leading Cadillac's Chinese growth, despite its US-equivalent price of over $67,000 after the country's high import tariffs. The CUV's sales are up 23 percent there so far this year, and it's responsible for over 40 percent of the brand's sales. John Stadwick, General Motors' VP of sales, service and marketing in China, told the WSJ that GM could "very possibly" build the next-gen model there.
The SRX is Cadillac's golden goose in China, and it just keeps pushing the brand's sales forward. "It's the vehicle that took us out of being a small niche in the market," said David Caldwell, Cadillac Communications Manager, to Autoblog. Before the CUV, Caddy was selling a little over 20,000 cars a year there, but partially thanks to the crossover's success, the brand sold 50,000 vehicles last year and could reach 60,000 this year. "The SRX is the most popular Cadillac in that market," he said.

Semi-autonomous Cadillac CT6 has Batman's seal of approval

Earlier this year, Cadillac pushed the launch of its Super Cruise semi-autonomous technology back to 2017, but it looks like the automaker is still hard at work testing the system on its vehicles. Our photographers snapped a CT6 sedan with what appears to be the Super Cruise technology in broad daylight. The CT6 in the pictures, ignoring the massive equipment on the car's roof, appears to be stock. The barely camouflaged vehicle has more sensors on the front fascia and a black rear bumper, but other than those points, looks normal. Getting back to the massive piece of equipment on the CT6's roof. There's no way to definitively state what it is, but there appears to be four cameras on the corners of the rack. A sensor or camera is also fitted to the right side mirror, which is slightly camouflaged. With all of the wires from the roof going into the vehicle, there's a chance that the massive blacked-out piece of equipment on the roof could be used to gather data. While the equipment looks extremely scientific, someone at Cadillac must have a sense of humor, or be a huge fan of DC Comics, as a Batman's logo is prominently displayed on the roof-mounted gear. Cadillac announced its Super Cruise semi-autonomous technology two years ago. The system will be able to speed the car up, keep the vehicle in its lane, and slow it down. The goal, in 2014, was to introduce the technology in two years (2016), but the automaker delayed the tech until 2017. Related Video: Featured Gallery Cadillac CT6 Super Cruise Spy Shots View 13 Photos Image Credit: Spied Bible / Brian Williams Design/Style Spy Photos Cadillac Technology Autonomous Vehicles Luxury Sedan cadillac ct6 Super Cruise