Last Monday morning, the CEO and President of General Motors Fritz Henderson confirmed in a press release that the carmaker does not have the funds to make Cadillac a competitive luxury brand in the European scene. To avoid bankruptcy GM has put on hold the 4.5-liter turbodiesel V8, the 2.9-liter VM Motori turbodiesel V6 and the Alpha 3 Series-fighter platform and will probably not be revived.
The current requirement of Cadillac are sedans that are past the CTS and it has been reported that GM will provide it with an Epsilon front-drive and AWD sedan, dubbed GM 166, positioning between the 2010 Buick LaCrosse and the RWD CTS.
Because the DT7 is also on hold at this time and will most probably be shelved also, the implications here is that the next-generation CTS would expand just to accommodate both CTS and DT7 slots. The Epsilon II will have the GM 166 as the largest car in its platform line, including the LaCrosse and Opel Insignia. Included in the Gen I Epsilon are models beginning with Chevy Malibu, Pontiac G6 and Saturn Aura to the Saab 9-3 and Cadillac BLS.
The 166 is due for 2011 as a 2012 model, and will improve on the design direction of the brand, kick-started with the 2008 CTS. Initial designs have been considered remarkable with exacting attention to interior features and exterior elegance. It is assumed that pricing for the new model will begin where the 2010 Buick LaCrosse left off which is $27,835 to $33,765.
So, the Cadillac 166 should begin at $34,000-$35,000, and challenge the FWD Lexus ES350. This should up the pricing for the CTS, which is still equipped with the 263hp 3.6-liter V6 without gasoline direct-injection, only to offer a price tag under $40,000. The succeeding CTS should be a 2013 model, while practically all GM projects have been slipping under the force of the current economic meltdown.
Unfortunately, with the arrival of the GM 166, comes the death of the Alpha RWD compact Cadillac. In order to provide a viable business statement, General Motors will have to use its RWD platform in at least one higher-volume brand, and it has been supposed that the carmaker has considered everything in its line from the small Chevy, Pontiac or Buick sedans, together with a smaller next-generation Camaro or even a new Pontiac Firebird Trans Am. The future lineup of GM will not include a Pontiac and Chevrolet cannot afford a high-strength, but lightweight Alpha platform. [via motortrend]