[FenwickHockey65]

Response to “Expansive Cadillac Product Plan Getting Squeezed”

Sir, your well-written article was just brought to my attention and I feel obliged to respond. I do not know the sources of your information, but must assume they cannot be very high ranking, certainly they do not have access to the full spectrum of information. Some of what you report is correct, some incorrect, most is conjecture. I would just say I’m a lot more optimistic than the gist of this article would have readers believe.

It’s not so much an issue of Cadillac programs which have been “cancelled”. The only item which is correct, is the change in planning for a Lux 5 flagship sedan, versus the plan which was previously reported to our dealers. Rather than calling it a “cancellation”, I prefer to consider the change to the flagship program as a revision to what will constitute the Cadillac flagship.

There will be a flagship, but given the segment development, it will not be a large four door sedan.

GM is currently in the normal annual planning cycle for budgets and the five year mid term plan. All functions in the company seperately develop their own resource balancing proposals which at this early stage of a bottom-up planning process, are likely subject to considerations of individual functional goals and resulting prioritization. Some of these may at this stage be better aligned with corporate and strategic objectives than others. This is a normal part of the corporate planning process, in my long automotive experience across three different corporations.

There are still many steps in the process as we bring these functional budget proposals into alignment and consolidate them across brands and the global regions, for approval by GM top management and the GM Board of Directors, both groups, incidentally, having repeatedly expressed their support and endorsement of the Cadillac strategy.

I suspect that a lot of the speculation that your sources may be experiencing, and reporting to you, was gleaned around the water cooler and likely has its origin in customary managerial tactics as people jockey for resource allocation at this early stage of the budget process.

I consider myself to be very well informed about the Cadillac business and planning, I am fully aligned with my peers leading other corporate functions and divisions within the global GM corporation. As enterprise leaders, we jointly decide final resource allocation in response to the bottom-up proposals, once these are received .

To clarify any misconception which may arise from your article, allow me to share future Cadillac product plans, as recently informed to our global dealer organization:

-We ARE planning a Cadillac flagship which will NOT be a 4 door sedan;

-We ARE planning a large crossover beneath Escalade;

-We ARE planning a compact crossover beneath XT5;

-We ARE planning a comprehensive enhancement to CT6 later during life cycle;

-We ARE planning a major refresh for XTS;

-We ARE planning a new Lux 3 sedan entry;

-We ARE planning a new Lux 2 sedan entry;

These programs are secure and development work is well underway, with very substantial costs already committed.

In addition, new powertrain applications for the above portfolio, which will include New Energy applications, are also part of the confirmed planning.
I trust these unusually transparent insights which I have shared, will allay the fears of thousands of Cadillac fans who will greet your article with justified consternation .

Johan de Nysschen

Well then. Not every day this happens.