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Cadillac ELR getting massive discounts, some up to $14,000

Well, that didn't go as planned. General Motors had marketed the Cadillac ELR extended-range plug-in as a premium version of the Chevrolet Volt with some Caddy refinements. Now, it looks like that premium, at least from a price standpoint, is shrinking. Shoppers in a number of states are reporting that GM and its dealers are discounting the ELR in order to move more off dealer lots. The issue is that few people are biting at the official price tag of about $76,000, so GM has started offering as much as $8,000 worth of dealer and customer incentives, Transport Evolved reports. More recently, dealers in states such as Florida, Texas and Maryland are offering discounts in the $12,000-to-$14,000 range, and that's before any federal and state plug-in incentives kick in. It's not difficult to guess why. Through the first half of the year, GM sold fewer than 400 ELRs. Last month, Caddy moved just 97 units, or about as many as Tesla sells of its Model S in a day. Perpahs recent spy shots that reveal a test ELR that appears to up the sportiness quotient, with touches such as larger wheels and brakes, will also help sales. Check out Autoblog's "First Drive" impressions of the ELR here.

Cadillac planning its own engines, halo cars

Cadillac is in the midst of some big changes. It's got a new chief executive. It's taking some distance from parent company General Motors and moving to a new headquarters in New York. And it's instituting a new naming scheme that will allow not only for a more clear progression in its lineup, but also for more models. But that's not the end of the story. Not by a long shot.
Speaking with Automobile magazine, Cadillac's new president Johan de Nysschen revealed his intention to develop several new models and powertrains. For starters, he does not want Cadillac to continue borrowing engines from the GM parts bin, but intends to develop a new range of engines specifically for the luxury automaker. The program will likely start with smaller-capacity engines but eventually lead to new V8s as well, taking the place of the long-serving Northstar engine that finally ended its lifespan a few years ago after some two decades of production. Along with other technologies, de Nysschen envisions possibly sharing these powertrains with other GM divisions, but developing them first and foremost for Cadillac.
The bigger question, however, is where those engines would go, and de Nysschen had some thoughts to share on that front as well. For starters, the former Infiniti and Audi exec sees room for an even bigger sedan above the upcoming new CT6 that will cap the current range. Maybe even two of them. But that's not all. Johan wants to see Cadillac get (back) into the sports car game with a new halo model or two - something it hasn't really done since the Corvette-based XLR roadster. A pair of new crossovers are also said to be in the works, flanking the SRX on both sides with smaller and larger models.

New Takata problem results in recall of 414 GM vehicles

An airbag-inflator rupture discovered by Takata during testing has resulted in a new recall affecting 414 vehicles from General Motors, including 395 of them in the US. This latest campaign covers 2015 model-year examples of the Buick LaCrosse, Cadillac XTS, Chevrolet Camaro, Equinox, Malibu, and GMC Terrain. There are no reported breaks in any of these vehicles on the road, and the company estimates only one percent of them actually have the faulty parts. According to documents submitted to the National Highway Traffic Safety Administration (as a PDF), one side-airbag inflator failed a cold test at -40 Fahrenheit "releasing high pressure gas and propelling the separated components apart." The supplier told GM about the failure the next day. In these vehicles, the safety device might not only burst but the bag could inflate incorrectly, as well. GM and Takata say that a cause is not yet known, but they are "conducting an investigation." GM will begin notifying affected owners via overnight mail on Oct. 19. Dealers will replace the side airbag modules on all of the affected vehicles with new components outside of the suspect lot. All of the removed parts will also be collected for further study. Takata's faulty front airbag inflators have resulted in a serious scandal for the supplier. Initial figures indicated 34 million US vehicles are need of repair, though more recent figures have knocked that down to 23.4 million bad parts in 19.2 million automobiles. GM was already among the dozen automakers with models to fix, and some of its pickups were affected, along with the Saab 9-2X and Pontiac Vibe. GM Statement: General Motors is recalling 395 cars and crossovers in the U.S. because one of the front seat side air bags inflators may be defective. In the event of a deployment, the air bag's inflator may rupture and the air bag may not properly inflate. The rupture could cause metal fragments to strike the vehicle occupants, potentially resulting in serious injury or death. GM is unaware of any incidents involving vehicles with these components, which were part of a lot in which one inflator failed acceptance testing at the supplier. Dealers will replace the side air bag module or modules in affected vehicles. Including Canada, Mexico and exports, the total population of the recall is 414, GM estimates 1 percent of the recalled vehicles may have the defect.