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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

Mystery Cadillac coupe concept revealed in patent drawings

We have been reminded once again that when Cadillac designs a coupe, it's usually spectacular. The reminder comes in the form of a patent drawing filing that was previously reported on by Jalopnik. In the filing are shots of the two-door from just about every angle, and there's not a bad one in the bunch. Unfortunately, there isn't really any other information about the car in the patent, so the car remains a mystery in that regard. Still, there's a fair amount to be gleaned from the images. It certainly looks sportier than most recent Cadillac concepts. It has a fastback roof and a short deck lid. The rear bumper has a diffuser design fitted to it. The rear fenders are very wide. It has large auxiliary grilles on each side of the center one, and the way the taillights are designed seem to hint at extractor vents. The overall proportions even look a bit like those of the Camaro, but possibly a little larger. The car also looks like it's probably a concept. The side mirror stalks are far too skinny to actually be production units. The big diffuser and center exhaust, plus those rear extractor vent designs seem a little much for a production model, too. The headlights are also a little on the small side. Being a concept (probably), we're a little worried. We really want to see this thing come to market, but Cadillac has a bad track record of showing beautiful concepts that never make it to production, even when they aren't particularly over-the-top. The Elmiraj and Ciel are two that come to mind. The former was a coupe, too, and was elegant and grounded. We never got a production version of either. We did see some styling inspiration from the Elmiraj on the ATS and CTS, but they never quite captured the concept's beauty. Then again, when Cadillac has managed to bring a recent concept to production, the results haven't great. The Converj concept became the ELR, and while the styling came through fine, it was hampered by an uninspiring powertrain and an excruciating price tag. But hey, Cadillac could always prove us wrong. And we would like them to. Related Video: Featured Gallery Cadillac Coupe Patent Drawings News Source: U.S. Patent and Trademark OfficeImage Credit: U.S. Patent and Trademark Office Cadillac Coupe Concept Cars Luxury

GM will likely build PHEV batteries in China soon

It's a big week for batteries. Friday, Tesla will hold a big event at its Gigafactory in Reno, NV. But even in Michigan, there are things happening on the electrified automotive front. This was proven when GM invited journalists to its Brownstown Battery Assembly Plant today, highlighting the six different battery packs it makes for nine vehicles around the world (plus a tenth, coming to Asia, that has not yet been announced). During our tour, we learned a few interesting tidbits that we thought readers would like to hear: The Cadillac CT6 plug-in hybrid launches in China this fall before coming to the US next year. GM builds the battery packs in Michigan and ships them to China for final assembly in the PHEV. For now, this is all fine for GM to qualify for China's incentives for building green cars in the country. But, as Bill Wallace, GM's director of global battery systems, told AutoblogGreen, this could change thanks to the country's 'Made in China 2025' plan. The situation is "evolving," he said, and it's a safe assumption that GM will need to build packs in China some day. For the CT6 PHEVs that will be sold in the US, the batteries will make a round trip, since GM will only build the plug-in version in China. As for the range of the CT6 PHEV, that hasn't been announced, but since China offers incentives for vehicles that get at least 50 kilometers (31 miles), that's a likely target (the US range (UPDATE: GM did announce an expected range for the CT6 PHEV in the US at the LA Auto Show last fall, saying it would "travel approximately 30 miles on a full electric charge"). The battery pack in the CT6 is also a clunky box-type thing, totally unlike the near-elegant T-shape used in the Volt. This despite the fact that the guts of the two packs are similar. Both have 192 li-ion cells and weigh almost the same, but GM tuned the CT6 pack for acceleration instead of range, the way it did with the Volt's pack. Still, the main reason the packs are different is because the CT6 is a rear-wheel drive vehicle, and the tunnel that the Volt's pack uses is occupied by the driveshaft. Despite the highly touted second-gen Chevy Volt going on sale last year, GM still has the capacity to build battery packs for the old, first-gen model. This is because the company is legally required to be able to provide replacement packs for warrantied vehicles (for up to 10 years), and the second-gen packs don't fit into the first-gen vehicles.