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GM to cut production at 5 plants in North America, kill several models

DETROIT/WASHINGTON — General Motors Co said on Monday it will cut production of slow-selling models and slash its North American workforce in the face of a stagnant market for traditional gas-powered sedans, shifting more investment to electric and autonomous vehicles. The announcement is the biggest restructuring in North America for the U.S. No. 1 carmaker since its bankruptcy a decade ago. GM said it will take pre-tax charges of $3 billion to $3.8 billion to pay for the cutbacks, but expects the actions to improve annual free cash flow by $6 billion by the end of 2020. GM plans to halt production next year at three assembly plants: Lordstown, Ohio, Hamtramck, Michigan, and Oshawa, Ontario. The company also plans to stop building several models now assembled at those plants, including the Chevrolet Cruze, the Cadillac CT6 and the Buick LaCrosse, the sources said. Sources said the Chevrolet Volt, Impala and Cadillac XTS would also be discontinued. Signs of the demise of six passenger-car models have been swirling since July. Plants in Baltimore, Maryland, and Warren, Michigan, that assemble powertrain components have no products assigned to them after 2019 and thus are at risk of closure, the company said. It will also close two factories outside North America, but did not identify those plants. The AP reported that 14,700 jobs would be affected. Some 8,100 of those would be white-collar jobs reduced through buyouts or layoffs. The No. 1 U.S. automaker signaled the latest belt-tightening in late October when it offered buyouts to 50,000 salaried employees in North America. The company also said it will cut executive ranks by 25 per cent to "streamline decision making." Some 6,000 factory workers could lose their jobs or be transferred to other plants. Its shares were last up 6.2 percent at $38.16. Tariff 'headwinds' and cost-cutting GM Chief Executive Officer Mary Barra told reporters on Monday the company can reduce annual capital spending by $1.5 billion and increase investment in electric and autonomous vehicles and connected vehicle technology because it has largely completed investing in new generations of trucks and sport utility vehicles. Some 75 percent of its global sales will come from just five vehicle architectures by early in the 2020s. It plans to reduce annual capital spending to $7 billion by 2020 from an average of $8.5 billion a year during the 2017-2019 period.

Man trapped in Cadillac XLR for 14 hours after battery dies

A 75-year old Cleveland man ended up trapped in his 2006 Cadillac XLR for 14 hours last month, according to a story reported by the Detroit Free Press. The owner of the car, Peter Pyros, hopped into his roadster to back out onto his driveway, but he quickly learned that the battery was dead. He was "trapped" because the doors use an electric button to activate the door latch to open the door. Since the battery was dead, the buttons did nothing. Now, GM planned for an eventuality like this by placing a manual door release handle on the ground next to the seat. It's marked with a red diagram of the driver-side door opening. There's also a section about it in the owner's manual. The only problem here, was that Pyros says he didn't know the release was there, and he didn't have his owner's manual in the car. Because of this, Pyros may not have made it out alive if not for a neighbor coming to his rescue. "I came to the conclusion that I was going to die ... I was at peace with it. I asked God to help me twice, then I said, 'OK, God if this is the way I'm supposed to die, I will die,'" Pyros said to reporters. There's every chance he could have died in the car, too. Temperatures in Cleveland hit 77 degrees the day he was in the car, and he said it was unbearably hot and difficult to breathe after only 30 minutes sealed inside. Pyros reportedly tried yelling, pounding on and even trying to break the car's windows without success. At one point, Pyros wrote a note to his nephew explaining what happened if he ended up dying. What eventually saved him was a curious neighbor who came to investigate after he noticed his garage door was still open late at night. His neighbor called the police after he found him in the car, and emergency personnel actually ended up charging his car's battery up enough to get the electric door release to work. Of course, after everything settled down, there are now lawyers involved. They're going after GM, with an argument accusing the automaker of not making the emergency latch more obvious both in the car and in the owner's manual. GM doesn't appear to be having any of it. Here's its statement on the matter: "Because this varies by make and model, drivers should review the door lock section of their owner's manual, and follow up with their dealer or customer assistance center if they have any questions," GM spokesman Tom Wilkinson wrote to the Free Press. This type of door release isn't particularly uncommon for GM vehicles.

Cadillac CT6 to get twin-turbo V8

Say what you will about his decisions at Infiniti and now Cadillac, but Cadillac CEO Johan de Nysschen knows how to deliver a compelling interview. During an online Q&A session with Jalopnik readers, de Nysschen offered substantial hints at what's coming for the brand. By dropping coordinates on the brand's star chart, in reading the entire thing and connecting the dots you can see a Cadillac that is much grander than the one we know now. The CT6 that got revealed during the Oscars telecast? Answering the question of whether it would have the performance to compete with a Mercedes S550 or BMW 750, de Nysschen said the big sedan's "lightweight body structure allows us to achieve formidable performance even with a twin-turbo V6. Imagine how this car would perform with a twin-turbo V8." In clarifying a subsequent question that also dealt with how the CT6 would compare to German rivals, he wrote that the CT6 would have "a very wide mix of engines, starting with a two-liter turbo, up to, eventually, a high-performance advanced V8 turbo." Patience and the future and the word "eventually" were heavy themes. The brand will embrace diesel engines as well, de Nysschen writing, "We will have four-cylinder and six-cylinder diesel engines, but not before 2019." As to the return of something like the XLR, which was Corvette muscle underneath a Cadillac body, he wrote, "I think in the fullness of time, we will get around to developing a high-performance, very-emotive sports car as a halo for the Cadillac brand. But we have so many projects to occupy us through 2020 that this will have to wait a little while." And on the design language across model lines, which enthusiast Cassandras have warned is too similar (as if that hasn't worked out for the Germans), he wrote that it is "undergoing gradual evolution and you will notice stunning new designs in future models, which remain unmistakably Cadillac and reflect our DNA but which take our sophisticated Art and Science design to a new level." But of course he would say that, which is what brings us back to patience and the future and eventually, when we'll see what this all really means. It all reads well enough, and we'd love to see it happen. One thing we won't see are the ducks that once adorned the Cadillac crest; when a reader asked if he could have them back, de Nysschen said, "No, you can't have them back. I play with them each night in my bath." Head over to Jalopnik for the full read. It's worth it.