1996 Cadillac Sedan Deville 4-door 4.6l on 2040-cars

Auto blog

Frustrated GM investors ask what more Mary Barra can do

DETROIT — General Motors Co Chief Executive Mary Barra has transformed the No. 1 U.S. automaker in her almost five years in charge, but that is still not enough to satisfy investors. Ahead of third-quarter results due on Oct. 31, GM shares are trading about 6 percent below the $33 per share price at which they launched in 2010 in a post-bankruptcy initial public offering. The Detroit carmaker's stock is down 22 percent since Barra took over in January 2014. After hitting an all-time high of $46.48 on Oct. 24, 2017, the shares have declined 33 percent. In the same period, the Standard & Poor's 500 index has climbed 7.8 percent. Several shareholders contacted by Reuters said GM could face a third major action by activist shareholders in less than four years if the share price does not improve. "I've been expecting it," said John Levin, chairman of Levin Capital Strategies. "It just seems a tempting morsel to somebody." Levin's firm owns more than seven million GM shares. Barra has guided the company through the settlement of a federal criminal probe of a mishandled safety recall, sold off money-losing European operations, and returned $25 billion to shareholders through dividends and stock buybacks from 2012 through 2017. GM declined to comment for this story, but the company's executives privately express frustration with the market's reluctance to see it as anything more than a manufacturer tied mainly to auto market sales cycles. GM's profitable North American truck and SUV business and its money-making China operations are valued at just $14 billion, excluding the value of GM's stake in its $14.6 billion Cruise automated vehicle business and its cash reserves from its $44 billion market capitalization. The recent slump in the Chinese market, GM's largest, and plateauing U.S. demand are ratcheting up the pressure. GM is one of the few global automakers without a founding family or a government to serve as a bulwark against corporate raiders. In 2015, a group led by investor Harry Wilson pressed GM to launch a $5 billion share buyback, and commit to what is now an $18 billion ceiling on the level of cash the company would hold. In 2017, GM fended off a call by hedge fund manager David Einhorn to split its common stock shares into two classes. Einhorn, whose firm still owned more than 21 million shares at the end of June, declined to comment about GM's stock price. Other investors said there were no clear alternatives to Barra's approach.

Junkyard Gem: 1997 Cadillac Catera

GM's Cadillac Division was having a tough time in the early 1990s, with an onslaught of Lexuses and Infinitis pouring across the Pacific to steal their younger customers while high-end German manufacturers picked off their older customers. Flying an S-Class-priced model between assembly lines in Turin and Hamtramck hadn't worked out, so why not look to the European outposts of the far-flung GM Empire for the next Cadillac? That's how the Catera was born, and I have found a rare first-year example in a North Carolina car graveyard. Across the Atlantic, GM's Opel and Vauxhall were doing good business with prosperous European car buyers by selling them the sleek rear-wheel-drive Omega B (whose platform also lived beneath the Holden VT Commodore in Australia). Here was a genuine German design that competed with success against BMW and Audi on their home turf! So, the Omega B was Americanized and renamed the Catera. Opel wasn't a completely unknown brand to Americans at the time, since its cars were sold here with their own badging through Buick dealerships from the middle 1950s through the late 1970s (for a much shorter period, American Pontiac dealers attempted to sell Vauxhalls). Even after that, plenty of Opel DNA showed up in the products of U.S.-market GM divisions. The Catera was by far the most affordable Cadillac for 1997, with an MSRP starting at $29,995 (about $59,113 in 2024 dollars). Being a genuine German car, it looked much more convincingly European than the DeVille ($36,995), Eldorado ($37,995) and Seville ($39,995). Inspired by the ducks on the Cadillac emblem (they were really supposed to be martlets, mythical birds with no feet and occasionally lacking beaks), Cadillac's marketers went after youthful car shoppers with a whimsical animated duck named Ziggy. For the 21st century, the birds were removed from the Cadillac emblem in order to attract California buyers under 45 years of age. As we all know, the Catera flopped hard in the marketplace. What sold well in Europe turned out not to translate so well in in North America, especially when bearing the badges of such a historically prestigious brand. The Catera's engine was a 54-degree 3.0-liter V6 rated at 200 horsepower and 192 pound-feet. Just as had been the case with its predecessor, the Allante, no manual transmission was available.

2014 Cadillac CTS starts $7k higher than last model at $46,025*

The redesigned 2014 Cadillac CTS will be more powerful, stylish and luxurious than its predecessor, but it will also be much more expensive. With a new starting price of $46,025 (*including $925 for destination), the 2014 CTS represents a price increase of more than $7,000 compared to the 2013 model, but it should be more appropriately sized and equipped to take on rivals like the BMW 5 Series and Mercedes-Benz E-Class, which start at $47,800 and $51,900, respectively.
Available trim levels - referred to as Collections - include Luxury, Performance and Premium, offering either a 2.0-liter turbocharged inline four-cylinder or a 3.6-liter V6 and the choice of either rear- or all-wheel-drive configurations. For more performance, the all-new CTS Vsport model will have an asking price of $59,995. This 420-horsepower model is more powerful than both the BMW 550i and Mercedes E550 and about $2,000 less expensive than both.
There's still no word on what Cadillac has in store for a next-gen CTS-V sedan, but we're guessing power and price will both rise considerably. Scroll down for more info on the 2014 CTS that is set to go on sale this fall.