Since his arrival at Cadillac, former Infiniti chief Johan de Nysschen has tried to cultivate a more distinctive brand image for the automaker through high-profile moves like a new naming scheme, new flagship sedan, and moving Cadillac's headquarters to New York City. Now, he's turning his attention to dealers. At last week's Washington Auto Show, de Nysschen said Cadillac will reorganize its current network of roughly 900 dealers.

That network consists of 200 flagship standalone showrooms, and 700 smaller showrooms shared with other brands. The latter will be asked to upgrade, creating "boutique" locations that de Nysschen hopes will better show off the Cadillac brand and give customers a more upscale experience.

These swankier showrooms will be distinguished by unique Cadillac consumer touch points, sales staff with more training, and luxury amenities. Cadillac also plans to deploy a "virtual showroom" system that allows customers to configure and compare multiple models using interactive digital displays, and potentially even holograms.

Dealers will likely have to spend a significant amount of money on these upgrades, but Cadillac says it will add financial incentives for those that do, as well as for dealers that perform well in customer-satisfaction rankings. It will also institute new standards of compensation based on local sales and market potential.

Exactly what all of this means is unclear, and Cadillac did not discuss when these changes, or the boutique upgrade program, would start.

The automaker doesn't plan to reduce the number of its U.S. dealers, though. According to de Nysschen, the current network gives Cadillac greater geographical coverage in the U.S. than other luxury brand.

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DETROIT (Reuters) - General Motors Co Chief Executive Mary Barra's strategy of rebuilding the Cadillac brand has run into twin roadblocks: the carmaker can't persuade enough American sedan buyers to switch from foreign competitors such as BMW or Mercedes, and it can't make enough of its Escalade SUVs to satisfy domestic demand.

Even though chrome-bedecked Escalades retailing for more than $100,000 each are rolling every day out of an Arlington, Texas, factory that's been working weekend overtime for months, Cadillac still can't keep more than a few weeks' worth of the big SUVs in stock. By contrast, its dealers are offering discounts of thousands of dollars on the ATS sedan, intended to compete with the BMW 3 series, and on the CTS sedan, meant to rival the Mercedes E-class.

At Brotherton Cadillac Buick GMC in the Seattle suburb of Renton, Washington, owner Brad Brotherton is offering 2014 ATS sedans at up to $12,000 off a sticker price that starts at about $33,215. In St. Peters, Missouri, near St. Louis, Bommarito Cadillac was cutting as much as $17,500 off the price of a 2014 CTS sedan, which starts at about $45,345.

"Cadillac made a commitment to relieve dealer inventories by incentivizing" the leftover 2014 sedans, Brad Brotherton told Reuters. "Dealers had been asking for that for a long time."

The fire sale marks a setback for Cadillac's strategy to challenge BMW and Daimler AG's Mercedes-Benz brand head-on in the luxury sedan market. But while an American Cadillac owner will happily consider a BMW or a Mercedes, drivers of those famous German cars just won't put a Cadillac on their shopping list.

"The problem is, Cadillac is not BMW,” said Larry Dominique, president of ALG in Santa Monica, California, which sets and tracks auto leasing values. "The ATS is the product that Cadillac could have used to build brand equity, but it was overpriced and overproduced."

Cadillac has wrestled for more than a year to shrink inventories of unsold ATS and CTS models. In mid-December it shuttered the Lansing, Michigan, plant that builds the ATS and CTS for six weeks. The factory reopened January 26 on a single shift with a greatly reduced production schedule.

Even with the production cuts, Cadillac and its dealers had about four months' worth of unsold CTS sedans and six months’ worth of unsold ATS sedans on hand at the end of January, a Reuters analysis showed.

In January, GM sales rose 18 percent, largely on the strength of full-size trucks and utility vehicles. Cadillac sales increased just 2 percent, with ATS sales dropping 8 percent from a year ago and CTS sales down 24 percent.

"We understand we have a lot of work ahead of us with Cadillac," Barra said last week.

Residual value

Dominique said Cadillac's residual values -- the projected end-of-lease values, expressed as a percentage of the new car's retail price -- are among the lowest in the luxury segment, ranking near the bottom with Ford Motor Co's Lincoln and Jaguar .

So far, Cadillac has resisted price cuts on either model, although it recently tweaked option prices. Keeping base sticker prices unchanged could undercut the resale values used to set lease prices, Dominique said.

The failure of the ATS and CTS to hit their targets is costing GM. To kindle demand, Cadillac has offered subsidized leases, discounted financing and rebates. Consumers are being given $1,000 on the 2015 ATS and 2015 CTS, $4,000 on the 2014 ATS and $6,000 on the 2014 CTS. But some dealers are getting additional subsidies from Cadillac -- up to $5,000 more on the 2014 ATS and up to $7,000 more on the 2014 CTS -- to help clear out unsold cars.

Cadillac has cleared 90 percent of the leftover 2014 sedans, a spokesman said on Monday.

Meanwhile, the Escalade is hauling in the cash, as year-on-year sales in January rose 149 percent, according to Cadillac spokesman David Caldwell. GM's truck factory outside Dallas, which builds the Escalade and long-wheelbase Escalade ESV and their Chevrolet and GMC siblings, has been running steadily on three shifts and working weekend overtime for months to try to keep up with unrelenting demand.

"If we could run that plant eight or nine days a week, we probably would," said a GM insider familiar with the production schedule.

Cadillac marketing boss Uwe Ellinghaus, a former BMW executive, calls the Escalade "almost a brand in itself," but adds that the big SUV "does not set the direction" for Cadillac's long-range strategy.

As it is, Cadillac is likely to get only "a few more" Escalades this year, according to Caldwell, who said, "A little bit of scarcity isn't a bad thing."

(Editing by Joe White and John Pickering)

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Warren Buffett is auctioning off his 2006 Cadillac DTS sedan to raise money for one of his favorite charities, Girls Inc.

The car will come specially customized with Buffett's signature across the dashboard, and less than 20,000 miles on the odometer, according to online auction site Proxibid.

Best part? The winner gets to meet the 84-year-old Oracle of Omaha, who will personally hand over the keys.

Buffett held a similar auction for his 2001 Lincoln back in 2006 and managed to raise $73,200.

His daughter, Susan, is a director at Girls Inc, which aims to empower young girls through educational activities.

The auction will run from Wednesday, Feb. 11 through Thursday, Feb. 19. Get your bids ready.

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Warren Buffett's 2006 Cadillac DTS sedan sold for $122,500 in a charity auction that closed on Thursday, Bloomberg reported.

That's roughly $111,300 more than the car's estimated value, and $49,300 more than he raised when he auctioned off his Lincoln Town Car back in 2006.

The winning bidder has not yet been identified. But that person, who CNN Money reported was a "New Yorker," will get to meet Buffett, who offered to personally hand over the keys in Omaha.

Proceeds will go to Girls Inc., a favorite charity of Buffett's that works to empower young girls through education. Buffett's daughter, Susan, is a director at the charity.

Here's the promo video for the auction, which was hosted online by Proxibid:

Read more on the auction from Bloomberg>>

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Last year, General Motors announced that Cadillac would be moving its marketing and sales operations to New York from Detroit. It was part of Caddy President Johan de Nysschen's plan to assert that GM's luxury division was an authentic luxury brand, not simply a producer of quite nice cars.

Adding a bit more oomph to the move, GM also announced that Cadillac would start reporting its financials separately from its parent. 

Now, with a new advertising campaign by new agency Publicis (Cadillac switched agencies last year), a brand that for better or worse has been closely connected to Detroit for over a century is now basically a New York car company that builds its vehicles in the Midwest.

The new tagline is "Dare Greatly," borrowed from a speech that Teddy Roosevelt delivered in France in 1910. The gist of TDR's message was that you need to get in the game and aim high in order to achieve great things — and not fear failure.

For Cadillac Chief Marketing Office Uwe Ellinghaus, the 100-plus-year-old dictum is just the thing to capture the spirit of a 100-plus-year-old brand that has gained the appreciation of the motoring press over the past decade and a half, but that hasn't been able to take a bite out of BMW and Mercedes' chunk of the market.

Ellinghaus argues that the "Cadillac world" he, de Nysschen, and Publicis are trying to create is defined by global luxury and what he calls "entrepreneurials"— global "rock stars" who embody the "Dare Greatly" attitude.

You have to admit that this sort of branding thrust can take full advantage of our current cultural moment. Ellinghaus' goal is to meld the entrepreneurial spirit of Silicon Valley and the creative energy of New York City (specifically, Downtown New York City). And while the cultural importance of creativity, New York style, may not hold quite the same power it did in the late 20th century, entrepreneurship is currently riding high in the American imagination. 

Cadillac went big with the campaign during the Oscars this weekend, in three spots showing the new CT6 sedan rolling slowly through the gritty streets of Soho, with appearances from Steve Wozniak, designer Jason Wu, and Oscar-nominated director Richard Linklater. 

Another spot involves a lot a heavy duty New York-ness and avoids showing the car altogether.

While the campaign may not decisively revamp Cadillac's image in the same way that Matthew McConaughey's trippy spots for Lincoln have, there's no question that Cadillac has now fully ensconced itself in New York City and cast the brand's fate with a New Yorker's idea of luxury. 

Last year, De Nysschen insisted that Cadillac wasn't a truly separate luxury brand — in the sense of being independent from Chevy, Buick, and GMC, GM's other brands. Now he's set about addressing that problem.

This is actually a big deal. For all its bold design and general slickness, Cadillac has always been connected to Detroit. The "Dare Greatly" campaign seeks to change that, perhaps for good.

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The New York Auto Show is kicking off this week at the Javits Center in Manhattan.

I've spent the past 10 years in Los Angeles, a city whose automotive extravaganza starts off "car show" season in November. There's always a strong sense of optimism in the air of sunny Southern California.

But by the time April rolls around and the New York show fires up, as grueling winter slowly shifts to bright spring, everyone who makes cars, markets cars, or covers cars is typically pretty wiped out.

I couldn't have picked a better time for my first New York show in a decade, however, because the vibe in NYC in 2015 is unlike anything I've ever experienced in my entire career as an automotive journalist.

No one is wiped out. The mood is extraordinary. 

A comeback of confidence

The industry is buoyantly self-confident these days. Take Cadillac, for example.

Cadillac is in the process of rebranding itself as a New York car company. Okay, Caddy is still part of General Motors and still builds its cars in the Midwest. But it moved its sales and marketing operations to New York last year, in order to more aggressively focus on being a true luxury brand.

On Tuesday, Cadillac began to make good on that promise by throwing one of the biggest new-car reveal parties I've ever seen. Droves of people spent an evening in a vast, soaring space in the Brooklyn Navy Yard, checking out Caddy's flagship CT6 sedan. And enjoying a spectacular spread of sushi, lamb, lobster, live music, and a great variety of beverages. 

It was a very strong signal that Cadillac is going to challenge its German rivals in the luxury realm — and do so with big-time New York style.

The Ford story

Ford is in on the action, too. The company rocked the automotive world when it revealed its new GT supercar at the Detroit Auto Show earlier this year (they've brought the glorious machine to New York).

In New York on Monday, Ford revealed its Lincoln Continental concept car, the latest thrust in an effort to revive Ford's own luxury brand. 

The car is stunning. The ambition is palpable. The philosophy is distinctive — Lincoln is bucking an industry trend of creating evermore sporty luxury sedans, aiming instead to create a sort of modern throwback, a big car that's plush and dignified. "Elegant beauty, not aggressive beauty," as Lincoln head Kumar Galhotra put it.

And that's just the two biggest US carmakers. Around the world, there's a powerful sense that the auto industry has recovered from its dark days during the 2008-09 period. It's true that Europe has been a weak spot, the Russia market is falling apart, Latin America is struggling, and growth in China is slowing. But a rocking and rolling North American market is making up for all of that. After falling below 10 million new vehicles sold annually in the aftermath of the financial crisis, the industry is back up to around 17 million. Some are saying it could go to 20 million.

Supercars! Supercars! And more supercars!

Supercars are breaking out all over. McLaren revealed a new one in New York. The recent Geneva Auto Show was an absolute supercar-palooza. Acura has restored the much-loved NSX to its former glory. New Lamborghinis and Ferraris are appearing in the landscape.

And speaking of Ferrari, the grandest supercar brand of them all is being spun off from parent Fiat Chrysler Automobiles, with an IPO happening later this year. So, even if you've always dreamed of owning one of Maranello's exotic red dream cars but can't quite swing the financials, you can own a piece of the company.

As lively as things are for the traditional auto industry, the story is even more dynamic on the disruptive front. 

Tesla, Google, Apple

Tesla continues to captivate the imaginations of anyone who cares about the Car of the Future. Elon Musk unveiled a new version of the company's Model S sedan last year. Sometime in the third quarter of 2015, Tesla's new Model X SUV is slated to roll off an assembly line in Northern California. If there's a superstar who bridges the gap between the worlds of cars and Silicon Valley tech, it's Musk. Musk, it's always worth noting, also runs another company, SpaceX, that enables him to launch rockets to the International Space Station when he's not trying to reinvent the automobile.

Tesla gets a lot of attention, but two other Silicon Valley companies of some reputation have also leapt into the automotive space in the past six months. Google has been testing its self-driving car technology for years, but it's now officially become a carmaker. Production prototypes of its Google Car are now tooling around the Bay Area.

That's right, Google is a car company!

And of course the talk of the auto industry for the past month has been the Apple Car. No one seems to have any idea of what Apple is up to — Driverless car? Connectivity platform? An expanded version of Apple's CarPlay in-car infotainment system? — but there's been abundant speculation. From where I sit, Apple's "Project Titan" spreads excitement and fear in equal measure. 

So there you have it. It's thrilling to be in the middle of it all.

Because, as of April 2015, the auto industry has fully entered the 21st century. It's a great time to have a front-row seat.

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Cadillac unveiled the Cadillac CT6 at the New York International Auto Show. The CT6 is GM's latest entry into the big rear drive luxury sedan category, competing with the BMW 7-Series and the Mercedes S-Class.

Produced by Jason Gaines. Video courtesy of Associated Press.

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The Bentley Mulsanne Speed is an impressive automobile.  With a price tag just shy of $400,000, including options, this shouldn't really be a surprise to anyone. After all, this is Bentley's flagship model. 

Recently, Business Insider spent a weekend with the Mulsanne Speed. Behind the wheel — a position normally inhabited by a chauffeur — we found the Mulsanne to be a harmonious blend of luxury yacht, English cottage, and Germanic muscle car. 

Powered by colossal 530-horsepower, 6.75-liter, twin-turbocharged V8 engine, the Mulsanne Speed is perfectly capable of spirited driving and can reportedly hit a top speed of 190 mph. With a dump-truck-like 811 ft-lbs of torque on tap, the 18-foot-long British limo takes just 4.8 seconds to get its 6,00o lbs. of mass to 60 mph.

However, no matter how sporty Bentley try to make the Mulsanne, it will never be as athletic as its little brother Flying Spur which we tested last year. 

But the Mulsanne Speed is still most happy when it's ferrying around well-heeled passengers. The place to be is seated between the Bentley's vault-like rear doors, which close with a very satisfying thud.

And boy! What a rear cabin it is! And it costs — $43,300, fully equipped. In fact, on its own, the Mulsanne Speed's back seat is pricier than dozens of brand-new, rather hot cars on the market today.

So we put together a list of 25 cars that are actually cheaper than the Bentley Mulsanne Speed's rear cabin.

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At $28,760, the "Entertainment Specification" equips the Mulsanne Speed with electric iPad picnic tables, a rear seat entertainment system, Wi-Fi, and a "Naim for Bentley" premium sound system.

For another $3,750, Bentley will install ventilated leather seats with a massaging function.

To top it all off, Mulsanne Speeds can be optioned with a "refrigerated bottle cooler with frosted glass and bespoke crystal champagne flutes" for a whopping $10,970.

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Modern automobiles are increasingly reliant on technology, which leaves them more and more susceptible to hackers. According to forensic engineering consulting firm PT&C|LWG, cars today use between 20 and 70 computers, each with is own specialized use, that make up the overall functionality of the vehicle. 

“Cars are vulnerable because they were never built with defenses in mind. If you take something that was designed to work in one set environment and you connect to it a much more hostile environment, you don’t have the right defenses in place. So of course it’s vulnerable. It’s like Bambi walking out of the forest into the field,” Jeff Williams, chief technology officer of the security firm Contrast Security, told Business Insider. 

To find out which cars on the road today are the most vulnerable to hackers, PT&C|LWG put together a handy infographic. The most vulnerable cars are the 2014 Jeep Cherokee, the 2014 Infiniti Q35, 2015 Cadillac Escalade, the 2014 and 2010 Toyota Prius, and the 2014 Ford Fusion.

The infographic also includes information on the least vulnerable cars, as well as what you can do to defend your vehicle from being hacked.

Check out the infographic below:

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Cadillac’s replacement for the SRX, the 2017 XT5, will make its auto show debut in Dubai on November 10.

A local debut will then follow at the Los Angeles Auto Show just one week later.

However, we already have a good look at the design thanks to a round of teaser photos released overnight.

All Cadillac will tell us right now is that the XT5 will feature “progressive technology” and an “accommodating interior.”

We also know that the XT5 will be built at General Motors Company’s Spring Hill plant in Tennessee. And like the SRX it’s about to replace, the crossover will straddle the gap between the small and mid-size offerings of rival brands. Potential rivals include the Audi Q5, Lexus RX and Volvo XC60.

Though it’s yet to be confirmed, the XT5’s platform is thought to be a new modular design code-named C1XX. This is the high-riding version of the E2XX platform that debuted in the 2016 Chevrolet Malibu and is destined to replace GM’s current Theta and Lambda designs.

Engine options should comprise four- and six-cylinder units, most likely those announced for the 2016 CT6. This means a turbocharged 2.0-liter four with 265 horsepower, a naturally-aspirated 3.6-liter V-6 with 335 hp, and possibly a twin-turbocharged 3.0-liter V-6 with 400 hp in a Cadillac XT5 Vsport. Further down the track we may also see a plug-in hybrid option.

Sales of the 2017 Cadillac XT5 commence next spring.

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Consumer Reports released its annual auto reliability report and as expected some automakers fared better than others. 

Lexus, Toyota, and Audi heads up the list as the most reliable brands while Fiat Chrysler's Fiat, Jeep and Ram brands came in as the least reliable based on survey results.

According to Consumer Reports, new transmission and infotainment technology account for many of the troubles faced by the brands that struggled in the survey. 

"We’ve seen a number of brands struggle with new transmission technology," Consumer Reports’ director of automotive testing Jake Fisher said in a statement.  

"Whether it’s a complex system such as a dual-clutch gearbox, a continuously variable transmission, or one with eight or nine speeds. Many vehicles require repair and replacements because of rough shifting among the gears and slipping CVT belts."

Much of FCA's poor results in the survey can be attributed to the company's unreliable 9-speed automatic transmission, Consumer Reports' auto editor Mark Rechtin told Business Insider. 

The reliability survey uses the responses from Consumer Reports' 8 million magazine and website subscribers. The publication then compiles responses on cars three years or newer to help predict the reliability of new cars. In total, the survey takes into account information from more than 740,00 cars. 

Consumer Reports then ranks the predicted reliability from this years result to last year's outcome. 

Of the 28 brands featured in the list, a handful made bigger moves up or down the rankings than others. 

Here are the biggest winners and loser of the 2015 survey. 

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Loser: Cadillac

Down: 7 Spots

Overall ranking: 25/28

Why it's here: Consumer Reports attributes Cadillac's poor showing to the company's ongoing struggle with its difficult-to-use CUE infotainment system. 

Loser: Acura

Down: 7 spots

Overall ranking: 18/28

Why it's here: According to the publication, consumers reported problems with the company's continuously variable transmissions, as well as its touchscreen infotainment systems. 

Loser: Porsche

Down: 5 spots

Overall ranking: 14/28

Why it's here: Although Porsche is down five spots in the rankings, the company's overall reliability still falls within the industry's average range. Consumer Reports attributes Porsche's drop to the less-than-reliable debuts of the Macan crossover and the new-generation Cayman sports car. 

The CTS-V is the fastest and most powerful Cadillac production car ever.

Equipped with a 640 hp supercharged V-8, it clocks a zero-to-60-mph time of 3.7 seconds and reaches a top speed of 200 mph.

It is only a tenth of a second slower than the 2014 Mercedes-Benz E63 AMG and much quicker than the BMW M5, which reaches 60 mph in 4.2 seconds.

Like the other V models, it is essentially a high-performance variant of the base model packed with race-bred technology. In this case that includes sophisticated aerodynamics and cooling systems and a stiffer chassis that keeps the car more composed around corners.

The CTS-V’s four drive modes—touring, sport, snow, and track—vary the shift points on the 8-speed automatic transmission. The drive settings also affect the ride quality, which ranges from soft and pliable in touring mode to planted and unshakable in sport mode. Regardless of the drive setting, the latest version of Magnetic Ride Control, Cadillac’s adaptive suspension system, adjusts almost instantly to keep the car on an even keel.

The most obvious visual differences between the CTS and CTS-V are the latter’s wider grille and larger air intakes, both of which increase airflow into the engine. A bulging vent on the carbon-fiber hood allows hot air to escape and improves downforce.

As fast and powerful as it is, the CTS-V is still suited to daily driving. To save fuel, its engine will automatically switch from running eight cylinders to four when cruising about town. The cabin is quiet thanks in part to technology that cancels out noise from under the hood. The 20-way adjustable sport seats are covered in leather and available in such color combinations such as jet black and saffron. 

Configuration: Front-engine, rear-wheel-drive sedan

Engine: 6.2-liter supercharged V-8

Transmission: 8-speed automatic

Power: 640 hp at 6,400 rpm

Torque: 630 ft lbs at 3,600 rpm

Curb Weight: 4,145 lbs

Zero to 60 mph: 3.7 seconds

Top Speed: 200 mph

Base Price: $84,990

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Every once in a while, a popular brand falls off the map.

During that time they have two choices: accept defeat or make a comeback plan.

In the chance the brand chooses to make a comeback, a huge rebranding effort comes into play.

Gathered from surveys by Ranker.com these are brands defied the odds.

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13. Members Only

This popular clothing brand in the '80s had the advertising tagline: "When you put it on, something happens." But the brand slowly became dismissed in the fashion world because of its dated look. Lucky for them, retro is in. The brand relaunched in 2004 with a men's and women's line and has been seen being worn by celebrities such asAnne Hathaway, David Hasselhoff, Mariah Carey, Rihanna, and Miley Cyrus. 

12. Myspace

From 2005 until 2008, Myspace was the largest social networking site in the world. Then in 2008, Facebook emerged and Myspace was forgotten. But now, Myspace is capitalizing on its music platform. Backed by Justin Timberlake, the site underwent a major redesign and is now a popular place for artists and musicians to post their work, while users can browse and search featured content. 

11. Birkenstock

These distinctive cork-soled sandals noticed a surge of popularity on the '90's, but as trends go, they became increasingly unaccepted in American culture. Thanks, yet again, to retro style taking the runways, the two-strap sandal trend is back and Birkenstock is at the top of the pack.

Cadillac unveiled its new XT5 crossover this week. In an SUV-driven market, the XT5 will be crucial to the company's sustained growth. It will also give Cadillac a new weapon to compete in one of the most hotly contested segments in the market.

The crossover SUV market has been driving auto sales in the US to new heights. If the total number of new cars and trucks sold here in 2015 hit 18 million, it will be the highest yearly total ever. And a big chunk of that number will the SUVs. 

Luxury crossovers are particular appealing to car makers because their profit margins can exceed those of cars. For Cadillac, which is in the middle of big rebranding effort involving a relocation of some operations to New York City, the XT5 is a critical vehicle. The GM division needs to maintain the sales momentum its has achieved with vehicles like the outgoing SRX.

"The all-new XT5 not only enters the most popular segment in the worldwide luxury auto market, it is the first of four new crossovers from Cadillac," Cadillac president Johan de Nysschen said in a statement.

"It’s pivotal to our ongoing growth, which is why we’ve developed XT5 from the inside out to provide customers more space, more technology, more luxury and more efficiency."

Cadillac debuted the production XT5 at a fashion show in Dubai. The car will make its North American debut at the LA Auto Show later this month. 

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Cadillac has released a slew of hot new models, such as the ATS ...

... CTS and ...

... CT6 sedans.

Volvo is on a roll. The Swedish automaker just had its best month in the company's 88-year history with nearly 50,000 cars sold worldwide in November. Business was particularly good in the US, where sales jumped more than 90% on the back of the successful introduction of the company's XC90 luxury SUV.

Today, Volvo unveiled its new flagship sedan — the S90. The company's new large luxury sedan will be the second model — after the XC90 — to be built on Volvo's flexible Scalable Product Architecture platform. It's also the latest product to emerge from an $11 billion research and development investment made by Volvo's parent company, Geely Group.

"With $11 USD billion of investment over the past five years we have not only reimagined what Volvo Cars can be — we are now delivering on our promise of a resurgent and relevant Volvo Cars brand," Volvo Cars president and CEO, Håkan Samuelsson, said in a statement. "With the launch of the XC90 we made a clear statement of intent. We are now clearly and firmly in the game."

Although Volvo hasn't always fashioned itself as a luxury brand, the company has generally always offered a large executive sedan for its loyal legion of customers. The brand's current luxury flagship — the S80— has been on the market for a decade and is ready for retirement.

SEE ALSO: Volvo's transformation into a luxury brand has been a long time coming

Volvo introduced the new S90 to the motoring press on Wednesday at the company's headquarters in Gothenburg, Sweden.

The S90 will replaced the current generation S80 sedan, which has been on sale since 2006.

The new S90 will share the Volvo lineup with the ...

Cadillac is General Motors' top brand — and a brand that's in the midst of rapid and radical transformation of its business under the leadership of Johan de Nysschen, a 55-year-old native of South African who came to Cadillac in 2014, after stints at Infiniti and Audi.

The biggest change was moving Caddy's sales and marketing operations to New York from Detroit in 2014. The car maker is now ensconced in swank offices in Downtown Manhattan and is running a new, very Gotham-themed ad campaign with the tagline "Dare greatly."

De Nysschen's objective is to reinvent Cadillac as a global luxury nameplate, and to that end he's already staged a spectacular debut, at the 2015 New York Auto Show, for the marque's latest sedan, the CT6. Cadillac events now features movers and shakers from the worlds of fashion, art, and design.

The Cadillac boss's challenge is significant — the brand sold around 250,000 vehicles worldwide in 2015, while luxury sales leader BMW was pushing 2 million. Sales growth has been adequate and because Caddy has crossovers and a very successful SUV in the Escalade, profits have followed. But de Nysschen wants to more.

We sat down together at the Los Angeles Auto Show last year for a wide-ranging conversation about Cadillac and its future. The conversation has been edited for clarity and length.

Business Insider: The US market is as good as I've ever seen it in my entire career covering business. How much juice does it have left?

Johan de Nysschen: A couple of things are fueling growth. There's a lot of pent-up demand in the market, particularly with trucks. Those customers are delighted — they're  trading in their 7-, 8-, 9-year old trucks and finding new vehicles that represent a major technological leap.

But part of this growth is coming from incentives, which are way higher than they were coming out of the financial crisis. And as a very publicly declared anti-incentive guy, I don't like it. I think that our industry finds increasingly inventive ways to give its profits away. But fuel prices are also low, and this is likely to continue for quite some time. I'm not pessimistic at all about where the market is going to go. Whether it continues to climb, it remains to be seen, but at least it's going to sustain itself at a very high level, which is good for all of us. 

BI: Especially with Cadillac!

De Nysschen: The luxury market has actually grown a little bit faster than the overall market. But what frustrates me as the Cadillac chief is that growth is taking place in segments where we aren't present. That's why we are very optimistic about the XT5 crossover. But the segment below that is growing very rapidly. As is the segment on the sedan side for entry level luxury sedans. Mercedes and Audi added 60,000 units combined sales in that segment alone. That's something we have to address, but it takes time to develop new products. In 2016, the big  news is XT5 and CT6, and then we have to wait about  two years.

BI: Does that concern you?

De Nysschen: We have no choice, it's just the reality of it. We must use this time to focus on things that we can influence, to prepare for when the product comes. Because once it starts hitting, the cadence is impressive. We will launch vehicles in that window from the second half of 2018 to 2020 — six all-new products, and that's going to be a huge driver for growth.

In the meantime, we've got compelling products, and we have some expectations for growth for XT5. CT6 is not a volume car. The [high-performance] V-models are very stunning and are exciting people around the brand. They draw people into showrooms who would never consider Cadillac.

BI: What are the worrisome factors that you see on the horizon? 

There will be a downturn. It would be prudent to at least plan for that. I'm not a pessimist in the sense that I think it's imminent. But clearly, there are always lurking on the horizon economic considerations that could rapidly cool down the market. If there is an escalation of conflict and political turmoil — which is running along many geographies now, it's not just the Middle East anymore — that can add economic consequences.

At Cadillac, while we are on a very aggressive expansion drive, we also need to take disciplined measures so that we are always in good shape and run a healthy business. So we don't need to make unpleasant cutbacks if the growth projection that we are presenting doesn't manifest itself. 

BI: I've seen some very bold moves on the part of Cadillac though in the last year and a half. How does that contrast the need to fuel that narrative with that disciplined business approach that you're stressing?

De Nysschen: It's a matter of differentiating between investments and expenditure. While Cadillac had been very US-centric, I was not happy with the quality of the business in the US. I made it clear, at the beginning of this year, that while we'll be looking at an expansion of volume and market share in China, in the US I'm looking for flatlining volume.

But I want to improve the quality. Because it is precisely strengthening the foundation of the business that protects me against adverse circumstances. Cadillac average transaction prices today are second only to Mercedes-Benz. This is a good thing. We're one of the few companies that has seen an overall decline in incentives spent. What's even more remarkable is that we went into 2015 with a massive model-year 2014 hangover. We were clearing out the last model year 2014 cars at the end of April. That's costly. But we've taken dramatic steps to reduce inventory all around. We've more than halved it.

BI: Are you satisfied with progress on the brand? Has it adequately separated itself from any old perceptions of Cadillac?

De Nysschen: I don't think we've arrived at a destination yet. This is a very long term journey. Brands are not shaped overnight. Cadillac is a good representation. The brand enjoys high brand awareness, and it's recognized as aspirational. What we need to bear in mind that in five years from now, 4 out of every 5 luxury car buyers are going to be from Generation X or the Millennial generation. They're looking for a more modern, progressive, contemporary expression of luxury.

One marketing communication campaign doesn't fix that. It's a sustained and consistent execution that stays on message, that's reflected in the product philosophy, that's reflected in the ownership experience. If you want a bold brand, you've got to behave bold. It takes a long time to shape and change perceptions. We know that.

BI: My impression of Cadillac is that it is extremely bold. Maybe a little bit too bold for this space. Almost exotic in some senses. Are you anticipating that you're going to move forward on that with a lot of confidence?

De Nysschen: We are very proud of our heritage. Whether you speak of Cadillac or any other brand, I don't think you just comes in and abandon all that's come before and come up with something radically new. There is considerable discussion inside GM [about Cadillac's future direction]. I'm fortunate enough to have a seat at the table where those discussions take place.

We have aspirations to move outside the confines of the US  and make the brand more global — without making it bland and the safe choice. So we do have to be willing to make the overall designs more globally appealing. And while one definitely wants to remain distinctive, we need to make sure that it's also not polarizing. Designs must evolve. But our vehicles will be instantly recognizable as Cadillacs

BI: What is Cadillac all about to you?

De Nysschen: I'm a product of the circumstances of the environment that I grew up in. When I was a kid growing up in South Cadillac always held the fascination to me as something aspirational. Over the years, it lost some of that caché, but I always respected it.

To be candid, that deep-rooted [fascination] that I have with Cadillac was instantly awakened when I was asked to join the company. It was a very easy decision for me. Cadillac is iconic. It has a heritage, It has a reputation that we want to leverage. We don't want to walk away from it. We are proud of our cars. We are fundamentally American, bold and confident.

BI: Does that mean going head to head with BMW, Audi, and Mercedes?

De Nysschen: While we can admire the success of the Germans and what they have done, dominating the luxury car market, we should not try to emulate them. Because then we will always be followers. The Germans will be better at being German than we are. So lets not do that. Cadillac is built around the central notion of passion — it's a metaphor for excellence because it's a mindset, it's a behavior, it's a belief. It's attention to detail. It's the pride that we have.

That permeates all that we do in the company — whether it's the way a button works in a car or how we execute marketing. That attitude that has to permeate the ownership experience: how dealers treat customers and how we interact with them. Americans are optimistic. We live well today, and we absolutely believe tomorrow will be better. That's what we're about. 

SEE ALSO: Cadillac is basically now a New York car company

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Exactly one year ago, Cadillac boss Johan de Nysschen confirmed the brand would launch a compact sedan to take on the likes of the Audi A3 and Mercedes-Benz CLA.

He also confirmed that the car would come with rear-wheel drive to differentiate it from rivals which are all based on front-wheel-drive platforms.

Not much has been heard about the Cadillac baby sedan since then but that doesn’t mean it’s off the radar.

In fact, Cadillac chief engineer David Leone has hinted at the car once again during a recent interview with Road & Track.

He is reported to have said that Cadillac is working on something below the ATS small sedan. When pressed further, he said one of Cadillac’s strengths in sedans is being known for rear-wheel drive.

Rather than develop a whole new platform for the car, Cadillac will likely adopt a shortened version of the current Alpha platform found in the ATS and CTS as well as the Chevrolet Camaro.

It’s too early to talk pricing but somewhere around $30k is likely considering this is the price point rivals start at. However, as mentioned above, none of the rivals have the rear-wheel-drive dynamics that for so many years has been a cornerstone of premium sedans.

Note, a new sedan isn’t the only car Cadillac plans to slot in below its ATS. The brand is also planning a compact crossover that last we heard is coming in 2018.

The compact sedan is expected to follow the crossover by about a year. Also due from Cadillac in the coming years is a long-overdue large crossover with third-row seats.

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The new Cadillac CT6 is here, and the sedan comes with some pretty sweet high-tech features.

From driver assist to "night vision," the 2016 Cadillac CT6 looks like a sweet ride.

Here's a closer look at the new Cadillac, starting at $53,495.

The car's engine comes with automatic start/stop technology to temporarily turn off the engine when it comes to a halt.

And the Cadillac's fob allows you to start it and heat the seats in advance.

And there's the option of heating the steering wheel.

Looking inside the CadillacCTS, there's a customizable 12.3-inch LCD screen behind the steering wheel.

The screen lets you see information like your speed and the song currently playing.

Cadillac is General Motors' luxury brand and has been for over 100 years — and it's undergoing a major reinvention. Sales and marketing operations were moved to New York City in 2014 in order to make Caddy seem hip and fresh and of the global-luxury conversation.

But Cadillac has been in the throes of transformation for more than a decade. For much of its history, it sat at the peak of GM's famous-brand ladder: You entered your automotive life with a Chevy and closed it with one. Back then, during the US auto industry's golden age and even into its crisis years in the 1970s and '80s, Cadillac produced big, comfortable cars that were designed to surround passengers in swaths of soft leather and ample ashtrays.

Taking one hard turn into a corner wasn't something that entered any Cadillac owner's mind, as he or she piloted the barge down a freeway with Sinatra flowing from the FM radio. The invasion of German sports sedans disrupted this settled arrangement. "Luxury" now had to include "performance." And to up the ante, BMW in particular began to advance its "ultimate driving machine" pitch with street-legal competition-derived cars from its M Sport division. This was German performance — plus!

Even after Cadillac revolutionized its styling to be more aggressive, it had to tackle the impression that the Germans were better at going fast. This led to a synthesis of Cadillac and Corvette. Posh met performance, and "performance" was a big V8 engine with enough horsepower to make you think you're not just driving — you're being propelled forward at alarming velocity by a thick column of fire. The V-Series was born.

Caddy has been refining this formula for about a decade now, and Johan de Nysschen, the brand's boss, recently stressed to Business Insider how important the V-cars are to the future of the the brand. "[They're] very stunning and are exciting people around the brand," he said. "They draw people into showrooms who would never consider Cadillac."

A Caddy with the heart of a Corvette? Sounds pretty tasty, and maybe just a little bit rude. So we sampled the core of the V lineup: the 2016 CTS-V sedan.

The Caddy landed in my driveway at Business Insider car-test HQ on the rainy days before the end of 2015. The "Red Obsession" paint brightened things up.

I know the CTS-V doesn't look anything like its ferocious GM stablemate, the Corvette Z06 supercar, which serves up 650 horsepower and 650 pound-feet of torque from the most powerful engine GM has built.

But the Cadillac actually has ... THE SAME ENGINE as the Vette, a 6.2-liter supercharged widow-maker. It's just been toned down to crank out a mere 640 hp.

Cadillac is General Motors' luxury brand and has been for over 100 years — and it's undergoing a major reinvention. Sales and marketing operations were moved to New York City in 2014 in order to make Caddy seem hip and fresh and of the global-luxury conversation.

But Cadillac has been in the throes of transformation for more than a decade. For much of its history, it sat at the peak of GM's famous-brand ladder: You entered your automotive life with a Chevy and closed it with one. Back then, during the US auto industry's golden age and even into its crisis years in the 1970s and '80s, Cadillac produced big, comfortable cars that were designed to surround passengers in swaths of soft leather and ample ashtrays.

Taking one hard turn into a corner wasn't something that entered any Cadillac owner's mind, as he or she piloted the barge down a freeway with Sinatra flowing from the FM radio. The invasion of German sports sedans disrupted this settled arrangement. "Luxury" now had to include "performance." And to up the ante, BMW in particular began to advance its "ultimate driving machine" pitch with street-legal competition-derived cars from its M Sport division. This was German performance — plus!

Even after Cadillac revolutionized its styling to be more aggressive, it had to tackle the impression that the Germans were better at going fast. This led to a synthesis of Cadillac and Corvette. Posh met performance, and "performance" was a big V8 engine with enough horsepower to make you think you're not just driving — you're being propelled forward at alarming velocity by a thick column of fire. The V-Series was born.

Caddy has been refining this formula for about a decade now, and Johan de Nysschen, the brand's boss, recently stressed to Business Insider how important the V-cars are to the future of the the brand. "[They're] very stunning and are exciting people around the brand," he said. "They draw people into showrooms who would never consider Cadillac."

A Caddy with the heart of a Corvette? Sounds pretty tasty, and maybe just a little bit rude. So we sampled the core of the V lineup: the 2016 CTS-V sedan.

The Caddy landed in my driveway at Business Insider car-test HQ on the rainy days before the end of 2015. The "Red Obsession" paint brightened things up.

I know the CTS-V doesn't look anything like its ferocious GM stablemate, the Corvette Z06 supercar, which serves up 650 horsepower and 650 pound-feet of torque from the most powerful engine GM has built.

But the Cadillac actually has ... THE SAME ENGINE as the Vette, a 6.2-liter supercharged widow-maker. It's just been toned down to crank out a mere 640 hp.