Archive for the ‘Cadillac’ Category


One online resource I use frequently is TrueCar.com.  TrueCar’s stated mission is to “bring transparency to car buying in America.” You can research any make/model you’re interested in and see a chart of the transaction prices for that make/model in your area (by zip code or city).  You have instant access to the (1) average prices paid, (2) recent sales data (broken down into local, regional and national trends), (3) Price Trend (monthly, graphed), and (4) Vehicle Pricing Details.  The data includes the actual number of sales/transactions on which the results are based.

I love the Vehicle Pricing Details.  It shows the dealer cost, factory invoice, average price paid and sticker price. Then it details any holdback (see below), dealer incentives, options, regional ad fees, destination fees and customer incentives.  It arms you with plenty of salient information that is usually not disclosed when you’re negotiating a vehicle purchase.

A dealer  holdback is a percentage of either the MSRP or invoice price of a new vehicle (depending on the manufacturer) that is repaid to the dealer by the manufacturer after the vehicle is sold. In other words, when the dealer says they are selling you the car at “invoice” and they aren’t making a dime, you can call their bluff and tell them you know about the $$ holdback.

When I want to see which manufacturers are giving heavy discounts and/or what models they are pushing – usually because sales are slow or there is excess inventory of a less-than-desirable model – I check TrueCar’s research. Did you know that Mercedes-Benz has the highest discount rate of any manufacturer – 14.2% – for 2011? It’s higher than Chrysler’s Ram brand at 14%.  Good to know next time you’re in the market for a new Mercedes.

The 2011 Mercedes-Benz GL-class is a nice, big SUV but it's not selling well right now.

Here’s another pearl.  The 2011 BMW ActiveHybrid 750Li, with a  base MSRP of $101,000, has $7,500 customer cash back – the highest for any vehicle currently.

For 100 grand, you get West Side/Entertainment Industry bragging rights to being “green” with a BMW “hybrid.”  Now this is not your standard Prius-like hybrid system.  You get a 4.4 liter 32 valve, 400 hp V8 engine with TwinTurbo technology, direct gasoline injection, 4 overhead cam shafts and Double-VANOS variable valve timing.  (So far, I’m not hearing “green.”)

2011 BMW ActiveHybrid 750Li. It's a nice ride, for sure.

BMW adds a super sophisticated ZF 8-speed automatic transmission with Hybrid Start/Stop function, Automatic and Manual shift modes, and fully synchronized electronic gear changes in both.  There’s an electric motor sandwiched between the gas engine and the torque converter in the 8-speed transmission.  It contributes an additional 20 hp and 155 lb-ft—combined powertrain output is 455 hp and 515 lb-ft.  In other words, it’s a very fast hybrid.  When you come to a stop, the engine switches off and the battery powers the accessories. The slightest nudge to the gas pedal restarts the engine and you’re seamlessly, almost imperceptibly, on your way.

The ActiveHybrid 7 system. I have no doubt the German's over-engineered it.

Add to that, Brake Energy Regeneration to convert kinetic energy into usable electrical power and a 120-volt lithium-ion battery with boost function.  All that fancy-schmancy hybrid-electric tech adds a sobering $12,800 over the base 750Li (with the same 400 hp V8 engine).

But hey, it’s a hybrid, right? So the fuel economy must get a big boost, right? Not so much. The base 4.4 liter turbo V8 750Li is EPA rated a disappointing, but expected 14 mpg City, 22 Highway, Combined 17 mpg on premium fuel.  The ActiveHybrid 750Li, also running on premium, is rated at 17 mpg City, 24 Highway, Combined 20.  Be still, my green-beating heart.

On a percentage basis, the bump is around 16%.  Not bad; but when the numbers are so low to begin with, an extra 3 mpg doesn’t impress, does it? So far it hasn’t impressed well-heeled “green” customers either. I guess the good news is that the “standard” 750Li gets socked with a $1,000 gas guzzler tax while  the ActiveHybrid 7Li doesn’t.

The BMW factory to customer cash of $7,500 helps reduce the $12,800 hybrid premium and puts more cars on the street.  So if you’re in the market to drop $100k on an ActiveHybrid 7,  don’t be too impressed when the salesman offers you a 7.5% discount before you even start negotiating.  I’m betting that dealers may sweeten the pot further,  probably enough to almost erase the $12,800 Hybrid premium.  You know, it takes real muscle to move 4,800 pounds of high-quality German steel.

Here is TrueCar’s Blog of  July 18, 2011 listing the top five  Models with Largest Total Incentives:

Models with Largest Total Incentives
Rank Make/Model Customer Cash Rebate Dealer Cash
1 2011 BMW 7 Series Hybrid $7,500 $0
2 2011 Cadillac DTS $7,000 $0
3 2011 Chevrolet Silverado $4,505 $0
4 2011 Ram Dakota $0 $4,500
5 2011 Volkswagen Routan $0 $4,500

Here’s TrueCar’s latest list of Top Discounts (by Vehicle Category).  They have them for 2012 models as well.

2011 Top Discounts (by Vehicle Category)
Vehicle Category Model % Below MSRP
Large Car Chevrolet Impala 25.0%
Large Truck Chevrolet Silverado 1500 22.4%
Midsize Car Mitsubishi Galant 19.7%
Luxury Car Cadillac DTS 18.9%
Subcompact Car Chevrolet Aveo 18.5%
Minivan Volkswagen Routan 17.9%
Large SUV Nissan Armada 17.0%
Luxury Sport Car Chevrolet Corvette 17.0%
Small Truck Nissan Frontier 16.8%
Luxury SUV Mercedes-Benz GL-Class 16.2%
Small SUV Dodge Nitro 15.8%
Van Chevrolet Express Cargo Van 15.6%
Midsize SUV Nissan Pathfinder 14.3%
Small Car Ford Focus 12.9%
Sport Car Ford Mustang 11.0%
Luxury Sport Car Jaguar XK 10.6%

Some of what you see here makes sense; however, some may surprise.  It’s easy to dismiss the Chevy Impala or the Dodge Nitro. No one wants either one, so they are sold mostly to fleets. It’s the car you don’t want at the rental counter and it’s going to take some serious discounts to get retail sales.  I think Dodge has killed the Nitro and the old fleet soldier, the Chevy Impala, is due for a complete refresh next year.

2011 Chevrolet Impala LS Sedan. It screams dull, rental car. It's definitely a product of the "Old GM."

The Ford Mustang is popular, but it’s losing the sales battle with its arch rival, the Chevy Camaro.  Through June 30, 2011, Camaro outsold Mustang by 9,720 units.  Ford and its dealers are discounting the Mustang to at least keep pace with the new kid on the block.  Ford needs the volume to keep the Mustang affordable and in production. There isn’t a car enthusiast on the planet that would want Ford to kill the Mustang. And it won’t as long as we keep buying them.

2011 Ford Mustang Shelby GT500 Convertible. There is a reason to live and breathe.

So what about America’s Sports Car, the Chevrolet Corvette?  In my humble opinion, the Corvette is the best car made by General Motors – bar none. But it’s expensive (easily over $60,000) and it’s ancient in car years. The 6th generation Corvette was introduced in 2005 and we probably won’t see the C7 until late next year (2012) as a 2013 model.

2011 Chevrolet Corvette. It's my favorite GM car. The drive is intoxicating even if the interior is sub-par for its price and class. Time for a C7!

Sales of Corvettes are down substantially.  In 2010, Chevy sold only 12,624 units, down 9.4% from 2009.  As recently as 2006, Chevy sold 36,518 Corvettes.  So far, sales for the first six months of 2011 are up by about 8.5% (6,896 compared to 6,355 in 2010); but that comes at the cost of $3,000 customer cash or 1.9% financing for 60 months.

Did you even know that Mitsubishi still made the Galant? I had forgotten about it and so has everyone else.  Hell, I can’t even find a Mitsubishi dealer in Metro LA.   Mercifully, Cadillac has euthanized the DTS, it’s large front-drive former flagship. It is actually fairly reliable, according to Consumer Reports, but it hasn’t felt modern in years. R.I.P.

The 2011 Mitsubishi Galant. Does anyone care anymore?

The 2011 Cadillac DTS is a symbol of a bygone era that won't be missed at Cadillac.

As far as the Chevy Silverado, there is so much profit in each one that even a 20% haircut won’t hurt either GM or its dealers. This is a solid, popular pickup truck that you can get at a bargain.

So when you are researching a new car, I’d add TrueCar.com to the list below:

The only pay site above is Consumer Reports. Support it if you can.

Also, do a Google search for blogs dedicated to the car(s) you’re interested in. Often time you’ll find comments, complaints and likes that directly answer questions or issues you may have. These people own the vehicle you’re checking out and their experiences in daily driving can illuminate things about the vehicle that you didn’t even think of.  Join a user group and ask a question. The answer may be more helpful than anything you get at a dealer. This is what Web 2.0 is about. Use it to your advantage!


The rise of fuel prices in Los Angeles and the rest of the country has been a boon for the makers of  Xanax and a pain in the wallet for all drivers.  At this point, almost every grade of gasoline or diesel is $4.00/gallon or higher.

Americans seem to have collective amnesia after The Great Gas Panic of 2008.  Remember when gas was nearing $5/gallon around LA?  I do, but apparently most don’t. Throughout 2009 and 2010, sales of hulking trucks and SUVs that, at best, returned fuel economy in the high teens, were on the rise again.  In fact, during 2010, residual values of big, heavy, gas-guzzlers increased significantly because there was such high demand.  That may be coming to an end.  The  new Gas Panic of 2011 has arrived and it threatens to derail our already fragile economy.

2011 Ford F-150, the best-selling vehicle in the United States.

As usual, the top-selling vehicle for 2010 was the Ford F-series pickup truck. Ford sold a staggering 528,349 units – great news for Ford. But if that wasn’t bad enough, the Chevy Silverado pickup truck was the number two selling vehicle in 2010 with 370,135 units.  If you add the sales of GMC’s Sierra (Silverado’s spawn) of 129,794 units, total GM light truck sales totaled 499,929 units.  Wow – you sure don’t see that in LA metro where it seems like almost every other car is a Toyota, Honda, Mercedes or BMW.  Where I live in West Hollywood, you can’t throw a stone without hitting a Prius.

Even as recently as February 2011, the top selling vehicles in the US market were:

As usual, we can’t get enough of the big, bloated trucks. But is that about to change?

There was a short period during the 2008 Gas Panic when the Ford F-series truck was knocked from the top position by the Toyota Camry and Honda Accord; but that was short-lived as gas prices receded when the Wall Street-driven speculative oil futures bubble burst.

This time around, the price hikes are fueled by fears of uprisings in oil-producing countries in the Middle East and Northern Africa.  There is no oil shortage – for now.  However, as events in those regions unfold, and the stability of oil production and supply becomes ever more precarious, the high oil prices may stick around for a longer time.  Assuming our “friends” in Saudi Arabia and the Emirates hang on to their kingdoms and autocratic authoritarian governments, eventually oil prices will stabilize at a lower level and gas prices will recede again.  If those regimes fall, all bets are off.  It looks like high prices at the pump are here to stay for a while.

There are many more great fuel-efficient cars on the market today than there were in 2008.  However, there are very few choices in the luxury category if you want something that gets better than 25 mpg.  It seems like if a luxury hybrid attains 22 mpg, it’s cause for celebration.   But I think there is a larger market for affordable, luxury (or near luxury) cars that can top 35 mpg.

While Toyota’s Lexus division beats every other manufacturer with the sheer volume of hybrids, only the RX 450h, a fancy Toyota Highlander, offers a significant bump in fuel economy(>30%) over its gas-only cousin, albeit at a $4,560 premium. The new CT 200h is a gussied up, less fuel efficient, Prius.  The HS 250h is a Toyota Adventis from Europe with the Camry Hybrid drivetrain.  The GS 450h and LS 600h L have no Toyota analog, but neither have stellar fuel economy (see below).  As things currently stand today, the CT 200h is the (near) luxury fuel economy champion.

2011 Lexus CT 200h

A close up of the interior panels of the 2011 Lexus CT 200h.

The new Infiniti M Hybrid, rolling into showrooms in April, is quite nice; however with an entry level price of $53,700 you pay a lot to chase its 32 mpg.

2012 Infiniti M35 Hybrid

The Lincoln MKZ is merely a rebadged Ford Fusion, and while it’s nice, I’m not sure it’s worth the extra $6,000. I’d pick the Ford over the Lincoln.

2011 Lincoln MKZ Hybrid

The German luxury brands – Audi, BMW, Mercedes-Benz and Porsche – all offer a hybrid or clean diesel, but mostly for big, heavy, expensive SUVs whose fuel economy sucked to begin with. So an increase of 15-20% seems great when you’re talking about a dismal 16 mpg in the city.  Now you can get 18 mpg in town with a diesel or 20 mpg with a hybrid. Whoop de doo.

2012 Porsche Panamera S Hybrid starts at $95,000.

2011 Lexus LS600h L starts at $111,350 and gets a whopping 19/25 city/hwy.

Here’s a short list of luxury hybrids and advanced clean diesels. Most of them are so expensive that any bump in fuel economy is probably meaningless to the driver.  If you are going to pay over $110,000 for the Lexus LS 600h L, do you really care about its fuel economy? If you drop $95,000 on the base Porsche Panamera S Hybrid (it’s at least $115, with options), do you care that it gets better fuel economy or do you just want the bragging rights when you toss the key fob to the valet at the SoHo House?  Most of the luxury hybrid (or advanced diesel) SUVs are sold in low volume to people in L.A. with money to burn (or someone else’s money) who want a big SUV with “green” bragging rights.  Such is life in Hollywood.

  1. Lexus CT 200h 43/40 City/Hwy FWD
  2. Lexus HS 250h 35/34 FWD
  3. Lexus RX 450h 32/28 FWD
  4. Lexus GS 450h 22/25 RWD
  5. Lexus LS 600h L 19/23 AWD
  6. Infiniti M35 Hybrid 27/32 RWD
  7. Lincoln MKZ Hybrid 41/36 FWD
  8. Cadillac Escalade Hybrid 20/23 RWD
  9. BMW X6 ActiveHybrid 17/19 AWD (this is a hybrid?)
  10. BMW 335d Advanced Diesel 23/36 RWD
  11. BMW X5 xDrive35d Advanced Diesel 19/26 AWD
  12. Mercedes-Benz ML350 BlueTec Diesel SUV 18/25 AWD
  13. Mercedes-Benz ML450 Hybrid SUV 20/24 AWD
  14. Mercedes-Benz GL350 BlueTec Diesel SUV 17/21 AWD
  15. Mercedes-Benz R350 BlueTec Diesel SUV 18/24 AWD
  16. Mercedes-Benz S400 Hybrid 19/25 RWD
  17. Porsche Panamera S Hybrid (TBD, but estimated around 33 mpg) RWD
  18. Porsche Cayenne S Hybrid 20/24 AWD
  19. Audi Q7 3.0 TDI Clean Diesel 17/25 AWD
  20. A3 Sportsback 2.0 TDI Clean Diesel 30/42 FWD

Of all the Germans, only the BMW 335d and Audi A3 2.0 TDI offer a significant leap in fuel economy over their gas-powered cousins. Both use advanced clean diesel technology.

2011 BMW 335d sedan

BMW 335d rear trunk lid and badge.

I’ve driven the BMW 335d and it’s a fantastic car.   The 425 lb-ft of torque available at just 1750 rpm is intoxicating. The BMW 3-Series is the benchmark for all other sports sedans and the 3.0 liter TwinPower Turbo diesel engine is the most powerful and sophisticated in-line six diesel in production today.  Put the two together, it’s magic.  But magic is pricey.  The 335d starts at $45,575, a whopping $3,525 premium over the excellent gas-powered 335i and a staggering $10,975 more than the entry level 328i. Yes, at 36 mpg, the 335d is 30% more efficient than the 328i, which is rated at 28 mpg — but at what price?  When you add the normal options like the Sport, Cold Weather, Convenience and Premium Packages, navigation, upgraded sound and satellite radio to the 335d, the price is over $57,000.  Almost any savings you get with the terrific fuel economy are negated by the extra cost of the diesel package.  Would it have killed BMW to bring in a less expensive, more fuel efficient diesel engine to the US market?

2011 Audi A3 2.0 TDI Sportsback

Having eliminated the big SUVs and ultra-expensive sedans, only the new Lexus CT 200h and the Audi A3 TDI offer a real-world, affordable mix of luxury and economy.  Both cars are front drive 5-door wagons. However, the Lexus uses Toyota’s Hybrid Synergy Drive found in the current Prius while the Audi is using the Volkswagen Group’s 2.0 liter TDI engine found in the Golf and Jetta.  The A3 also uses the Golf platform, which is an excellent, dynamic platform that has spawned many derivatives.

2011 Audi A3 2.0 TDI rear

In 2010, the A3 TDI won the Green Car of the Year award from the Green Car Journal.  Of course, the 2011 GCOTY went to the Chevy Volt — everyone expected that; but the little Lexus could be a contender for 2012.  However, with so many new electrics and hybrids coming to market for 2012, the CT may get lost in the electrified hype.

The CT is 1.2 inches longer than the A3 and both are almost identical in height while the A3 is 9 inches wider.  The A3 has 19.5 cubic feet of cargo capacity (seats up) while the CT trails by 5 cubic feet.  The weight advantage goes to the CT which tips the scales at 3,130. The Audi has an extra 188 pounds.  When it comes to fuel economy, weight drags down the numbers.

The A3 2.0 TDI starts at $30,250, $1,130 more than the Lexus CT 200h at $29,120.  Fully-loaded, the Audi can bust the $40,000 mark — more than $3,000 over a fully-loaded CT.   On the fuel economy front, the CT beats the A3 handily if you just look at the EPA figures.  However, there is lots of anecdotal evidence from TDI devotees that on the highway, the A3 (and Volkswagen Golf) TDI approaches 50 mpg – a good 10 mpg  better than the Lexus.  If you do more highway driving, like I do, the A3 may be the winner.

2011 Lexus CT200h interior

2011 Audi A3 TDI Sportsback interior

The A3 has a 2.0 liter common rail turbo diesel (TDI) rated at 140 horsepower with 236 lb-ft of torque.  A six-speed S-tronic® dual-clutch automatic transmission is standard.  Of course, it sucks down more expensive diesel fuel.  The CT’s power comes from a 1.8-liter gasoline engine rated at 98 horsepower and an 80 horsepower electric motor.  Together, they produce 134 net horsepower.  Torque is rated at 152 lb-ft.  A continuously variable automatic transmission is standard.  The Lexus needs only regular grade gasoline, so it has the fuel price advantage.  The A3 TDI does a respectable zero to 60 in 8.9 seconds while the CT clocks in at a leisurely 9.8 seconds.

Lexus is pitching the CT 200h as a “sporty hybrid” with its “Darker Side of Green” campaign, but it’s not going to match the A3 TDI for driving dynamics and sheer fun.  The A3’s platform is more agile and I like to think of it as wonderfully-tossable.  Its steering is sharper.  The German engineering ethos applied to the little Audi imbues it with that intangible feeling that it’s more than just a dressed-up Golf.  It feels as though it’s carved from a single billet of aluminum. It’s fun to drive and the TDI powertrain is deeply satisfying.

I haven’t driven the CT, but I have driven many Prii.  The new Prius is a well-made car; the plastics and fit and finish are better than the previous generation.  However, it still has that appliance vibe.  I’ve seen the Lexus CT in the flesh and it is definitely an upgrade from the Prius, particularly inside, but the styling between the Prius and CT is a toss up and if I had to pick, I’d prefer the Prius front styling with the hatchback of the CT.  The CT is 88 pounds heavier than the Prius and coupled with the reprogrammed “sports” drivetrain, it doesn’t get near the 50 mpg of the Prius.

Front of the 50 mpg 2011 Toyota Prius

Rear of the 2011 Lexus CT200h

For my money and driving fun (and yes, I’m a car-crazed enthusiast), I think the 2011 Audi A3 TDI packs the most luxury with exceptional fuel economy.   The Lexus is tempting, but it’s not the enthusiast’s choice.  With lackluster sales of the HS, GS and LS hybrids, Lexus hopes for more sales and younger buyers for its entry-level CT.

The A3 TDI is already a very popular car.  In 2009, Audi sold only 3,874 A3’s.  With the introduction of the A3 TDI for the 2010 model year, sales jumped 69% to 6,558 units of which 53%, or 3,480 units, were the TDI.  Audi sells every TDI it can get in the US, so be prepared for the dealer to tell you that they can’t find the A3 TDI that you want. Keep looking, it’s out there.