Automotive News reports, according to dealers, that sales of the 2007 Cadillac Escalade, Chevrolet Tahoe, and the GMC Yukon have been strong, with many buyers purchasing at or near MSRP. According to Paul Ballew, GM’s executive director of global marketing and industry analysis, the new Tahoe sold twice as many in January as originally expected.

The full-sized SUV trio, all built on GM’s new GMT900 architecture, has been upgraded across the board, but each vehicle is being sold at last year’s price (Escalade) or priced less (Tahoe and Yukon). This is part of GM's strategy to reduce rebates as incentives while offering competitive products. The company admits its SUVs are crucial to its plans for financial recovery.

The next wave of SUVs, which includes the Chevrolet Suburban, Avalanche, GMC Yukon XL and the Cadillac Escalade ESV and EXT, will be arriving in April.