Cadillac is one of the core brands that will form the new General Motors, but the dealership network can't continue in its current guise, according to GM sales head Mark LaNeve. There are 1,422 Cadillac dealers nationwide, more than four times the number of Mercedes-Benz dealers and more than six times the number of Lexus dealers. That kind of saturation meant that in 2008, the average Cadillac dealership did one-sixth the business of a Mercedes dealer and one-tenth the business of a Lexus dealer.

To be fair, Cadillac has fewer cars on offer than Mercedes, BMW, or Lexus. Still, GM wants to gets its dealer volume numbers closer that of the competition – proportionally speaking – and that means more dealer closings. GM hasn't said how many, but to even get close to retail parity they'd be looking at many hundreds of closures, with many of them likely to be in metropolitan areas. Whenever those dealers are chosen, as with the others, they will be allowed to remain open until their franchise agreements on October 31, 2010.

[Source: Automotive News - Sub. Req.]

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