DETROIT — More than one-third of Cadillac's U.S. dealerships are disappearing this year as the brand begins its transition to an all-electric vehicle portfolio, but the remaining stores accounted for more than 90 percent of Cadillac's sales, a top executive told Automotive News.
The General Motors luxury brand will have about 560 dealerships going into 2022, down from 875 at the beginning of this year, Rory Harvey, vice president of global Cadillac, said last week. The decline was driven by buyout agreements Cadillac began offering to dealers a year ago. Those offers to walk away from the franchise ranged from $200,000 to seven digits, Harvey said.
The final number of dealerships that accepted is up significantly from the end of last year, when about a fifth of the brand's U.S. network had decided to quit.