Tuesday, September 20, 2005

2006 Lucerne Pricing Announcement!


With start of production of the new 2006 Buick Lucerne only a few weeks
away, I wanted to share our pricing for this exceptional new luxury sedan.
A complete price schedule will be released today on gmpricing.com.

The Lucerne has been eagerly anticipated by all of us this past year, and
it is vitally important to Buick. Positioning Lucerne competitively in the
market place is a top priority, and a key part of our strategy is to
benchmark against the Toyota Avalon, considered the newest and most
aggressive entry in our competitive set.

I am pleased to announce that the introductory MSRP of the Lucerne CX will
be $26,990, including a $725 DFC. This is a very compelling starting price
point and positions Lucerne very aggressively in the entry luxury segment.
The CX includes cloth seating, six standard airbags (including a segment
first dual-depth front passenger airbag), QuietTuning, OnStar (including
one year of the Directions and Connections Service), and 16" aluminum
wheels. The Lucerne CXL V6 is priced at $28,990, and the CXL V8 is priced
at $30,990 (DFC included in both cases). Standard equipment on the CXL
includes leather seating surfaces, power passenger seat, and 17" premium
painted aluminum wheels. The flagship of the Lucerne model line-up, the
CXS V8, is priced at $35,990 (including DFC). This model includes a high
level of standard equipment including fog lamps, bright accents, NorthStar
V8, magnetic ride control, StabiliTrak, five passenger perforated leather
seating surfaces, 18" premium painted aluminum wheels, and a host of other
luxury features.

Throughout its development, Lucerne has been designed to cover the price
range from LeSabre through Park Avenue. The base MSRP of the Lucerne CX
is $460 below the 2005 LeSabre and offers significantly more standard
content including a 4 year/50,000 mile limited warranty, 1st and 2nd row
side curtain airbags, traction control, 16" aluminum wheels, compass, and
driver information center. When adjusted for equipment, the Lucerne CX is
priced $2,250 MSRP below a comparable 2005 LeSabre.

As I mentioned, we priced Lucerne to be very competitive against the 2006
Toyota Avalon. The base MSRP of the Lucerne CX is $175 below the Avalon
XL. In addition, Lucerne CX offers standard one year OnStar service
(Directions and Connections), QuietTuning, and a 4 year/50,000 mile limited
warranty. With our Lucerne CX pricing, we should be well positioned to
appeal to Buick loyalists and compete against key imports.

The CXL is the "sweet spot" of the Lucerne line up with exceptional content
at an attractive price of $28,990 MSRP. The CXL V6 will be the feature car
for national advertising with a high level of content. We will advertise a
starting price of $26,990 (as shown $28,990 MSRP). But the real story is
the Lucerne CXL V8, which offers compelling value among V8 luxury cars.
With an MSRP of $30,990, the Lucerne CXL V8 offers a 275 horsepower
Northstar V8 that can go head to head against high end imports like the
Lexus GS and Infiniti M which start above $45,000 MSRP.

Lucerne is a strong proof point for Buick's Total Value Promise with
premium content, a compelling safety story, and a strong value story. With
available features like the NorthStar V8, magnetic ride control, heated and
cooled front seats, heated washer fluid, and a premium harman/kardon 280
watt sound system, and the industry's first dual-depth front passenger
airbag, this vehicle represents a quantum leap forward for Buick. Lucerne
is a luxury car which shares bloodlines with the great Buick vehicles of
the past. We think it will go a long way toward changing perceptions about
Buick and driving new customers to your showroom.

Because Lucerne is all-new and will appeal to a very discriminating
consumer, please make sure your sales team is properly trained. A PDF of
the Lucerne Details book has been posted on buicklaunch.com since the
beginning of August. You can also find a "How to Order Guide" in the
distribution section of buicklaunch.com. By month-end each of your
dealerships will receive printed copies of the Details Book, a Lucerne
walk-around DVD, and pocket guides. Our 28 City Training Tour begins on
September 26 in San Francisco. This is an interactive half day event that
will give your sales consultants a chance to drive the new Lucerne against
key competition. Please make sure your sales team has enrolled at
gmtraining.com.

We felt it important to share our pricing with Buick Dealers before we
announced to the public. Plans are in place for a dramatic launch
befitting this outstanding product, which will begin in the mid-November
timeframe. We look forward to sharing details with you at the Dealer
Business Conference this October. In the meantime, thanks and good
selling.

Steve Shannon
Buick General Manager

Kurt Neubrecht
Buick Marketing Manager
Southeast Region
678-240-9720

The GM Total Value Promise, See Your Local GM Dealer Today.

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