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Cadillac will unveil a new RDW sedan in 2011. Called Project Alpha the future sedan will compete with BMW 3-Series and Audi A4. It will replace the current BLS and will use a rear-wheel drive platform that is currently under development in the US. That platform, also called Alpha, is a development of the chassis that formed the basis of the Holden Torana concept.

The design of the future RWD sedan will be inspired by the CTS coupé concept unveiled this year at the Detroit show. A GM source who has seen the car described it as “a shrunken version of the coupé” with a more aggressive front end than the CTS saloon’s.

Engine choices are likely to include a V6 petrol for higher-end models and a four-cylinder diesel. There could also be a four-wheel-drive V-spec model that would provide a rival for the M3 and Mercedes’ C63 AMG.