Cadillac plans to offer the Escalade as a hybrid in 2008.

It will use a transmission similar to that planned for the hybrid Chevrolet Tahoe and GMC Yukon SUVs. It is a "two-mode" hybrid system, which is designed to maximize fuel economy at both low and highway speeds. GM will be building these transmissions at their plant in Baltimore, MD.

Fuel economy improvements of about 25% are expected. A 2006 Escalade (with AWD) is rated at 13 miles per gallon in the city and 17 MPG on the highway.

The current Escalade weighs around 5,500 to 5,700 pounds; it is significantly heavier that a hybrid SUV such as the Ford Escape Hybrid (about 2,000 pound heavier). GM has said the hybrid Escalade will be an AWD configuration.

Currently, the Escalade uses a 6.2 liter engine producing 403 HP. Prices currently start around $57,000.

other hybrid SUV's:

Ford Escape Hybrid

Toyota Highlander Hybrid