ATLANTA– All models of the 2009 Cadillac Escalade will be able to run on ordinary gasoline, E-85 ethanol, or any combination of the two. Customers will have the fueling choice at no additional cost.

The Escalade, Escalade EXT, and Escalade ESV, as well as the GMC Denali, join the previously announced 2009 Chevrolet HHR, Buick Lucerne, and Hummer H2, and H2 SUT as additions to GM's industry-leading flex-fuel lineup.

The latest E-85 product announcements coincided with the opening of a dozen new E-85 fueling stations in the Greater Atlanta area last week.

"We continue to believe that ethanol used in high blends, like E-85, offers the best near-term solution to offset increased oil demand," Lowery said. "There are more than 7 million vehicles today that can use E-85. We need significantly more stations that offer the fuel."

GM has committed to make half of its U.S. production flex-fuel capable by 2012, providing the infrastructure is in place. GM built more than 1 million flex-fuel capable vehicles worldwide last year. It is committed to helping to speed sustainable ethanol to market via its alliances with Coskata Inc. and Mascoma Corp., two next-generation ethanol startups that can make ethanol from a range of non-grain sources.