Cadillac just released the first teaser image of the new compact sedan, codenamed ATS, confirming summer 2012 launch.

The ATS will be a rear-wheel drive luxury sports car to compete head-to-head with the BMW 3-Series, Mercedes-Benz C-Class and Audi A4. Seems like a tall order for Cadillac, but GM is now in a good position to take on the Germans.

“GM has moved beyond a stage of simply surviving and is now clearly focused on thriving with a line-up that’s stronger in more segments than it has ever been,” Reuss said. “Whether it’s the new fuel-efficient Buick eAssist system or Cadillac’s entry-level luxury car, we’re giving customers compelling new options for their next automobile.”

Cars like the ATS or the new eAssist Buicks are also going to help GM put on a more European face and attract new customers to the brand.