BMW has announced that its planned new flagship based on the CS Concept has been cancelled.

Looks like BMW won't be fielding a Porsche Panamera competitor after all. The CS Concept, planned as a new flagship to replace the 8-Series, has officially been cancelled. Citing product and project reviews in the face of the current financial crisis in Europe and the United States, BMW's CEO Norbert Reithofer announced that the concept is officially a no-go. BMW plans to put its resources toward future technology, its EfficientDynamics and project i programs.

It's a disappointing move for BMW fans, but a prudent one. The current market for super-sedans is limited and likely to become more so if the economic situation continues to get worse. Though a financial upturn could see renewed consideration for the CS Concept, BMW was mute on the chances of this happening.

Gallery: BMW CS Concept Based Production Version Officially Cancelled!!