General Motors Corp. has canceled development of a planned plug-in hybrid version of the hot-selling Cadillac SRX crossover, primarily because the model would have to be sold at a substantial loss, a person familiar with the decision said.

The plug-in hybrid could be resurrected in the future, although leaders are leaning more toward developing a Cadillac that's a traditional hybrid, not a plug-in hybrid, to boost the brand's fuel economy, the person said.

GM's decision this year to withdraw its application for $14.4 billion in low-interest loans from the U.S. Department of Energy also influenced the move to cancel the plug-in SRX, the person said. The loans would have been designated for updating plants to build fuel-efficient vehicles, but GM had prioritized self-sufficiency after its 2009 government-funded bankruptcy. Executives had decided GM had enough liquidity to fund factory updates itself.

GM spokesman Kevin Kelly said the automaker is committed to electrification solutions that include plug-in hybrids, but wouldn't say which brands will carry the technology or when a plug-in hybrid might launch. He declined to comment on the Cadillac plans.

In January, GM CEO Dan Akerson told reporters the launch of a plug-in hybrid SRX was likely. He said he envisioned an electrified vehicle in all four of GM's U.S. brands, with sales making up 10% of GM’s production in 10 to 15 years.

A plug-in version of the SRX had already undergone testing at GM's proving ground in Milford in preparation for joining the Chevrolet Volt extended-range electric car as the second type of plug-in vehicle in GM's portfolio. The automaker is also planning to launch a multi-purpose vehicle -- essentially a small minivan -- likely in 2012 or 2013, using the Volt's powertrain, Akerson said in January.

Reuters first reported the cancelation of the plug-in SRX program.

A plug-in hybrid such as the one that was tested on the SRX generally boosts fuel economy through a battery that supports a gasoline engine, but cannot run on battery power alone for more than a few miles. The battery is charged by plugging the car in to electric power. The Chevrolet Volt, on the other hand, runs on battery power for 25 to 50 miles before switching to power from a gasoline-powered generator.

GM also is introducing a hybrid on 2012 Buick sedans and on the 2013 Malibu that uses a shoe-box sized lithium-ion battery to boost fuel economy. The battery is charged through regenerative braking, not through plugging in to electric power.