It's true! 
The long wheelbase version of the new LS with the top of the line Luxury Package carries an MSRP of $85,947 while the base Mercedes S550 starts at $86,175.
The package includes:
Luxury Package includes:
- Semi-aniline leather-trimmed interior
- Climate comfort front and rear seats with heat/cool knob
- Power rear seats with memory and power headrests
- Ecsaine headliner
- Rear-seat side airbags (SRS)
Additional Options:
-  	Lexus Pre-Collision System (PCS) and Dynamic Radar Cruise Control
-  	Mark Levinson® Audio System Package
-  	Adaptive Variable Air Suspension (AVS) and Variable Gear-Ratio Steering (VGRS)
-  	Rear-Seat Upgrade Package
-  	Advanced Parking Guidance System
-  	Lexus Link®
-  	Intuitive Parking Assist
-  	Preferred Accessory Package (includes Cargo net, Trunk mat and Wheel locks)
And yes, this package includes the reclining rear seats! What a deal!