Well, thats not good news. The 'stat requires removal of quite a lot and its generally considered a good idea to replace timing belt and pulleys, water pump at the same time.... which can be a big expense. I just paid that bill today .....  - Dont ask.
However, I am not sure how a 'stat failure/defect can cause the behavior you have outlined. Failure is normally a on/off situation whereby failure leads to it not opening and overheating of the block. I cannot conceive of a failure mode whereby it operates at a different temperature.
BTW, Why was the CTS replaced earlier?
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2002 D2 S8 – Ming Blue, Valcona leather, Vavona wood insert, solar sunroof (to be fitted), Heated rear seats, extended leather pack, 18” Avus, ski hatch, Bose, auto dim rear view mirror, rear blind.
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