In the NW North American Cordillera, the Cascades core region of the Coast Plutonic Complex underwent Late Cretaceous (>96 Ma to locally 73 Ma) SW-NE contraction and crustal thickening followed by dextral transpression (~73 to 55 Ma), then transtension (3 mm/yr) by local thrusting in regions undergoing crustal thickening. In the central part of the core (Chelan block), >40 km of exhumation occurred between 91 and 45 Ma, about half of which occurred during early contraction (driven by thrusting) and half during top-to-north, arc-oblique shear during reactivation of a midcrustal Cretaceous thrust, the Dinkelman decollement. The footwall of this thrust consists of the Swakane Biotite Gneiss, a Cretaceous, metaclastic assemblage with recorded pressures of 10--12 kbar, no arc-related magmatism, and structures dominated by pervasive top-to-north shearing. The hanging wall consists of the Napeequa Complex, an oceanic assemblage with recorded pressures of 6--12 kbar, voluminous arc-related magmatism, and complex structures indicating early top-to-WSW shearing, younger top-to-north shearing, and widespread folding. In the Napeequa, top-to-north shearing started by 73 Ma during melt-present conditions at pressures ≥6 kbar. Top-to-north shearing in both hanging wall and footwall continued during exhumation (~1.6 mm/yr) and cooling to greenschist facies conditions during which slip became increasingly localized, eventually resulting in formation of pseudotachylite on discrete slip surfaces. We suggest that arc-oblique extension was driven by along-arc heterogeneity in displacements/erosion, initially during transpression and underplating of continental sediments, and later during transtension.