ZAP Debunks Detroit's Electric Car Myth

SACRAMENTO, Calif., May 15, 2003 -- One might be surprised to see electric cars in front of the CAL/EPA Building on National Bike-to-Work Day. After all, it's been a little more than a month since California bowed to pressure and lawsuits from the conventional auto companies to further delay and possibly eliminate the state's mandate for Zero-Emission Vehicles (ZEVs).

Despite this, officials at Santa Rosa, California electric vehicle developer ZAP, say ZEVs are alive and well in California, even without the ZEV Mandate. To date, battery-powered cars and hydrogen-powered cars are seen as the only ZEVs that would qualify for the mandate. While hydrogen cars could be a few billion dollars and a decade or two away, officials at publicly owned ZAP (Stock Symbol: ZAPZ) say they have now sold over 80,000 electric vehicles. With sales up 257 percent, ZAP says that demand is increasing for -- what else -- but battery-powered cars.

Through its wholly owned subsidiary, ZAP offers a range of new and used electric cars, from 25 MPH neighborhood electric cars to 70 MPH cars. Doug Kelly, President of ZAP subsidiary RAP Group, says, "Now that the conventional automakers have beat back the electric car mandate and seem to be pulling the plug on their electric car programs, interest from consumers are higher than ever before. In fact, in the past week alone our dealership has sold two electric cars."

The automakers had provided testimony to California that electric cars are not practical and there is no consumer demand, despite never offering an electric car for sale on the open market and despite waiting lists full of people at car dealerships interested in purchasing electric cars. Meanwhile, ZAP says it is testing a lithium-ion battery technology that can reach 240 miles per charge at freeway speeds. All this at a time when economists are reporting record foreign trade deficits, primarily due to oil imports. The American Lung Association is saying that more than half of all Americans breathe harmfully polluted air. Gas prices hit a record $2 per gallon in California. And, the number one car in America -- the SUV -- contributes to the lowest average fuel economy in decades.

ZAP's vehicles are produced around the world. Its smaller consumer products such as scooters and bikes are made in Asia, its VIENTO motorbike in California, and its electric cars in Europe. Next week ZAP will be displaying its full line of vehicles aimed at an independent auto dealer convention in Las Vegas. According to Mr. Kelly, "We are seeking those dealers that want to jump in on the zero emission bandwagon, and profit from the business opportunity of marketing electric vehicles while becoming a new car dealer." ZAP products may be ordered on line at www.zapworld.com or by calling 800-251-4555.

PRNewswire -- May 15