ZAP Attracts Distinguished International Finance Executive; Max Scheder-Bieschin Named as ZAP Executive Vice President

SANTA ROSA, Calif.--Oct. 1, 20058, 2005--Transportation pioneer ZAP (PCX:ZP) announced today that it has named Max Scheder-Bieschin as Executive Vice President to assist in the development of the Company's long-term strategic business plan targeting growth opportunities in the automotive industry.

Max Scheder-Bieschin is a senior investment banker with an 18-year track record of success in all aspects of corporate finance, including mergers and acquisitions, private placements, as well as debt and equity offerings. He was employed by investment banking firms in the United States and Germany, including Deutsche Bank, ING BHF Bank and Bear Stearns, and during his tenure established a strong client base in the automotive industry. Mr. Scheder-Bieschin speaks German, Spanish and English. Max recently returned to the U.S. after seven years in Germany and settled in northern California with his wife and three children.

"The Board and I look forward to having Max help us manage the roll-out of our high-efficiency automotive portal as well as solidify our recognized position in the personal transportation market," said ZAP CEO Steve Schneider. "We started with the Smart Car and now are excited to be able to introduce new prototypes and production vehicles at next month's San Francisco Auto Show. With Max on board, we broaden our management team and enhance our ability to execute on our business model."

"I look forward to working with ZAP to address the exciting challenges and opportunities facing the company and society today," said Mr. Scheder-Bieschin. "ZAP has always been a pioneer in alternative transportation, be it in electric scooters and bicycles and more recently as an independent portal for fun, refreshing, environmentally sustainable vehicles. With gasoline prices and global warming, society is finally realizing we are living beyond our means. This, coupled with the many new technologies being developed for electric and higher efficiency vehicles, places ZAP in a great position to successfully execute on its business plan."

"My recent trip with ZAP to visit OBVIO! Brazil I believe highlights the potential we and our partners in sustainable transportation have. OBVIO! is combining European fashion, style and quality with a close to Chinese cost base to build a unique urban car we know Americans want. We saw it with the demand for the Smart Car. And, not only will the OBVIO! offer extremely high mileage, but be able to do so using gasoline, alcohol or any combination thereof without sacrificing performance. In short, there are technologies and know-how outside the U.S. that the American consumer should have access to and we aim to deliver that."

About ZAP

ZAP, Zero Air Pollution(R), has been a leader in advanced transportation technologies since 1994, delivering over 90,000 vehicles to consumers in more than 75 countries. ZAP has a 10-year license with eight and a half years remaining on the technology developed by Smart-Automobile LLC to Americanize the popular European-made SMART Car for the U.S. marketplace. ZAP Americanizes the SMART Car to meet U.S. federal and state safety and emissions standards through registered importers. ZAP currently complies with regulatory requirements in all states except California and four other states. ZAP is not affiliated with, or authorized by, smart gmbh, the manufacturer of SMART automobiles, or the smartUSA division of Mercedes-Benz LLC, the exclusive authorized U.S. importer and distributor of those vehicles. ZAP purchases its vehicles from non-affiliated direct importer Smart-Automobile LLC. For more information, visit http://www.zapworld.com.

Cautionary Statement

This press release contains forward-looking statements. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, continued acceptance of the Company's products, increased levels of competition for the Company, new products and technological changes, the Company's dependence on third-party suppliers, intellectual property rights, and other risks detailed from time to time in the Company's periodic reports filed with the Securities and Exchange Commission.