StockGuru Blog: ZAP – What the World Needs Now Zero Air Pollution

ZAP – ZP (ZAAP.OB)
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ZAP – Stands for Zero Air Pollution The world needs Zero Air Pollution more than ever and that’s what ZAP delivers!

The International Energy Agency (IEA) has released its outlook for the worldwide future of energy and it’s clear ZAP’s automotive division is directly in line with the increasingly important trend of minimizing CO2 emissions. ZAP has tapped into the worldwide need for reduced pollution and increased fuel efficiency. They began establishing their dealership relationships with the Smart Car and will continue these relationships with the Obvio! and Xebra.

Licensed Dealers

ZAP is positioned to become a leading distributor of fuel efficient and alternative energy vehicles in the United States. ZAP has already established more than 20 licensed automotive dealers as customers and intends to grow its distribution base significantly over the next several years. Simultaneously, ZAP intends to secure distribution agreements with two to four other vehicle manufacturers whose products fit ZAP’s mission, and distribute those vehicles through its dealer network.

Smart Car Inititated Automotive Business

ZAP began building out its automotive business in 2006 by introducing a modified version of the European micro-car, the “Smart Car,” in the United States and has sold over 330 through the first nine months of 2006. ZAP Automotive is currently launching the XEBRATM, what we believe is the first 100% production electric vehicle (”EV”) not designated as a “low speed vehicle” (”LSV”).

Xebra

ZAP has recently begun its first marketing campaign for the XEBRA vehicles. The XEBRA comes in a four-passenger sedan version and a two-passenger utility pickup version. According to the Electric Auto Association, there are over 56,000 EVs on the road today. It is estimated that almost all EVs sold to date are LSVs. The Company believes the EV market niche will continue to grow rapidly, especially with the introduction of affordable vehicles such as the XEBRA that will retail for less than $10,000 and deliver features, such as speeds up to 40 mph, not currently available among existing EVs. ZAP’s Chinese manufacturing partner currently has the manufacturing capacity to produce approximately 1,000 vehicles per month.

Obvio!

In line with ZAP’s goal of growing its automotive offerings, ZAP intends to launch an advanced alternative energy vehicle called the OBVIO! in 2008. ZAP entered into a license and distribution agreement with Brazilian manufacturer OBVIO! in September of 2005 that granted us the exclusive North American distribution rights for the line of OBVIO! micro-cars. These cars will be designed to run on ethanol, gasoline, or any combination of the two energy sources and will come in two models, an economy 828 model and a high performance 012 model. OBVIO! anticipates deliveries to ZAP to begin in 2008. According to an article published by the Washington Post, there are approximately five million flex-fuel vehicles currently on the road in the U.S., with sales expected to increase substantially over the next few years. ZAP believes it will capture market share by offering a vehicle that is stylish, sporty and fun and able to run on 100% ethanol.

Why These Cars Make Sense

CO2 Emissions are expected to rise by 55% by 2030. The greater use of coal-fired power generation in developing countries, particularly in China, will lead to a bigger-than-expected rise in carbon dioxide, or CO2, emissions in the next 25 years.

The International Energy Agency has called on governments to curb growth in energy demand and greenhouse gas emissions because the cost of doing so is greatly outweighed by the economic benefits. There is a growing consensus of governments, international agencies and politicians pointing to the economic advantages of tackling emissions growth and warning of stark consequences of inaction. The IEA Report warns that without new policies, greenhouse gas emissions will grow “even more quickly than in the past” and that energy supplies will become increasingly expensive and unreliable.

ZAP is supplying the cars to the United States markets that factor carbon dixoide emissions into the relationship the consumer has with global wellbeing. They have empowered individual consumers to truly make a difference.

Source: Dow Jones Newswires and Zap Automotive

For more information, visit http://www.zapworld.com .

Source: ZAP
Contact: ZAP
Alex Campbell, 707-525-8658 ext. 241
acampbell@zapworld.com

http://www.ZAPworld.com

501 4th St.
Santa Rosa, CA 95401
Phone: 707-525-8658
Fax: 707-525-8692