ZAP Signs Electric Car Joint Venture with China's Largest Luxury Bus Manufacturer


JINHUA CITY, China and SANTA ROSA, California, September 21 /PRNewswire/ --

- Youngman Auto Group to Make Electric and Hybrid Cars, Trucks and Buses
for Joint Venture

In a joint statement released today, USA electric car pioneer ZAP
(OTC Bulletin Board: ZAAP) and Youngman Automotive Group, China's number
one luxury motor coach and high-quality commercial truck manufacturer, have
signed a joint venture agreement to manufacture, market and distribute
electric and hybrid vehicles for the passenger car, truck and bus markets.
The new joint venture company will also focus on the development and
manufacturing of electric charging infrastructure.

(Logo: http://www.newscom.com/cgi-bin/prnh/20070130/SFTU060LOGO)
    (Photo: http://www.newscom.com/cgi-bin/prnh/20070921/AQF035)



Youngman Automotive Group is a private holding company with 12
subsidiaries. Youngman's partnership with Germany's NEOPLAN controls more
than 70 percent of the luxury motor coach market in China. Youngman is the
supplier to NEOPLAN and MAN, two of Europe's top brands for luxury motor
coaches and high-quality commercial trucking. Over the past few years
Youngman has also expanded sales in Asia (Singapore, Hong Kong, Japan and
Malaysia), The Middle East, Europe and the USA, enjoying significant market
growth.

In 2004, with the support of the Chinese government, Youngman was awarded
a license to manufacture automobiles. Earlier this year Youngman made auto
industry headlines by awarding Lotus Engineering a number of vehicle
development projects, and more recently by signing a vehicle distribution and
technology licensing agreement with Proton (the Malaysian national car
company), estimated to be worth several billion US dollars. The strategic
partnership with ZAP will allow the joint venture company to bring highway
capable electric and hybrid vehicles to the market like the ZAP-X crossover
SUV.

"There are many good manufacturers out there, but to be a great
manufacturer we need to do something that can change the world," said
Youngman Chairman Pang Qingnian. "I have built Youngman group based upon
three key principles: quality product, technology and brand. With our current
product line-up and our commitment to quality, I believe we can provide a
viable electric alternative to the world. Through the integration of
currently available technologies and renewable energy, I believe we can take
a leadership position and play a significant part in providing a better
alternative."

"This is the most significant relationship that ZAP has ever entered
into," said ZAP CEO Steve Schneider. "This joint venture will provide a
platform for both ZAP and Youngman to focus each other's strengths to develop
solutions that have the potential to transform the industry. Our energy will
not stop at the vehicle engineering level. Using renewable energy to provide
a cost effective recharging infrastructure to customers, we can change the
world, one vehicle at a time," said ZAP CEO Steve Schneider.

"I applaud ZAP and Youngman for bringing the next generation of
mass-produced electric vehicles to California. Our state is leading the
nation and world in opening the market for alternative fuel vehicles and this
move is another example of bringing high-quality, high-paying jobs to
California," said Governor Schwarzenegger.

Youngman's portfolio of products includes luxury motor coaches,
inter-urbans, city and airport buses as well as premium commercial trucks
for long distance, local distribution, heavy-duty building and special
services. Youngman manufactures its motor coaches and trucking at a million
square foot factory in Jinhua. Youngman is building new factories in Shandong
province with the backing of the Chinese government to expand its automotive
manufacturing capacity.

About Youngman Automotive Group Co., Ltd.
    -- Based in Jinhua City, Zhejiang, China
    -- Controls 70 percent of the luxury motor coach market
    -- 1 million square foot manufacturing facility in Jinhua
    -- 4,000 employees, 700 R&D staff
    -- 7 new vehicle factories under development
    -- With new production facilities, capacity to produce 200,000 vehicles
       per year
    -- July 2007 -- Youngman signed contract with Malaysia's Proton
    -- View images from signing ceremony in Jinhua at URL below:
       http://www.flickr.com/photos/11374805@N00/sets/72157602076760320/show/

    About ZAP
    -- Based in Santa Rosa, California, USA
    -- Marketed and sold 100,000 electric vehicles since 1994
    -- Distributes electric scooters, ATVs, motorcycles, cars, trucks
       worldwide
    -- Completed a feasibility study in May 2007 with Lotus Engineering to
       develop a new generation of commercially viable electric vehicles.
    -- This month signed distribution agreement with Chile's largest power
       company
    -- Website: http://www.zapworld.com

    New Joint Venture
    -- The joint venture will develop, produce, market and sell electric and
       hybrid vehicles, as well as develop battery and energy recharging
       infrastructure components and technology
    -- Vehicle models include buses, trucks and passenger vehicles
    -- Youngman will manufacture vehicles and other components for the joint
       venture
    -- ZAP will manage the sales, marketing and distribution of the joint
       venture products



Forward-looking statements in this release are made pursuant to the "safe
harbor" provisions of the Private Securities Litigation Reform Act of 1995.
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 upon 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.

Web site: http://www.zapworld.com

© PR Newswire Association LLC.

News archive

Subscribe to AfterDawn's weekly newsletter.