SANTA ROSA, Calif., Dec. 29, 2011 (GLOBE NEWSWIRE) -- ZAP (OTCBB:ZAAP), also known as ZAP Jonway, a designer and manufacturer of electric vehicles (EVs), announced ZAP and China Electric Vehicle Corporation, or CEVC, an entity affiliated with Cathaya Capital, have agreed to extend the maturity date of the US$19 million convertible note held by CEVC until August 12, 2012.
Dr. Priscilla Lu, Chairman of ZAP and General Partner of Cathaya Capital, stated: "We are pleased with ZAP Jonway's progress on its new EV model rollout planned for the first half of 2012. The ZAP and Jonway teams are working very well together with the common goal of executing on our new model rollout plan and delivering revenue from our next generation models. This extension gives the company time to achieve its 2012 deliverables and results."
Alex Wang, Co-CEO of ZAP Jonway, says, "We are pleased with the show of support by CEVC on its extension of the $19 million note for another six months. Along with Jonway Group's recent show of confidence and commitment to the combined company via its investment in new vehicle development, this demonstrates the interest and support from the large shareholder groups in ZAP Jonway. We anticipate achieving a set of significant milestones in product delivery and new model rollouts in 2012."
About ZAP Jonway
ZAP owns a majority interest in Zhejiang Jonway Automobile Co., Ltd., or Jonway Automobile. ZAP and Jonway Automobile are together referred to in this release as ZAP Jonway. ZAP and Jonway Automobile design and manufacture quality, affordable gasoline and new energy electric vehicles (EVs). ZAP, an early pioneer of EVs, brings to the new combined company a broad range of EV design experience that is being applied to new product lines. ZAP Jonway is focused on addressing EV fleets targeting city delivery trucks and vans used by university campuses, government and corporate markets in China and the United States, while utilizing its gasoline vehicle production quantities to gain economy of scale through its common vehicle parts and platforms. ZAP Jonway benefits from the established China dealership and customer support network developed by Jonway Automobile for its China sales and services. ZAP Jonway is headquartered in Santa Rosa, California, and its production facility is located in Zhejiang Province of the People's Republic of China. Additional information about ZAP Jonway is available at http://www.zapworld.com.
The ZAP Jonway logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=10607
Forward-Looking Statements
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 ZAP's products, increased levels of competition, new products and technological changes, ZAP's dependence upon third-party suppliers, intellectual property rights and other risks detailed from time to time in ZAP's periodic reports filed with the Securities and Exchange Commission.