According to a report from The Truth About Cars site, electric vehicle maker Zap is facing some financial issues that will require the company to make some changes to its portfolio of electric vehicles.
The report is based off of Zap's most recent 10-Q filing which outlines funding and operations of the company. The article states that Zap is slowly phasing out its 3 wheel Xebra EV and is cutting back development of the companies Alias prototype.
As the 10-Q filing states, "The decrease of $1.5 million in revenue is primarily due to the phase out of our three wheeled Xebra vehicle with reduced selling prices."
Maybe the three wheel setup is just not ready for this market. Another three wheel vehicle maker, Aptera, has also reportedly faced development and funding problems of its 2e electric vehicle.
The 10-Q filing also goes on to state that Zap will be doing, "less work on the development of the Alias prototype vehicle."
Zap was constantly making headlines a few months back and not always for good reason. The company has faced constant financial troubles and has had difficulty adding additional funding to keep development alive and production going. We have seen numerous pictures of the Zap Alias prototype and countless releases on this vehicle. Previously, the company promised deliveries by late 2009, but that time frame will not be met.
With funding in short supply, Zap has made cuts that are significant. The company itself is still fighting to get out of the red and produce exciting electric vehicles, but that dream may never become a reality.
Source: The Truth About Cars
