ZAP Zapata Corp. (NV)

Zapata Corporation (NYSE: ZAP) today announced its consolidated financial results for the quarter ended June 30, 2007. For the quarter ended June 30, 2007, Zapata reported consolidated net income of $686,000 or $.04 per diluted share as compared to a consolidated net loss of $359,000 or ($.02) per diluted share for the comparable period in the prior year. For the six months ended June 30, 2007, Zapata reported consolidated net income of $1.2 million or $0.06 per diluted share as compared to consolidated net income of $127,000 or $0.01 per diluted share for the comparable period in the prior year. In December 2006, the Company completed the disposition of its Omega Protein Corporation (NYSE:OME) common stock for proceeds of $76.5 million and is searching for candidates for acquisition. About Zapata: Zapata is a holding company which has approximately $152.5 million in consolidated cash, cash equivalents and short-term investments at June 30, 2007 and currently owns 98% of Zap.Com Corporation (OTCBB: ZPCM), which is a public shell company. The Company makes certain reports available free of charge on its website at www.zapatacorp.com as soon as reasonably practicable after this information is electronically filed, or furnished to, the United States Securities and Exchange Commission. "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995: The statements contained in this press release which are not historical fact are forward-looking statements based upon management's current expectations that are subject to risks, and uncertainties that could cause actual results, events and developments to differ materially from those set forth in or implied by forward looking statements. Factors that could cause actual results, events and developments to differ include, without limitation, those factors listed under the caption "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2006. There is no assurance that Zapata Corporation will successfully identify, pursue, or operate any future businesses or operations in the future. All forward looking statements made herein are qualified by these cautionary statements and there can be no assurance that the actual results, events or developments referenced herein will occur or be realized. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operation results. ZAPATA CORPORATION UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (In Thousands, Except Share and Per Share Amounts) � June 30, 2007 December 31,2006 ASSETS Current assets: Cash and cash equivalents $ 133,544 $ 136,889 Short-term investments 18,999 15,199 Other receivables 739 279 Prepaid expenses and other current assets � 200 � 346 Total current assets � 153,482 � 152,713 � Other assets, net 10,571 11,015 Property, plant and equipment, net � -- � 3 Total assets $ 164,053 $ 163,731 � LIABILITIES AND STOCKHOLDERS� EQUITY Current liabilities: Accounts payable $ 24 $ 417 Accrued expenses and other current liabilities � 1,367 � 1,806 Total current liabilities � 1,391 � 2,223 Pension liabilities 688 717 Other liabilities and deferred income taxes � 1,445 � 1,489 Total liabilities � 3,524 � 4,429 Commitments and contingencies Minority interest 34 34 Stockholders� equity: Preferred stock, $.01 par; 1,600,000 shares authorized; none issued or outstanding -- -- Preference stock, $.01 par; 14,400,000 shares authorized; none issued or outstanding -- -- Common stock, $0.01 par, 132,000,000 shares authorized; 24,708,414 and 24,616,536 shares issued; 19,276,334 and 19,184,456 shares outstanding 247 246 Capital in excess of par value 164,241 164,454 Retained earnings 35,805 34,653 Treasury stock, at cost, 5,432,080 shares (31,668) (31,668) Accumulated other comprehensive loss � (8,130) � (8,417) Total stockholders� equity � 160,495 � 159,268 Total liabilities and stockholders� equity $ 164,053 $ 163,731 ZAPATA CORPORATION UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (In Thousands, Except Per Share Amounts) � For the Three Months EndedJune 30, For the Six Months EndedJune 30, � 2007 � 2006 � 2007 � 2006 Revenues $ -- $ -- $ -- $ -- Cost of revenues � -- � -- � -- � -- Gross profit -- -- -- -- � Operating expense: Selling, general and administrative � 711 � 2,008 � 1,670 � 3,527 Operating loss (711) (2,008) (1,670) (3,527) � Other income: Interest income 1,956 917 3,900 1,752 Other, net � 32 � 190 � 34 � 194 � 1,988 � 1,107 � 3,934 � 1,946 Income (loss) before (provision) benefit for income taxes and minority interest 1,277 (901) 2,264 (1,581) � (Provision) benefit for income taxes (592) 307 (1,113) 536 Minority interest in net income of consolidated subsidiaries � 1 � 1 � 1 � 1 Income (loss) from continuing operations � 686 � (593) � 1,152 � (1,044) � Discontinued operations: Income before taxes and minority interest (including loss on disposal) -- 1,016 -- 4,118 Provision for income taxes -- (516) -- (1,618) Minority interest � -- � (266) � -- � (1,329) Income from discontinued operations -- 234 -- 1,171 � Net income (loss) $ 686 $ (359) $ 1,152 $ 127 � Net income (loss) per common share � basic and diluted Income (loss) from continuing operations $ 0.04 $ (0.03) $ 0.06 $ (0.05) Discontinued operations, net of income taxes and minority interest � -- � 0.01 � -- � 0.06 Net income (loss) per common share � basic and diluted $ 0.04 $ (0.02) $ 0.06 $ 0.01 � Weighted average common shares outstanding: Basic � 19,209 � 19,182 � 19,197 � 19,176 Diluted � 19,328 � 19,182 � 19,442 � 19,383