News Release
Zapata Corporation Announces Second Quarter Results
ROCHESTER, N.Y., Aug 07, 2009 (BUSINESS WIRE) -- Zapata Corporation (NYSE: ZAP) today announced its consolidated financial results for the three and six months ended June 30, 2009.

For the quarter ended June 30, 2009, Zapata reported a consolidated net loss of $462,000 or $(.02) per share as compared to consolidated net income of $312,000 or $0.02 per share for the quarter ended June 30, 2008. For the six months ended June 20, 2009, Zapata had a consolidated net loss of $1.2 million or $(0.06) per share as compared to consolidated net income of $632,000 or $0.03 per share for the comparable period of the prior year. The change from net income to net loss for the three and six month periods ended June 30, 2009 resulted primarily from a decrease in interest income arising from sustained lower interest rates on the Company's invested funds during 2009 as compared to 2008.

About Zapata:

Zapata is a holding company which has approximately $153.2 million in consolidated cash, cash equivalents and investments as of June 30, 2009 and owns 98% of Zap.Com Corporation (OTBB: ZPCM), which is a public shell company. The Company is currently searching for candidates for acquisition.

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. Forward-looking statements, which are based upon certain assumptions and describe future plans, strategies and expectations of the Company, are generally identifiable by use of the words "believes," "expects," "intends," "anticipates," "plans," "seeks," "estimates," "projects," "may" or similar expressions. Factors that could cause actual results, events and developments to differ include, without limitation, the risk that we may not be successful in identifying any suitable future acquisition opportunities and those factors listed under the caption "Risk Factors" in the Company's Annual Report on Form 10-K for the year ended December 31, 2008. 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, December 31,
2009 2008
ASSETS
Current assets:
Cash and cash equivalents $ 133,231 $ 142,694
Short-term investments 16,013 11,965
Other receivables 198 130
Prepaid expenses and other current assets 131 256
Total current assets 149,573 155,045
Long-term investments 3,973 --
Property and equipment, net 42 --
Other assets, net 9,474 8,987
Total assets $ 163,062 $ 164,032
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable $ 29 $ 92
Accrued and other current liabilities 1,082 1,045
Total current liabilities 1,111 1,137
Pension liabilities 2,919 2,904
Other liabilities 1,090 1,144
Total liabilities 5,120 5,185
Commitments and contingencies
Zapata Corporation 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 shares issued and 19,276,334 shares outstanding 247 247
Capital in excess of par value 164,250 164,250
Retained earnings 36,003 37,192
Treasury stock, at cost, 5,432,080 shares (31,668 ) (31,668 )
Accumulated other comprehensive loss (10,921 ) (11,207 )
Total Zapata Corporation stockholders' equity 157,911 158,814
Noncontrolling interest 31 33
Total equity 157,942 158,847
Total liabilities and equity $ 163,062 $ 164,032
ZAPATA CORPORATION
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In Thousands, Except Per Share Amounts)
For the For the

Three Months Ended

Six Months Ended
June 30, June 30,
2009 2008 2009 2008
Revenues $ -- $ -- $ -- $ --
Cost of revenues -- -- -- --
Gross profit -- -- -- --
Operating expense:
General and administrative 1,173 688 2,373 1,552
Total operating expenses 1,173 688 2,373 1,552
Operating loss (1,173 ) (688 ) (2,373 ) (1,552 )
Other income:
Interest income 74 864 141 2,345
Other, net 383 4 414 72
457 868 555 2,417
(Loss) income before income taxes (716 ) 180 (1,818 ) 865
Benefit (provision) for income taxes 253 131 628 (234 )
Net (loss) income (463 ) 311 (1,190 ) 631
Net income attributable to noncontrolling interest 1 1 1 1
Net (loss) income attributable to Zapata Corporation $ (462 ) $ 312 $ (1,189 ) $ 632
Net (loss) income per common share - basic and diluted $ (0.02 ) $ 0.02 $ (0.06 ) $ 0.03
Weighted average common shares outstanding:
Basic 19,276 19,276 19,276 19,276
Diluted 19,276 19,399 19,276 19,400

SOURCE: Zapata Corporation

Zapata Corporation
Leonard DiSalvo, CFO, 585-242-8703
http://www.zapatacorp.com