ZERO MOTORCYCLES AWARDED MAJOR GRANT FOR EXPANSION OF CALIFORNIA MANUFACTURING FACILITY — Manufacturing Project Investment in California to Exceed $3.6 Million — SANTA CRUZ, Calif., (Oct. 11, 2012) Zero Motorcycles, the global leader in the electric motorcycle industry, was today awarded a $1,815,123 grant from the California Energy Commission to quadruple its manufacturing capacity in California. Additional matching funding brings the total project allotment to more than $3,644,721. Zero’s manufacturing expansion will further its commitment to manufacturing high performance electric motorcycles in California, which stands to benefit by both economic growth and job creation. “We are honored to receive this generous grant from the California Energy Commission and are excited to continue to expand our manufacturing capacity here in California,” said Richard Walker, CEO of Zero Motorcycles. “This project offers a unique opportunity to keep the competitive advantage of California’s skilled labor force and create dozens of additional jobs during both the implementation and volume manufacturing stages of the project. This grant is a milestone for us because it allows Zero to dramatically increase the scale of our assembly line to meet customer demand for our outstanding electric motorcycles.” “This investment in Zero Motorcycles will help to put cleaner vehicles on the road, reduce petroleum use, improve our air quality and create jobs in California,” said Energy Commissioner Carla Peterman. Zero has been successfully designing and building electric motorcycles in California since 2006. Zero’s recently introduced 2013 model line leveraged a previous successful California Energy Commission R&D grant program, driving the development of an advanced electric vehicle powertrain. This new electric powertrain, along with other key Zero Motorcycles innovations, delivers an average Zero Motorcycle power increase of 99 percent and the world’s longest-range production electric motorcycle on the market. About the California Energy Commission The California Energy Commission is the state’s primary energy policy and planning agency. Created by the Legislature in 1974 and located in Sacramento, six basic responsibilities guide the Energy Commission as it sets state energy policy: forecasting future energy needs; licensing thermal power plants 50 megawatts or larger; promoting energy efficiency and conservation by setting the state’s appliance and building efficiency standards; supporting public interest energy research that advances energy science and technology through research, development and demonstration programs; developing renewable energy resources and alternative renewable energy technologies for buildings, industry and transportation; planning for and directing state response to energy emergencies. About Zero Motorcycles Zero Motorcycles is committed to transforming the motorcycling experience by bringing to market highly innovative electric motorcycles that offer exceptional value and performance. Zero is powered by innovation, driven by passion, guided by integrity and measured by results. Through extensive research, insight and experience, Zero combines the art and science of motorcycle development to create and manufacture products that excite consumers and inspire brand loyalty. Zero is determined to be the preeminent global electric motorcycle company. Follow Zero Motorcycles on Twitter @ZeroMC, become a fan of Zero Motorcycles on Facebook and check out what Zero is doing on YouTube at www.youtube.com/zeromotorcycles.