ZENN Motor Company Inc. has announced it will cease production of its electric car, which had been hailed as a mini-revolution in the industry. The company now wants to focus on marketing its highway-capable drive system to the big car manufacturers. The current Zenn vehicle an acronym for Zero Emission No Noise is intended for urban commuters and use in places such as resorts, gated communities, airports and campuses. The three-door hatchback, made in St-Jérôme, Que., can reach a speed of 40 kilometres an hour and has a range of up to 80 kilometres. The decision to halt production on the vehicle came down to sales. In a statement, the company said it would launch the 2010 model of the current Zenn car in late October but would not confirm when production will cease at the St-Jérôme plant.

To review the company's growth strategy

ZENN Motor Company Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended June 30, 2009. For the quarter, the company reported net loss of CAD 2,576,021 or CAD 0.08 per basic and diluted share compared with net losses of CAD 1,910,304 or CAD 0.06 per basic and diluted share for the same quarter a year ago. Net revenue was CAD 300,267 and loss from operations of CAD 2,615,867 compared to net revenue of CAD 962,325 and loss from operations of CAD 1,968,848 for the same quarter a year ago. Cash flows used in operating activities was CAD 1,485,490 compared with CAD 1,325,975 for the same quarter a year ago. Purchase of property, plant and equipment was CAD 16,589 compared to CAD 53,565 for the same quarter a year ago. For the nine months, the company reported net loss of CAD 6,335,409 or CAD 0.19 per basic and diluted share compared with net loss of CAD 5,425,895 or CAD 0.18 per basic and diluted share for the same period a year ago. Net revenue was CAD 1,070,464 and loss from operations of CAD 6,542,549 compared to net revenue of CAD 2,303,903 ad loss from operations of CAD 5,587,886 for the same period a year ago. Cash flows used in operating activities was CAD 5,821,612 compared with CAD 4,808,356 for the same period a year ago. Purchase of property, plant and equipment was CAD 42,199 compared to CAD 85,464 for the same period a year ago. The company reported inventory write-down was CAD 390,972 for the third quarter ended June 30, 2009.