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             ZAPATA HAYNIE CORPORATION PROFIT-SHARING/SAVINGS PLAN
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                         NOTES TO FINANCIAL STATEMENTS
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                          SEPTEMBER 30, 1993 AND 1992
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1.  SUMMARY OF SIGNIFICANT
    ACCOUNTING POLICIES:
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General
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The Zapata Haynie Corporation Profit-Sharing/Savings Plan (the Plan) was adopted
October 1, 1985, under the provisions of the Employee Retirement Income Security
Act of 1974 (ERISA) and was most recently amended and restated effective October
1, 1989, to comply with the Internal Revenue Code of 1986, as amended (the
Code).  Zapata Haynie Corporation (the Company) is a wholly owned subsidiary of
Zapata Corporation (Zapata).

The assets of the Plan are managed together with those of the Zapata Corporation
Profit-Sharing Plan (Zapata Plan) under the Zapata Corporation Master Profit-
Sharing Trust (the Master Trust).  Zapata established the Master Trust by an
agreement with First City, Texas, effective October 1, 1985.  In October 1992,
the board of directors of Zapata removed First City, Texas, as trustee and
appointed NationsBank of Texas, N.A., as the successor trustee (the trustee).
Each plan holds an interest in the assets and liabilities in each of the funds
in the Master Trust.

The Plan and the Master Trust were established and are maintained for the
exclusive benefit of the participating employees, and no part of the Master
Trust assets will revert to the participating employer.  The accounts of the
Plan are maintained on the cash basis of accounting and are adjusted to the
accrual basis each fiscal year-end for financial reporting purposes.

Investment in the Zapata Corporation
Master Profit-Sharing Trust
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The cost of the investment in the Master Trust represents the Plan's
proportionate share of the purchase price of the assets and reinvested earnings
on investments in the Master Trust.  All dividend and interest income earned on
securities in the Master Trust is reinvested.  The value of the investment in
the Master Trust is adjusted to reflect the earnings on investments plus the
market value appreciation or depreciation.  See Exhibit 1 for summarized
financial information of the Master Trust.

The trustee maintains the Master Trust assets in four separate funds for
investment purposes as follows:  (a) the Equity Fund, which is invested
principally in equity securities such as common stock of various corporations,
(b) the Money Market/Guaranteed Investment Contract Fund, which is invested in
guaranteed investment contracts issued by life insurance companies and short-
term money market funds, (c) the Fixed Income Fund, which is invested
predominantly in fixed income securities such as "high grade" corporate
obligations and obligations issued or fully guaranteed by the United States
Government and related agencies and (d) the Zapata Common Stock Fund, which is
invested in the common stock of Zapata.  The Plan assets are invested together
with the fund assets of the Zapata Plan in the Master Trust in order to minimize
brokerage and investment fees and to maximize the rate of return on the assets
invested.

Each participant may, by written notice to the Pension and Benefits Committee
(the Committee), direct that his employee contribution (and employer matching
contribution) be invested under any one or combination of the funds described
above.  The investment percentages made to each fund, however, must be in
increments of 10 percent.  The annual employer profit-sharing contribution (see
Note 2) is invested in the Money Market/Guaranteed Investment Contract Fund.

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