I suspect they're going to merge the ZX12R and ZZR into the new ZZR1300 model. There's already too much overlap between the current ZX12R and the ZZR1200; neither are full-on supersports (too big), but the ZZR makes a better sport-tourer than the ZX12R.
Personally, I absolutely love my '02 ZZR1200, and I'm looking forward to the new model. I just hope it does NOT go more in the ZX12R direction - there's already a huge selection of uncomfortable torture racks out there; I hope they keep the ZZR in the big, fast, comfortable GT niche that it currently inhabits.
It is not any more ugly than the busa. I am sure they will dress it up some before it hits the states. It is a total different bike than the 12, I don't see why they would get rid of the 12. But who be I to say, anyways?