Alto Ingredients Inc (ALTO)

[kel3]

For those of you reading getreal's posts
By hartcory254 . 36 minutes ago . Permalink
Just to clarify, they did not accumulate $50,000,000 of new debt in the last 9 months. It was reallocated from long-term to current, not increased. As of 12/31/11, that portion of their long-term debt was not due w/in 12 months, so it was listed as long-term. Now it is due w/in 12 months, so the line item was moved up. This is normal and not concerning. They will simply extend the terms of the note, more than likely at more favorable rates. They are clearly not a credit risk in the eyes of lenders or they would not have recently acquired a $10M LOC. This is a normal and completely appropriate situation. Long-term debt is always issued with a balloon payment at which time new terms are determined.
Sentiment: Strong Buy