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ADVFN_jk1550

06/01/14 7:23 PM

#25596 RE: kel3 #25594

Some pricing definitions:

Bulk Truck Spot Prices (Rack): These are the
prices for truck quantities of pure ethanol at storage
points in the given market. These prices are not
posted – they are offered to buyers given supply
and demand dynamics at prices discovered and
published by OPIS.

Splash Blend Rack Prices: These are the average
of the Thursday closing price that producers and
resellers are posting at various rack locations.
Typically prices are for small quantities that marketers
pull to blend into gasoline to create and deliver
ethanol-blended gasoline to accounts.
Splash Blend Producer Prices: These are the
average of the Thursday closing price that producers
(not resellers) are posting at various rack locations.
Typically prices are for small quantities that marketers
pull to blend into gasoline to create and deliver
ethanol-blended gasoline to accounts.

Rule_62

06/01/14 7:35 PM

#25597 RE: kel3 #25594

According to these snippets from the 10Q, they definitely market in other places than California, including Washington State:

Serving integrated oil companies and gasoline marketers who blend ethanol into gasoline, the Company provides transportation, storage and delivery of ethanol through third-party service providers in the Western United States, primarily in California, Arizona, Nevada, Utah, Oregon, Colorado, Idaho and Washington.

The facilities are near their respective fuel and feed customers, offering significant timing, transportation cost and logistical advantages. The Company sells ethanol produced by the Pacific Ethanol Plants (as defined below) and unrelated third parties to gasoline refining and distribution companies

We have extensive customer relationships throughout the Western United States. Our ethanol customers are integrated oil companies and gasoline marketers who blend ethanol into gasoline. We arrange for transportation, storage and delivery of ethanol purchased by our customers through our agreements with third-party service providers in the Western United States, primarily in California, Arizona, Nevada, Utah, Oregon, Colorado, Idaho and Washington.