Alto Ingredients Inc (ALTO) 2020 Q3 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to the Pacific Ethanol, Inc. Third Quarter 2020 Financial Results Conference Call. (Operator Instructions) Please be advised that today's conference is being recorded. (Operator Instructions) I would now like to hand the conference over to your host, Moriah Shilton with LHA Investor Relations. Please go ahead.

女士們，先生們，感謝您的支持，並歡迎參加 Pacific Ethanol, Inc. 2020 年第三季度財務業績電話會議。 （操作員說明）請注意，今天的會議正在錄製中。 （操作員說明）我現在想將會議移交給您的主持人，LHA 投資者關係部的 Moriah Shilton。請繼續。

Thank you, Sarah, and thank you all for joining us today for the Pacific Ethanol Third Quarter 2020 Results Conference Call. On the call today are Mike Kandris, CEO; and Bryon McGregor, CFO. Mike will begin with a review of business highlights. Bryon will provide a summary of the financial and operating results, and then Mike will return to discuss Pacific Ethanol's outlook and open the call for questions.

謝謝你，莎拉，也感謝大家今天參加太平洋乙醇公司 2020 年第三季度業績電話會議。今天的電話會議是首席執行官 Mike Kandris；和首席財務官布賴恩·麥格雷戈。 Mike 將從回顧業務亮點開始。 Bryon 將提供財務和運營結果摘要，然後 Mike 將返回討論 Pacific Ethanol 的前景並開始提問。

Pacific Ethanol issued a press release yesterday providing details of the company's quarterly results. The company also prepared a presentation for today's call that is available on the company's website at pacificethanol.com. A telephone replay of today's call will be available through November 17, the details of which are included in yesterday's earnings press release. A webcast replay will also be available at Pacific Ethanol's website.

Pacific Ethanol 昨天發布了一份新聞稿，提供了公司季度業績的詳細信息。該公司還為今天的電話會議準備了一份演示文稿，該演示文稿可在公司網站 pacificethanol.com 上查閱。今天電話的重播將在 11 月 17 日之前提供，詳細信息包含在昨天的收益新聞稿中。 Pacific Ethanol 的網站也將提供網絡重播。

Please note that the information in this call speaks only as of today, November 10. And therefore, you are advised that time-sensitive information may no longer be accurate at the time of any replay. Please refer to the company's safe harbor statement on Slide 2 of the presentation available online, which says that some of the comments in this presentation constitute forward-looking statements and considerations that involve a number of risks and uncertainties. The actual future results of Pacific Ethanol Could differ materially from those statements. Factors that could cause or contribute to such differences include, but are not limited to, events, risks and other factors previously and from time to time disclosed in Pacific Ethanol's filings with the SEC. Except as required by applicable law, the company assumes no obligation to update any forward-looking statements.

請注意，本次電話會議中的信息僅在今天 11 月 10 日發布。因此，請注意，在任何重播時，時間敏感信息可能不再準確。請參閱該公司在網上提供的演示文稿幻燈片 2 上的安全港聲明，該聲明表示，本演示文稿中的一些評論構成前瞻性陳述和考慮因素，涉及許多風險和不確定性。 Pacific Ethanol 的實際未來結果可能與這些陳述存在重大差異。可能導致或促成此類差異的因素包括但不限於以前和不時在 Pacific Ethanol 向 SEC 提交的文件中披露的事件、風險和其他因素。除適用法律要求外，公司不承擔更新任何前瞻性陳述的義務。

In management's prepared remarks, non-GAAP measures will be referenced. Management uses these non-GAAP measures to monitor the financial performance of operations and believes these measures will assist investors in assessing the company's performance for the periods being reported. The company defines adjusted EBITDA as unaudited net income or loss attributed to Pacific Ethanol before interest expense, provision or benefit for income taxes, asset impairments, loss on extinguishment of debt, purchase accounting adjustments, fair value adjustments and depreciation and amortization expense. To support the company's review of non-GAAP information later in this call, a reconciling table was included in yesterday's press release.

在管理層準備好的評論中，將引用非公認會計原則措施。管理層使用這些非公認會計原則措施來監控運營的財務業績，並相信這些措施將幫助投資者評估公司在報告期間的業績。該公司將調整後的 EBITDA 定義為在利息費用、所得稅撥備或福利、資產減值、債務清償損失、採購會計調整、公允價值調整以及折舊和攤銷費用之前歸屬於太平洋乙醇的未經審計的淨收入或損失。為了支持公司稍後在本次電話會議中對非公認會計原則信息的審查，昨天的新聞稿中包含了一個核對錶。

It is now my pleasure to introduce Mike Kandris, CEO. Mike?

現在我很高興介紹首席執行官 Mike Kandris。麥克風？

Thank you, Moriah, and thank you, everyone, for joining us today. I'm excited to be with you this morning to review the transformation PEI is undertaking to successfully reposition the company to produce profitable, sustainable results.

謝謝你，Moriah，謝謝大家今天加入我們。我很高興今天早上能與您一起回顧 PEI 為成功重新定位公司以產生可盈利、可持續的結果而進行的轉型。

In the third quarter, we generated net income of $14.9 million and adjusted EBITDA of $34.1 million.

第三季度，我們產生了 1490 萬美元的淨收入和 3410 萬美元的調整後 EBITDA。

On the call today, I'd like to cover 3 areas. First, I'll provide an overview of the company. Second, I'd like to explore in greater detail the industry and markets. And finally, I'd like to provide some additional details around our growth strategy.

在今天的電話會議上，我想介紹 3 個領域。首先，我將介紹公司的概況。其次，我想更詳細地探索行業和市場。最後，我想就我們的增長戰略提供一些額外的細節。

For the overview, I feel it is important to emphasize that we have leveraged our strengths to transform PEI into a leading producer of specialty alcohols and essential ingredients. In addition to renewable fuel, we are focused on 3 key markets: health, home and beauty; food and beverage; and essential ingredients. These are stable growth markets, generating strong demand for our products that we sell to blue-chip customers and well-known household brands.

對於概述，我認為有必要強調我們已經利用我們的優勢將 PEI 轉變為特種酒精和基本成分的領先生產商。除了可再生燃料，我們還專注於 3 個主要市場：健康、家居和美容；食品與飲品;和基本成分。這些是穩定增長的市場，對我們出售給藍籌客戶和知名家居品牌的產品產生了強勁的需求。

Although most people, when they consider alcohol, think of either beverage or renewable fuel, these are the highest and lowest grades, respectively. There are actually many grades in between and a diverse number of applications in which they are used.

儘管大多數人在考慮酒精時會想到飲料或可再生燃料，但它們分別是最高和最低等級。實際上，兩者之間有許多等級，並且使用它們的應用程序也多種多樣。

At our Pekin, Illinois campus, we produce multiple grades of alcohol that are then used in various consumer products that touch our lives on a daily basis. These include products that we consume like spirits, medicines and vinegar; products that we use in applications like cleaning supplies, paint and fertilizer; and products applied topically like perfumes or hand sanitizers, which uses United States Pharmacopeia-grade alcohol. USP-grade alcohol has certainly been in the news since March as it is used in hand sanitizers, disinfectants and cleaning supplies. We have been providing USP-grade product for hand sanitizer for a long time, and our customers know we follow strict guidelines and are uniquely positioned to meet the precise consumer product specifications for each grade of alcohol we sell. Few other manufacturing facilities have this capability. It is an advantage that we use to strengthen and deepen our customer base, including major food, beverage and consumer product companies.

在我們位於伊利諾伊州北京的校園，我們生產多種等級的酒精，然後用於各種消費品中，這些產品每天都與我們的生活息息相關。這些包括我們消費的產品，如烈酒、藥品和醋；我們在清潔用品、油漆和肥料等應用中使用的產品；以及使用美國藥典級酒精的香水或洗手液等局部應用產品。自 3 月以來，USP 級酒精肯定已經成為新聞，因為它被用於洗手液、消毒劑和清潔用品。我們長期以來一直為洗手液提供 USP 級產品，我們的客戶知道我們遵循嚴格的指導方針，並且具有獨特的優勢，可以滿足我們銷售的每種酒精等級的精確消費品規格。很少有其他製造設施具備這種能力。這是我們用來加強和深化我們的客戶群的優勢，包括主要的食品、飲料和消費品公司。

As mentioned last quarter, we are finalizing the refurbishment of our existing grain-neutral spirits, or GNS system, located at our wet mill. When complete, it will produce an additional 30 million gallons of our highest quality product, which is the core ingredient used in the production of distilled spirits. Combined with the 110 million annualized gallons we are producing today, by the end of 2020, we will have increased our total annual capacity of specialty alcohol to 140 million gallons, the majority of which will meet or exceed USP specifications. This will be an increase of 65% compared to annual capacity of 85 million gallons in 2019.

如上個季度所述，我們正在完成對位於我們濕磨機的現有穀物中性烈酒或 GNS 系統的翻新。完成後，它將額外生產 3000 萬加侖我們最優質的產品，這是用於生產蒸餾酒的核心成分。結合我們今天生產的 1.1 億加侖的年產量，到 2020 年底，我們的特種酒精年總產能將增加到 1.4 億加侖，其中大部分將達到或超過 USP 規範。與 2019 年 8500 萬加侖的年產能相比，這將增加 65%。

In addition to specialty alcohol and renewable fuel, we also produce essential ingredients for use in high-protein applications for beef, dairy, aquaculture and poultry feeds; and in food, like edible oils for consumption by people and pets. As an example, we produce a high-value distillers yeast an important ingredient used in the production of pet and human food. Our unique product is in great demand given its protein and flavor-enhancing characteristics. Our yeast is produced in an AIB International-inspected facility and is Kosher-certified.

除了特種酒精和可再生燃料，我們還生產用於牛肉、乳製品、水產養殖和家禽飼料的高蛋白應用的基本成分；在食物中，例如供人和寵物食用的食用油。例如，我們生產一種高價值的蒸餾酵母，這是一種用於生產寵物和人類食品的重要成分。鑑於其蛋白質和風味增強特性，我們獨特的產品需求量很大。我們的酵母是在 AIB International 檢驗的設施中生產的，並通過了 Kosher 認證。

To put our refined business focus in context, I would like to remind everyone of our history, especially for those investors who may be new to our story. Pacific Ethanol was founded 17 years ago as a West Coast renewable fuel company to meet the demand for low-carbon renewable fuel. We subsequently expanded our operations regionally by acquiring production in the Midwest and broadened our offerings with the addition of high-protein feed products and distillers yeast for sales into the food industry.

為了將我們精煉的業務重點放在上下文中，我想提醒大家我們的歷史，特別是對於那些可能對我們的故事不熟悉的投資者。 Pacific Ethanol 成立於 17 年前，是一家西海岸可再生燃料公司，旨在滿足對低碳可再生燃料的需求。隨後，我們通過收購中西部的生產來擴大我們的區域業務，並通過添加高蛋白飼料產品和蒸餾酵母來擴大我們的產品範圍，以銷售到食品行業。

We further diversified into specialty alcohol sector in July of 2017 with our acquisition of Illinois Corn Processing that we refer to as ICP. ICP is adjacent to our Pekin wet mill, dry mill and yeast plant and, in fact, is separated only by a service road. We have now integrated the facilities into a single campus, creating significant synergies, including favorable logistics that allow us to ship product by rail, truck or barge. Through this unique combination, we can more efficiently produce specialty alcohol, high-protein feed, distillers yeast and renewable fuel. And having established a more diversified platform, we were able to adapt to changes in markets to meet changing customer needs. This is evidenced by a change in both the amount of specialty alcohol sold and a material reduction in the amount of renewable fuel produced and sold.

2017 年 7 月，我們通過收購伊利諾伊玉米加工公司（我們稱為 ICP）進一步多元化進入特種酒精領域。 ICP毗鄰我們的Pekin濕磨機、乾磨機和酵母廠，事實上，它們之間只有一條服務路。現在，我們已將這些設施整合到一個園區中，創造了顯著的協同效應，包括有利的物流，使我們能夠通過鐵路、卡車或駁船運輸產品。通過這種獨特的組合，我們可以更有效地生產特種酒精、高蛋白飼料、蒸餾酵母和可再生燃料。並且建立了一個更加多元化的平台，我們能夠適應市場的變化，以滿足不斷變化的客戶需求。特種酒精銷售量的變化以及可再生燃料生產和銷售量的大幅減少都證明了這一點。

In the first 9 months of 2020, specialty alcohols contributed approximately 45% of our revenues compared with only 15% for all of 2019. This excludes sales of third-party renewable fuel marketed by our Kinergy subsidiary. Equally, it has minimized our exposure to markets that have recently seen overproduction and demand destruction.

2020 年前 9 個月，特種酒精貢獻了我們約 45% 的收入，而 2019 年全年僅為 15%。這不包括我們 Kinergy 子公司銷售的第三方可再生燃料的銷售額。同樣，它最大限度地減少了我們對最近出現生產過剩和需求破壞的市場的敞口。

Let's now review the specialty alcohols markets that PEI serves. While it represents a more niche market, specialty alcohol is integral to the production of a adverse number of end products driven by consumer demand rather than regulatory mandate. Specialty alcohol prices typically exceed prices for renewable fuel, which provides an opportunity to earn higher margins than in the fuel market. Several factors materially contribute to the reason for these premiums. Chiefly, these products require additional equipment and processes, both for production and quality assurance as well as technical know-how. Further, customers are focused, first and foremost, on quality and consistency. And finally, specialty alcohols are not quoted commodities like fuel and generally do not trade in the spot market. Consequently, our customer contracts tend to be longer-term arrangements, with negotiated fixed prices based on customer requirements for volume and quality.

現在讓我們回顧一下 PEI 服務的特種酒精市場。雖然它代表了一個更加利基的市場，但特種酒精是由消費者需求而非監管要求驅動的大量最終產品生產不可或缺的一部分。特種酒精的價格通常超過可再生燃料的價格，這提供了獲得比燃料市場更高的利潤的機會。有幾個因素在很大程度上促成了這些保費的原因。主要是，這些產品需要額外的設備和工藝，用於生產和質量保證以及技術訣竅。此外，客戶首先關注的是質量和一致性。最後，特種酒精不像燃料那樣是報價商品，通常不在現貨市場上交易。因此，我們的客戶合同往往是長期安排，根據客戶對數量和質量的要求協商固定價格。

To put the pricing in perspective, historically, the higher the quality of the product, the higher the price relative to renewable fuel. There are, of course, periodic exceptions to this. A perfect example is pricing for alcohols used to make hand sanitizers and disinfectants. As demand materially outstripped supply in the first months of the COVID pandemic, spot prices for this product significantly exceeded prices for more premium products. While the hand sanitizer segment of the market continues to be highly dynamic, spot demand has decreased, and so, too, prices have come off the peak seen in the second quarter. Nevertheless, specialty alcohol premiums to renewable fuel currently remain greater than historic averages, contributing to our optimistic outlook for 2021 and beyond.

從價格的角度來看，從歷史上看，產品質量越高，相對於可再生燃料的價格就越高。當然，這也有周期性的例外。一個完美的例子是用於製造洗手液和消毒劑的酒精的定價。由於在 COVID 大流行的頭幾個月需求大大超過供應，該產品的現貨價格大大超過了更優質產品的價格。雖然市場的洗手液部分繼續保持高度活躍，但現貨需求已經下降，因此價格也從第二季度的峰值回落。儘管如此，特種酒精對可再生燃料的溢價目前仍高於歷史平均水平，這有助於我們對 2021 年及以後的前景保持樂觀。

To this point, there are 2 particular market drivers I'd like to mention that give rise to our optimism. The first is the increasing use of alcohol-based sanitizers as a result of COVID-19. We have seen significant increases in demand for specialty alcohols that go into sanitizers and disinfectants, such as Germex and Lysol that are being used in hospitals, restaurants, offices and schools. We believe that when everyone starts to go back to the office or dining out or even concerts, sanitizer and disinfectant demand will remain strong because people will use these products frequently outside of their homes, and businesses will be required to provide sanitary social environments. With continuing need for sanitizer products, we expect the demand will continue to have strong tailwinds.

至此，我想提一下兩個特別的市場驅動因素，這讓我們感到樂觀。首先是由於 COVID-19，酒精類消毒劑的使用越來越多。我們看到用於消毒劑和消毒劑的特種酒精的需求顯著增加，例如醫院、餐館、辦公室和學校使用的 Germex 和 Lysol。我們相信，當每個人都開始回到辦公室或外出就餐甚至音樂會時，消毒劑和消毒劑的需求將保持強勁，因為人們將經常在家外使用這些產品，而企業將被要求提供衛生的社會環境。隨著對消毒劑產品的持續需求，我們預計需求將繼續強勁增長。

A second long-standing tailwind is the continued growth in distilled spirits consumption. As I discussed earlier, we are adding 30 million gallons of GNS production capacity in the fourth quarter to meet this rising demand.

第二個長期的順風是蒸餾酒消費的持續增長。正如我之前所討論的，我們將在第四季度增加 3000 萬加侖的 GNS 產能以滿足不斷增長的需求。

To wrap up on markets, I'd like to affirm that we will continue to produce and market renewable fuel. While the last few years in the renewable fuel market have been challenging, we are now seeing some signs of improvement.

總結市場，我想確認我們將繼續生產和銷售可再生燃料。儘管可再生燃料市場過去幾年一直充滿挑戰，但我們現在看到了一些改善的跡象。

Turning to our growth strategy. In the near term, we are broadening our addressable market by obtaining enhanced certifications. In October, we obtained our ISO 9001 certification. That is the world's most widely recognized quality management system certification. We also are pursuing 2 additional certifications: ICH Q7, which sets forth good manufacturing practices for active pharmaceutical ingredients; and Excipact, which sets standards for excipient, safety and quality. We expect final audits for both these certifications by the end of 2020.

轉向我們的增長戰略。在短期內，我們正在通過獲得增強的認證來擴大我們的目標市場。 10 月，我們獲得了 ISO 9001 認證。那是世界上最廣泛認可的質量管理體系認證。我們還在尋求另外兩項認證：ICH Q7，它規定了活性藥物成分的良好生產規範；和 Excipact，它為賦形劑、安全性和質量設定了標準。我們預計到 2020 年底對這兩項認證進行最終審核。

We have committed significant human and financial resources to obtain the highest certifications available. With the consultation and support of our customers, we are further differentiating our offerings to strengthen our quality assurance programs and procedures. This will be important domestically as the market raises the bar on product quality requirements, and internationally, to provide product to a growing export market.

我們已投入大量人力和財力資源來獲得最高級別的認證。在客戶的諮詢和支持下，我們正在進一步區分我們的產品，以加強我們的質量保證計劃和程序。隨著市場對產品質量要求的提高，這在國內和國際上對不斷增長的出口市場都非常重要。

In addition, there are many attractive investment opportunities in our portfolio that we can now undertake with the support of our strengthened balance sheet. For example, we are investing in the expansion of the capacity of our yeast facility, increasing its annual production by approximately 15%. We are starting the project this quarter and expect to complete it in Q3 of 2021. The project will require relatively low capital investment of $5.5 million and is expected to produce a payback in less than 2 years.

此外，我們的投資組合中有許多有吸引力的投資機會，我們現在可以在我們加強的資產負債表的支持下進行。例如，我們正在投資擴大酵母設施的產能，將其年產量提高約 15%。我們將於本季度啟動該項目，預計將於 2021 年第三季度完成。該項目所需的資本投資相對較低，僅為 550 萬美元，預計將在不到 2 年的時間內獲得回報。

We also are actively pursuing a strategic realignment plan through selling or repurposing our Western renewable fuel plants. We took the first step with our announced sale of 134 acres, the rail loop and grain-handling assets at our Magic Valley plant in Burley, Idaho for $10 million. The sale is expected to close on or before the end of this month, and the proceeds will be used to prepay debt. We are pleased we were able to monetize idled assets at an accretive value. We will retain the alcohol production facility and terminal on the remaining 25 acres, and we'll provide grain-handling operations and maintenance services to the acquirer of the grain-handling assets. We will continue to update you on other initiatives to repurpose or sell our Western assets.

我們還通過出售或重新利用我們的西方可再生燃料工廠積極推行戰略調整計劃。我們邁出了第一步，宣布以 1000 萬美元的價格出售位於愛達荷州伯利的 Magic Valley 工廠的 134 英畝土地、鐵路環路和穀物處理資產。此次出售預計將在本月底或之前完成，所得款項將用於預付債務。我們很高興我們能夠以增值的價值將閒置資產貨幣化。我們將在剩餘的 25 英畝土地上保留酒精生產設施和碼頭，我們將為糧食處理資產的收購方提供糧食處理運營和維護服務。我們將繼續向您提供有關重新利用或出售我們西方資產的其他舉措的最新信息。

I'll now turn the call over to Bryon to review the financial results in further detail. Bryon?

我現在將把電話轉給布賴恩，以進一步詳細審查財務結果。布賴恩？

Thank you, Mike. For the third quarter of 2020, net sales were $205 million compared to $212 million in the second quarter, the decline resulting from the reduction in production gallons sold due to the anticipated Illinois River closure in the third quarter. Net sales were down by $161 million as compared to the same period in 2019, reflecting the idling of most of our renewable fuel production. We have filled most of our renewable fuel commitments through third-party trading, resulting in no material change in third-party gallons sold year-over-year for the same period.

謝謝你，邁克。 2020 年第三季度的淨銷售額為 2.05 億美元，而第二季度為 2.12 億美元，這是由於預計伊利諾伊河將在第三季度關閉導致銷售的加侖產量減少所致。與 2019 年同期相比，淨銷售額下降了 1.61 億美元，這反映了我們大部分可再生燃料生產的閒置。我們通過第三方交易履行了大部分可再生燃料承諾，導致同期第三方銷售的加侖數同比沒有發生重大變化。

Cost of goods sold was $184 million, which resulted in gross profit of $21 million compared to a gross profit of $31 million in the prior quarter. The decrease this quarter reflects the significant logistical constraints we experienced by the anticipated Illinois River closure, requiring greater use of less cost-effective modes of transportation, like rail and truck, that translated into higher-than-typical costs. Completion of the lock repairs in mid- to late October by the Army Corps of Engineers was approximately 30 days beyond the original anticipated date.

銷售成本為 1.84 億美元，毛利潤為 2100 萬美元，而上一季度的毛利潤為 3100 萬美元。本季度的減少反映了我們在預期的伊利諾伊河關閉時遇到的重大後勤限制，需要更多地使用成本效益較低的運輸方式，如鐵路和卡車，這轉化為高於典型的成本。陸軍工程兵團在 10 月中下旬完成鎖具維修工作，比原定日期晚了大約 30 天。

Cost of goods sold also included approximately $4.5 million in gross loss associated with our idled production. We expect these costs to be lower going forward as we implement our strategic initiatives and repositioning or monetizing the idled facilities.

銷售成本還包括與我們閒置生產相關的約 450 萬美元的總損失。隨著我們實施戰略舉措並重新定位閒置設施或將閒置設施貨幣化，我們預計這些成本將在未來降低。

SG&A expenses were $6.4 million compared to $8.6 million in the second quarter, reflecting our ongoing cost-cutting efforts, particularly related to professional services. As previously noted, we expected general SG&A expenses to be lower in the second half of 2020, and we continue efforts to resolve our remaining debt issues and further reduce professional costs.

SG&A 費用為 640 萬美元，而第二季度為 860 萬美元，這反映了我們正在進行的成本削減工作，特別是與專業服務相關的成本。如前所述，我們預計 2020 年下半年一般 SG&A 費用會降低，我們將繼續努力解決剩餘的債務問題並進一步降低專業成本。

Income available to common shareholders was $14.9 million or $0.24 per diluted share compared to income of $14.6 million or $0.27 per share in the second quarter. Adjusted EBITDA was positive $34.1 million, up from $28.8 million in the second quarter of 2020. Included in third quarter EBITDA was $11.8 million from a settlement in favor -- in our favor of a commercial dispute. We are reaffirming our second half of 2020 guidance of adjusted EBITDA between $50 million and $70 million and $66 million and $86 million for the full year.

普通股股東可獲得的收入為 1490 萬美元或攤薄後每股 0.24 美元，而第二季度的收入為 1460 萬美元或每股 0.27 美元。調整後的 EBITDA 為 3,410 萬美元，高於 2020 年第二季度的 2,880 萬美元。第三季度 EBITDA 為 1,180 萬美元，來自有利於我們的商業糾紛的和解。我們重申了 2020 年下半年調整後 EBITDA 的指導，全年調整後的 EBITDA 在 5000 萬美元至 7000 萬美元和 6600 萬美元至 8600 萬美元之間。

Regarding 2021, the majority of our specialty alcohol production has already been contracted at fixed prices for terms of 1 year or more. We look forward to providing our outlook for 2021 when we report our fourth quarter and year-end 2020 results.

關於 2021 年，我們的大部分特種酒精生產已經以固定價格簽訂了 1 年或更長時間的合同。我們期待在報告 2020 年第四季度和年底業績時提供我們對 2021 年的展望。

Turning to our balance sheet. At September 30, 2020, our cash and cash equivalents were $38.7 million compared to $29.8 million at June 30, 2020. For the quarter, we reduced our total debt outstanding by $29.3 million, a combination of $23 million in our term debt and $6.3 million in our lines of credit. As a result, we have reduced our net debt by approximately $100 million from December 31, 2019 to September 30, 2020, and we have the potential to be net debt-free in 2021.

轉向我們的資產負債表。截至 2020 年 9 月 30 日，我們的現金和現金等價物為 3870 萬美元，而 2020 年 6 月 30 日為 2980 萬美元。本季度，我們將未償債務總額減少了 2930 萬美元，其中包括 2300 萬美元的定期債務和 630 萬美元在我們的信用額度中。因此，從 2019 年 12 月 31 日到 2020 年 9 月 30 日，我們的淨債務減少了約 1 億美元，我們有可能在 2021 年實現淨債務。

Subsequent to quarter end, we closed an underwritten public offering of common stock in concurrent private offering of warrants for initial total proceeds of approximately $70 million -- $75 million. Integral to the private warrant issuance is the company's sole right to determine if in the money warrants will be exchanged cashless in a net share settlement or for cash. This option will allow us to assess in the future if it would be better for us to use the cash proceeds or to instead minimize dilution and exercise our cashless settlement option.

在季度末之後，我們在同時私募認股權證的同時完成了普通股的承銷公開發售，初始總收益約為 7000 萬美元 - 7500 萬美元。私人認股權證發行的一個組成部分是公司擁有確定貨幣認股權證是在淨股份結算中以無現金方式還是以現金方式兌換的唯一權利。該選項將使我們能夠在未來評估是否更好地使用現金收益，或者盡量減少稀釋並行使我們的無現金結算選項。

We intend to use the net proceeds of approximately $70 million to reduce debt and for general corporate purposes, repaying a portion of our senior notes and term loans which have interest rates of 15% and 7%, respectively. Using proceeds from the equity offering is expected to be accretive to 2020 earnings per share on a pro forma basis.

我們打算將約 7000 萬美元的淨收益用於減少債務和用於一般企業用途，償還部分利率分別為 15% 和 7% 的優先票據和定期貸款。在備考基礎上，使用股票發行的收益預計將增加 2020 年的每股收益。

Selling equity when we did at a favorable stock price was both timely and necessary. We considered all available alternatives beforehand and concluded that we should seize the opportunity presented by the capital markets to act to accretively resolve our long-standing lender issues, bolster our balance sheet, reestablish normal credit terms with our vendors and suppliers and give comfort to our customers. Further, the dramatic improvement in our cash resources allows us to better focus on and accelerating our investment in profitable growth initiatives.

當我們以有利的股價出售股票時，既及時又必要。我們事先考慮了所有可用的替代方案，並得出結論認為，我們應該抓住資本市場提供的機會，採取行動逐步解決我們長期存在的貸方問題，加強我們的資產負債表，與我們的供應商和供應商重新建立正常的信用條件，並為我們的供應商提供安慰。顧客。此外，我們現金資源的顯著改善使我們能夠更好地專注於並加速我們對盈利增長計劃的投資。

With that, I'd like to turn the time back to Mike.

有了這個，我想把時間轉回到邁克身上。

Thank you, Bryon. Before we open up the call for Q&A, I'd like to highlight 3 key takeaways from our prepared remarks.

謝謝你，布賴恩。在我們打開問答電話之前，我想強調一下我們準備好的評論中的 3 個關鍵要點。

First, PEI is transforming to a stable, high-margin business. We have already successfully transitioned production to approximately 50% specialty alcohols.

首先，PEI 正在向穩定、高利潤的業務轉型。我們已經成功地將生產轉變為大約 50% 的特種酒精。

As previously mentioned, we are focused on the health, home and beauty, food and beverage and essential ingredients markets. These are well-established markets that will continue to see long-term demand. We are investing in quality assurance and certifications to expand addressable customers and markets. And we expect long-term tailwinds from continued growth in demand for specialty alcohols and essential ingredients.

如前所述，我們專注於健康、家居和美容、食品和飲料以及基本成分市場。這些都是成熟的市場，將繼續看到長期需求。我們正在投資質量保證和認證，以擴大潛在客戶和市場。我們預計，對特種酒精和基本成分的需求持續增長會帶來長期的順風。

Second, we are improving our balance sheet while employing disciplined, conservative financial policies.

其次，我們正在改善我們的資產負債表，同時採用嚴格、保守的財務政策。

And third, with our strengthened balance sheet, we are now able to move towards executing on investment opportunities in our portfolio, the first of which is the expansion of the processing capacity of our yeast facility. We believe there are multiple projects with attractive return on investments, and we look forward to updating you as we take further steps.

第三，隨著我們的資產負債表得到加強，我們現在能夠在我們的投資組合中執行投資機會，首先是擴大我們酵母設施的加工能力。我們相信有多個項目具有有吸引力的投資回報，我們期待在我們採取進一步措施時向您提供最新信息。

I'll leave you with that and ask the operator to open the Q&A for questions. Operator?

我將把它留給你，並要求接線員打開問答環節。操作員？

(Operator Instructions) Our first question comes from the line of Eric Stine with Craig-Hallum.

（操作員說明）我們的第一個問題來自 Eric Stine 與 Craig-Hallum 的對話。

It's Aaron Spychalla on for Eric. Maybe first on the specialty alcohols, really great information you've kind of put in your recent slide deck. At a high level, can you just kind of give some color on just how the production breaks down between those various buckets and just some kind of ranges on ASPs within those buckets? And then maybe just talk a little bit about how you think about the trade-off between pricing and contract duration as you look at those areas?

是埃里克的亞倫·斯皮查拉。也許首先是關於特種酒精，你在最近的幻燈片中提供了非常好的信息。在高層次上，您能否就生產如何在這些不同的存儲桶之間分解以及這些存儲桶中的 ASP 的某種範圍給出一些顏色？然後也許只是談談您在查看這些領域時如何考慮定價和合同期限之間的權衡？

Yes, Aaron. So we don't actually provide that level of detail. I guess what I would say though is as you can imagine, that there's probably, in relation to pre-COVID, that there's a significantly higher balance that's going to hand sanitizers and disinfectants at the moment. That being said, there is a significant portion of those specialty alcohols going both across the spectrum from industrial up through GNS or, effectively, beverage-grade alcohols.

是的，亞倫。所以我們實際上並沒有提供那個級別的細節。我想我想說的是，正如您可以想像的那樣，與 COVID 之前相比，目前洗手液和消毒劑的平衡可能要高得多。話雖如此，這些特種酒精中有很大一部分跨越了從工業到 GNS 的整個範圍，或者實際上是飲料級酒精。

And then I think your second part of your question was, what is the nature of those contracts? Those contracts, industrial, to some degree, maybe a little bit shorter. Those are, as an example, industrial for export. Those may be in shorter nature, but the rest of the other specialty alcohols are usually 6 months to a year or longer.

然後我認為你的問題的第二部分是，這些合同的性質是什麼？這些合同，工業上的，在某種程度上，可能會短一點。例如，這些是出口工業。那些可能是較短的性質，但其他特種酒精的其餘部分通常是 6 個月到一年或更長時間。

Okay. Understood. And then just as we think about the vaccine news yesterday, and Mike, you had some commentary in your prepared remarks on your thoughts on demand. I mean, what are you hearing from your customers on how they're thinking the demand picture looks like as we head into next year and beyond? Hearing from a few of them, it sounds like it's something that they think is going to be here for quite some time.

好的。明白了。然後就像我們昨天考慮疫苗新聞一樣，邁克，你在準備好的評論中對你的想法發表了一些評論。我的意思是，當我們進入明年及以後，您從您的客戶那裡聽到了他們對需求情況的看法？從他們中的一些人那裡聽到，聽起來他們認為這將在這裡存在相當長的一段時間。

Yes. I would say, Aaron, that the -- what we're hearing from our customers, of course, everybody is trying to figure out what the new normal is going to look like going forward. The indications that we have received back from our customers, they feel that there is going to be a definite shift in the demand going forward. People are going to -- even with a vaccine, people are going to be more sensitive to what we've just gone through. And I think you'll see that in the way rental cars are treated now, what hotels and motels are going through, schools. Any kind of a social environment, I think people are going to be very cautious.

是的。我會說，亞倫，我們從客戶那裡聽到的，當然，每個人都在試圖弄清楚未來新常態會是什麼樣子。我們從客戶那裡收到的跡象表明，他們認為未來的需求將會發生明確的轉變。人們會——即使有了疫苗，人們也會對我們剛剛經歷的事情更加敏感。我想你會看到現在租車的處理方式，酒店和汽車旅館正在經歷的事情，學校。任何一種社會環境，我認為人們都會非常謹慎。

So what we're hearing from our customers is there's still going to be increased demand. What that ultimately ends up with, we're not sure. And that's one reason why we're not just solely focused on that segment of the market with specialty alcohol. We're really looking at a whole variety of consumer products, and part of the motivation with the certifications is to make sure that we can continue to develop further places for our specialty alcohols.

因此，我們從客戶那裡聽到的是需求仍然會增加。最終結果如何，我們不確定。這就是為什麼我們不僅僅專注於特種酒精市場的一個原因。我們真的在關注各種各樣的消費品，獲得認證的部分動機是確保我們可以繼續為我們的特種酒精開發更多的地方。

Okay. And then maybe last for me just on the reinvestment opportunities, good to see the balance sheet improve, being able to deploy some capital there. Are there any other examples you can give? And just maybe some color on the capital investment may be required and payback periods for any of those opportunities as well?

好的。然後對我來說可能只是再投資機會，很高興看到資產負債表有所改善，能夠在那裡部署一些資金。你還能舉出其他例子嗎？只是可能需要一些資本投資的顏色，以及任何這些機會的投資回收期？

Yes. So I think Mike gave a couple of them. Clearly, the GNS system, which was -- you're looking at about $6.5 million, $7 million of expenditure that we'll complete -- effectively completed this year. In addition, you've got another $5.5 million associated with the yeast -- I guess, I'd call it the first of what could be a series of expansion or capacity expansions at our yeast facility.

是的。所以我認為邁克給了他們幾個。很明顯，GNS 系統——你正在看大約 650 萬美元，我們將完成的 700 萬美元的支出——今年有效地完成了。此外，您還有 550 萬美元與酵母有關——我想，我認為這是我們酵母工廠可能進行的一系列擴張或產能擴張中的第一個。

There's also, I think, it's fair to represent that there's a number of pent-up projects and opportunities that are available just within our own system that we've not been able to invest capital in and to, if you will, exploit, given the difficulties in the transportation fuel market for the last 3 or 4 years and where we've had to redeploy capital instead into debt repayment and the like.

還有，我認為，公平地表示，在我們自己的系統內有許多被壓抑的項目和機會，我們無法投資，如果你願意，可以利用，給定過去 3 或 4 年運輸燃料市場的困難，以及我們不得不將資金重新部署到償還債務等方面。

We haven't -- I guess, there is also opportunities to think about, if you would, capturing more of the value chain and providing some of those services, differentiating with it, how you deliver product. We are a both deliverer of product, right? We ship by rail, truck and barge. And to be able to supply product in smaller packages and the likes is an interesting opportunity.

我們還沒有——我想，如果你願意的話，還有機會考慮更多的價值鏈並提供其中的一些服務，通過它來區分，你如何交付產品。我們既是產品的交付者，對吧？我們通過鐵路、卡車和駁船運輸。並且能夠以更小的包裝等提供產品是一個有趣的機會。

But until we actually have committed projects, we're going to withhold describing specifically what we intend to do. And hopefully, we'll be able to give you some color on our next call about 2021 where we're going to reinvest dollars and return. But I would say finally, that if we're looking at projects that have less than 2-year paybacks, that, that's a very accretive return on investment for shareholders and for the company.

但在我們真正提交項目之前，我們將不具體描述我們打算做什麼。希望我們能夠在我們關於 2021 年的下一次電話會議上為您提供一些顏色，我們將在該電話會議上重新投資美元並獲得回報。但我最後要說的是，如果我們正在研究投資回報期少於 2 年的項目，那對於股東和公司來說，這是一個非常可增值的投資回報。

Our next question comes from the line of Amit Dayal with H.C. Wainwright.

我們的下一個問題來自 Amit Dayal 和 H.C.溫賴特。

With respect to some of your debt burden, quarterly debt burden, how should we think about how this will play out in 2021 relative to 2020? I mean, if you could give us a sense of how maybe we should be modeling it? And I know you said we would be potentially net debt free. But in terms of how we should potentially model this on a quarterly basis, if you could give us some direction?

關於你們的一些債務負擔，季度債務負擔，相對於 2020 年，我們應該如何看待 2021 年的情況？我的意思是，如果你能讓我們了解我們應該如何建模它？而且我知道你說過我們可能沒有淨債務。但是，就我們應該如何按季度進行建模而言，您能否給我們一些指導？

I guess what I'd say generally is it does us no good to have cash on our balance sheet and debt on our balance sheet that we're paying 7% and 15%. So we're working quickly with our lenders to repay that debt as much as possible in a rational way and address any remaining issues. So I guess I would say is if things align the way we'd like to, I would expect that most of that debt will be repaid on or before year-end. There may be still some residual, and we'll address that in 2021.

我想我一般要說的是，我們的資產負債表上有現金，我們的資產負債表上有我們要支付 7% 和 15% 的債務，這對我們沒有好處。因此，我們正在與貸方迅速合作，以合理的方式盡可能多地償還債務，並解決任何遺留問題。所以我想我想說的是，如果事情按照我們想要的方式進行，我預計大部分債務將在年底或之前償還。可能還有一些殘留物，我們將在 2021 年解決這個問題。

On or before year-end 2020 or 2021?

在 2020 年或 2021 年年底或之前？

Yes. Sorry. So yes, we should address it before year-end or by year-end this year. And then we'll have a residual maybe running into 2021. But that would not be -- that's related to the term debt, not necessarily to our functioning and productive, low-cost working capital line of credit.

是的。對不起。所以是的，我們應該在年底之前或今年年底之前解決這個問題。然後我們可能會在 2021 年有剩餘。但這與期限債務無關，不一定與我們的運作和生產性、低成本營運資金信貸額度有關。

Understood. Are there any additional onetime potential gains that may play out in the fourth quarter?

明白了。是否有任何額外的一次性潛在收益可能在第四季度發揮作用？

Additional gains. Well, as Mike mentioned, we're working on -- we want to clearly monetize or reposition our Western assets. And so as I think we noted it, you can see that we had -- we incurred about $4.5 million of cost, associated gross loss on the quarter for those assets. So it's not -- idling these plants is not a cheap alternative, and certainly, the least cost alternative at the moment as compared to returning them to operation. But given current margins for most of those plants, except for the dry mill at Pekin, which would be profitable. But it certainly makes sense for us to either -- to be quick and resolute about what we're doing on those with regards to those plants.

額外收益。好吧，正如邁克所說，我們正在努力——我們希望明確地將我們的西方資產貨幣化或重新定位。因此，正如我認為我們注意到的那樣，您可以看到我們產生了大約 450 萬美元的成本，這些資產在本季度產生了相關的總損失。所以它不是 - 讓這些工廠閒置不是一個便宜的選擇，當然，與讓它們恢復運營相比，目前成本最低的選擇。但考慮到大多數這些工廠目前的利潤率，除了北京的干磨機，這將是有利可圖的。但這對我們來說當然是有意義的——對我們對那些植物所做的事情要迅速而堅決。

Understood. And then with respect to sort of the outlook for 2021, it looks like you have some visibility on the pricing you may receive. Is the variability going to come from the volume side, especially related to products you're supplying into the sanitizer market, et cetera?

明白了。然後就 2021 年的前景而言，您似乎對可能收到的價格有所了解。可變性是否會來自數量方面，尤其是與您向消毒劑市場供應的產品等有關？

Yes, I think that's fair. I mean, clearly, the contracts are for volumes and price. But as Mike mentioned earlier that our customers are -- have expectations. They are working as well with their final consumers and/or outlets, retail outlets and the like. But it wouldn't do anyone any good, as an example, to force customers to take product that hasn't yet cleared the shelf to make room for it. So really, I guess, the way that we would think about it is that if, as an example, there wasn't as much volume as we otherwise contracted for, that, that would be pushed into 2022. So it's not a question of if, but when, and how you work with customers and good business practices. I guess you could hold your customers be to the fire, but that wouldn't be particularly productive nor would it be a long-term type of relationship building.

是的，我認為這是公平的。我的意思是，很明顯，合同是針對數量和價格的。但正如邁克之前提到的，我們的客戶是有期望的。他們正在與他們的最終消費者和/或商店、零售商店等合作。但是，舉例來說，強迫顧客拿走尚未清理貨架的產品為它騰出空間，這對任何人都沒有好處。所以真的，我想，我們會考慮的方式是，例如，如果沒有我們合同約定的數量那麼多，那將被推遲到 2022 年。所以這不是一個問題如果，但何時以及如何與客戶和良好的商業實踐合作。我想你可以讓你的客戶陷入困境，但這不會特別有成效，也不會是一種長期的關係建設。

Understood. Just last one from me. Could you give us some color on what margins will look like once the yeast business has been sort of invested in? And would this be sort of accretive to current levels of margins we are seeing?

明白了。只是我的最後一個。你能給我們一些關於一旦酵母業務被投資後利潤率會是什麼樣子的顏色嗎？這是否會增加我們目前看到的利潤率水平？

Yes. I mean, I think what we've often indicated is, if you look at our yeast product, it's in multiples of what you would otherwise make on a dry distiller grain basis. Somewhere between, call it -- if you're paying -- if you're earning at $100, 10x that for the yeast. Now you're not generating that same kind of volume product. But that being said, I think you can probably do the math, if we're going to spend $5.5 million and it'll pay back in less than 2 years, it kind of gives you an idea of our 15% increase in that yeast product, the benefits of doing that.

是的。我的意思是，我認為我們經常指出的是，如果您查看我們的酵母產品，它是您在乾酒糟基礎上製作的產品的倍數。介於兩者之間，稱之為——如果你付錢的話——如果你的收入是 100 美元，是酵母的 10 倍。現在您不會生成相同類型的批量產品。但話雖如此，我想你可能可以算一下，如果我們要花 550 萬美元，它會在不到 2 年的時間內收回，這讓你知道我們的酵母增加了 15%產品，這樣做的好處。

You certainly hear in the space a lot of discussion amongst renewable fuel producers and ethanol producers of looking to high grade and take advantage of these -- what is effectively a protein-deficit in the world, right? And so there's opportunities to continue to produce that protein. And if you can produce more of that from these facilities, that's a real winner.

您肯定會在太空中聽到很多關於可再生燃料生產商和乙醇生產商尋求高品質並利用這些的討論——世界上實際上什麼是蛋白質缺乏症，對吧？所以有機會繼續生產這種蛋白質。如果您可以從這些設施中生產更多的產品，那將是真正的贏家。

And the benefits that we have is we have a wet mill right now that while it's unique or generally unique in the space, it -- and it provides great co-product return for our company, that there's still opportunities to be more efficient in what we do with that volume. And then as well, again, to reposition our dry mills to be able to take advantage of some of those additional protein values.

我們擁有的好處是我們現在擁有一個濕磨機，雖然它在該領域是獨一無二的或通常是獨一無二的，但它為我們的公司提供了巨大的聯產品回報，仍然有機會提高效率我們用那個量做。然後，再次重新定位我們的干磨機，以便能夠利用其中一些額外的蛋白質價值。

(Operator Instructions) Our next question comes from the line of Hamed Khorsand with BWS Financial.

（操作員說明）我們的下一個問題來自 BWS Financial 的 Hamed Khorsand。

So I just wanted to first ask, the majority of the contracts you've entered into for next year, is that based off of 140 million gallons or 85 million gallons?

所以我想先問一下，你們明年簽訂的大部分合同，是基於 1.4 億加侖還是 8500 萬加侖？

Yes, it's based off a higher capacity.

是的，它基於更高的容量。

Okay. And then on the competitive landscape, you guys have talked about -- a lot about the specialty alcohol business seeing less and less competition because of the FDA rules. Is that changing pricing at all for you?

好的。然後在競爭格局中，你們談到了很多關於特種酒精業務的競爭，因為 FDA 的規定越來越少。這對您來說是否會改變定價？

Is it changing pricing. As Mike mentioned in the prepared remarks, you're certainly not seeing the prices that you saw what was otherwise in a supply-deficient, high-peak period. That being said, we're still seeing prices that are, on average, above those that we've seen historically. So I think that's being captured across the value chain of the various specialty alcohols.

是不是在改變定價。正如邁克在準備好的評論中提到的那樣，您肯定不會看到您在供應不足的高峰期看到的價格。話雖如此，我們仍然看到平均價格高於我們歷史上看到的價格。所以我認為這在各種特種酒精的價值鏈中得到體現。

And then it, of course, is a dynamic, right? It changes from day-to-day, right? We have the vaccine. We have vaccines that are no longer approved. They're going to take longer. They're going to take shorter. You've got a product that's sitting on the shelf that, all of a sudden, is no longer accepted because of changes in regulations.

當然，它是動態的，對吧？它每天都在變化，對吧？我們有疫苗。我們有不再被批准的疫苗。他們將需要更長的時間。他們會花更短的時間。你有一個產品擱置在貨架上，突然之間，由於法規的變化，它不再被接受。

So you effectively have customers now that are really demanding higher-quality product. They're not waiting for regulatory changes or relief. They're saying we want the lower-quality products to be off-the-shelf and demanding basically the higher-quality products, the USP-grade product going forward.

因此，您現在有效地擁有了真正需要更高質量產品的客戶。他們不是在等待監管變化或救濟。他們說我們希望低質量的產品是現成的，並且基本上要求更高質量的產品，即 USP 級產品。

Yes. I would just add to that -- excuse me, that in addition to what's going to happen in the hand sanitizer market, a lot of the things that we're doing to position the company really are to look at different consumer products and really broaden our reach. If you look back even into 2019, our specialty alcohols that we were producing, the 85 million going into this year, going into 2020, was a profitable -- was a good margin business. And again, what we saw when -- in Q2, when everything spiked, there was a soft market that took that up substantially. But we really are focusing on the longer term to look at a variety of consumer products and making sure that we're positioned with our alcohol, specialty alcohol production, that we can tap into a variety of markets, not just hand sanitizer.

是的。我想補充一點——對不起，除了洗手液市場將要發生的事情之外，我們為定位公司所做的很多事情實際上是著眼於不同的消費產品並真正擴大我們的範圍。如果你回顧一下 2019 年，我們生產的特種酒精，即今年進入 2020 年的 8500 萬支，是一項有利可圖的業務——是一項利潤豐厚的業務。同樣，我們在第二季度看到的情況是，當一切都飆升時，有一個疲軟的市場大幅上漲。但我們確實著眼於長期關注各種消費品，並確保我們定位於我們的酒精、特種酒精生產，我們可以進入各種市場，而不僅僅是洗手液。

And how fast would you be able to change your composition of different alcohols, given if demand changes up on you?

如果您的需求發生變化，您能多快改變不同酒精的成分？

We have tremendous flexibility in our production. And the other thing that we're doing is making sure that all of our production can meet very high standards and -- to give us that flexibility. And with GNS, that is the highest-quality product that we can produce, and we'll have expanded capability in that area also.

我們的生產具有極大的靈活性。我們正在做的另一件事是確保我們所有的生產都能達到非常高的標準，並且——給我們這種靈活性。有了 GNS，這是我們可以生產的最高質量的產品，我們也將擴大該領域的能力。

And Mike, this is Bryon. Just one thing I'd mention as well is, maybe to bring to the point is, as Mike mentioned, we were producing in 2019 around 85 million gallons. That was pre-COVID, right? And so hand sanitizers made up a relatively modest portion of that business. And we certainly expect to not only continue to produce that. And it's not as if demand significantly diminished on that product, it's just that you saw a spike in what was otherwise a fairly small portion of the specialty alcohol market for hand sanitizers. So you certainly can make -- have the benefit of that, but also, you still have the business and the desire and the opportunity to continue to expand in the other areas.

邁克，這是布賴恩。我還要提到的一件事是，正如邁克所說，我們在 2019 年的產量約為 8500 萬加侖。那是在COVID之前，對吧？因此，洗手液在該業務中所佔的比例相對較小。我們當然希望不僅繼續生產。而且，該產品的需求似乎並沒有顯著減少，只是您看到了洗手液專用酒精市場的一小部分的飆升。所以你當然可以 - 從中受益，而且，你仍然有業務、願望和機會繼續在其他領域擴張。

This concludes today's question-and-answer session. I would now like to turn the call back to Mike Kandris, CEO, for closing remarks. .

今天的問答環節到此結束。我現在想將電話轉回給首席執行官邁克·坎德里斯（Mike Kandris），以致閉幕詞。 .

Thank you for joining us today. We are very proud of the progress we have made so far and fully believe with our refined focus on products and markets with strong growth trends, this will enable us to deliver greater and more consistent profitability for our shareholders. We will be at 2 upcoming virtual investor conferences: Stifel on November 12 and Craig-Hallum on November 17. And we look forward to continuing our dialogue as we make further progress.

感謝您今天加入我們。我們對迄今為止所取得的進展感到非常自豪，並完全相信，通過我們對具有強勁增長趨勢的產品和市場的精準關注，這將使我們能夠為我們的股東帶來更大、更穩定的盈利能力。我們將參加 2 場即將舉行的虛擬投資者會議：11 月 12 日的 Stifel 和 11 月 17 日的 Craig-Hallum。我們期待在取得進一步進展的同時繼續我們的對話。

Again, I want to thank everybody for your support of Pacific Ethanol, and have a good day.

再次感謝大家對 Pacific Ethanol 的支持，祝您有美好的一天。

Ladies and gentlemen, this concludes today's conference call. Thank you for your participation. You may now disconnect.

女士們，先生們，今天的電話會議到此結束。感謝您的參與。您現在可以斷開連接。