Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Dec. 31, 2015 | Feb. 01, 2016 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Dec. 31, 2015 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | ADVANCED BIOENERGY, LLC | |
Entity Central Index Key | 1,325,740 | |
Current Fiscal Year End Date | --09-30 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 25,410,851 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2015 | Sep. 30, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 14,942 | $ 16,566 |
Accounts receivable: | ||
Trade accounts receivable | 4,397 | 3,990 |
Other receivables | 155 | 117 |
Inventories | 5,070 | 4,621 |
Prepaid expenses | 1,108 | 743 |
Restricted cash | 1,530 | 4,612 |
Total current assets | 27,202 | 30,649 |
Property and equipment, net | 38,492 | 41,155 |
Other assets | 917 | 984 |
Total assets | 66,611 | 72,788 |
Current liabilities: | ||
Accounts payable | 3,403 | 5,379 |
Accrued expenses | 2,348 | 2,318 |
Current portion of long-term debt (stated principal amount of $2,922 and $2,024 at December 31, 2015 and September 30, 2015, respectively) | 2,922 | 5,654 |
Total current liabilities | 8,673 | 13,351 |
Other liabilities | 14 | 21 |
Long-term debt (stated principal amount of $26,686 and $27,000 at December 31, 2015 and September 30, 2015, respectively) | 26,686 | 27,000 |
Total liabilities | 35,373 | 40,372 |
Members' equity: | ||
Members' capital, no par value, 25,410,851 units issued and outstanding | 48,638 | 48,638 |
Accumulated deficit | (17,400) | (16,222) |
Total members' equity | 31,238 | 32,416 |
Total liabilities and members' equity | $ 66,611 | $ 72,788 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2015 | Sep. 30, 2015 |
Statement of Financial Position [Abstract] | ||
Current portion of long-term debt (stated principal amount) | $ 2,922 | $ 2,024 |
Principal amount of long-term debt | $ 26,686 | $ 27,000 |
Members' capital, par value | ||
Members' capital, units issued | 25,410,851 | 25,410,851 |
Members' capital, units outstanding | 25,410,851 | 25,410,851 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Net sales | ||
Ethanol and related products | $ 37,078 | $ 37,492 |
Other | 183 | 250 |
Total net sales | 37,261 | 37,742 |
Cost of goods sold | 37,943 | 34,462 |
Gross profit (loss) | (682) | 3,280 |
Selling, general and administrative expenses | 749 | 751 |
Operating income (loss) | (1,431) | 2,529 |
Other income | 281 | 202 |
Interest income | 36 | 6 |
Interest expense | (64) | (34) |
Net Income (loss) | $ (1,178) | $ 2,703 |
Weighed average units outstanding - basic | 25,411 | 25,411 |
Weighed average units outstanding - diluted | 25,411 | 25,411 |
Net Income (loss) per unit - basic and diluted | $ (0.05) | $ 0.11 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Members' Equity - 3 months ended Dec. 31, 2015 - USD ($) $ in Thousands | Total | Member's Capital [Member] | Accumulated Deficit [Member] |
Beginning Balance at Sep. 30, 2015 | $ 32,416 | $ 48,638 | $ (16,222) |
Beginning Balance, shares at Sep. 30, 2015 | 25,410,851 | 25,410,851 | |
Net loss | $ (1,178) | (1,178) | |
Ending Balance at Dec. 31, 2015 | $ 31,238 | $ 48,638 | $ (17,400) |
Ending Balance, shares at Dec. 31, 2015 | 25,410,851 | 25,410,851 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (1,178) | $ 2,703 |
Adjustments to reconcile net income to operating activities cash flows: | ||
Depreciation | 2,832 | 2,715 |
Amortization of deferred financing costs | 44 | 22 |
Amortization of deferred revenue and rent | (7) | (7) |
Amortization of additional carrying value of debt | (699) | (421) |
Gain on troubled debt restructuring | (322) | (172) |
Change in working capital components: | ||
Accounts receivable | (492) | (1,579) |
Inventories | (449) | (345) |
Prepaid expenses | (365) | (518) |
Accounts payable | (1,976) | (914) |
Accrued expenses | 77 | (503) |
Net cash provided by (used in) operating activities | (2,535) | 981 |
Cash flows from investing activities: | ||
Purchase of property and equipment | (169) | (1,425) |
Change in other assets | 67 | |
Change in restricted cash | 3,082 | 869 |
Net cash provided by (used in) investing activities | 2,980 | (556) |
Cash flows from financing activities: | ||
Payments on debt | (32,069) | (4,000) |
Proceeds from debt | 30,000 | |
Net cash (used in) financing activities | (2,069) | (4,000) |
Net (decrease) in cash and cash equivalents | (1,624) | (3,575) |
Beginning cash and cash equivalents | 16,566 | 21,982 |
Ending cash and cash equivalents | 14,942 | 18,407 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | $ 369 | $ 447 |
Organization and Significant Ac
Organization and Significant Accounting Policies | 3 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Significant Accounting Policies | 1. Organization and Significant Accounting Policies The consolidated financial statements include the accounts of Advanced BioEnergy, LLC (“ABE” or the “Company”) and its wholly owned subsidiaries, ABE Fairmont, LLC (“ABE Fairmont”) and ABE South Dakota, LLC (“ABE South Dakota”). Substantially all of the assets of ABE Fairmont were sold in December 2012 and the subsidiary is now inactive. All intercompany balances and transactions have been eliminated in consolidation. The accompanying unaudited consolidated financial statements have been prepared in conformity with U.S. generally accepted accounting principles, or GAAP, for interim financial information and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. The interim financial statements should be read in conjunction with the audited financial statements and notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended September 30, 2015. The financial information as of December 31, 2015 and the results of operations for the three months ended December 31, 2015 are not necessarily indicative of the results for the fiscal year ending September 30, 2016. In the opinion of management, the interim financial statements reflect all normal recurring adjustments necessary for fair presentation. The Company currently operates three ethanol production facilities in the U.S. with a combined production capacity of 85 million gallons per year. The Company acquired existing facilities in Aberdeen, South Dakota (9 million gallons) and Huron, South Dakota (32 million gallons) in November 2006 and began operations at the 44 million gallon Aberdeen expansion facility in January 2008. Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. The Company’s cash balances are maintained in bank depositories and periodically exceed federally insured limits. The Company has not experienced losses in these accounts. The Company segregates cash restricted for debt service and has classified these funds according to the future anticipated use of the funds. Restricted cash included cash held for debt service under the terms of its former debt agreements and a deposit for a rail car sublease. Receivables Credit sales are made to a relatively small numbers of customers with no collateral required. Trade receivables are carried at original invoice amount less an estimate made for doubtful receivables based on a review of all outstanding amounts on a monthly basis. Management determines the allowance for doubtful accounts by regularly evaluating individual receivables and considering a customer’s financial condition, credit history and current economic conditions. Receivables are written off if deemed uncollectible. Recoveries of receivables previously written off are recorded when received. There was no allowance for doubtful accounts recorded at December 31 or September 30, 2015. Inventories Ethanol inventory, raw materials, work-in-process and parts inventory are valued using methods that approximate the lower of cost (first-in, first-out) or net realizable value (NRV). Distillers grains and related products are stated at net realizable value. In the valuation of inventories and purchase and sale commitments, NRV is determined as estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. Property and Equipment Property and equipment is carried at cost less accumulated depreciation computed using the straight-line method over the estimated useful lives: Office equipment 3-7 Years Process equipment 10 Years Buildings 40 Years Maintenance and repairs are charged to expense as incurred; major improvements and betterments are capitalized. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount on the asset may not be recoverable. An impairment loss would be recognized when estimated undiscounted future cash flows from operations are less than the carrying value of the asset group. An impairment loss would be measured by the amount by which the carrying value of the asset exceeds the estimated fair value on that date. Commodity Sales and Purchase Contracts, Derivative Instruments The Company currently does not enter into commodity futures or exchange-traded commodity options contracts for the sale of its products or purchases of its inputs. However, the Company does enter into forward sales contracts for ethanol, distillers grains and corn oil, and purchase contracts for corn and natural gas. The Company classifies these sales and purchase contracts as normal sales and purchase contracts and accordingly, these contracts are not marked to market. These contracts provide for the sale or purchase of an item other than a financial instrument or derivative instrument that will be delivered in quantities expected to be sold or used over a reasonable period in the normal course of business. Revenue Recognition Ethanol revenue is recognized when product title and all risk of ownership is transferred to the customer as specified in the contractual agreements with the marketers. Under these marketing agreements, revenue is recognized when product is loaded into rail cars or trucks for shipment. Revenue from the sale of co-products is recorded when title and all risk of ownership transfers to customers. Co-products are normally shipped free on board (“FOB”) shipping point. In accordance with the Company’s agreements for the marketing and sale of ethanol and related products, commissions due to the marketers are deducted from the gross sale price at the time of payment. Interest income is recognized as earned. Income (Loss) Per Unit Basic and diluted income per unit is computed using the weighted-average number of units outstanding during each period presented. Accounting Estimates Management uses estimates and assumptions in preparing these financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could differ from those estimates. Income Taxes The Company has elected to be treated as a partnership for tax purposes and generally does not incur income taxes. Instead, the Company’s earnings and losses are included in the income tax returns of the members. Therefore, no provision or liability for federal or state income taxes has been included in these financial statements. The Company files income tax returns in the U.S. federal and various state jurisdictions. Risks and Uncertainties The supply and demand for ethanol are affected by federal and state legislation and regulation, most significantly the Renewable Fuels Standard (“RFS”). Any changes in legislation or regulation that could cause the demand for ethanol to decline or its supply to increase, could have a material adverse effect on our business, results of operations and financial condition, and our ability to operate at a profit. On November 30, 2015, the EPA announced final Renewable Volume Obligation (“RVO”) requirements for the RFS for calendar years 2014, 2015 and 2016. Although the new RVO requirements set are above the reduction that earlier had been proposed, they are lower than the original requirements set by the RFS. Ethanol opponents such as large oil companies will likely continue their efforts to repeal or reduce the RFS through lawsuits or lobbying of Congress. Successful reduction or repeal of the blending requirements of the RFS could result in a significant decrease in ethanol demand. Current ethanol production capacity is approximately 15.0 billion gallons according to the Renewable Fuels Association (“RFA”). Reduction of blending requirements could reduce the demand for and price of ethanol. If demand for ethanol decreases, it could materially adversely affect our business, results of operations and financial condition. Ethanol has historically traded at a discount to gasoline, however with the recent decline in oil prices ethanol is currently trading at a premium to gasoline causing a disincentive for discretionary blending of ethanol beyond the required blend rate. Consequently, there may be a negative impact on ethanol pricing and demand, which could result in a material adverse effect on our business, results of operations and financial condition. |
Inventories
Inventories | 3 Months Ended |
Dec. 31, 2015 | |
Inventory Disclosure [Abstract] | |
Inventories | 2. Inventories A summary of inventories is as follows (in thousands): December 31, 2015 September 30, 2015 Chemicals $ 927 $ 778 Work in process 832 892 Ethanol 1,602 1,258 Distillers grain 38 63 Supplies and parts 1,671 1,630 Total $ 5,070 $ 4,621 |
Property and Equipment
Property and Equipment | 3 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | 3. Property and Equipment A summary of property and equipment is as follows (in thousands): December 31, 2015 September 30, 2015 Land $ 1,811 $ 1,811 Buildings 10,204 10,157 Process equipment 107,007 106,919 Office equipment 1,551 1,551 Construction in process 70 35 120,643 120,473 Accumulated depreciation (82,151 ) (79,318 ) Property and equipment, net $ 38,492 $ 41,155 |
Long-term Debt
Long-term Debt | 3 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Long-term Debt | 4. Long-term Debt A summary of long-term debt is as follows (in thousands, except percentages): December 31, 2015 Interest Rate December 31, 2015 September 30, 2015 ABE South Dakota: Senior debt principal - variable 3.70% $ 30,000 $ 29,000 Restructuring fee N/A — 3,024 Deferred financing costs N/A (392 ) — Additional carrying value of restructured debt N/A — 630 Total outstanding 29,608 32,654 Additional carrying value of restructured debt N/A — (630 ) Stated principal $ 29,608 $ 32,024 The estimated maturities of debt at December 31 are as follows (in thousands): Senior Debt Principal Deferred Financing Costs Total 2016 $ 3,000 $ (78 ) $ 2,922 2017 4,000 (78 ) 3,922 2018 4,000 (78 ) 3,922 2019 4,000 (79 ) 3,921 2020 4,000 (79 ) 3,921 Thereafter 11,000 — 11,000 Total debt $ 30,000 $ (392 ) $ 29,608 2010 Senior Credit Agreement for the South Dakota Plants ABE South Dakota entered into an Amended and Restated Senior Credit Agreement (the “2010 Senior Credit Agreement”), effective as of June 18, 2010, and amended on December 9, 2011, which was accounted for under troubled debt restructuring rules. The 2010 Senior Credit Agreement was executed among ABE South Dakota, the lenders from time to time party thereto, and an Administrative Agent and Collateral Agent. The 2010 Senior Credit Agreement converted the outstanding principal amount of the loans and certain other amounts under interest rate protection agreements to a senior term loan. The interest accrued on outstanding term and working capital loans under the previous credit agreement were reduced to zero. ABE South Dakota agreed to pay a $3.0 million restructuring fee to the lender due at the earlier of March 31, 2016 and the date on which the loans were repaid in full. ABE South Dakota recorded the restructuring fee as non-interest bearing debt on its consolidated balance sheets. See “Additional Carrying Value of Restructured Debt” below. As discussed below, during the quarter ended December 31, 2015, ABE South Dakota refinanced the 2010 Senior Credit Agreement. In connection with closing, ABE South Dakota paid in full all amounts outstanding under the 2010 Senior Credit Agreement, including $29.0 million of principal, accrued interest, the $3.0 restructuring fee, and the waiver fee of $68,750, and all security interests of the prior lenders were extinguished. Additional Carrying Value of Restructured Debt Since the future maximum undiscounted cash payments on the 2010 Senior Credit Agreement (including principal, interest and the restructuring fee) exceeded the adjusted carrying value at the time of the June 2010 restructuring, no gain for the forgiven interest was recorded, the carrying value was not adjusted and the modification of terms was accounted for on a prospective basis, via a new effective interest calculation, amortized over the life of the note, offsetting interest expense. As a result of the debt pre-payments made during the quarter ended December 31, 2015 and the year ended September 30, 2015, the carrying value of the debt exceeded the scheduled principal and interest payments remaining over the term of the loan. As a result, the Company recognized gains of $0.3 million and $0.2 million in the quarters ended December 31, 2015 and 2014, respectively. 2015 Senior Credit Agreement for the South Dakota Plants On December 29, 2015, ABE South Dakota entered into a Master Credit Agreement (“2015 Credit Agreement”) with AgCountry Farm Credit Services, PCA as lender, (“AgCountry”) to refinance its existing 2010 Senior Credit Agreement. On December 29, 2015, the Company also entered into (i) a First Supplement to the 2015 Credit Agreement covering a $10.0 million Revolving Term Facility and (ii) a Second Supplemental covering a $20.0 million Term Loan. The transaction funded on December 30, 2015. The $20.0 million Term Loan has a variable interest rate (“Variable Rate”) equal to the one-month LIBOR rate plus a “Margin” of 350 basis points. The applicable LIBOR interest rate at December 29, 2015 was 0.42%. Beginning April 1, 2016, the Company must make quarterly principal payments of $1.0 million, plus accrued interest, on the Term Loan. The Term Loan will be fully amortized over five years with the final payment on January 1, 2021. The Company may elect one or more fixed or adjustable interest rates, rather than the Variable Rate, based on AgCountry’s cost of funds at the time of the election, plus the Margin. Any election must apply to $1.0 million or more owing on the Term Loan. At December 31, 2015, the balance of the Term Loan was $20.0 million. The $10.0 Revolving Term Facility also has a Variable Rate equal to the one-month LIBOR rate plus an initial Margin of 350 basis points. Borrowings under the Revolving Term Facility may be advanced, repaid and re-borrowed during the term. The Company will make quarterly interest payments on the Revolving Term Facility, with the full principal amount outstanding due on January 1, 2021. Under the Revolving Term Facility, the Company is required to pay unused commitment fees of 50 basis points. At December 31, 2015, the balance of the Revolving Term Facility was $10.0 million. The Margin will (i) decrease to 3.25% when the aggregate principal balance of all outstanding loans and the unfunded commitment level is $20.0 million or less, and (ii) decrease to 3.00% when this amount is $15.0 million or less. ABE South Dakota, LLC also entered into a Security Agreement with AgCountry under which borrowings under the 2015 Credit Agreement are secured by substantially all of ABE South Dakota’s assets. AgCountry holds a first priority security interest and mortgage in all inventory, accounts receivable, intangibles, equipment, fixtures, buildings, and a first mortgage in land owned or leased by ABE South Dakota. The 2015 Credit Agreement also includes customary financial and non-financial covenants that limit capital expenditures, distributions and debt and require minimum working capital, owner’s equity, debt to EBITDA, and fixed charge coverage ratios. ABE Letter of Credit The Company has a $1.5 million irrevocable and non-transferable standby letter of credit related to a rail car sublease. This letter of credit is collateralized by $1.5 million of cash in a restricted account, which has been classified as restricted cash. |
One-time Termination Benefit
One-time Termination Benefit | 3 Months Ended |
Dec. 31, 2015 | |
Restructuring and Related Activities [Abstract] | |
One-time Termination Benefit | 5. One-time Termination Benefit Subsequent to the sale of its Fairmont facility, the Company implemented a cost reduction program reducing its headquarters staff to align its staffing with the remaining on-going operations. The Company also accrued benefits due to the Chief Executive Officer in June 2014 under his amended employment agreement signed in January 2013. The unpaid amounts as of December 31, 2015 are expected to be paid at the time of various employee terminations. In connection with this cost reduction program, the Company had an accrual balance of $0.2 million at December 31, 2015 and September 30, 2015. |
Major Customers
Major Customers | 3 Months Ended |
Dec. 31, 2015 | |
Risks and Uncertainties [Abstract] | |
Major Customers | 6. Major Customers ABE South Dakota has ethanol marketing agreements with NGL Energy Partners, LP (“NGL”), a diversified energy business. These ethanol marketing agreements require that we sell to NGL all of the denatured fuel-grade ethanol produced at the South Dakota plants. The term of these ethanol marketing agreements expires on June 30, 2016. ABE South Dakota is party to a co-product marketing agreement with Dakotaland Feeds, LLC (“Dakotaland Feeds”), whereby Dakotaland Feeds markets the local sale of distillers’ grains produced at the ABE South Dakota Huron plant to third parties for an agreed upon commission. ABE South Dakota has a marketing agreement with Gavilon to market the dried distillers’ grains from the Aberdeen plant, effective July 1, 2013 until July 31, 2016. ABE South Dakota self-markets the wet distillers’ grains produced at the Aberdeen plant. Sales and receivables from the ABE South Dakota’s major customers were as follows (in thousands): As of and for the Quarter Ending For the Quarter Ending As Of December 31, 2015 December 31, 2014 September 30, 2015 NGL Energy - Ethanol Three months revenues $ 30,072 $ 31,545 Receivable balance at period end 3,382 $ 3,272 Gavilon - Distillers Grains Three months revenues $ 3,656 $ 2,789 Receivable balance at period end 337 $ 384 Dakotaland Feeds - Distillers Grains Three months revenues $ 2,907 $ 2,131 Receivable balance at period end 453 $ 206 |
Risk Management
Risk Management | 3 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Risk Management | 7. Risk Management The Company is exposed to a variety of market risks, including the effects of changes in commodity prices and interest rates. These financial exposures are monitored and managed by the Company as an integral part of its overall risk management program. The Company’s risk management program seeks to reduce the potentially adverse effects that the volatility of these markets may have on its current and future operating results. To reduce these effects, the Company generally attempts to fix corn purchase prices and related sale prices of ethanol, distillers’ grains and corn oil, with forward purchase and sale contracts to lock in future operating margins. In addition to entering into contracts to purchase 462 thousand bushels of corn in which the basis or futures price was not locked, the Company had entered into the following fixed price forward contracts at December 31, 2015 (in thousands): Commodity Type Quantity Amount (in 000’s) Period Covered Through Ethanol Sale 349,200 gallons $ 429 January 31, 2016 Corn Purchase 75,000 bushels 251 January 31, 2016 Distillers grains Sale 23,375 1,501 January 31, 2016 Unrealized gains and losses on forward contracts, in which delivery has not occurred, are deemed “normal purchases and normal sales” and therefore are not marked to market in the financial statements. |
Parent Financial Statements
Parent Financial Statements | 3 Months Ended |
Dec. 31, 2015 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Parent Financial Statements | 8. Parent Financial Statements The following financial information represents the unconsolidated financial statements of Advanced BioEnergy, LLC (“ABE”) as of December 31, 2015 and September 30, 2015, and for the three months ended December 31, 2015 and 2014. ABE’s ability to receive distributions from ABE South Dakota is based on the terms and conditions in ABE South Dakota’s credit agreements. Under the 2010 Credit Agreement, ABE South Dakota was allowed to make equity distributions (other than certain tax distributions) to ABE only upon ABE South Dakota meeting certain financial conditions and if there was no more than $25 million of principal outstanding on the senior term loan. Under the 2015 Credit Agreement, ABE South Dakota is allowed to distribute up to 40% of pre-tax net income in a given year, but must meet all loan covenants before and after any distribution. There were no distributions from ABE South Dakota during the last three fiscal years. Advanced BioEnergy, LLC (Unconsolidated) Balance Sheets (Unaudited) December 31, 2015 September 30, 2015 (Dollars in thousands) ASSETS Current assets: Cash and cash equivalents $ 5,179 $ 8,158 Restricted cash 1,530 1,500 Receivables 48 — Prepaid expenses — 6 Total current assets 6,757 9,664 Property and equipment, net 180 211 Other assets: Investment in ABE Fairmont — 108 Investment in ABE South Dakota 24,576 22,717 Other assets 32 32 Total assets $ 31,545 $ 32,732 LIABILITIES AND MEMBERS’ EQUITY Current liabilities: Accrued expenses $ 293 $ 295 Other liabilities 14 21 Total liabilities 307 316 Members’ equity: Members’ capital, no par value, 25,410,851 units issued and outstanding 48,638 48,638 Accumulated deficit (17,400 ) (16,222 ) Total members’ equity 31,238 32,416 Total liabilities and members’ equity $ 31,545 $ 32,732 Advanced BioEnergy, LLC (Unconsolidated) Statements of Operations (Unaudited) Three Months Ended December 31, 2015 December 31, 2014 (Dollars in thousands) Equity in earnings of consolidated subsidiary $ (1,141 ) $ 2,809 Selling, general and administrative expenses (67 ) (111 ) Operating income (loss) (1,208 ) 2,698 Other (expense) (6 ) — Interest income 36 5 Net income (loss) $ (1,178 ) $ 2,703 Advanced BioEnergy, LLC (Unconsolidated) Statements of Cash Flows (Unaudited) Three Months Ended December 31, 2015 December 31, 2014 (Dollars in thousands) Cash flows from operating activities: Net income (loss) $ (1,178 ) $ 2,703 Adjustments to reconcile net income to operating activities cash flows: Depreciation 31 36 Equity in earnings (losses) of consolidated subsidiaries 1,141 (2,809 ) Amortization of deferred revenue and rent (7 ) (7 ) Change in working capital components: Accounts receivable (48 ) — Prepaid expenses 6 (21 ) Accounts payable and accrued expenses (2 ) 67 Net cash (used in) operating activities (57 ) (31 ) Cash flows from investing activities: Change in restricted cash (30 ) — Net cash (used in) investing activities (30 ) — Cash flows from financing activities: Distribution to consolidated subsidiaries (2,892 ) — Net cash (used in) financing activities (2,892 ) — Net (decrease) in cash and cash equivalents (2,979 ) (31 ) Beginning cash and cash equivalents 8,158 8,988 Ending cash and cash equivalents $ 5,179 $ 8,957 |
Organization and Significant 15
Organization and Significant Accounting Policies (Policies) | 3 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Cash, Cash Equivalents and Restricted Cash | Cash, Cash Equivalents and Restricted Cash The Company considers all highly liquid investments with original maturities of three months or less to be cash equivalents. The Company’s cash balances are maintained in bank depositories and periodically exceed federally insured limits. The Company has not experienced losses in these accounts. The Company segregates cash restricted for debt service and has classified these funds according to the future anticipated use of the funds. Restricted cash included cash held for debt service under the terms of its former debt agreements and a deposit for a rail car sublease. |
Receivables | Receivables Credit sales are made to a relatively small numbers of customers with no collateral required. Trade receivables are carried at original invoice amount less an estimate made for doubtful receivables based on a review of all outstanding amounts on a monthly basis. Management determines the allowance for doubtful accounts by regularly evaluating individual receivables and considering a customer’s financial condition, credit history and current economic conditions. Receivables are written off if deemed uncollectible. Recoveries of receivables previously written off are recorded when received. There was no allowance for doubtful accounts recorded at December 31 or September 30, 2015. |
Inventories | Inventories Ethanol inventory, raw materials, work-in-process and parts inventory are valued using methods that approximate the lower of cost (first-in, first-out) or net realizable value (NRV). Distillers grains and related products are stated at net realizable value. In the valuation of inventories and purchase and sale commitments, NRV is determined as estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal, and transportation. |
Property and Equipment | Property and Equipment Property and equipment is carried at cost less accumulated depreciation computed using the straight-line method over the estimated useful lives: Office equipment 3-7 Years Process equipment 10 Years Buildings 40 Years Maintenance and repairs are charged to expense as incurred; major improvements and betterments are capitalized. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount on the asset may not be recoverable. An impairment loss would be recognized when estimated undiscounted future cash flows from operations are less than the carrying value of the asset group. An impairment loss would be measured by the amount by which the carrying value of the asset exceeds the estimated fair value on that date. |
Commodity Sales and Purchase Contracts, Derivative Instruments | Commodity Sales and Purchase Contracts, Derivative Instruments The Company currently does not enter into commodity futures or exchange-traded commodity options contracts for the sale of its products or purchases of its inputs. However, the Company does enter into forward sales contracts for ethanol, distillers grains and corn oil, and purchase contracts for corn and natural gas. The Company classifies these sales and purchase contracts as normal sales and purchase contracts and accordingly, these contracts are not marked to market. These contracts provide for the sale or purchase of an item other than a financial instrument or derivative instrument that will be delivered in quantities expected to be sold or used over a reasonable period in the normal course of business. |
Revenue Recognition | Revenue Recognition Ethanol revenue is recognized when product title and all risk of ownership is transferred to the customer as specified in the contractual agreements with the marketers. Under these marketing agreements, revenue is recognized when product is loaded into rail cars or trucks for shipment. Revenue from the sale of co-products is recorded when title and all risk of ownership transfers to customers. Co-products are normally shipped free on board (“FOB”) shipping point. In accordance with the Company’s agreements for the marketing and sale of ethanol and related products, commissions due to the marketers are deducted from the gross sale price at the time of payment. Interest income is recognized as earned. |
Income (Loss) Per Unit | Income (Loss) Per Unit Basic and diluted income per unit is computed using the weighted-average number of units outstanding during each period presented. |
Accounting Estimates | Accounting Estimates Management uses estimates and assumptions in preparing these financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. Actual results could differ from those estimates. |
Income Taxes | Income Taxes The Company has elected to be treated as a partnership for tax purposes and generally does not incur income taxes. Instead, the Company’s earnings and losses are included in the income tax returns of the members. Therefore, no provision or liability for federal or state income taxes has been included in these financial statements. The Company files income tax returns in the U.S. federal and various state jurisdictions. |
Risks and Uncertainties | Risks and Uncertainties The supply and demand for ethanol are affected by federal and state legislation and regulation, most significantly the Renewable Fuels Standard (“RFS”). Any changes in legislation or regulation that could cause the demand for ethanol to decline or its supply to increase, could have a material adverse effect on our business, results of operations and financial condition, and our ability to operate at a profit. On November 30, 2015, the EPA announced final Renewable Volume Obligation (“RVO”) requirements for the RFS for calendar years 2014, 2015 and 2016. Although the new RVO requirements set are above the reduction that earlier had been proposed, they are lower than the original requirements set by the RFS. Ethanol opponents such as large oil companies will likely continue their efforts to repeal or reduce the RFS through lawsuits or lobbying of Congress. Successful reduction or repeal of the blending requirements of the RFS could result in a significant decrease in ethanol demand. Current ethanol production capacity is approximately 15.0 billion gallons according to the Renewable Fuels Association (“RFA”). Reduction of blending requirements could reduce the demand for and price of ethanol. If demand for ethanol decreases, it could materially adversely affect our business, results of operations and financial condition. Ethanol has historically traded at a discount to gasoline, however with the recent decline in oil prices ethanol is currently trading at a premium to gasoline causing a disincentive for discretionary blending of ethanol beyond the required blend rate. Consequently, there may be a negative impact on ethanol pricing and demand, which could result in a material adverse effect on our business, results of operations and financial condition. |
Organization and Significant 16
Organization and Significant Accounting Policies (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Estimated Useful Lives of Property and Equipment | Property and equipment is carried at cost less accumulated depreciation computed using the straight-line method over the estimated useful lives: Office equipment 3-7 Years Process equipment 10 Years Buildings 40 Years |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | A summary of inventories is as follows (in thousands): December 31, 2015 September 30, 2015 Chemicals $ 927 $ 778 Work in process 832 892 Ethanol 1,602 1,258 Distillers grain 38 63 Supplies and parts 1,671 1,630 Total $ 5,070 $ 4,621 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Summary of Property and Equipment | A summary of property and equipment is as follows (in thousands): December 31, 2015 September 30, 2015 Land $ 1,811 $ 1,811 Buildings 10,204 10,157 Process equipment 107,007 106,919 Office equipment 1,551 1,551 Construction in process 70 35 120,643 120,473 Accumulated depreciation (82,151 ) (79,318 ) Property and equipment, net $ 38,492 $ 41,155 |
Long-term Debt (Tables)
Long-term Debt (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Summary of Debt | A summary of long-term debt is as follows (in thousands, except percentages): December 31, 2015 Interest Rate December 31, 2015 September 30, 2015 ABE South Dakota: Senior debt principal - variable 3.70% $ 30,000 $ 29,000 Restructuring fee N/A — 3,024 Deferred financing costs N/A (392 ) — Additional carrying value of restructured debt N/A — 630 Total outstanding 29,608 32,654 Additional carrying value of restructured debt N/A — (630 ) Stated principal $ 29,608 $ 32,024 |
Schedule of Maturities of Long Term Debt | The estimated maturities of debt at December 31 are as follows (in thousands): Senior Debt Principal Deferred Financing Costs Total 2016 $ 3,000 $ (78 ) $ 2,922 2017 4,000 (78 ) 3,922 2018 4,000 (78 ) 3,922 2019 4,000 (79 ) 3,921 2020 4,000 (79 ) 3,921 Thereafter 11,000 — 11,000 Total debt $ 30,000 $ (392 ) $ 29,608 |
Major Customers (Tables)
Major Customers (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Risks and Uncertainties [Abstract] | |
Sales and Receivables | Sales and receivables from the ABE South Dakota’s major customers were as follows (in thousands): As of and for the Quarter Ending For the Quarter Ending As Of December 31, 2015 December 31, 2014 September 30, 2015 NGL Energy - Ethanol Three months revenues $ 30,072 $ 31,545 Receivable balance at period end 3,382 $ 3,272 Gavilon - Distillers Grains Three months revenues $ 3,656 $ 2,789 Receivable balance at period end 337 $ 384 Dakotaland Feeds - Distillers Grains Three months revenues $ 2,907 $ 2,131 Receivable balance at period end 453 $ 206 |
Risk Management (Tables)
Risk Management (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fixed Price Forward Contracts | The Company had entered into the following fixed price forward contracts at December 31, 2015 (in thousands): Commodity Type Quantity Amount (in 000’s) Period Covered Through Ethanol Sale 349,200 gallons $ 429 January 31, 2016 Corn Purchase 75,000 bushels 251 January 31, 2016 Distillers grains Sale 23,375 1,501 January 31, 2016 |
Parent Financial Statements (Ta
Parent Financial Statements (Tables) | 3 Months Ended |
Dec. 31, 2015 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Balance Sheets | Advanced BioEnergy, LLC (Unconsolidated) Balance Sheets (Unaudited) December 31, 2015 September 30, 2015 (Dollars in thousands) ASSETS Current assets: Cash and cash equivalents $ 5,179 $ 8,158 Restricted cash 1,530 1,500 Receivables 48 — Prepaid expenses — 6 Total current assets 6,757 9,664 Property and equipment, net 180 211 Other assets: Investment in ABE Fairmont — 108 Investment in ABE South Dakota 24,576 22,717 Other assets 32 32 Total assets $ 31,545 $ 32,732 LIABILITIES AND MEMBERS’ EQUITY Current liabilities: Accrued expenses $ 293 $ 295 Other liabilities 14 21 Total liabilities 307 316 Members’ equity: Members’ capital, no par value, 25,410,851 units issued and outstanding 48,638 48,638 Accumulated deficit (17,400 ) (16,222 ) Total members’ equity 31,238 32,416 Total liabilities and members’ equity $ 31,545 $ 32,732 |
Statements of Operations | Advanced BioEnergy, LLC (Unconsolidated) Statements of Operations (Unaudited) Three Months Ended December 31, 2015 December 31, 2014 (Dollars in thousands) Equity in earnings of consolidated subsidiary $ (1,141 ) $ 2,809 Selling, general and administrative expenses (67 ) (111 ) Operating income (loss) (1,208 ) 2,698 Other (expense) (6 ) — Interest income 36 5 Net income (loss) $ (1,178 ) $ 2,703 |
Statements of Cash Flows | Advanced BioEnergy, LLC (Unconsolidated) Statements of Cash Flows (Unaudited) Three Months Ended December 31, 2015 December 31, 2014 (Dollars in thousands) Cash flows from operating activities: Net income (loss) $ (1,178 ) $ 2,703 Adjustments to reconcile net income to operating activities cash flows: Depreciation 31 36 Equity in earnings (losses) of consolidated subsidiaries 1,141 (2,809 ) Amortization of deferred revenue and rent (7 ) (7 ) Change in working capital components: Accounts receivable (48 ) — Prepaid expenses 6 (21 ) Accounts payable and accrued expenses (2 ) 67 Net cash (used in) operating activities (57 ) (31 ) Cash flows from investing activities: Change in restricted cash (30 ) — Net cash (used in) investing activities (30 ) — Cash flows from financing activities: Distribution to consolidated subsidiaries (2,892 ) — Net cash (used in) financing activities (2,892 ) — Net (decrease) in cash and cash equivalents (2,979 ) (31 ) Beginning cash and cash equivalents 8,158 8,988 Ending cash and cash equivalents $ 5,179 $ 8,957 |
Organization and Significant 23
Organization and Significant Accounting Policies - Additional Information (Detail) gal in Millions | 3 Months Ended | |
Dec. 31, 2015USD ($)Facilitygal | Sep. 30, 2015USD ($) | |
Organization And Significant Accounting Policies [Line Items] | ||
Number of ethanol production facilities | Facility | 3 | |
Cash and cash equivalents maturity period | Three months or less | |
Allowance for doubtful accounts | $ | $ 0 | $ 0 |
Current ethanol production capacity | 15,000 | |
South Dakota [Member] | ||
Organization And Significant Accounting Policies [Line Items] | ||
Capacity of production facilities | 85 | |
Aberdeen 1 [Member] | ||
Organization And Significant Accounting Policies [Line Items] | ||
Capacity of production facilities | 9 | |
Huron [Member] | ||
Organization And Significant Accounting Policies [Line Items] | ||
Capacity of production facilities | 32 | |
Aberdeen 2 [Member] | ||
Organization And Significant Accounting Policies [Line Items] | ||
Capacity of production facilities | 44 |
Organization and Significant 24
Organization and Significant Accounting Policies - Estimated Useful Lives of Property and Equipment (Detail) | 3 Months Ended |
Dec. 31, 2015 | |
Process Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 10 years |
Buildings [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 40 years |
Minimum [Member] | Office Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 3 years |
Maximum [Member] | Office Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 7 years |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Sep. 30, 2015 |
Summary of inventories | ||
Chemicals | $ 927 | $ 778 |
Work in process | 832 | 892 |
Ethanol | 1,602 | 1,258 |
Distillers grain | 38 | 63 |
Supplies and parts | 1,671 | 1,630 |
Total | $ 5,070 | $ 4,621 |
Property and Equipment - Summar
Property and Equipment - Summary of Property and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Sep. 30, 2015 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 120,643 | $ 120,473 |
Accumulated depreciation | (82,151) | (79,318) |
Property and equipment, net | 38,492 | 41,155 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,811 | 1,811 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 10,204 | 10,157 |
Process Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 107,007 | 106,919 |
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,551 | 1,551 |
Construction in Process [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 70 | $ 35 |
Long-term Debt - Summary of Deb
Long-term Debt - Summary of Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Sep. 30, 2015 |
Debt Instrument [Line Items] | ||
Deferred Financing Costs | $ (392) | |
Additional carrying value of restructured debt | $ 630 | |
Total debt | 29,608 | 32,654 |
Stated principal | 29,608 | 32,024 |
ABE South Dakota [Member] | ||
Debt Instrument [Line Items] | ||
Restructuring fee | 3,024 | |
Deferred Financing Costs | (392) | |
Additional carrying value of restructured debt | 630 | |
Total debt | $ 29,608 | 32,654 |
ABE South Dakota [Member] | Senior Debt Principal - Variable [Member] | ||
Debt Instrument [Line Items] | ||
Interest Rate variable | 3.70% | |
Total debt | $ 30,000 | $ 29,000 |
Long-term Debt - Schedule of Ma
Long-term Debt - Schedule of Maturities of Long Term Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Sep. 30, 2015 |
Schedule Of Maturities Of Long Term Debt [Line Items] | ||
Senior Debt Principal | $ 30,000 | |
Deferred Financing Costs | (392) | |
Total | 29,608 | $ 32,654 |
2016 [Member] | ||
Schedule Of Maturities Of Long Term Debt [Line Items] | ||
Senior Debt Principal | 3,000 | |
Deferred Financing Costs | (78) | |
Total | 2,922 | |
2017 [Member] | ||
Schedule Of Maturities Of Long Term Debt [Line Items] | ||
Senior Debt Principal | 4,000 | |
Deferred Financing Costs | (78) | |
Total | 3,922 | |
2018 [Member] | ||
Schedule Of Maturities Of Long Term Debt [Line Items] | ||
Senior Debt Principal | 4,000 | |
Deferred Financing Costs | (78) | |
Total | 3,922 | |
2019 [Member] | ||
Schedule Of Maturities Of Long Term Debt [Line Items] | ||
Senior Debt Principal | 4,000 | |
Deferred Financing Costs | (79) | |
Total | 3,921 | |
2020 [Member] | ||
Schedule Of Maturities Of Long Term Debt [Line Items] | ||
Senior Debt Principal | 4,000 | |
Deferred Financing Costs | (79) | |
Total | 3,921 | |
Thereafter [Member] | ||
Schedule Of Maturities Of Long Term Debt [Line Items] | ||
Senior Debt Principal | 11,000 | |
Total | $ 11,000 |
Long-term Debt - Additional Inf
Long-term Debt - Additional Information (Detail) - USD ($) | Dec. 29, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2015 | Jun. 18, 2010 |
Debt Instrument [Line Items] | |||||
Reduction in accrued interest payable | The interest accrued on outstanding term and working capital loans under the previous credit agreement were reduced to zero | ||||
Interest accrued | $ 0 | ||||
Payment of principal and accrued interest | $ 32,069,000 | $ 4,000,000 | |||
Restricted account collateral for letter of credit | 1,530,000 | $ 4,612,000 | |||
Standby Letter of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Irrevocable and non-transferable standby letter of credit | 1,500,000 | ||||
Restricted account collateral for letter of credit | 1,500,000 | ||||
AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Payment of principal and accrued interest | $ 29,000,000 | ||||
Payment of restructuring fee | 3,000,000 | ||||
Payment of waiver fee | 68,750 | ||||
Term Loan [Member] | AgCountry Farm Senior Credit Agreement [Member] | Second Supplemental Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Face amount of debt instrument | 20,000,000 | ||||
Revolving Term Loan [Member] | AgCountry Farm Senior Credit Agreement [Member] | First Supplement Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Face amount of debt instrument | $ 10,000,000 | ||||
Applicable Margin 3.25 % [Member] | AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Decrease in applicable margin | 3.25% | ||||
Applicable Margin 3.25 % [Member] | Maximum [Member] | AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Unfunded commitments | $ 20,000,000 | ||||
Applicable Margin 3.00 % [Member] | AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Decrease in applicable margin | 3.00% | ||||
Applicable Margin 3.00 % [Member] | Maximum [Member] | AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Unfunded commitments | $ 15,000,000 | ||||
ABE South Dakota [Member] | 2010 Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Restructuring fee paid to the lenders | 3,000,000 | ||||
ABE South Dakota [Member] | Term Loan [Member] | AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Principal amount of term loan payable | $ 1,000,000 | ||||
Debt instrument, term | 5 years | ||||
Debt instrument, date of first required payment | Apr. 1, 2016 | ||||
Debt instrument, maturity date | Jan. 1, 2021 | ||||
Balance amount | 20,000,000 | ||||
ABE South Dakota [Member] | Revolving Term Loan [Member] | AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, maturity date | Jan. 1, 2021 | ||||
Balance amount | 10,000,000 | ||||
Unused commitment fees | 0.50% | ||||
ABE South Dakota [Member] | One-Month LIBOR [Member] | Term Loan [Member] | AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, basis spread on variable rate | 3.50% | ||||
ABE South Dakota [Member] | London Interbank Offered Rate (LIBOR) [Member] | Term Loan [Member] | AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, applicable interest rate | 0.42% | ||||
ABE South Dakota [Member] | 30-Day LIBOR [Member] | Revolving Term Loan [Member] | AgCountry Farm Senior Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, basis spread on variable rate | 3.50% | ||||
Other Income [Member] | |||||
Debt Instrument [Line Items] | |||||
Recognized gains from the Debt | $ 300,000 | $ 200,000 |
One-time Termination Benefit -
One-time Termination Benefit - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2015 | Sep. 30, 2015 |
Discontinued Operations and Disposal Groups [Abstract] | ||
Accrual balance | $ 0.2 | $ 0.2 |
Major Customers - Additional In
Major Customers - Additional Information (Detail) - ABE South Dakota [Member] | 3 Months Ended |
Dec. 31, 2015 | |
Ethanol Marketing Agreements [Member] | |
Revenue, Major Customer [Line Items] | |
Agreement expiration date | Jun. 30, 2016 |
Co-product Marketing Agreement [Member] | |
Revenue, Major Customer [Line Items] | |
Agreement expiration date | Jul. 31, 2016 |
Agreement effective date | Jul. 1, 2013 |
Major Customers - Sales and Rec
Major Customers - Sales and Receivables (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2015 | |
NGL Energy Ethanol [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenues | $ 30,072 | $ 31,545 | |
Receivable balance at period end | 3,382 | $ 3,272 | |
Gavilon Distillers Grains [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenues | 3,656 | 2,789 | |
Receivable balance at period end | 337 | 384 | |
Dakotaland Feeds Distillers Grains [Member] | |||
Revenue, Major Customer [Line Items] | |||
Revenues | 2,907 | $ 2,131 | |
Receivable balance at period end | $ 453 | $ 206 |
Risk Management - Additional In
Risk Management - Additional Information (Detail) | 3 Months Ended |
Dec. 31, 2015bu | |
Purchase Contracts [Member] | Corn (Bushels) [Member] | |
Derivative [Line Items] | |
Forward contracts, Quantity | 462,000 |
Risk Management - Fixed Price F
Risk Management - Fixed Price Forward Contracts (Detail) $ in Thousands | 3 Months Ended |
Dec. 31, 2015USD ($)Tgalbu | |
Corn (Bushels) [Member] | Purchase Contracts [Member] | |
Derivative [Line Items] | |
Forward contracts, Quantity | 462,000 |
Forward contracts, Quantity | 462,000 |
Forward Contracts [Member] | Ethanol (Gallons) [Member] | Sales Contracts [Member] | |
Derivative [Line Items] | |
Forward contracts, Quantity | gal | 349,200 |
Forward contracts, Quantity | gal | 349,200 |
Forward contracts, Amount | $ | $ 429 |
Forward contracts, Period Covered Through | Jan. 31, 2016 |
Forward Contracts [Member] | Corn (Bushels) [Member] | Purchase Contracts [Member] | |
Derivative [Line Items] | |
Forward contracts, Quantity | 75,000 |
Forward contracts, Quantity | 75,000 |
Forward contracts, Amount | $ | $ 251 |
Forward contracts, Period Covered Through | Jan. 31, 2016 |
Forward Contracts [Member] | Distillers Grains (Tons) [Member] | Sales Contracts [Member] | |
Derivative [Line Items] | |
Forward contracts, Quantity | T | 23,375 |
Forward contracts, Amount | $ | $ 1,501 |
Forward contracts, Period Covered Through | Jan. 31, 2016 |
Parent Financial Statements - A
Parent Financial Statements - Additional Information (Detail) - ABE South Dakota [Member] - USD ($) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2012 | |
Distributions from subsidiaries | $ 0 | $ 0 | $ 0 | |
2010 Senior Credit Agreement [Member] | ||||
Maximum principal outstanding on senior term loan for equity distribution | $ 25,000,000 | |||
AgCountry Farm Senior Credit Agreement [Member] | Maximum [Member] | ||||
Threshold pre-tax net income distribution | 40.00% |
Parent Financial Statements - B
Parent Financial Statements - Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Sep. 30, 2015 | Dec. 31, 2014 | Sep. 30, 2014 |
Current assets: | ||||
Cash and cash equivalents | $ 14,942 | $ 16,566 | $ 18,407 | $ 21,982 |
Restricted cash | 1,530 | 4,612 | ||
Prepaid expenses | 1,108 | 743 | ||
Total current assets | 27,202 | 30,649 | ||
Property and equipment, net | 38,492 | 41,155 | ||
Other assets: | ||||
Other assets | 917 | 984 | ||
Total assets | 66,611 | 72,788 | ||
Current liabilities: | ||||
Accrued expenses | 2,348 | 2,318 | ||
Other liabilities | 14 | 21 | ||
Total liabilities | 35,373 | 40,372 | ||
Members' equity: | ||||
Members' capital, no par value, 25,410,851 units issued and outstanding | 48,638 | 48,638 | ||
Accumulated deficit | (17,400) | (16,222) | ||
Total members' equity | 31,238 | 32,416 | ||
Total liabilities and members' equity | 66,611 | 72,788 | ||
Parent Company [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 5,179 | 8,158 | $ 8,957 | $ 8,988 |
Restricted cash | 1,530 | 1,500 | ||
Receivables | 48 | |||
Prepaid expenses | 6 | |||
Total current assets | 6,757 | 9,664 | ||
Property and equipment, net | 180 | 211 | ||
Other assets: | ||||
Other assets | 32 | 32 | ||
Total assets | 31,545 | 32,732 | ||
Current liabilities: | ||||
Accrued expenses | 293 | 295 | ||
Other liabilities | 14 | 21 | ||
Total liabilities | 307 | 316 | ||
Members' equity: | ||||
Members' capital, no par value, 25,410,851 units issued and outstanding | 48,638 | 48,638 | ||
Accumulated deficit | (17,400) | (16,222) | ||
Total members' equity | 31,238 | 32,416 | ||
Total liabilities and members' equity | 31,545 | 32,732 | ||
ABE Fairmont [Member] | Parent Company [Member] | ||||
Other assets: | ||||
Investment in ABE | 108 | |||
ABE South Dakota [Member] | Parent Company [Member] | ||||
Other assets: | ||||
Investment in ABE | $ 24,576 | $ 22,717 |
Parent Financial Statements -37
Parent Financial Statements - Balance Sheets (Parenthetical) (Detail) - $ / shares | Dec. 31, 2015 | Sep. 30, 2015 |
Members' capital, par value | ||
Members' capital, units issued | 25,410,851 | 25,410,851 |
Members' capital, units outstanding | 25,410,851 | 25,410,851 |
Parent Company [Member] | ||
Members' capital, par value | ||
Members' capital, units issued | 25,410,851 | 25,410,851 |
Members' capital, units outstanding | 25,410,851 | 25,410,851 |
Parent Financial Statements - S
Parent Financial Statements - Statements of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Selling, general and administrative expenses | $ (749) | $ (751) |
Operating income (loss) | (1,431) | 2,529 |
Other (expense) | 281 | 202 |
Interest income | 36 | 6 |
Net Income (loss) | (1,178) | 2,703 |
Parent Company [Member] | ||
Equity in earnings of consolidated subsidiary | (1,141) | 2,809 |
Selling, general and administrative expenses | (67) | (111) |
Operating income (loss) | (1,208) | 2,698 |
Other (expense) | (6) | |
Interest income | 36 | 5 |
Net Income (loss) | $ (1,178) | $ 2,703 |
Parent Financial Statements -39
Parent Financial Statements - Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (1,178) | $ 2,703 |
Adjustments to reconcile net income to operating activities cash flows: | ||
Depreciation | 2,832 | 2,715 |
Amortization of deferred revenue and rent | (7) | (7) |
Change in working capital components: | ||
Accounts receivable | (492) | (1,579) |
Prepaid expenses | (365) | (518) |
Net cash provided by (used in) operating activities | (2,535) | 981 |
Cash flows from investing activities: | ||
Change in restricted cash | 3,082 | 869 |
Net cash (used in) investing activities | 2,980 | (556) |
Cash flows from financing activities: | ||
Net cash (used in) financing activities | (2,069) | (4,000) |
Net (decrease) in cash and cash equivalents | (1,624) | (3,575) |
Beginning cash and cash equivalents | 16,566 | 21,982 |
Ending cash and cash equivalents | 14,942 | 18,407 |
Parent Company [Member] | ||
Cash flows from operating activities: | ||
Net income (loss) | (1,178) | 2,703 |
Adjustments to reconcile net income to operating activities cash flows: | ||
Depreciation | 31 | 36 |
Equity in earnings (losses) of consolidated subsidiaries | 1,141 | (2,809) |
Amortization of deferred revenue and rent | (7) | (7) |
Change in working capital components: | ||
Accounts receivable | (48) | |
Prepaid expenses | 6 | (21) |
Accounts payable and accrued expenses | (2) | 67 |
Net cash provided by (used in) operating activities | (57) | (31) |
Cash flows from investing activities: | ||
Change in restricted cash | (30) | |
Net cash (used in) investing activities | (30) | |
Cash flows from financing activities: | ||
Distribution to consolidated subsidiaries | (2,892) | |
Net cash (used in) financing activities | (2,892) | |
Net (decrease) in cash and cash equivalents | (2,979) | (31) |
Beginning cash and cash equivalents | 8,158 | 8,988 |
Ending cash and cash equivalents | $ 5,179 | $ 8,957 |