Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Aggregate Market Value of Non-affiliates | $ 44,668,200 | |
Capital Units, Outstanding | 13,327 | 13,327 |
Entity Registrant Name | Southwest Iowa Renewable Energy, LLC | |
Entity Central Index Key | 0001424844 | |
Current Fiscal Year End Date | --09-30 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Shell Company | false | |
Entity Address, Address Line One | 10868 189th street | |
Entity Address, City or Town | Council Bluffs | |
Entity Address, State or Province | IA | |
Entity Address, Postal Zip Code | 51503 | |
City Area Code | 712 | |
Local Phone Number | 366-0392 | |
Entity Tax Identification Number | 20-2735046 | |
Entity File Number | 000-53041 | |
Document Type | 10-K | |
Entity Emerging Growth Company | false | |
Document Period End Date | Sep. 30, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | FY | |
Amendment Flag | false | |
Entity Well-known Seasoned Issuer | No | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Incorporation, State or Country Code | IA | |
Document Annual Report | true | |
Document Transition Report | false | |
Entity Public Float | $ 52,134,000 | |
Common Class A [Member] | ||
Entity Common Stock, Shares Outstanding | 8,810 | |
Common Class B [Member] | ||
Entity Common Stock, Shares Outstanding | 3,334 | |
Common Class C [Member] | ||
Entity Common Stock, Shares Outstanding | 1,000 |
Balance Sheets
Balance Sheets - USD ($) | Sep. 30, 2019 | Sep. 30, 2018 |
Current Assets | ||
Cash and cash equivalents | $ 1,075,000 | $ 1,440,000 |
Accounts receivable | 1,431,000 | 1,135,000 |
Accounts receivable, related party | 7,885,000 | 11,537,000 |
Derivative financial instruments | 78,000 | 1,046,000 |
Inventory | 17,167,000 | 13,526,000 |
Prepaid expenses and other | 331,000 | 341,000 |
Total current assets | 27,967,000 | 29,025,000 |
Property, Plant, and Equipment | ||
Land | 2,064,000 | 2,064,000 |
Plant, building and equipment | 239,446,000 | 229,813,000 |
Office and other equipment | 1,803,000 | 1,625,000 |
Total Cost | 243,313,000 | 233,502,000 |
Accumulated depreciation | (131,864,000) | (121,634,000) |
Net property and equipment | 111,449,000 | 111,868,000 |
Other Assets | ||
Other assets | 1,447,000 | 1,738,000 |
Total Assets | 140,863,000 | 142,631,000 |
Current Liabilities | ||
Accounts payable | 4,151,000 | 3,183,000 |
Accounts payable, related parties | 2,000 | 18,000 |
Derivative Liability | 597,000 | 1,567,000 |
Accrued expenses | 9,906,000 | 6,778,000 |
Accrued expenses, related parties | 581,000 | 601,000 |
Accrued Put Option Liability, Related Party | 6,037,000 | 0 |
Long-term Debt, Current Maturities | 580,000 | 6,560,000 |
Total current liabilities | 21,854,000 | 18,707,000 |
Long Term Liabilities | ||
Long-term Debt, Excluding Current Maturities | 25,832,000 | 15,333,000 |
Other long-term liabilities | 3,872,000 | 5,389,000 |
Fair Value, Put Option Liability | 0 | 5,400,000 |
Total long term liabilities | 29,704,000 | 26,122,000 |
Members' Equity | ||
Members' capital, 13,139 Units issued and outstanding | 87,165,000 | 87,165,000 |
Accumulated profit (deficit) | 2,140,000 | 10,637,000 |
Total members' equity | 89,305,000 | 97,802,000 |
Total Liabilities and Members' Equity | $ 140,863,000 | $ 142,631,000 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - shares | Sep. 30, 2019 | Sep. 30, 2018 |
Statement of Financial Position [Abstract] | ||
Members' capital, units issued | 13,327 | 13,327 |
Members' capital, units outstanding | 13,327 | 13,327 |
Statements Of Operations
Statements Of Operations - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Revenues | $ 216,993 | $ 214,990 |
Cost of goods sold-non hedging | 221,842 | 213,024 |
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net | 2,825 | 1,674 |
Cost of Goods and Services Sold | 219,017 | 211,350 |
Gross Margin | (2,024) | 3,640 |
General and administrative expenses | 4,837 | 4,972 |
Operating Income | (6,861) | (1,332) |
Other Income (Expense) | ||
Interest Income (Expense), Net | 999 | 1,672 |
Increase (Decrease) in Put Options | 637 | (300) |
Other (Income) Expense | (1,636) | (1,372) |
Net (Loss) | $ (8,497) | $ (2,704) |
Weighted Average Number of Shares Outstanding, Basic | 13,327 | 13,327 |
Weighted Average Number of Shares Outstanding, Diluted | 13,327 | 13,327 |
Earnings Per Share, Basic | $ (637.58) | $ (202.90) |
Earnings Per Share, Diluted | $ (637.58) | $ (202.90) |
Statement Of Members' Equity
Statement Of Members' Equity - USD ($) $ in Thousands | Total | Member Contribution [Member] | Retained Earnings [Member] |
Members' Capital | $ 87,165 | ||
Retained Earnings (Accumulated Deficit) | $ 20,004 | ||
Balance at Sep. 30, 2017 | $ 107,169 | ||
Balance at Sep. 30, 2017 | 107,169 | ||
Balance at Sep. 30, 2018 | 97,802 | ||
Distribution Made to Limited Liability Company (LLC) Member, Cash Distributions Paid | (6,663) | 0 | 6,663 |
Net (loss) | 2,704 | 0 | 2,704 |
Members' Capital | 87,165 | ||
Retained Earnings (Accumulated Deficit) | 10,637 | 10,637 | |
Balance at Sep. 30, 2018 | 97,802 | ||
Balance at Sep. 30, 2019 | 89,305 | ||
Distribution Made to Limited Liability Company (LLC) Member, Cash Distributions Paid | 0 | ||
Net (loss) | 8,497 | 0 | 8,497 |
Retained Earnings (Accumulated Deficit) | $ 2,140 | $ 87,165 | $ 2,140 |
Condensed Statements Of Cash Fl
Condensed Statements Of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Net Income (Loss) Available to Common Stockholders, Basic | $ (8,497) | $ (2,704) |
Adjustments to reconcile net (loss) to net cash provided by operating activities: | ||
Depreciation | 10,230 | 11,372 |
Amortization | 71 | 72 |
Gain (Loss) on Disposition of Property Plant Equipment | 0 | 498 |
Other assets | 291 | 405 |
Increase (Decrease) in Put Options | 637 | (300) |
(Increase) decrease in current assets: | ||
Accounts receivable | 3,356 | 623 |
Inventories | (3,641) | (312) |
Prepaid expenses and other | 10 | 100 |
Increase (Decrease) in Derivative Assets | 968 | (1,023) |
Increase (decrease) in current liabilities: | ||
Decrease in other long-term liabilities | (1,517) | 397 |
Accounts payable | 952 | (351) |
Derivative financial instruments, related party | (970) | 656 |
Accrued expenses | 3,108 | 438 |
Net cash provided by operating activities | 4,998 | 9,871 |
Cash Flows From Investing Activities | ||
Purchase of property and equipment | (9,811) | (5,562) |
Proceeds from Sale of Property, Plant, and Equipment | 0 | 50 |
Net cash (used in) investing activities | (9,811) | (5,512) |
Cash Flows From Financing Activities | ||
Distribution Made to Limited Liability Company (LLC) Member, Cash Distributions Paid | 0 | 6,663 |
Proceeds from notes payable | 193,041 | 153,386 |
Payments on borrowings | (188,593) | (151,129) |
Net cash (used in) financing activities | 4,448 | (4,406) |
Net increase (decrease) in cash and cash equivalents | (365) | (47) |
Cash And Equivalents-Beginning | 1,440 | 1,487 |
Cash And Equivalents-Ending | 1,075 | 1,440 |
Supplemental Cash Flow Information [Abstract] | ||
Interest Paid, Excluding Capitalized Interest, Operating Activities | $ 980 | $ 952 |
Nature Of Business
Nature Of Business | 12 Months Ended |
Sep. 30, 2019 | |
Nature Of Business [Abstract] | |
Nature Of Business | Nature of Business Southwest Iowa Renewable Energy, LLC (the “ Company ”), located in Council Bluffs, Iowa, was formed in March 2005, operates a 140 million gallon capacity ethanol plant and began producing ethanol in February 2009. The Company sold 128.0 million gallons and 127.8 million gallons of ethanol in Fiscal 2019 and Fiscal 2018 , respectively. The Company sells its ethanol distillers grains, corn syrup, and corn oil in the continental United States, Mexico and the Pacific Rim. |
Summary Of Significant Accounti
Summary Of Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2019 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | Summary of Significant Accounting Policies Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Cash and Cash Equivalents The Company considers all highly liquid investments purchased with a maturity of three months or less when purchased to be cash equivalents. Concentration of Credit Risk The Company’s cash balances are maintained in bank deposit accounts which at times may exceed federally-insured limits. The Company has not experienced any losses in such accounts. Restatement The Company has applied SAB No. 108, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements. SAB No. 108 states that registrants must quantify the impact of correcting all misstatements, including both the carryover (iron curtain method) and reversing (rollover method) effects of prior year misstatements on the current-year financial statements, and by evaluating the error measured under each method in light of quantitative and qualitative factors. Under SAB No. 108, prior year misstatements which, if corrected in the current year would be material to the current year, must be corrected by adjusting prior year financial statements. In applying the requirements of SAB No. 108, the Company adjusted its repairs and maintenance accruals, which were understated, with respect to the tank cars and hopper cars the Company was leasing. The Company should have been booking a provision for repairs necessary to return the cars to the lessor in "normal" status. Since the lease was initiated in March of 2009, with a lease end date of March of 2019, adjustments to previous periods were required. Although the charges in any one quarter were not significant, the historical financial statements were restated with all appropriate entries being retrospectively reflected in the financial statements. The Audit Committee of the Board of Directors of the Company concluded the interim unaudited condensed financial statements for the quarters ending in Fiscal 2018 and Fiscal 2019, as well as the audited annual financial statement for Fiscal 2018 needed to be restated. In Fiscal 2019, the repair and maintenance charges were identified and the original estimate was included in the Second Quarter ending March 31, 2019 for the quarter and year-to-date, as well as comparative quarterly Fiscal 2018 financial information. In the Fourth Quarter ending September 30, 2019, the Company discovered that the original estimated accrual per railcar was in error, and flowed through an additional amount per quarter starting in 2009 forward. The error corrections for the financial statements are included in the charts below. The quarterly information for each three month period in Fiscal 2018 need to be restated, as well as the annual total. In Fiscal 2019, the first quarter needed to be restated, while the second and third quarter were amended to correct the original estimate. The year end statement had not been filed, so the values presented for September 30, 2019, are the final, adjusted numbers. As of September 30, 2018, the impact of the restatement on the balance sheet to the audited financial statements was $5.4 million . Fiscal 2018 - Annual Original Restated Increase Amounts in 000's September 30, 2018 September 30, 2018 (Decrease) Revenues 214,990 214,990 — Cost of Goods Sold 210,783 211,350 567 Gross Margin 4,207 3,640 (567 ) General and administrative expenses 4,972 4,972 — Interest expense and other income, net 1,372 1,372 — Net (Loss) (2,137 ) (2,704 ) (567 ) Net (Loss) per unit basic $ (160.35 ) $ (202.9 ) $ (42.55 ) Net (Loss) per unit diluted $ (160.35 ) $ (202.9 ) $ (42.55 ) ASSETS Current Assets Cash & cash equivalents 1,440 1,440 — Accounts receivable 12,672 12,672 — Inventory 13,526 13,526 — Other current assets 1,387 1,387 — Total Current Assets 29,025 29,025 — Net property, plant and equipment 111,868 111,868 — Other assets 1,738 1,738 — Total Assets 142,631 142,631 — LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 12,147 12,147 — Current maturities of notes payable 6,560 6,560 — Total Current Liabilities 18,707 18,707 — Total Long Term Liabilities 20,733 26,122 5,389 Members' Capital 87,165 87,165 — Accumulated Earnings 16,026 10,637 (5,389 ) Total Liabilities and Members' Equity 142,631 142,631 — Fiscal 2018 - Quarterly Original Restated Original Restated Amounts in 000's December 31, 2017 December 31, 2017 March 31, 2018 March 31, 2018 Revenues 50,546 50,546 53,551 53,551 Cost of Goods Sold 47,838 47,980 53,195 53,337 Gross Margin 2,708 2,566 356 214 General and administrative expenses 1,378 1,378 1,056 1,056 Interest expense and other income, net 149 149 135 135 Net Income (Loss) 1,181 1,039 (835 ) (977 ) Net Income (Loss) per unit basic $ 88.62 $ 77.96 $ (62.65 ) $ (73.31 ) Net Income (Loss) per unit diluted $ 82.09 $ 72.22 $ (62.65 ) $ (73.31 ) Original Restated Original Restated December 31, 2017 December 31, 2017 March 31, 2018 March 31, 2018 ASSETS Current Assets Cash & cash equivalents 2,489 2,489 1,275 1,275 Accounts receivable 11,601 11,601 12,945 12,945 Inventory 13,176 13,176 13,176 13,176 Other current assets 1,204 1,204 1,531 1,531 Total Current Assets 28,470 28,470 28,927 28,927 Net property, plant and equipment 115,237 115,237 114,655 114,655 Other assets 2,101 2,101 2,107 2,107 Total Assets 145,808 145,808 145,689 145,689 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 21,250 21,250 7,108 7,108 Current maturities of notes payable 5,043 5,043 6,549 6,549 Total Current Liabilities 26,293 26,293 13,657 13,657 Total Long Term Liabilities 13,007 17,971 26,358 31,464 Members' Capital 87,165 87,165 87,165 87,165 Accumulated Earnings 19,343 14,379 18,509 13,403 Total Liabilities and Members' Equity 145,808 145,808 145,689 145,689 Fiscal 2018 - Quarterly Original Restated Amounts in 000's June 30, 2018 June 30, 2018 Revenues 53,611 53,611 Cost of Goods Sold 54,782 54,924 Gross Margin (Loss) (1,171 ) (1,313 ) General and administrative expenses 1,809 1,809 Interest expense and other income, net 265 265 Net (Loss) (3,245 ) (3,387 ) Net (Loss) per unit basic $ (243.49 ) $ (254.15 ) Net (Loss) per unit diluted $ (243.49 ) $ (254.15 ) Original Restated June 30, 2018 June 30, 2018 ASSETS Current Assets Cash & cash equivalents 1,207 1,207 Accounts receivable 14,584 14,584 Inventory 13,547 13,547 Other current assets 902 902 Total Current Assets 30,240 30,240 Net property, plant and equipment 113,729 113,729 Other assets 2,102 2,102 Total Assets 146,071 146,071 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 11,569 11,569 Current maturities of notes payable 6,554 6,554 Total Current Liabilities 18,123 18,123 Total Long Term Liabilities 25,519 30,767 Members' Capital 87,165 87,165 Accumulated Earnings 15,264 10,016 Total Liabilities and Members' Equity 146,071 146,071 Fiscal 2019 - Quarterly Original Restated Original Restated Amounts in 000's December 31, 2018 December 31, 2018 March 31, 2019 March 31, 2019 Revenues 53,382 53,382 53,190 53,190 Cost of Goods Sold 52,878 53,020 53,568 53,617 Gross Margin (Loss) 504 362 (378 ) (427 ) General and administrative expenses 1,502 1,502 1,174 1,174 Interest expense and other income, net 169 169 215 215 Net (Loss) (1,167 ) (1,309 ) (1,767 ) (1,816 ) Net (Loss) per unit basic $ (87.57 ) $ (98.22 ) $ (132.59 ) $ (136.26 ) Net (Loss) per unit diluted $ (87.57 ) $ (98.22 ) $ (132.59 ) $ (136.26 ) Original Restated Original Restated December 31, 2018 December 31, 2018 March 31, 2019 March 31, 2019 ASSETS Current Assets Cash & cash equivalents 1,042 1,042 1,101 1,101 Accounts receivable 9,909 9,909 9,776 9,776 Inventory 13,650 13,650 17,278 17,278 Other current assets 1,164 1,164 1,533 1,533 Total Current Assets 25,765 25,765 29,688 29,688 Net property, plant and equipment 109,714 109,714 107,697 107,697 Other assets 1,738 1,738 1,447 1,447 Total Assets 137,217 137,217 138,832 138,832 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 17,110 17,964 9,850 11,650 Current maturities of notes payable 5,065 5,065 3,571 3,571 Total Current Liabilities 22,175 23,029 13,421 15,221 Total Long Term Liabilities 13,018 17,695 28,803 32,583 Members' Capital 87,165 87,165 87,165 87,165 Accumulated Earnings 14,859 9,328 9,443 3,863 Total Liabilities and Members' Equity 137,217 137,217 138,832 138,832 Fiscal 2019 - Quarterly Original Restated Amounts in 000's June 30, 2019 June 30, 2019 Revenues 53,505 53,505 Cost of Goods Sold 52,903 52,903 Gross Margin 602 602 General and administrative expenses 1,061 1,061 Interest expense and other income, net 292 292 Net (Loss) (751 ) (751 ) Net (Loss) per unit basic $ (56.35 ) $ (56.35 ) Net (Loss) per unit diluted $ (56.35 ) $ (56.35 ) Original Restated June 30, 2019 June 30, 2019 ASSETS Current Assets Cash & cash equivalents 1,076 1,076 Accounts receivable 7,636 7,636 Inventory 19,848 19,848 Other current assets 3,996 3,996 Total Current Assets 32,556 32,556 Net property, plant and equipment 109,957 109,957 Other assets 1,447 1,447 Total Assets 143,960 143,960 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 15,887 17,687 Current maturities of notes payable 2,077 2,077 Total Current Liabilities 17,964 19,764 Total Long Term Liabilities 30,139 33,919 Members' Capital 87,165 87,165 Accumulated Earnings 8,692 3,112 Total Liabilities and Members' Equity 143,960 143,960 Revenue Recognition The Company adopted Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606) on October 1, 2018. Under the ASU, revenue is recognized when a customer obtains control of promised goods or services in an amount that reflects the considerations the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from the contracts with customers. The Company applied the five-step method outlined in the ASU to all contracts with customers, and elected the modified retrospective implementation method. The new revenue standard did not have an impact on the Company's financial statements. The Company sells ethanol and related products pursuant to marketing agreements. Revenues are recognized when the risk of loss has been transferred to the marketing company and the marketing company has taken title to the product, prices are fixed or determinable and collectability is reasonably assured. The Company’s products are generally shipped FOB loading point, and recorded as a sale upon delivery of the applicable bill of lading and transfer of risk of loss. The Company’s ethanol sales are handled through an ethanol purchase agreement (the “ Ethanol Agreement ”) with Bunge North America, Inc. (“ Bunge ”). Syrup and distillers grains (co-products) are sold through a distillers grains agreement (the “ DG Agreement ”) with Bunge, based on market prices. The Company markets and distributes all of the corn oil it produces directly to end users at market prices. Carbon dioxide is sold through a Carbon Dioxide Purchase and Sale Agreement (the “ CO2 Agreemen t”) with Air Products and Chemicals, Inc., formerly known as EPCO Carbon Dioxide Products, Inc. (" Air Products ”). Marketing fees, agency fees, and commissions due to the marketer are calculated separately from the settlement for the sale of the ethanol products and co-products and are included as a component of cost of goods sold. Shipping and handling costs incurred by the Company for the sale of ethanol and co-products are included in cost of goods sold. Accounts Receivable Accounts receivable are recorded at original invoice amounts 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 customer receivables and considering customers’ financial condition, credit history and current economic conditions. As of September 30, 2019 and 2018 , management had determined no allowance is necessary. Receivables are written off when deemed uncollectable and recoveries of receivables written off are recorded when received. Risks and Uncertainties The Company's operating and financial performance is largely driven by the prices at which ethanol is sold and the net expense of corn. The price of ethanol is influenced by factors such as supply and demand, weather, government policies and programs, and unleaded gasoline and the petroleum markets with ethanol selling, in general, for less than gasoline at the wholesale level. Excess ethanol supply in the market, in particular, puts downward pressure on the price of ethanol. The Company's largest cost of production is corn. The cost of corn is generally impacted by factors such as supply and demand, weather, government policies and programs. The Company's risk management program is used to protect against the price volatility of these commodities. Investment in Commodities Contracts, Derivative Instruments and Hedging Activities The Company’s operations and cash flows are subject to fluctuations due to changes in commodity prices. The Company is subject to market risk with respect to the price and availability of corn, the principal raw material used to produce ethanol and ethanol by-products. Exposure to commodity price risk results from its dependence on corn in the ethanol production process. In general, rising corn prices result in lower profit margins and, therefore, represent unfavorable market conditions. This is especially true when market conditions do not allow the Company to pass along increased corn costs to customers. The availability and price of corn is subject to wide fluctuations due to unpredictable factors such as weather conditions, farmer planting decisions, governmental policies with respect to agriculture and international trade and global demand and supply. To minimize the risk and the volatility of commodity prices, primarily related to corn and ethanol, the Company uses various derivative instruments, including forward corn, ethanol and distillers grains purchase and sales contracts, over-the-counter and exchange-trade futures and option contracts. When the Company has sufficient working capital available, it enters into derivative contracts to hedge its exposure to price risk related to forecasted corn needs and forward corn purchase contracts. Management has evaluated the Company’s contracts to determine whether the contracts are derivative instruments. Certain contracts that literally meet the definition of a derivative may be exempted from derivative accounting as normal purchases or normal sales. Normal purchases and normal sales are contracts that provide for the purchase or sale of something other than a financial instrument or derivative instrument that will be delivered in quantities expected to be used or sold over a reasonable period in the normal course of business. Gains and losses on contracts that are designated as normal purchases or normal sales contracts are not recognized until quantities are delivered or utilized in production. The Company applies the normal sale exemption to forward contracts relating to ethanol, distillers grains, and corn oil and therefore these forward contracts are not marked to market. As of September 30, 2019 , the Company had commitments to sell 3.0 million gallons of ethanol , 89 thousand tons of dried distillers grains, 72 thousand tons of wet distillers grains and 4.3 million pounds of corn oil. Corn purchase contracts are treated as derivative financial instruments. Changes in fair value of forward corn contracts, which are marked to market each period, are included in costs of goods sold. As of September 30, 2019 , the Company was committed to purchasing 3.6 million bushels of corn on a forward contract basis resulting in a total commitment of $14.6 million . In addition the Company was committed to purchasing 311 thousand bushels of corn using basis contracts. In addition, the Company enters into short-term cash, options and futures contracts as a means of managing exposure to changes in commodity prices. The Company enters into derivative contracts to hedge the exposure to volatile commodity price fluctuations. The Company maintains a risk management strategy that uses derivative instruments to minimize significant, unanticipated earnings fluctuations caused by market volatility. The Company’s specific goal is to protect itself from large moves in commodity costs. All derivatives are designated as non-hedge derivatives and the contracts will be accounted for at fair value. Although the contracts are considered effective economic hedges of specified risks, they are not designated as or accounted for as hedging instruments. Derivatives not designated as hedging instruments along with cash due to brokers at September 30, 2019 and 2018 are as follows: Balance Sheet Classification September 30, 2019 September 30, 2018 in 000's in 000's Futures and option contracts In gain position $ 368 $ 583 In loss position (364 ) (82 ) Cash held by broker 74 545 Current asset 78 1,046 Forward contracts, corn Current liability 597 1,567 Net futures, options, and forward contracts $ (519 ) $ (521 ) The net realized and unrealized gains and losses on the Company’s derivative contracts for the years ended September 30, 2019 and 2018 consist of the following: Statement of Operations Classification September 30, 2019 September 30, 2018 Net realized and unrealized (gains) losses related to: (in 000's) (in 000's) Forward purchase contracts (corn) Cost of Goods Sold $ (1,530 ) $ 1,894 Futures and option contracts (corn) Cost of Goods Sold (1,295 ) (3,568 ) Inventory Inventory is stated at the lower of average cost or net realizable value. In the valuation of inventories and purchase commitments, net realizable value is defined as estimated selling price in the ordinary course of business less reasonable predictable costs of completion, disposal and transportation. Property and Equipment Property and equipment are stated at cost. Depreciation is computed using the straight-line method over the following estimated useful lives: Buildings 40 Years Process Equipment 10 - 20 Years Office Equipment 3-7 Years Maintenance and repairs are charged to expense as incurred; major improvements are capitalized. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset group 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 fair value of the asset. Management has determined there were no events or changes in circumstances that required an impairment evaluation during Fiscal 2019 or Fiscal 2018 . Income Taxes The Company has elected to be treated as a partnership for federal and state income 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. Management has evaluated the Company’s tax positions under the Financial Accounting Standards Board issued guidance on accounting for uncertainty in income taxes and concluded that the Company has taken no uncertain tax positions that require adjustment to the financial statements to comply with the provisions of this guidance. Fair Value of Financial Instruments The carrying amounts of cash and cash equivalents, derivative financial instruments, accounts receivable, accounts payable and accrued expenses approximate fair value due to the short term nature of these instruments. The put option liability consists of an agreement between the Company and ICM that contains a conditional obligation to repurchase feature. On August 16, 2019, ICM notified SIRE of their intent to exercise the put option on their 1,018 units, but waived their right to determine the fair market value for their units. SIRE calculated the liability by utilizing the weighted average purchase prices for Fiscal 2019 transactions. In past years, the Company calculated the fair value of the put option under Level 3, using a valuation model called the Monte Carlo Simulation. The change to the valuation methodology was made because the parameters of risk free interest rate, expected volatility, expected life and estimated exercise price no longer were applicable. Using weighted average sale prices for Fiscal 2019, the estimated value at September 30, 2019 was $6.0 million , while the Monte Carlo method calculated $5.4 million at September 30, 2018. The Company bought the Series A and Series C Units held by ICM back for a total price of $11.1 million based on the exercise price outlined in the agreement. Equity was reduced by $5.1 million , and the accrued put option liability of $6.0 million was satisfied. (see Note 11) The carrying amount of the notes payable approximates fair value, as the interest rate is a floating rate. The terms are consistent with those available in the market as of September 30, 2019 and 2018 , using level 3 inputs. Income Per Unit Basic income per unit is calculated by dividing net income by the weighted average units outstanding for each period. Diluted income per unit is adjusted for convertible debt, using the treasury stock method and the put option using the reverse treasury stock method. In Fiscal 2019 , the put option did not impact diluted income per unit as it was anti-dilutive. Basic earnings and diluted per unit data were computed as follows (in thousands except per unit data): Twelve Months Ended September 30, 2019 September 30, 2018 Numerator: Net (loss) for basic earnings per unit $ (8,497 ) $ (2,704 ) Change in fair value of put option liability $ 637 $ (300 ) Net (loss) for diluted earnings per unit $ (7,860 ) $ (3,004 ) Denominator: Weighted average units outstanding - basic 13,327 13,327 Weighted average units outstanding - diluted 13,327 13,327 (Loss) per unit - basic $ (637.58 ) $ (202.90 ) (Loss) per unit - diluted $ (637.58 ) $ (202.90 ) Recently Issued Accounting Pronouncements Leases In February 2016, FASB issued ASU 2016-02 "Leases” (" ASU 2016-02 "). ASU 2016-02 requires the recognition of lease assets and lease liabilities by lessees for all leases greater than one year in duration and classified as operating leases under previous GAAP. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, and for interim periods within that fiscal year. We implemented ASU 2016-02 in October 2019, when Fiscal 2020 started. The Company will include a right to use assets for approximately $8.2 million and a corresponding liability at the start of the next fiscal year for the operating leases. |
Inventory
Inventory | 12 Months Ended |
Sep. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Inventory | Inventory Inventory is comprised of the following at: September 30, 2019 September 30, 2018 (in 000's) (in 000's) Raw Materials - corn $ 4,270 $ 4,095 Supplies and Chemicals 5,063 4,747 Work in Process 1,724 1,421 Finished Goods 6,110 3,263 Total $ 17,167 $ 13,526 |
Members' Equity
Members' Equity | 12 Months Ended |
Sep. 30, 2019 | |
Stockholders' Equity Note [Abstract] | |
Members' Equity | Members’ Equity At September 30, 2019 and 2018 outstanding member units were: September 30, 2019 September 30, 2018 A Units 8,993 8,993 B Units 3,334 3,334 C Units 1,000 1,000 13,327 13,327 The Series A, B and C unit holders all vote on certain matters with equal rights. Prior to the repurchase of all of the Series C Units, the Series C unit holders as a group elected one Board member,. The Series B unit holders as a group have the right to elect the number of Board members which bears the same proportion to the total number of Directors in relation to Series B outstanding units to total outstanding units. Based on this calculation, the Series B unit holders have the right to elect two Board members. Series A unit holders as a group have the right to elect the four remaining Directors not elected by the Series C and B unit holders. |
Revolving Loan_Credit Agreement
Revolving Loan/Credit Agreements | 12 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Revolving Loan/Credit Agreements | Revolving Loan/Credit Agreements FCSA/CoBank During Fiscal 2014, the Company entered into a credit agreement with Farm Credit Services of America, FLCA (“ FCSA ”) and CoBank, ACB, as cash management provider and agent (“CoBank”) which provides the Company with a term loan in the amount of $30,000,000 (the “ Term Loan ”) and a revolving term loan in the amount of up to $36,000,000 (the “ Revolving Term Loan ", and together with the Term Loan, the “ FCSA Credit Facility ”). The FCSA Credit Facility is secured by a security interest on all of the Company’s assets. The Term Loan provides for payments by the Company to FCSA of quarterly installments of $1,500,000 , which began on December 20, 2014 and matured September 20, 2019. The Revolving Term Loan has a maturity date of June 1, 2023 and requires annual reductions in principal availability of $6,000,000 commencing on June 1, 2020. Under the FCSA Credit Facility, the Company has the right to select from the several LIBOR based interest rate options with respect to each of the Term Loan and the Revolving Term Loan. As of September 30, 2019 , there was $23.9 million outstanding under the FCSA Credit Facility, with $12.1 million available under the Revolving Term Loan. |
Notes Payable
Notes Payable | 12 Months Ended |
Sep. 30, 2019 | |
Debt Instrument [Line Items] | |
Notes Payable | Notes Payable Notes payable consists of the following (in 000's): September 30, 2019 September 30, 2018 Term Revolver matured September 20, 2019 $ — $ 6,000 Revolving term loan bearing interest at LIBOR plus 3.35% (5.37% at September 30, 2019) 23,902 12,894 Other with interest rates from 3.50% to 4.15% and maturities through 2022 2,569 3,129 26,471 22,023 Less Current Maturities 580 6,560 Less Financing Costs, net of amortization 59 130 Total Long Term Debt 25,832 15,333 Approximate aggregate maturities of notes payable as of September 30, 2019 are as follows (in 000's): 2020 $ 580 2021 589 2022 7,302 2023 18,000 Total $ 26,471 |
Fair Value Measurement
Fair Value Measurement | 12 Months Ended |
Sep. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | Fair Value Measurement Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. In determining fair value, the Company used various methods including market, income and cost approaches. Based on these approaches, the Company often utilized certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable inputs. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. Based on the observable inputs used in the valuation techniques, the Company is required to provide the following information according to the fair value hierarchy. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. Financial assets and liabilities carried at fair value will be classified and disclosed in one of the following three categories: Level 1 - Valuations for assets and liabilities traded in active markets from readily available pricing sources for market transactions involving identical assets or liabilities. Level 2 - Valuations for assets and liabilities traded in less active dealer or broker markets. Valuations are obtained from third-party pricing services for identical or similar assets or liabilities. Level 3 - Valuations incorporate certain assumptions and projections in determining the fair value assigned to such assets or liabilities. A description of the valuation methodologies used for instruments measured at fair value, including the general classifications of such instruments pursuant to the valuation hierarchy, is set below. Put Option liability . The put option liability consists of an agreement between the Company and ICM that contains a conditional obligation to repurchase feature. On August 16, 2019, ICM notified SIRE their notice to exercise the put option, but waived their right to determine the fair market value for their units. In past years, the Company calculated the fair value of the put option under Level 3, using a valuation model called the Monte Carlo Simulation. SIRE calculated the liability by utilizing the weighted average purchase price for Fiscal 2019 transactions. Using weighted average purchase prices from Fiscal 2019, the estimated value at September 30, 2019 was $6.0 million , while the Monte Carlo method calculated $5.4 million at September 30, 2018. SIRE settled the transaction on November 15, 2019. Derivative financial statements . Commodity futures and exchange traded options are reported at fair value utilizing Level 1 inputs. For these contracts, the Company obtains fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes and live trading levels from the Chicago Mercantile Exchange (“ CME ”) market. Ethanol contracts are reported at fair value utilizing Level 2 inputs from third-party pricing services. Forward purchase contracts are reported at fair value utilizing Level 2 inputs. For these contracts, the Company obtains fair value measurements from local grain terminal values. The fair value measurements consider observable data that may include live trading bids from local elevators and processing plants which are based off the CME market. The following table summarizes financial instruments measured at fair value on a recurring basis as of September 30, 2019 and 2018 , categorized by the level of the valuation inputs within the fair value hierarchy: (dollars in '000s) September 30, 2019 Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 368 $ — $ — Liabilities: Derivative financial instruments 364 597 — Put Option Liability — — 6,037 September 30, 2018 Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 583 $ — $ — Liabilities: Derivative financial instruments 82 1,567 — Put Option Liability — — 5,400 The following table summarizes the assumptions used in computing the fair value of the put option subject to fair value: September 30, 2019 September 30, 2018 Expected dividend yield — — Risk-free interest rate — % 2.57 % Expected volatility — % 22 % Expected life (years) — 1.25 Exercise unit price $ 10,897 $ 10,897 Company unit price $ 4,967 $ 5,500 The following table reflects the activity for liabilities measured at fair value using Level 3 inputs as of September 30, 2019 and September 30, 2018 : September 30, 2019 September 30, 2018 Beginning Balance $ 5,400 $ 5,700 Change in Value 637 (300 ) Ending Balance $ 6,037 $ 5,400 |
Incentive Compensation
Incentive Compensation | 12 Months Ended |
Sep. 30, 2019 | |
Employee Benefit and Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Incentive Compensation | Incentive Compensation The Company has an equity incentive plan which provides that the Board of Directors may make awards of equity appreciation units (“ EAU ”) and equity participation units (“ EPU ”) to employees from time to time, subject to vesting provisions as determined for each award. There are no EAUs outstanding. The EPUs are valued in accordance with the agreement which is based on the book value per unit of the Company. The Company had 69.7 unvested EPUs outstanding under this plan as of September 30, 2019 , which will vest three years from the dates of the awards. During the Fiscal 2019 and 2018 , the Company recorded compensation expense related to this plan of approximately $164,000 and $100,000 , respectively. As of September 30, 2019 and 2018 , the Company had a liability of approximately $908,000 and $944,000 , respectively, recorded within accrued expenses on the balance sheet. The incentive compensation expense is recognized over three years from the date of the awards. The amounts to be recognized over future periods at September 30, 2020 and 2019 was $232,000 and $225,000 , respectively. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Sep. 30, 2019 | |
Related Party Transaction, Due from (to) Related Party [Abstract] | |
Related Party Transactions | Related Party Transactions and Major Customers Related Party Transactions Bunge On December 5, 2014, the Company entered into an Amended and Restated Ethanol Purchase Agreement with Bunge which was further amended and restated on October 23, 2017 to include specific provisions for loading and shipment of ethanol by truck (the “ Ethanol Agreement ”). Under the Ethanol Agreement, the Company has agreed to sell Bunge all of the ethanol produced by the Company, and Bunge has agreed to purchase the same. The Company will pay Bunge a percentage marketing fee for ethanol sold by Bunge, subject to a minimum and maximum annual fee. The initial term of the Ethanol Agreement expires on December 31, 2019, however it it will automatically renew for one five-year term, unless terminated by the parties in accordance with the terms of the agreement. The Company has incurred ethanol marketing expenses of $1.5 million in each year for Fiscal 2019 and Fiscal 2018 , under the Ethanol Agreement. On June 26, 2009, the Company executed a Railcar Agreement with Bunge for the lease of 325 ethanol cars and 300 hopper cars which are used for the delivery and marketing of ethanol and distillers grains. In November 2016, The Company reduced the number of leased ethanol cars to 323 and in both November 2013 and January 2015 The Company reduced the number of hopper cars by one for a total of 298 leased hopper cars. Under the Railcar Agreement, the Company leases railcars for terms lasting 120 months and continuing on a month to month basis thereafter. The Railcar Agreement will terminate upon the expiration of all railcar leases. Expenses under this agreement were $3.5 million and $4.0 million for Fiscal 2019 and 2018 , net of subleases and accretion, respectively. In November 2016, the Company entered into a sublease for 96 hoppers with Bunge that expired on March 24, 2019. The Company had subleased another 92 hopper cars to unrelated third parties, which also expired March 25, 2019. In June 2018, one of the third party customers entered into an assignment agreement for their 52 hopper cars with the Company and Bunge which will be phased in over the fourth quarter, and the start of the first quarter in our fiscal year ending September 30, 2019. SIRE received an up front assignment payment, and the net result will be financially neutral, and the number of side-leased railcars by SIRE remains the same. The Company entered into a agreement effective March 24, 2019 extending the original Railcar Agreement with Bunge for the lease of 323 ethanol cars and 111 hopper cars which will be used for the delivery and marketing of ethanol and distiller grains. Under the terms of the new agreement, the original DOT111 tank cars are leased over a four year term running from March 24, 2019 to April 30, 2023, with the ability to start returning cars after January 1, 2023 to conform to the requirement for DOT117 tank cars with enhanced safety specifications which is scheduled to become effective May 2023. The 111 hopper cars are leased over a three year term running from March 24, 2019 to March 31, 2022. The combined cost for the leases for Fiscal 2019 was $3.5 million and $4.0 million in Fiscal 2018. The Company continues to work with Bunge to determine the need for ethanol and hopper cars in light of current market conditions, and the expected conditions in 2020 and beyond. The Company believes we will be able to fully utilize our fleet of hopper cars in the future, to allow us to cost-effectively ship distillers grains to distant markets, primarily the export markets. On December 5, 2014, the Company and Bunge entered into an Amended and Restated Distiller’s Grain Purchase Agreement (the “ DG Purchase Agreement ”). Under the DG Purchase Agreement, Bunge will purchase all distiller’s grains produced by the Company, and will receive a marketing fee based on the net sale price of distillers grains, subject to a minimum and maximum annual fee. The initial term of the DG Purchase Agreement expires on December 31, 2019 and will automatically renew for one five year term unless terminated by the parties in accordance with the terms of the agreement. The Company has incurred distillers grains marketing expenses of $1.3 million and $1.2 million during Fiscal 2019 and 2018 , respectively. The Company and Bunge also entered into an Amended and Restated Grain Feedstock Agency Agreement on December 5, 2014 (the “ Agency Agreement ”). The Agency Agreement provides that Bunge will procure corn for the Company, the Company will pay Bunge a per bushel fee, subject to a minimum and maximum annual fee. The initial term of the Agency Agreement expires on December 31, 2019 and will automatically renew for one five year term unless terminated by the parties in accordance with the terms of the agreement. Expenses for corn procurement by Bunge were $0.7 million for each year of the fiscal years ended September 30, 2019 and 2018 . The Company has outstanding corn contracts of 7 thousand bushels with a $25 thousand liability as of September 30, 2019 , and 116 thousand bushels with a $393 thousand liability as of September 30, 2018 included in derivative financial instruments liability on the balance sheet. Since the 2015 crop year, the Company has been using corn containing Syngenta Seeds, Inc.’s proprietary Enogen® technology (“ Enogen Corn ”) for a portion of its ethanol production needs. The Company contracts directly with growers to produce Enogen Corn for sale to the Company. Concurrent with the Agency Agreement, the Company and Bunge entered into a Services Agreement regarding corn purchases (the “ Services Agreement ”). Under this agreement, the Company originates all Enogen Corn contracts for its facility and Bunge assists the Company with certain administrative matters related to Enogen Corn, including facilitating delivery to the facility. The Company pays Bunge a per bushel service fee. The initial term of the Services Agreement expires on December 31, 2019 and will automatically renew for one additional five year term unless terminated by the parties in accordance with the terms of the agreement. Expenses under the Services Agreement are included as part of the Amended and Restated Grain Feedstock Agency Agreement discussed above. ICM In connection with the payoff of the ICM subordinated debt, the Company entered into the SIRE ICM Unit Agreement dated December 17, 2014 (the “ Unit Agreement ”). Under the Unit Agreement, the Company granted ICM the right to sell to the Company its 1,000 Series C and 18 Series A Membership Units (the “ ICM Units ”) commencing anytime during the earliest of several alternative dates and events at the greater of $10,897 per unit or the fair market value (as defined in the agreement) on the date of exercise. The Company increased expense in Fiscal 2019 by $637 thousand , and in Fiscal 2018 reduced expense by $300 thousand in conjunction with this put right under the Unit Agreement. See Note 7 Fair Value Measurement, for the terms of this agreement. In accordance with the terms of the Unit Agreement, the Company repurchased the ICM Units on November 15, 2019. See Note 11 Subsequent Event, for additional information regarding the repurchase of the ICM Units. Major Customers The Company is party to the Ethanol Agreement and the Distillers Grain Purchase Agreement with Bunge for the exclusive marketing, selling, and distributing of all of the ethanol and distillers grains produced by the Company. The Company has expensed $2.8 million and $2.7 million in marketing fees under these agreements for Fiscal 2019 and 2018 , respectively. Revenues with this customer were $205.1 million and $204.7 million , respectively, for Fiscal 2019 and 2018 . Trade accounts receivable due from Bunge were $7.9 million and $11.6 million as of September 30, 2019 and 2018 , respectively. |
Commitments (Notes)
Commitments (Notes) | 12 Months Ended |
Sep. 30, 2019 | |
Commitments Disclosure [Text Block] | Commitments The Company has entered into a steam contract with an unrelated party under which the vendor agreed to provide the steam required by the Company, up to 475,000 pounds per hour. The Company agreed to pay a net energy rate for all steam provided under the contract as well as a monthly demand charge. The net energy rate is set for the first three years then adjusted each year beginning on the third anniversary date. The steam contract was renewed effective January 1, 2013, and will remain in effect until November 30, 2024. Expenses under this agreement for the years ended September 30, 2019 and 2018 were $5.7 million and $4.2 million , respectively. The Company leases certain equipment, railcars, vehicles, and operating facilities under non-cancellable operating leases that expire on various dates through 2023. The future minimum lease payments required under these leases (net of sublease income) is $3.2 million , $3.1 million , $2.6 million and $1.2 million in 2020, 2021, 2022 and 2023, respectively. Rent expense (net of sublease income) related to operating leases for the years ended September 30, 2019 and 2018 was $4.0 million and $4.7 million , respectively. Non Related party sublease totals were $0.2 million for 2019 and $0.6 million in 2018 . The majority of the future minimum lease payments are due to Bunge. |
Subsequent Events (Notes)
Subsequent Events (Notes) | 12 Months Ended |
Sep. 30, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | Subsequent Events FCSA/CoBank On November 8, 2019, the Company amended the credit agreement with Farm Credit Services of America, FLCA (“ FCSA ”) and CoBank, ACB, as cash management provider and agent (“CoBank”) which provides the Company with a term loan in the amount of $ 30 million (the “ Term Loan ”) and a revolving term loan in the amount of up to $40 million (the “ Revolving Term Loan ", and together with the Term Loan, the “ FCSA Credit Facility ”). The FCSA Credit Facility is secured by a security interest on all of the Company’s assets. The Term Loan provides for payments by the Company to FCSA of semi-annual installments of $3.75 million , which begins on September 1, 2020 and matures on November 15, 2024. The Revolving Term Loan has a maturity date of November 15, 2024. Under the FCSA Credit Facility, the Company has the right to select from the several LIBOR based interest rate options with respect to each of the Term Loan and the Revolving Term Loan, with a LIBOR spread of 3.4% per annum. Put Option liability. The put option liability consists of an agreement between the Company and ICM that contained a conditional obligation to repurchase feature. On August 16, 2019, ICM notified SIRE of their intent to exercise the put option, but waived their right to determine the fair market value for their units. On November 15, 2019, the Company closed the repurchase transaction and paid $ 11.1 million to ICM in settlement of the put option provision consistent with the terms of the agreement. This settlement will also cause the number of shares outstanding to change to 12,309 shares for the remainder of the first quarter in Fiscal 2020. |
Summary Of Significant Accoun_2
Summary Of Significant Accounting Policies (Policy) | 12 Months Ended |
Sep. 30, 2019 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Pronouncements Leases In February 2016, FASB issued ASU 2016-02 "Leases” (" ASU 2016-02 "). ASU 2016-02 requires the recognition of lease assets and lease liabilities by lessees for all leases greater than one year in duration and classified as operating leases under previous GAAP. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, and for interim periods within that fiscal year. We implemented ASU 2016-02 in October 2019, when Fiscal 2020 started. The Company will include a right to use assets for approximately $8.2 million and a corresponding liability at the start of the next fiscal year for the operating leases. |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Basic earnings and diluted per unit data were computed as follows (in thousands except per unit data): Twelve Months Ended September 30, 2019 September 30, 2018 Numerator: Net (loss) for basic earnings per unit $ (8,497 ) $ (2,704 ) Change in fair value of put option liability $ 637 $ (300 ) Net (loss) for diluted earnings per unit $ (7,860 ) $ (3,004 ) Denominator: Weighted average units outstanding - basic 13,327 13,327 Weighted average units outstanding - diluted 13,327 13,327 (Loss) per unit - basic $ (637.58 ) $ (202.90 ) (Loss) per unit - diluted $ (637.58 ) $ (202.90 ) |
Use Of Estimates | Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. |
Cash & Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments purchased with a maturity of three months or less when purchased to be cash equivalents. |
Concentration Of Credit Risk | Concentration of Credit Risk The Company’s cash balances are maintained in bank deposit accounts which at times may exceed federally-insured limits. The Company has not experienced any losses in such accounts. |
Accounting Changes and Error Corrections [Text Block] | Restatement The Company has applied SAB No. 108, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements. SAB No. 108 states that registrants must quantify the impact of correcting all misstatements, including both the carryover (iron curtain method) and reversing (rollover method) effects of prior year misstatements on the current-year financial statements, and by evaluating the error measured under each method in light of quantitative and qualitative factors. Under SAB No. 108, prior year misstatements which, if corrected in the current year would be material to the current year, must be corrected by adjusting prior year financial statements. In applying the requirements of SAB No. 108, the Company adjusted its repairs and maintenance accruals, which were understated, with respect to the tank cars and hopper cars the Company was leasing. The Company should have been booking a provision for repairs necessary to return the cars to the lessor in "normal" status. Since the lease was initiated in March of 2009, with a lease end date of March of 2019, adjustments to previous periods were required. Although the charges in any one quarter were not significant, the historical financial statements were restated with all appropriate entries being retrospectively reflected in the financial statements. The Audit Committee of the Board of Directors of the Company concluded the interim unaudited condensed financial statements for the quarters ending in Fiscal 2018 and Fiscal 2019, as well as the audited annual financial statement for Fiscal 2018 needed to be restated. In Fiscal 2019, the repair and maintenance charges were identified and the original estimate was included in the Second Quarter ending March 31, 2019 for the quarter and year-to-date, as well as comparative quarterly Fiscal 2018 financial information. In the Fourth Quarter ending September 30, 2019, the Company discovered that the original estimated accrual per railcar was in error, and flowed through an additional amount per quarter starting in 2009 forward. The error corrections for the financial statements are included in the charts below. The quarterly information for each three month period in Fiscal 2018 need to be restated, as well as the annual total. In Fiscal 2019, the first quarter needed to be restated, while the second and third quarter were amended to correct the original estimate. The year end statement had not been filed, so the values presented for September 30, 2019, are the final, adjusted numbers. As of September 30, 2018, the impact of the restatement on the balance sheet to the audited financial statements was $5.4 million . Fiscal 2018 - Annual Original Restated Increase Amounts in 000's September 30, 2018 September 30, 2018 (Decrease) Revenues 214,990 214,990 — Cost of Goods Sold 210,783 211,350 567 Gross Margin 4,207 3,640 (567 ) General and administrative expenses 4,972 4,972 — Interest expense and other income, net 1,372 1,372 — Net (Loss) (2,137 ) (2,704 ) (567 ) Net (Loss) per unit basic $ (160.35 ) $ (202.9 ) $ (42.55 ) Net (Loss) per unit diluted $ (160.35 ) $ (202.9 ) $ (42.55 ) ASSETS Current Assets Cash & cash equivalents 1,440 1,440 — Accounts receivable 12,672 12,672 — Inventory 13,526 13,526 — Other current assets 1,387 1,387 — Total Current Assets 29,025 29,025 — Net property, plant and equipment 111,868 111,868 — Other assets 1,738 1,738 — Total Assets 142,631 142,631 — LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 12,147 12,147 — Current maturities of notes payable 6,560 6,560 — Total Current Liabilities 18,707 18,707 — Total Long Term Liabilities 20,733 26,122 5,389 Members' Capital 87,165 87,165 — Accumulated Earnings 16,026 10,637 (5,389 ) Total Liabilities and Members' Equity 142,631 142,631 — Fiscal 2018 - Quarterly Original Restated Original Restated Amounts in 000's December 31, 2017 December 31, 2017 March 31, 2018 March 31, 2018 Revenues 50,546 50,546 53,551 53,551 Cost of Goods Sold 47,838 47,980 53,195 53,337 Gross Margin 2,708 2,566 356 214 General and administrative expenses 1,378 1,378 1,056 1,056 Interest expense and other income, net 149 149 135 135 Net Income (Loss) 1,181 1,039 (835 ) (977 ) Net Income (Loss) per unit basic $ 88.62 $ 77.96 $ (62.65 ) $ (73.31 ) Net Income (Loss) per unit diluted $ 82.09 $ 72.22 $ (62.65 ) $ (73.31 ) Original Restated Original Restated December 31, 2017 December 31, 2017 March 31, 2018 March 31, 2018 ASSETS Current Assets Cash & cash equivalents 2,489 2,489 1,275 1,275 Accounts receivable 11,601 11,601 12,945 12,945 Inventory 13,176 13,176 13,176 13,176 Other current assets 1,204 1,204 1,531 1,531 Total Current Assets 28,470 28,470 28,927 28,927 Net property, plant and equipment 115,237 115,237 114,655 114,655 Other assets 2,101 2,101 2,107 2,107 Total Assets 145,808 145,808 145,689 145,689 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 21,250 21,250 7,108 7,108 Current maturities of notes payable 5,043 5,043 6,549 6,549 Total Current Liabilities 26,293 26,293 13,657 13,657 Total Long Term Liabilities 13,007 17,971 26,358 31,464 Members' Capital 87,165 87,165 87,165 87,165 Accumulated Earnings 19,343 14,379 18,509 13,403 Total Liabilities and Members' Equity 145,808 145,808 145,689 145,689 Fiscal 2018 - Quarterly Original Restated Amounts in 000's June 30, 2018 June 30, 2018 Revenues 53,611 53,611 Cost of Goods Sold 54,782 54,924 Gross Margin (Loss) (1,171 ) (1,313 ) General and administrative expenses 1,809 1,809 Interest expense and other income, net 265 265 Net (Loss) (3,245 ) (3,387 ) Net (Loss) per unit basic $ (243.49 ) $ (254.15 ) Net (Loss) per unit diluted $ (243.49 ) $ (254.15 ) Original Restated June 30, 2018 June 30, 2018 ASSETS Current Assets Cash & cash equivalents 1,207 1,207 Accounts receivable 14,584 14,584 Inventory 13,547 13,547 Other current assets 902 902 Total Current Assets 30,240 30,240 Net property, plant and equipment 113,729 113,729 Other assets 2,102 2,102 Total Assets 146,071 146,071 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 11,569 11,569 Current maturities of notes payable 6,554 6,554 Total Current Liabilities 18,123 18,123 Total Long Term Liabilities 25,519 30,767 Members' Capital 87,165 87,165 Accumulated Earnings 15,264 10,016 Total Liabilities and Members' Equity 146,071 146,071 Fiscal 2019 - Quarterly Original Restated Original Restated Amounts in 000's December 31, 2018 December 31, 2018 March 31, 2019 March 31, 2019 Revenues 53,382 53,382 53,190 53,190 Cost of Goods Sold 52,878 53,020 53,568 53,617 Gross Margin (Loss) 504 362 (378 ) (427 ) General and administrative expenses 1,502 1,502 1,174 1,174 Interest expense and other income, net 169 169 215 215 Net (Loss) (1,167 ) (1,309 ) (1,767 ) (1,816 ) Net (Loss) per unit basic $ (87.57 ) $ (98.22 ) $ (132.59 ) $ (136.26 ) Net (Loss) per unit diluted $ (87.57 ) $ (98.22 ) $ (132.59 ) $ (136.26 ) Original Restated Original Restated December 31, 2018 December 31, 2018 March 31, 2019 March 31, 2019 ASSETS Current Assets Cash & cash equivalents 1,042 1,042 1,101 1,101 Accounts receivable 9,909 9,909 9,776 9,776 Inventory 13,650 13,650 17,278 17,278 Other current assets 1,164 1,164 1,533 1,533 Total Current Assets 25,765 25,765 29,688 29,688 Net property, plant and equipment 109,714 109,714 107,697 107,697 Other assets 1,738 1,738 1,447 1,447 Total Assets 137,217 137,217 138,832 138,832 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 17,110 17,964 9,850 11,650 Current maturities of notes payable 5,065 5,065 3,571 3,571 Total Current Liabilities 22,175 23,029 13,421 15,221 Total Long Term Liabilities 13,018 17,695 28,803 32,583 Members' Capital 87,165 87,165 87,165 87,165 Accumulated Earnings 14,859 9,328 9,443 3,863 Total Liabilities and Members' Equity 137,217 137,217 138,832 138,832 Fiscal 2019 - Quarterly Original Restated Amounts in 000's June 30, 2019 June 30, 2019 Revenues 53,505 53,505 Cost of Goods Sold 52,903 52,903 Gross Margin 602 602 General and administrative expenses 1,061 1,061 Interest expense and other income, net 292 292 Net (Loss) (751 ) (751 ) Net (Loss) per unit basic $ (56.35 ) $ (56.35 ) Net (Loss) per unit diluted $ (56.35 ) $ (56.35 ) Original Restated June 30, 2019 June 30, 2019 ASSETS Current Assets Cash & cash equivalents 1,076 1,076 Accounts receivable 7,636 7,636 Inventory 19,848 19,848 Other current assets 3,996 3,996 Total Current Assets 32,556 32,556 Net property, plant and equipment 109,957 109,957 Other assets 1,447 1,447 Total Assets 143,960 143,960 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 15,887 17,687 Current maturities of notes payable 2,077 2,077 Total Current Liabilities 17,964 19,764 Total Long Term Liabilities 30,139 33,919 Members' Capital 87,165 87,165 Accumulated Earnings 8,692 3,112 Total Liabilities and Members' Equity 143,960 143,960 |
Revenue Recognition | Revenue Recognition The Company adopted Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers (Topic 606) on October 1, 2018. Under the ASU, revenue is recognized when a customer obtains control of promised goods or services in an amount that reflects the considerations the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from the contracts with customers. The Company applied the five-step method outlined in the ASU to all contracts with customers, and elected the modified retrospective implementation method. The new revenue standard did not have an impact on the Company's financial statements. The Company sells ethanol and related products pursuant to marketing agreements. Revenues are recognized when the risk of loss has been transferred to the marketing company and the marketing company has taken title to the product, prices are fixed or determinable and collectability is reasonably assured. The Company’s products are generally shipped FOB loading point, and recorded as a sale upon delivery of the applicable bill of lading and transfer of risk of loss. The Company’s ethanol sales are handled through an ethanol purchase agreement (the “ Ethanol Agreement ”) with Bunge North America, Inc. (“ Bunge ”). Syrup and distillers grains (co-products) are sold through a distillers grains agreement (the “ DG Agreement ”) with Bunge, based on market prices. The Company markets and distributes all of the corn oil it produces directly to end users at market prices. Carbon dioxide is sold through a Carbon Dioxide Purchase and Sale Agreement (the “ CO2 Agreemen t”) with Air Products and Chemicals, Inc., formerly known as EPCO Carbon Dioxide Products, Inc. (" Air Products ”). Marketing fees, agency fees, and commissions due to the marketer are calculated separately from the settlement for the sale of the ethanol products and co-products and are included as a component of cost of goods sold. Shipping and handling costs incurred by the Company for the sale of ethanol and co-products are included in cost of goods sold. |
Accounts Receivable | Accounts Receivable Accounts receivable are recorded at original invoice amounts 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 customer receivables and considering customers’ financial condition, credit history and current economic conditions. As of September 30, 2019 and 2018 , management had determined no allowance is necessary. Receivables are written off when deemed uncollectable and recoveries of receivables written off are recorded when received. |
Concentration Risk Disclosure [Text Block] | Risks and Uncertainties The Company's operating and financial performance is largely driven by the prices at which ethanol is sold and the net expense of corn. The price of ethanol is influenced by factors such as supply and demand, weather, government policies and programs, and unleaded gasoline and the petroleum markets with ethanol selling, in general, for less than gasoline at the wholesale level. Excess ethanol supply in the market, in particular, puts downward pressure on the price of ethanol. The Company's largest cost of production is corn. The cost of corn is generally impacted by factors such as supply and demand, weather, government policies and programs. The Company's risk management program is used to protect against the price volatility of these commodities. |
Investment In Commodities Contracts, Derivative Instruments And Hedging Activities | Investment in Commodities Contracts, Derivative Instruments and Hedging Activities The Company’s operations and cash flows are subject to fluctuations due to changes in commodity prices. The Company is subject to market risk with respect to the price and availability of corn, the principal raw material used to produce ethanol and ethanol by-products. Exposure to commodity price risk results from its dependence on corn in the ethanol production process. In general, rising corn prices result in lower profit margins and, therefore, represent unfavorable market conditions. This is especially true when market conditions do not allow the Company to pass along increased corn costs to customers. The availability and price of corn is subject to wide fluctuations due to unpredictable factors such as weather conditions, farmer planting decisions, governmental policies with respect to agriculture and international trade and global demand and supply. To minimize the risk and the volatility of commodity prices, primarily related to corn and ethanol, the Company uses various derivative instruments, including forward corn, ethanol and distillers grains purchase and sales contracts, over-the-counter and exchange-trade futures and option contracts. When the Company has sufficient working capital available, it enters into derivative contracts to hedge its exposure to price risk related to forecasted corn needs and forward corn purchase contracts. Management has evaluated the Company’s contracts to determine whether the contracts are derivative instruments. Certain contracts that literally meet the definition of a derivative may be exempted from derivative accounting as normal purchases or normal sales. Normal purchases and normal sales are contracts that provide for the purchase or sale of something other than a financial instrument or derivative instrument that will be delivered in quantities expected to be used or sold over a reasonable period in the normal course of business. Gains and losses on contracts that are designated as normal purchases or normal sales contracts are not recognized until quantities are delivered or utilized in production. The Company applies the normal sale exemption to forward contracts relating to ethanol, distillers grains, and corn oil and therefore these forward contracts are not marked to market. As of September 30, 2019 , the Company had commitments to sell 3.0 million gallons of ethanol , 89 thousand tons of dried distillers grains, 72 thousand tons of wet distillers grains and 4.3 million pounds of corn oil. Corn purchase contracts are treated as derivative financial instruments. Changes in fair value of forward corn contracts, which are marked to market each period, are included in costs of goods sold. As of September 30, 2019 , the Company was committed to purchasing 3.6 million bushels of corn on a forward contract basis resulting in a total commitment of $14.6 million . In addition the Company was committed to purchasing 311 thousand bushels of corn using basis contracts. In addition, the Company enters into short-term cash, options and futures contracts as a means of managing exposure to changes in commodity prices. The Company enters into derivative contracts to hedge the exposure to volatile commodity price fluctuations. The Company maintains a risk management strategy that uses derivative instruments to minimize significant, unanticipated earnings fluctuations caused by market volatility. The Company’s specific goal is to protect itself from large moves in commodity costs. All derivatives are designated as non-hedge derivatives and the contracts will be accounted for at fair value. Although the contracts are considered effective economic hedges of specified risks, they are not designated as or accounted for as hedging instruments. Derivatives not designated as hedging instruments along with cash due to brokers at September 30, 2019 and 2018 are as follows: Balance Sheet Classification September 30, 2019 September 30, 2018 in 000's in 000's Futures and option contracts In gain position $ 368 $ 583 In loss position (364 ) (82 ) Cash held by broker 74 545 Current asset 78 1,046 Forward contracts, corn Current liability 597 1,567 Net futures, options, and forward contracts $ (519 ) $ (521 ) The net realized and unrealized gains and losses on the Company’s derivative contracts for the years ended September 30, 2019 and 2018 consist of the following: Statement of Operations Classification September 30, 2019 September 30, 2018 Net realized and unrealized (gains) losses related to: (in 000's) (in 000's) Forward purchase contracts (corn) Cost of Goods Sold $ (1,530 ) $ 1,894 Futures and option contracts (corn) Cost of Goods Sold (1,295 ) (3,568 ) |
Inventory | Inventory Inventory is stated at the lower of average cost or net realizable value. In the valuation of inventories and purchase commitments, net realizable value is defined as estimated selling price in the ordinary course of business less reasonable predictable costs of completion, disposal and transportation. |
Property And Equipment | Property and Equipment Property and equipment are stated at cost. Depreciation is computed using the straight-line method over the following estimated useful lives: Buildings 40 Years Process Equipment 10 - 20 Years Office Equipment 3-7 Years Maintenance and repairs are charged to expense as incurred; major improvements are capitalized. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset group 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 fair value of the asset. Management has determined there were no events or changes in circumstances that required an impairment evaluation during Fiscal 2019 or Fiscal 2018 . |
Income Taxes | Income Taxes The Company has elected to be treated as a partnership for federal and state income 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. Management has evaluated the Company’s tax positions under the Financial Accounting Standards Board issued guidance on accounting for uncertainty in income taxes and concluded that the Company has taken no uncertain tax positions that require adjustment to the financial statements to comply with the provisions of this guidance. |
Net (Loss) Per Unit | Income Per Unit Basic income per unit is calculated by dividing net income by the weighted average units outstanding for each period. Diluted income per unit is adjusted for convertible debt, using the treasury stock method and the put option using the reverse treasury stock method. In Fiscal 2019 , the put option did not impact diluted income per unit as it was anti-dilutive. Basic earnings and diluted per unit data were computed as follows (in thousands except per unit data): Twelve Months Ended September 30, 2019 September 30, 2018 Numerator: Net (loss) for basic earnings per unit $ (8,497 ) $ (2,704 ) Change in fair value of put option liability $ 637 $ (300 ) Net (loss) for diluted earnings per unit $ (7,860 ) $ (3,004 ) Denominator: Weighted average units outstanding - basic 13,327 13,327 Weighted average units outstanding - diluted 13,327 13,327 (Loss) per unit - basic $ (637.58 ) $ (202.90 ) (Loss) per unit - diluted $ (637.58 ) $ (202.90 ) |
Fair Value Of Financial Instruments | Fair Value of Financial Instruments The carrying amounts of cash and cash equivalents, derivative financial instruments, accounts receivable, accounts payable and accrued expenses approximate fair value due to the short term nature of these instruments. The put option liability consists of an agreement between the Company and ICM that contains a conditional obligation to repurchase feature. On August 16, 2019, ICM notified SIRE of their intent to exercise the put option on their 1,018 units, but waived their right to determine the fair market value for their units. SIRE calculated the liability by utilizing the weighted average purchase prices for Fiscal 2019 transactions. In past years, the Company calculated the fair value of the put option under Level 3, using a valuation model called the Monte Carlo Simulation. The change to the valuation methodology was made because the parameters of risk free interest rate, expected volatility, expected life and estimated exercise price no longer were applicable. Using weighted average sale prices for Fiscal 2019, the estimated value at September 30, 2019 was $6.0 million , while the Monte Carlo method calculated $5.4 million at September 30, 2018. The Company bought the Series A and Series C Units held by ICM back for a total price of $11.1 million based on the exercise price outlined in the agreement. Equity was reduced by $5.1 million , and the accrued put option liability of $6.0 million was satisfied. (see Note 11) The carrying amount of the notes payable approximates fair value, as the interest rate is a floating rate. The terms are consistent with those available in the market as of September 30, 2019 and 2018 , using level 3 inputs. |
Schedule of Quantifying Prior Year Misstatements Corrected in Current Year Financial Statements [Table Text Block] | Fiscal 2018 - Annual Original Restated Increase Amounts in 000's September 30, 2018 September 30, 2018 (Decrease) Revenues 214,990 214,990 — Cost of Goods Sold 210,783 211,350 567 Gross Margin 4,207 3,640 (567 ) General and administrative expenses 4,972 4,972 — Interest expense and other income, net 1,372 1,372 — Net (Loss) (2,137 ) (2,704 ) (567 ) Net (Loss) per unit basic $ (160.35 ) $ (202.9 ) $ (42.55 ) Net (Loss) per unit diluted $ (160.35 ) $ (202.9 ) $ (42.55 ) ASSETS Current Assets Cash & cash equivalents 1,440 1,440 — Accounts receivable 12,672 12,672 — Inventory 13,526 13,526 — Other current assets 1,387 1,387 — Total Current Assets 29,025 29,025 — Net property, plant and equipment 111,868 111,868 — Other assets 1,738 1,738 — Total Assets 142,631 142,631 — LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 12,147 12,147 — Current maturities of notes payable 6,560 6,560 — Total Current Liabilities 18,707 18,707 — Total Long Term Liabilities 20,733 26,122 5,389 Members' Capital 87,165 87,165 — Accumulated Earnings 16,026 10,637 (5,389 ) Total Liabilities and Members' Equity 142,631 142,631 — Fiscal 2018 - Quarterly Original Restated Original Restated Amounts in 000's December 31, 2017 December 31, 2017 March 31, 2018 March 31, 2018 Revenues 50,546 50,546 53,551 53,551 Cost of Goods Sold 47,838 47,980 53,195 53,337 Gross Margin 2,708 2,566 356 214 General and administrative expenses 1,378 1,378 1,056 1,056 Interest expense and other income, net 149 149 135 135 Net Income (Loss) 1,181 1,039 (835 ) (977 ) Net Income (Loss) per unit basic $ 88.62 $ 77.96 $ (62.65 ) $ (73.31 ) Net Income (Loss) per unit diluted $ 82.09 $ 72.22 $ (62.65 ) $ (73.31 ) Original Restated Original Restated December 31, 2017 December 31, 2017 March 31, 2018 March 31, 2018 ASSETS Current Assets Cash & cash equivalents 2,489 2,489 1,275 1,275 Accounts receivable 11,601 11,601 12,945 12,945 Inventory 13,176 13,176 13,176 13,176 Other current assets 1,204 1,204 1,531 1,531 Total Current Assets 28,470 28,470 28,927 28,927 Net property, plant and equipment 115,237 115,237 114,655 114,655 Other assets 2,101 2,101 2,107 2,107 Total Assets 145,808 145,808 145,689 145,689 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 21,250 21,250 7,108 7,108 Current maturities of notes payable 5,043 5,043 6,549 6,549 Total Current Liabilities 26,293 26,293 13,657 13,657 Total Long Term Liabilities 13,007 17,971 26,358 31,464 Members' Capital 87,165 87,165 87,165 87,165 Accumulated Earnings 19,343 14,379 18,509 13,403 Total Liabilities and Members' Equity 145,808 145,808 145,689 145,689 Fiscal 2018 - Quarterly Original Restated Amounts in 000's June 30, 2018 June 30, 2018 Revenues 53,611 53,611 Cost of Goods Sold 54,782 54,924 Gross Margin (Loss) (1,171 ) (1,313 ) General and administrative expenses 1,809 1,809 Interest expense and other income, net 265 265 Net (Loss) (3,245 ) (3,387 ) Net (Loss) per unit basic $ (243.49 ) $ (254.15 ) Net (Loss) per unit diluted $ (243.49 ) $ (254.15 ) Original Restated June 30, 2018 June 30, 2018 ASSETS Current Assets Cash & cash equivalents 1,207 1,207 Accounts receivable 14,584 14,584 Inventory 13,547 13,547 Other current assets 902 902 Total Current Assets 30,240 30,240 Net property, plant and equipment 113,729 113,729 Other assets 2,102 2,102 Total Assets 146,071 146,071 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 11,569 11,569 Current maturities of notes payable 6,554 6,554 Total Current Liabilities 18,123 18,123 Total Long Term Liabilities 25,519 30,767 Members' Capital 87,165 87,165 Accumulated Earnings 15,264 10,016 Total Liabilities and Members' Equity 146,071 146,071 |
Summary Of Significant Accoun_3
Summary Of Significant Accounting Policies (Tables) | 12 Months Ended |
Sep. 30, 2019 | |
Schedule of Quantifying Prior Year Misstatements Corrected in Current Year Financial Statements [Table Text Block] | Fiscal 2018 - Annual Original Restated Increase Amounts in 000's September 30, 2018 September 30, 2018 (Decrease) Revenues 214,990 214,990 — Cost of Goods Sold 210,783 211,350 567 Gross Margin 4,207 3,640 (567 ) General and administrative expenses 4,972 4,972 — Interest expense and other income, net 1,372 1,372 — Net (Loss) (2,137 ) (2,704 ) (567 ) Net (Loss) per unit basic $ (160.35 ) $ (202.9 ) $ (42.55 ) Net (Loss) per unit diluted $ (160.35 ) $ (202.9 ) $ (42.55 ) ASSETS Current Assets Cash & cash equivalents 1,440 1,440 — Accounts receivable 12,672 12,672 — Inventory 13,526 13,526 — Other current assets 1,387 1,387 — Total Current Assets 29,025 29,025 — Net property, plant and equipment 111,868 111,868 — Other assets 1,738 1,738 — Total Assets 142,631 142,631 — LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 12,147 12,147 — Current maturities of notes payable 6,560 6,560 — Total Current Liabilities 18,707 18,707 — Total Long Term Liabilities 20,733 26,122 5,389 Members' Capital 87,165 87,165 — Accumulated Earnings 16,026 10,637 (5,389 ) Total Liabilities and Members' Equity 142,631 142,631 — Fiscal 2018 - Quarterly Original Restated Original Restated Amounts in 000's December 31, 2017 December 31, 2017 March 31, 2018 March 31, 2018 Revenues 50,546 50,546 53,551 53,551 Cost of Goods Sold 47,838 47,980 53,195 53,337 Gross Margin 2,708 2,566 356 214 General and administrative expenses 1,378 1,378 1,056 1,056 Interest expense and other income, net 149 149 135 135 Net Income (Loss) 1,181 1,039 (835 ) (977 ) Net Income (Loss) per unit basic $ 88.62 $ 77.96 $ (62.65 ) $ (73.31 ) Net Income (Loss) per unit diluted $ 82.09 $ 72.22 $ (62.65 ) $ (73.31 ) Original Restated Original Restated December 31, 2017 December 31, 2017 March 31, 2018 March 31, 2018 ASSETS Current Assets Cash & cash equivalents 2,489 2,489 1,275 1,275 Accounts receivable 11,601 11,601 12,945 12,945 Inventory 13,176 13,176 13,176 13,176 Other current assets 1,204 1,204 1,531 1,531 Total Current Assets 28,470 28,470 28,927 28,927 Net property, plant and equipment 115,237 115,237 114,655 114,655 Other assets 2,101 2,101 2,107 2,107 Total Assets 145,808 145,808 145,689 145,689 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 21,250 21,250 7,108 7,108 Current maturities of notes payable 5,043 5,043 6,549 6,549 Total Current Liabilities 26,293 26,293 13,657 13,657 Total Long Term Liabilities 13,007 17,971 26,358 31,464 Members' Capital 87,165 87,165 87,165 87,165 Accumulated Earnings 19,343 14,379 18,509 13,403 Total Liabilities and Members' Equity 145,808 145,808 145,689 145,689 Fiscal 2018 - Quarterly Original Restated Amounts in 000's June 30, 2018 June 30, 2018 Revenues 53,611 53,611 Cost of Goods Sold 54,782 54,924 Gross Margin (Loss) (1,171 ) (1,313 ) General and administrative expenses 1,809 1,809 Interest expense and other income, net 265 265 Net (Loss) (3,245 ) (3,387 ) Net (Loss) per unit basic $ (243.49 ) $ (254.15 ) Net (Loss) per unit diluted $ (243.49 ) $ (254.15 ) Original Restated June 30, 2018 June 30, 2018 ASSETS Current Assets Cash & cash equivalents 1,207 1,207 Accounts receivable 14,584 14,584 Inventory 13,547 13,547 Other current assets 902 902 Total Current Assets 30,240 30,240 Net property, plant and equipment 113,729 113,729 Other assets 2,102 2,102 Total Assets 146,071 146,071 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 11,569 11,569 Current maturities of notes payable 6,554 6,554 Total Current Liabilities 18,123 18,123 Total Long Term Liabilities 25,519 30,767 Members' Capital 87,165 87,165 Accumulated Earnings 15,264 10,016 Total Liabilities and Members' Equity 146,071 146,071 |
Schedule of Quantifying Prior Quarters of Current Year Misstatements [Table Text Block] | Fiscal 2019 - Quarterly Original Restated Original Restated Amounts in 000's December 31, 2018 December 31, 2018 March 31, 2019 March 31, 2019 Revenues 53,382 53,382 53,190 53,190 Cost of Goods Sold 52,878 53,020 53,568 53,617 Gross Margin (Loss) 504 362 (378 ) (427 ) General and administrative expenses 1,502 1,502 1,174 1,174 Interest expense and other income, net 169 169 215 215 Net (Loss) (1,167 ) (1,309 ) (1,767 ) (1,816 ) Net (Loss) per unit basic $ (87.57 ) $ (98.22 ) $ (132.59 ) $ (136.26 ) Net (Loss) per unit diluted $ (87.57 ) $ (98.22 ) $ (132.59 ) $ (136.26 ) Original Restated Original Restated December 31, 2018 December 31, 2018 March 31, 2019 March 31, 2019 ASSETS Current Assets Cash & cash equivalents 1,042 1,042 1,101 1,101 Accounts receivable 9,909 9,909 9,776 9,776 Inventory 13,650 13,650 17,278 17,278 Other current assets 1,164 1,164 1,533 1,533 Total Current Assets 25,765 25,765 29,688 29,688 Net property, plant and equipment 109,714 109,714 107,697 107,697 Other assets 1,738 1,738 1,447 1,447 Total Assets 137,217 137,217 138,832 138,832 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 17,110 17,964 9,850 11,650 Current maturities of notes payable 5,065 5,065 3,571 3,571 Total Current Liabilities 22,175 23,029 13,421 15,221 Total Long Term Liabilities 13,018 17,695 28,803 32,583 Members' Capital 87,165 87,165 87,165 87,165 Accumulated Earnings 14,859 9,328 9,443 3,863 Total Liabilities and Members' Equity 137,217 137,217 138,832 138,832 Fiscal 2019 - Quarterly Original Restated Amounts in 000's June 30, 2019 June 30, 2019 Revenues 53,505 53,505 Cost of Goods Sold 52,903 52,903 Gross Margin 602 602 General and administrative expenses 1,061 1,061 Interest expense and other income, net 292 292 Net (Loss) (751 ) (751 ) Net (Loss) per unit basic $ (56.35 ) $ (56.35 ) Net (Loss) per unit diluted $ (56.35 ) $ (56.35 ) Original Restated June 30, 2019 June 30, 2019 ASSETS Current Assets Cash & cash equivalents 1,076 1,076 Accounts receivable 7,636 7,636 Inventory 19,848 19,848 Other current assets 3,996 3,996 Total Current Assets 32,556 32,556 Net property, plant and equipment 109,957 109,957 Other assets 1,447 1,447 Total Assets 143,960 143,960 LIABILITIES AND MEMBERS' EQUITY Current Liabilities Accounts payable, derivative financial instruments and accrued expenses 15,887 17,687 Current maturities of notes payable 2,077 2,077 Total Current Liabilities 17,964 19,764 Total Long Term Liabilities 30,139 33,919 Members' Capital 87,165 87,165 Accumulated Earnings 8,692 3,112 Total Liabilities and Members' Equity 143,960 143,960 |
Schedule Of Derivatives Not Designated As Hedging Instruments | Derivatives not designated as hedging instruments along with cash due to brokers at September 30, 2019 and 2018 are as follows: Balance Sheet Classification September 30, 2019 September 30, 2018 in 000's in 000's Futures and option contracts In gain position $ 368 $ 583 In loss position (364 ) (82 ) Cash held by broker 74 545 Current asset 78 1,046 Forward contracts, corn Current liability 597 1,567 Net futures, options, and forward contracts $ (519 ) $ (521 ) |
Schedule Of Net Realized And Unrealized Gains And Losses On Derivative Contracts | The net realized and unrealized gains and losses on the Company’s derivative contracts for the years ended September 30, 2019 and 2018 consist of the following: Statement of Operations Classification September 30, 2019 September 30, 2018 Net realized and unrealized (gains) losses related to: (in 000's) (in 000's) Forward purchase contracts (corn) Cost of Goods Sold $ (1,530 ) $ 1,894 Futures and option contracts (corn) Cost of Goods Sold (1,295 ) (3,568 ) |
Schedule Of Property And Equipment | Property and equipment are stated at cost. Depreciation is computed using the straight-line method over the following estimated useful lives: Buildings 40 Years Process Equipment 10 - 20 Years Office Equipment 3-7 Years |
Inventory (Tables)
Inventory (Tables) | 12 Months Ended |
Sep. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Components Of Inventory | September 30, 2019 September 30, 2018 (in 000's) (in 000's) Raw Materials - corn $ 4,270 $ 4,095 Supplies and Chemicals 5,063 4,747 Work in Process 1,724 1,421 Finished Goods 6,110 3,263 Total $ 17,167 $ 13,526 |
Members' Equity Members" Equity
Members' Equity Members" Equity (Tables) | 12 Months Ended |
Sep. 30, 2019 | |
Equity [Abstract] | |
Schedule of Stockholders Equity [Table Text Block] | At September 30, 2019 and 2018 outstanding member units were: September 30, 2019 September 30, 2018 A Units 8,993 8,993 B Units 3,334 3,334 C Units 1,000 1,000 13,327 13,327 |
Notes Payable (Tables)
Notes Payable (Tables) | 12 Months Ended |
Sep. 30, 2019 | |
Notes Payable [Abstract] | |
Components Of Notes Payable | Notes payable consists of the following (in 000's): September 30, 2019 September 30, 2018 Term Revolver matured September 20, 2019 $ — $ 6,000 Revolving term loan bearing interest at LIBOR plus 3.35% (5.37% at September 30, 2019) 23,902 12,894 Other with interest rates from 3.50% to 4.15% and maturities through 2022 2,569 3,129 26,471 22,023 Less Current Maturities 580 6,560 Less Financing Costs, net of amortization 59 130 Total Long Term Debt 25,832 15,333 |
Aggregate Maturities Of Notes Payable | Approximate aggregate maturities of notes payable as of September 30, 2019 are as follows (in 000's): 2020 $ 580 2021 589 2022 7,302 2023 18,000 Total $ 26,471 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 12 Months Ended |
Sep. 30, 2019 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Fair Value Measurement Inputs and Valuation Techniques [Table Text Block] | The following table summarizes the assumptions used in computing the fair value of the put option subject to fair value: September 30, 2019 September 30, 2018 Expected dividend yield — — Risk-free interest rate — % 2.57 % Expected volatility — % 22 % Expected life (years) — 1.25 Exercise unit price $ 10,897 $ 10,897 Company unit price $ 4,967 $ 5,500 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | The following table reflects the activity for liabilities measured at fair value using Level 3 inputs as of September 30, 2019 and September 30, 2018 : September 30, 2019 September 30, 2018 Beginning Balance $ 5,400 $ 5,700 Change in Value 637 (300 ) Ending Balance $ 6,037 $ 5,400 |
Financial Assets And Liabilities Measured At Fair Value On A Recurring Basis | The following table summarizes financial instruments measured at fair value on a recurring basis as of September 30, 2019 and 2018 , categorized by the level of the valuation inputs within the fair value hierarchy: (dollars in '000s) September 30, 2019 Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 368 $ — $ — Liabilities: Derivative financial instruments 364 597 — Put Option Liability — — 6,037 September 30, 2018 Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 583 $ — $ — Liabilities: Derivative financial instruments 82 1,567 — Put Option Liability — — 5,400 |
Nature Of Business (Details)
Nature Of Business (Details) gal in Millions, $ in Millions | 12 Months Ended | |
Sep. 30, 2019USD ($)gal | Sep. 30, 2018gal | |
Nature Of Business [Abstract] | ||
Production capacity, Number of Gallons | $ | $ 140 | |
Production, Number Of Gallons | gal | 128 | 127.8 |
Summary Of Significant Accoun_4
Summary Of Significant Accounting Policies (Narrative) (Details) $ / shares in Units, bu in Thousands, T in Thousands, lb in Millions, gal in Millions | Nov. 15, 2019USD ($)shares | Nov. 08, 2019USD ($) | Jun. 30, 2019USD ($)$ / shares | Mar. 31, 2019USD ($)$ / shares | Dec. 31, 2018USD ($)$ / shares | Jun. 30, 2018USD ($)$ / shares | Mar. 31, 2018USD ($)$ / shares | Dec. 31, 2017USD ($)$ / shares | Sep. 30, 2019USD ($)Tlb$ / sharessharesbugal | Sep. 30, 2018USD ($)$ / sharesshares | Dec. 31, 2019USD ($) | Sep. 30, 2017USD ($) |
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Balance Sheet Impact of Restatement | $ 5,400,000 | |||||||||||
Revenues | $ 216,993,000 | 214,990,000 | ||||||||||
Cost of Goods and Services Sold | 219,017,000 | 211,350,000 | ||||||||||
Gross Profit | (2,024,000) | 3,640,000 | ||||||||||
General and Administrative Expense | 4,837,000 | 4,972,000 | ||||||||||
Interest Income (Expense), Net | 999,000 | 1,672,000 | ||||||||||
Net Income (Loss) Attributable to Parent | $ (8,497,000) | $ (2,704,000) | ||||||||||
Earnings Per Share, Basic | $ / shares | $ (637.58) | $ (202.90) | ||||||||||
Earnings Per Share, Diluted | $ / shares | $ (637.58) | $ (202.90) | ||||||||||
Inventory, Net | $ 17,167,000 | $ 13,526,000 | ||||||||||
Assets, Current | 27,967,000 | 29,025,000 | ||||||||||
Property, Plant and Equipment, Net | 111,449,000 | 111,868,000 | ||||||||||
Assets | 140,863,000 | 142,631,000 | ||||||||||
Long-term Debt, Current Maturities | 580,000 | 6,560,000 | ||||||||||
Liabilities, Current | 21,854,000 | 18,707,000 | ||||||||||
Long-term Debt, Excluding Current Maturities | 25,832,000 | 15,333,000 | ||||||||||
Retained Earnings (Accumulated Deficit) | 2,140,000 | 10,637,000 | ||||||||||
Liabilities and Equity | 140,863,000 | 142,631,000 | ||||||||||
Accounts Receivable, Allowance for Credit Loss | $ 0 | |||||||||||
Total Commitment to Sale of Ethanol (gallons) | gal | 3 | |||||||||||
Sale of dried distillers grains and solubles (in tons) | T | 89 | |||||||||||
change in fair value of put option, anti-dilutive | $ 637,000 | (300,000) | ||||||||||
Sale of wet distillers grains and solubles (in tons) | T | 72 | |||||||||||
Total Commitment to Sale of Corn Oil (pounds) | lb | 4.3 | |||||||||||
Total purchase commitment of corn (in bushels) | bu | 3,600 | |||||||||||
Total purchase commitment | $ 14,600,000 | |||||||||||
Total purchase commitment of corn basis contracts, bushels | bu | 311 | |||||||||||
Derivative Assets | $ 78,000 | 1,046,000 | ||||||||||
Derivative Liability | 597,000 | 1,567,000 | ||||||||||
Derivative, Fair Value, Net | $ (519,000) | (521,000) | ||||||||||
Stock Repurchased During Period, Shares | shares | 1,018 | |||||||||||
Net Income (Loss) Available to Common Stockholders, Diluted | $ (7,860,000) | $ (3,004,000) | ||||||||||
Weighted Average Number of Shares Outstanding, Basic | shares | 13,327 | 13,327 | ||||||||||
Weighted Average Number of Shares Outstanding, Diluted | shares | 13,327 | 13,327 | ||||||||||
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net | $ (2,825,000) | $ (1,674,000) | ||||||||||
Fair Value, Put Option Liability | 0 | 5,400,000 | ||||||||||
Forward Contracts [Member] | ||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net | 1,530,000 | (1,894,000) | ||||||||||
Fair Value, Inputs, Level 3 [Member] | ||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Derivative Assets | 0 | 0 | ||||||||||
Derivative Liability | 0 | 0 | ||||||||||
Warrants and Rights Outstanding | 6,037,000 | 5,400,000 | $ 5,700,000 | |||||||||
Reported Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Warrants and Rights Outstanding | 6,000,000 | |||||||||||
Portion at Other than Fair Value Measurement [Member] | Fair Value, Inputs, Level 3 [Member] | ||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Warrants and Rights Outstanding | 5,400,000 | |||||||||||
Original Statement [Member] | ||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Revenues | $ 53,505 | $ 53,190 | $ 53,382 | $ 53,611 | $ 53,551 | $ 50,546 | 214,990 | |||||
Cost of Goods and Services Sold | 52,903 | 53,568 | 52,878 | 54,782 | 53,195 | 47,838 | 210,783 | |||||
Gross Profit | 602 | (378) | 504 | (1,171) | 356 | 2,708 | 4,207 | |||||
General and Administrative Expense | 1,061 | 1,174 | 1,502 | 1,809 | 1,056 | 1,378 | 4,972 | |||||
Interest Income (Expense), Net | 292 | 215 | 169 | 265 | 135 | 149 | 1,372 | |||||
Net Income (Loss) Attributable to Parent | $ (751) | $ (1,767) | $ (1,167) | $ (3,245) | $ (835) | $ 1,181 | $ (2,137) | |||||
Earnings Per Share, Basic | $ / shares | $ (56.35) | $ (132.59) | $ (87.57) | $ (243.49) | $ (62.65) | $ 88.62 | $ (160.35) | |||||
Earnings Per Share, Diluted | $ / shares | $ (56.35) | $ (132.59) | $ (87.57) | $ (243.49) | $ (62.65) | $ 82.09 | $ (160.35) | |||||
Cash | $ 1,076 | $ 1,101 | $ 1,042 | $ 1,207 | $ 1,275 | $ 2,489 | $ 1,440 | |||||
Accounts and Other Receivables, Net, Current | 7,636 | 9,776 | 9,909 | 14,584 | 12,945 | 11,601 | 12,672 | |||||
Inventory, Net | 19,848 | 17,278 | 13,650 | 13,547 | 13,176 | 13,176 | 13,526 | |||||
Other Assets, Current | 3,996 | 1,533 | 1,164 | 902 | 1,531 | 1,204 | 1,387 | |||||
Assets, Current | 32,556 | 29,688 | 25,765 | 30,240 | 28,927 | 28,470 | 29,025 | |||||
Property, Plant and Equipment, Net | 109,957 | 107,697 | 109,714 | 113,729 | 114,655 | 115,237 | 111,868 | |||||
Other Assets, Noncurrent | 1,447 | 1,447 | 1,738 | 2,102 | 2,107 | 2,101 | 1,738 | |||||
Assets | 143,960 | 138,832 | 137,217 | 146,071 | 145,689 | 145,808 | 142,631 | |||||
Accounts Payable and Accrued Liabilities, Current | 15,887 | 9,850 | 17,110 | 11,569 | 7,108 | 21,250 | 12,147 | |||||
Long-term Debt, Current Maturities | 2,077 | 3,571 | 5,065 | 6,554 | 6,549 | 5,043 | 6,560 | |||||
Liabilities, Current | 17,964 | 13,421 | 22,175 | 18,123 | 13,657 | 26,293 | 18,707 | |||||
Long-term Debt, Excluding Current Maturities | 30,139 | 28,803 | 13,018 | 25,519 | 26,358 | 13,007 | 20,733 | |||||
Members' Capital | 87,165 | 87,165 | 87,165 | 87,165 | 87,165 | 87,165 | 87,165 | |||||
Retained Earnings (Accumulated Deficit) | 8,692 | 9,443 | 14,859 | 15,264 | 18,509 | 19,343 | 16,026 | |||||
Liabilities and Equity | 143,960 | 138,832 | 137,217 | 146,071 | 145,689 | 145,808 | 142,631 | |||||
Restatement [Member] | ||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Revenues | 53,505 | 53,190 | 53,382 | 53,611 | 53,551 | 50,546 | 214,990 | |||||
Cost of Goods and Services Sold | 52,903 | 53,617 | 53,020 | 54,924 | 53,337 | 47,980 | 211,350 | |||||
Gross Profit | 602 | (427) | 362 | (1,313) | 214 | 2,566 | 3,640 | |||||
General and Administrative Expense | 1,061 | 1,174 | 1,502 | 1,809 | 1,056 | 1,378 | 4,972 | |||||
Interest Income (Expense), Net | 292 | 215 | 169 | 265 | 135 | 149 | 1,372 | |||||
Net Income (Loss) Attributable to Parent | $ (751) | $ (1,816) | $ (1,309) | $ (3,387) | $ (977) | $ 1,039 | $ (2,704) | |||||
Earnings Per Share, Basic | $ / shares | $ (56.35) | $ (136.26) | $ (98.22) | $ (254.15) | $ (73.31) | $ 77.96 | $ (202.9) | |||||
Earnings Per Share, Diluted | $ / shares | $ (56.35) | $ (136.26) | $ (98.22) | $ (254.15) | $ (73.31) | $ 72.22 | $ (202.9) | |||||
Cash | $ 1,076 | $ 1,101 | $ 1,042 | $ 1,207 | $ 1,275 | $ 2,489 | $ 1,440 | |||||
Accounts and Other Receivables, Net, Current | 7,636 | 9,776 | 9,909 | 14,584 | 12,945 | 11,601 | 12,672 | |||||
Inventory, Net | 19,848 | 17,278 | 13,650 | 13,547 | 13,176 | 13,176 | 13,526 | |||||
Other Assets, Current | 3,996 | 1,533 | 1,164 | 902 | 1,531 | 1,204 | 1,387 | |||||
Assets, Current | 32,556 | 29,688 | 25,765 | 30,240 | 28,927 | 28,470 | 29,025 | |||||
Property, Plant and Equipment, Net | 109,957 | 107,697 | 109,714 | 113,729 | 114,655 | 115,237 | 111,868 | |||||
Other Assets, Noncurrent | 1,447 | 1,447 | 1,738 | 2,102 | 2,107 | 2,101 | 1,738 | |||||
Assets | 143,960 | 138,832 | 137,217 | 146,071 | 145,689 | 145,808 | 142,631 | |||||
Accounts Payable and Accrued Liabilities, Current | 17,687 | 11,650 | 17,964 | 11,569 | 7,108 | 21,250 | 12,147 | |||||
Long-term Debt, Current Maturities | 2,077 | 3,571 | 5,065 | 6,554 | 6,549 | 5,043 | 6,560 | |||||
Liabilities, Current | 19,764 | 15,221 | 23,029 | 18,123 | 13,657 | 26,293 | 18,707 | |||||
Long-term Debt, Excluding Current Maturities | 33,919 | 32,583 | 17,695 | 30,767 | 31,464 | 17,971 | 26,122 | |||||
Members' Capital | 87,165 | 87,165 | 87,165 | 87,165 | 87,165 | 87,165 | 87,165 | |||||
Retained Earnings (Accumulated Deficit) | 3,112 | 3,863 | 9,328 | 10,016 | 13,403 | 14,379 | 10,637 | |||||
Liabilities and Equity | $ 143,960 | $ 138,832 | $ 137,217 | $ 146,071 | $ 145,689 | $ 145,808 | 142,631 | |||||
Restatement Adjustment [Member] | ||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Revenues | 0 | |||||||||||
Cost of Goods and Services Sold | 567 | |||||||||||
Gross Profit | (567) | |||||||||||
General and Administrative Expense | 0 | |||||||||||
Interest Income (Expense), Net | 0 | |||||||||||
Net Income (Loss) Attributable to Parent | $ (567) | |||||||||||
Earnings Per Share, Basic | $ / shares | $ (42.55) | |||||||||||
Earnings Per Share, Diluted | $ / shares | $ (42.55) | |||||||||||
Cash | $ 0 | |||||||||||
Accounts and Other Receivables, Net, Current | 0 | |||||||||||
Inventory, Net | 0 | |||||||||||
Other Assets, Current | 0 | |||||||||||
Assets, Current | 0 | |||||||||||
Property, Plant and Equipment, Net | 0 | |||||||||||
Other Assets, Noncurrent | 0 | |||||||||||
Assets | 0 | |||||||||||
Accounts Payable and Accrued Liabilities, Current | 0 | |||||||||||
Long-term Debt, Current Maturities | 0 | |||||||||||
Liabilities, Current | 0 | |||||||||||
Long-term Debt, Excluding Current Maturities | 5,389 | |||||||||||
Members' Capital | 0 | |||||||||||
Retained Earnings (Accumulated Deficit) | (5,389) | |||||||||||
Liabilities and Equity | $ 0 | |||||||||||
Capital Unit, Class A [Member] | ||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Stockholders' Equity, Period Increase (Decrease) | $ 5,100,000 | |||||||||||
Subsequent Event [Member] | ||||||||||||
Debt Securities, Available-for-sale [Line Items] | ||||||||||||
Payments for Repurchase of Common Stock | $ 11,100,000 | |||||||||||
Decrease (Increase) in Put Warrant Liability | $ 6,000,000 | |||||||||||
Weighted Average Number of Shares Outstanding, Basic | shares | 12,309 | |||||||||||
Operating Lease, Right-of-Use Asset | $ 8,200,000 |
Summary Of Significant Accoun_5
Summary Of Significant Accounting Policies (Schedule Of Derivatives Not Designated As Hedging Instruments) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Summary Of Significant Accounting Policies [Line Items] | ||
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net | $ 2,825 | $ 1,674 |
Derivative Assets | 78 | 1,046 |
Futures And Option Contracts In Gain Position [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Derivative Assets | 368 | 583 |
Futures And Option Contracts In Loss Position [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Derivative Assets | (364) | (82) |
Futures And Option Contracts Cash Held By Due To Broker [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Derivative Assets | 74 | 545 |
Forward Contracts [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net | (1,530) | 1,894 |
corn [Member] | Future And Option Contracts [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net | (1,295) | (3,568) |
Fair Value, Inputs, Level 2 [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Derivative Assets | $ 0 | $ 0 |
Summary Of Significant Accoun_6
Summary Of Significant Accounting Policies (Schedule Of Net Realized And Unrealized Gains And Losses On Derivative Contracts) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Summary Of Significant Accounting Policies [Line Items] | ||
Net realized and unrealized (gains) losses | $ 2,825 | $ 1,674 |
Forward Contracts [Member] | ||
Summary Of Significant Accounting Policies [Line Items] | ||
Net realized and unrealized (gains) losses | $ (1,530) | $ 1,894 |
Summary Of Significant Accoun_7
Summary Of Significant Accounting Policies (Schedule Of Property And Equipment) (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Accounting Policies [Abstract] | ||
Accounts Receivable, Allowance for Credit Loss | $ 0 | |
Property, Plant and Equipment [Line Items] | ||
Derivative Liability | $ 597,000 | $ 1,567,000 |
Office Equipment - Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 7 years | |
Office Equipment - Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Process Equipment - Maximum [Member] [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 20 years | |
Process Equipment - Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Building [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 40 years |
Inventory (Components Of Invent
Inventory (Components Of Inventory) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Sep. 30, 2018 |
Inventory Disclosure [Abstract] | ||
Raw Materials - corn | $ 4,270 | $ 4,095 |
Supplies and Chemicals | 5,063 | 4,747 |
Work in Process | 1,724 | 1,421 |
Finished Goods | 6,110 | 3,263 |
Total | $ 17,167 | $ 13,526 |
Members' Equity (Narrative) (De
Members' Equity (Narrative) (Details) - shares | Sep. 30, 2019 | Sep. 30, 2018 |
Capital Unit [Line Items] | ||
Capital Units, Outstanding | 13,327 | 13,327 |
Capital Unit, Class A [Member] | ||
Capital Unit [Line Items] | ||
Capital Units, Outstanding | 8,993 | 8,993 |
Capital Unit, Class B [Member] | ||
Capital Unit [Line Items] | ||
Capital Units, Outstanding | 3,334 | 3,334 |
Capital Unit Class C [Member] | ||
Capital Unit [Line Items] | ||
Capital Units, Outstanding | 1,000 | 1,000 |
Revolving Loan_Credit Agreeme_2
Revolving Loan/Credit Agreements (AgStar and Bunge) (Narrative) (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Debt Instrument [Line Items] | ||
Long-term Debt | $ 26,471,000 | $ 22,023,000 |
CoBank [Member] | Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Amount outstanding | 0 | 6,000,000 |
CoBank [Member] | Term Revolver [Member] | ||
Debt Instrument [Line Items] | ||
Amount outstanding | 23,902,000 | $ 12,894,000 |
CoBank [Member] | Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt | 30,000,000 | |
Quarterly installment | 1,500,000 | |
Amount outstanding | 23,900,000 | |
CoBank [Member] | Term Revolver [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt | 36,000,000 | |
Debt Instrument, Periodic Principal Reduction | 6,000,000 | |
Revolving Working Capital facility 1, Face Amount | $ 12,100,000 |
Notes Payable (Components Of No
Notes Payable (Components Of Notes Payable) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Notes Payable [Line Items] | ||
Total | $ 26,471 | $ 22,023 |
Less current maturities | (580) | (6,560) |
Accumulated Amortization, Debt Issuance Costs, Noncurrent | 59 | 130 |
Long-term Debt, Excluding Current Maturities | $ 25,832 | 15,333 |
CoBank [Member] | Term Loan [Member] | ||
Notes Payable [Line Items] | ||
Debt Instrument, Description of Variable Rate Basis | LIBOR plus 3.35% | |
Variable interest rate | 3.35% | |
Debt Instrument, Interest Rate During Period | 5.37% | |
Line of Credit Facility, Amount Outstanding | $ 0 | 6,000 |
CoBank [Member] | Term Revolver [Member] | ||
Notes Payable [Line Items] | ||
Debt Instrument, Description of Variable Rate Basis | LIBOR plus 3.35% | |
Variable interest rate | 3.35% | |
Debt Instrument, Interest Rate During Period | 5.37% | |
Line of Credit Facility, Amount Outstanding | $ 23,902 | 12,894 |
Note Payable - IDED [Member] | ||
Notes Payable [Line Items] | ||
Line of Credit Facility, Amount Outstanding | $ 2,569 | $ 3,129 |
Minimum [Member] | Other debt [Member] | ||
Notes Payable [Line Items] | ||
Debt Instrument, Interest Rate During Period | 3.50% | |
Maximum [Member] | Other debt [Member] | ||
Notes Payable [Line Items] | ||
Debt Instrument, Interest Rate During Period | 4.15% |
Notes Payable (Aggregate Maturi
Notes Payable (Aggregate Maturities Of Notes Payable) (Details) - USD ($) $ in Thousands | Sep. 30, 2019 | Sep. 30, 2018 |
Debt Instrument [Line Items] | ||
Long-term Debt, Current Maturities | $ 580 | $ 6,560 |
Long-term Debt, Maturities, Repayments of Principal in Year Two | 589 | |
Long-term Debt, Maturities, Repayments of Principal in Year Four | 7,302 | |
Long-term Debt, Maturities, Repayments of Principal in Year Four | 18,000 | |
Total | $ 26,471 | $ 22,023 |
Fair Value Measurement (Financi
Fair Value Measurement (Financial Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Details) | 12 Months Ended | ||
Sep. 30, 2019USD ($)$ / shares | Sep. 30, 2018USD ($)$ / shares | Sep. 30, 2017USD ($) | |
Derivative [Line Items] | |||
Assets: Derivative financial instruments | $ 78,000 | $ 1,046,000 | |
Liabilities: Derivative financial instruments | $ 597,000 | $ 1,567,000 | |
Warrant Option, Expected Dividend Yield | 0.00% | 0.00% | |
Warrant Option, Risk-free interest | 0.00% | 2.57% | |
Warrant Option, Expected Volatility | 0.00% | 22.00% | |
Warrant Option, Expected Life | 0 | 1.25 | |
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ / shares | $ 10,897 | $ 10,897 | |
Share Price | $ / shares | $ 4,967 | $ 5,500 | |
Increase (Decrease) in Put Options | $ 637,000 | $ (300,000) | |
Level 1 [Member] | |||
Derivative [Line Items] | |||
Liabilities: Derivative financial instruments | 364,000,000 | 82,000 | |
Warrants and Rights Outstanding | 0 | 0 | |
Level 2 [Member] | |||
Derivative [Line Items] | |||
Assets: Derivative financial instruments | 0 | 0 | |
Warrants and Rights Outstanding | 0 | 0 | |
Level 3 [Member] | |||
Derivative [Line Items] | |||
Assets: Derivative financial instruments | 0 | 0 | |
Liabilities: Derivative financial instruments | 0 | 0 | |
Warrants and Rights Outstanding | 6,037,000 | 5,400,000 | $ 5,700,000 |
Increase (Decrease) in Put Options | 637,000 | (300,000) | |
Futures And Option Contracts In Gain Position [Member] | |||
Derivative [Line Items] | |||
Assets: Derivative financial instruments | 368,000 | $ 583,000 | |
Reported Value Measurement [Member] | Level 3 [Member] | |||
Derivative [Line Items] | |||
Warrants and Rights Outstanding | 6,000,000 | ||
Portion at Other than Fair Value Measurement [Member] | Level 3 [Member] | |||
Derivative [Line Items] | |||
Warrants and Rights Outstanding | $ 5,400,000 |
Incentive Compensation (Details
Incentive Compensation (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Employee Benefit and Share-based Payment Arrangement, Noncash Expense [Abstract] | ||
Unvested EPUs outstanding | 69.7 | |
Compensation expense | $ 164,000 | $ 100,000 |
Deferred compensation | 908,000 | 944,000 |
Shared-based compensation, future expenses | $ 232,000 | $ 225,000 |
Related Party Transactions (Bun
Related Party Transactions (Bunge) (Narrative) (Details) bu in Thousands | Jun. 26, 2009 | Jan. 31, 2015 | Dec. 31, 2016 | Sep. 30, 2019USD ($)bu | Sep. 30, 2018USD ($)bu |
Related Party Transaction [Line Items] | |||||
Revenues | $ 216,993,000 | $ 214,990,000 | |||
Accounts Receivable, Related Parties, Current | 7,885,000 | 11,537,000 | |||
Bunge [Member] | |||||
Related Party Transaction [Line Items] | |||||
Marketing Expense | 2,800,000 | 2,700,000 | |||
Revenues | 205,100,000 | 204,700,000 | |||
Accounts Receivable, Related Parties, Current | 7,900,000 | 11,600,000 | |||
Ethanol Agreement [Member] | Bunge [Member] | |||||
Related Party Transaction [Line Items] | |||||
Investment from related parties | $ 1,500,000 | 1,535,138 | |||
Renewal period | 5 years | ||||
Railcar Agreement [Member] | Bunge [Member] | |||||
Related Party Transaction [Line Items] | |||||
Agreement period | 120 months | ||||
Related Party Transaction, Expenses from Transactions with Related Party | $ 3,500,000 | $ 4,000,000 | |||
Railcar Agreement [Member] | Ethanol Cars [Member] | Bunge [Member] | |||||
Related Party Transaction [Line Items] | |||||
Number Of Railcars | 325 | 323 | 323 | ||
Agreement period | 4 years | ||||
Railcar Agreement [Member] | Hopper Cars [Member] | Bunge [Member] | |||||
Related Party Transaction [Line Items] | |||||
Number Of Railcars | 300 | 298 | 111 | ||
Railcar lease reduction | 1 | 1 | |||
Agreement period | 3 years | ||||
Sublease, hopper car, units | 96 | ||||
Railcar Agreement [Member] | Hopper Cars [Member] | Unrelated Party [Member] | |||||
Related Party Transaction [Line Items] | |||||
Sublease, hopper car, units | 92 | ||||
Assignment, hopper cars, unit | 52 | ||||
Distillers Grain Purchase Agreement [Member] | Bunge [Member] | |||||
Related Party Transaction [Line Items] | |||||
Marketing Expense | $ 1,300,000 | $ 1,200,000 | |||
Renewal period | 5 years | ||||
Grain Feedstock Agency Agreement [Member] | Bunge [Member] | |||||
Related Party Transaction [Line Items] | |||||
Investment from related parties | $ 700,000 | $ 720,000 | |||
Derivative Contracts, Corn, Bushels | bu | 7 | 116 | |||
Derivative Contracts, Corn, Dollars | $ 25,000 | $ 393,000 | |||
Renewal period | 5 years | ||||
Services Agreement [Member] | Bunge [Member] | |||||
Related Party Transaction [Line Items] | |||||
Renewal period | 5 years |
Related Party Transactions (ICM
Related Party Transactions (ICM) (Narrative) (Details) - ICM [Member] - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Unit Agreement [Member] | ||
Related Party Transaction [Line Items] | ||
Selling Rights, Greater of Minimum Unit Price or Fair Market Value | $ 10,897 | |
Related Party Transaction, Expenses from Transactions with Related Party | $ 300 | |
Capital Unit Class C [Member] | ||
Related Party Transaction [Line Items] | ||
Selling Rights, Units | 1,000 | |
Capital Unit, Class A [Member] | ||
Related Party Transaction [Line Items] | ||
Selling Rights, Units | 18 |
Commitments (Details)
Commitments (Details) $ in Millions | 12 Months Ended | |
Sep. 30, 2019USD ($)lb / h | Sep. 30, 2018USD ($) | |
Purchase Of Steam Under Steam Contract | lb / h | 475,000 | |
Expenses Related To Steam Contract | $ 5.7 | $ 4.2 |
Operating Leases, Future Minimum Payments Due, Next Twelve Months | 3.2 | |
Operating Leases, Future Minimum Payments, Due in Two Years | 3.1 | |
Operating Leases, Future Minimum Payments, Due in Three Years | 2.6 | |
Operating Leases, Future Minimum Payments, Due in Four Years | 1.2 | |
Operating Leases, Rent Expense, Net | 4 | 4.7 |
Unrelated Party [Member] | ||
Operating Leases, Rent Expense, Net | $ 0.2 | $ 0.6 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | Nov. 15, 2019 | Nov. 08, 2019 | Sep. 30, 2019 | Sep. 30, 2018 |
Subsequent Event [Line Items] | ||||
Long-term Debt | $ 26,471,000 | $ 22,023,000 | ||
Weighted Average Number of Shares Outstanding, Basic | 13,327 | 13,327 | ||
Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Payments for Repurchase of Warrants | $ 11,100,000 | |||
Weighted Average Number of Shares Outstanding, Basic | 12,309 | |||
Term Loan [Member] | CoBank [Member] | ||||
Subsequent Event [Line Items] | ||||
Long-term Debt | $ 30,000,000 | |||
Term Loan [Member] | CoBank [Member] | Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Long-term Debt | $ 30,000,000 | |||
Term Loan, Semi-Annual Payment | $ 3,750,000 | |||
Debt Instrument, Description of Variable Rate Basis | LIBOR | |||
Debt Instrument, Basis Spread on Variable Rate | 3.40% | |||
Term Revolver [Member] | CoBank [Member] | ||||
Subsequent Event [Line Items] | ||||
Long-term Debt | $ 36,000,000 | |||
Term Revolver [Member] | CoBank [Member] | Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Long-term Debt | $ 40,000,000 |