ALTO — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-05-08

• ●regulatory developments relating to our initiatives and projects or to our business;

• ●our ability to qualify for and receive Section 45Z clean fuel production tax credits under the Internal Revenue Code, as added by the Inflation Reduction Act of 2022, including in anticipated amounts and at the expected times;

• Our Magic Valley facility remained cold-idled for all of 2025, the first quarter of 2026 and through the filing of this report to minimize financial losses. We continue to provide ethanol terminaling services at the plant and may resume operations at the facility if the economic environment in the r…

• The first quarter is a seasonally weak period for us and for the ethanol industry, reflecting the build-up of inventories and lower demand following the winter months. In contrast, our first quarter 2026 results were strong relative to our historical performance for this period. We generated profita…

• We remain focused on maximizing value from our diversified portfolio of assets and on pursuing multiple revenue opportunities in response to market demand. Our priorities are to improve utilization and reliability across our platform, execute our 2026 optimization and capital projects on time and wi…

Text removed vs the prior filing · source: 10-Q · 2025-11-07

• ●regulatory developments relating to our initiatives and projects or to our business, including our CCS initiative, and the availability of, and our ability to qualify for and receive, Section 45Z tax credits;

• In January 2024, we temporarily hot-idled our Magic Valley facility to minimize losses from negative regional crush margins – that is, revenue from ethanol minus the cost of corn, also referred to as market crush – and to expedite the installation of additional equipment to achieve the intended prod…

• In the third quarter, strong market conditions combined with the benefits realized from our recent strategic realignment delivered improvements across all segments of our business compared to the same period in 2024. Gross profit increased nearly $18 million and net income (loss) improved nearly $17…

• We continue to prioritize shorter-term projects based on their anticipated cost, timing and return on investment. We believe this strategy will contribute incremental profitability. Our goals include lowering our carbon intensity score to capture a greater portion of the Section 45Z tax credits avai…

• As we manage liquidity and continue focusing on our priorities, capital expenditures have been lower than historical averages. In addition, through the third quarter, we recorded $24 million in repairs and maintenance expense, in line with our estimate of $32 million for the full year.

Text added vs the prior filing · source: 10-Q · 2026-05-08

• Section 45Z of the Internal Revenue Code, as added by the Inflation Reduction Act of 2022 provides a technology-neutral tax credit for the production of “clean transportation fuel” that is produced in the United States and sold to an unrelated person during calendar years 2025 through 2029, with the…

• ●require a substantial portion of our cash flows from operations for debt service payments, thereby reducing the availability of our cash flows to fund working capital, additional capital expenditures, acquisitions, dividend payments and for other general corporate purposes; make it more difficult t…

• ●limit our ability to procure additional financing for working capital or other purposes; or

• ●result in adverse consequences due to a breach of our financial or other covenants and obligations in favor of our lenders.

• We may be liable for the investigation and cleanup of environmental contamination at each of our production facilities and at off-site locations where we arrange for the disposal of hazardous substances or wastes. If these substances or wastes have been or are disposed of or released at sites that u…

Text removed vs the prior filing · source: 10-Q · 2025-11-07

• Capital improvement projects require significant outlays of capital and are often subject to material execution risks and delays. Our CCS initiative in particular requires EPA approval but the EPA’s own projected timeline for approval has lengthened and may lengthen further. Moreover, our Class VI p…

• In addition, our CCS initiative may be adversely affected by the SAFE CCS Act or the United States Supreme Court’s decision in the case of Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc., or any of them. If we continue with a pipeline solution for our CCS initiative, the timing and e…

• Section 45Z of the Inflation Reduction Act of 2022 allows low carbon fuel producers to apply for and receive substantial tax credits based on the carbon intensity of the fuel they produce. We expect our Colombia plant and our Pekin Campus dry mill to participate in applying for Section 45Z tax credi…

• ●make it more difficult to repay or refinance our indebtedness if it becomes due during adverse economic and industry conditions;

• ●result in adverse consequences due to a breach of our financial or other covenants and obligations in favor of our lenders;