| PARENT COMPANY FINANCIALS. |
|
16. |
PARENT COMPANY FINANCIALS. |
Restricted
Net Assets – At December 31, 2017, the Company had approximately $302,900,000 of net assets at its subsidiaries
that were not available to be transferred to Pacific Ethanol in the form of dividends, distributions, loans or advances due to
restrictions contained in the credit facilities of these subsidiaries.
Parent
company financial statements for the periods covered in this report are set forth below.
| |
|
December
31, |
|
| |
|
2017 |
|
|
2016 |
|
| ASSETS |
|
|
|
|
|
|
| Current
Assets: |
|
|
|
|
|
|
|
|
| Cash
and cash equivalents |
|
$ |
5,314 |
|
|
$ |
11,060 |
|
| Receivables
from subsidiaries |
|
|
3,138 |
|
|
|
7,203 |
|
| Other
current assets |
|
|
1,631 |
|
|
|
6,442 |
|
| Total
current assets |
|
|
10,083 |
|
|
|
24,705 |
|
| |
|
|
|
|
|
|
|
|
| Property
and equipment, net |
|
|
1,071 |
|
|
|
1,433 |
|
| |
|
|
|
|
|
|
|
|
| Other
Assets: |
|
|
|
|
|
|
|
|
| Investments
in subsidiaries |
|
|
359,680 |
|
|
|
363,401 |
|
| Pacific
Ethanol West plant receivable |
|
|
58,766 |
|
|
|
58,766 |
|
| Other
assets |
|
|
1,565 |
|
|
|
1,110 |
|
| Total
other assets |
|
|
420,011 |
|
|
|
423,277 |
|
| Total
Assets |
|
$ |
431,165 |
|
|
$ |
449,415 |
|
| |
|
|
|
|
|
|
|
|
| Current
Liabilities: |
|
|
|
|
|
|
|
|
| Accounts
payable and accrued liabilities |
|
$ |
2,218 |
|
|
$ |
1,758 |
|
| Payable
to subsidiaries |
|
|
625 |
|
|
|
1,568 |
|
| Accrued
PE Op Co. purchase |
|
|
3,828 |
|
|
|
3,828 |
|
| Other
current liabilities |
|
|
245 |
|
|
|
184 |
|
| Total
current liabilities |
|
|
6,916 |
|
|
|
7,338 |
|
| Long-term
debt, net |
|
|
67,530 |
|
|
|
53,360 |
|
| Warrant
liabilities at fair value |
|
|
— |
|
|
|
651 |
|
| Deferred
tax liabilities |
|
|
224 |
|
|
|
52 |
|
| Other
liabilities |
|
|
56 |
|
|
|
124 |
|
| Total
Liabilities |
|
|
74,726 |
|
|
|
61,525 |
|
| |
|
|
|
|
|
|
|
|
| Stockholders’
Equity: |
|
|
|
|
|
|
|
|
| Preferred
stock |
|
|
1 |
|
|
|
1 |
|
| Common
and non-voting common stock |
|
|
44 |
|
|
|
44 |
|
| Additional
paid-in capital |
|
|
927,090 |
|
|
|
922,698 |
|
| Accumulated
other comprehensive loss |
|
|
(2,234 |
) |
|
|
(2,620 |
) |
| Accumulated
deficit |
|
|
(568,462 |
) |
|
|
(532,233 |
) |
| Total
Pacific Ethanol, Inc. stockholders’ equity |
|
|
356,439 |
|
|
|
387,890 |
|
| Total
Liabilities and Stockholders’ Equity |
|
$ |
431,165 |
|
|
$ |
449,415 |
|
| |
|
Years
Ended December 31, |
|
| |
|
2017 |
|
|
2016 |
|
|
2015 |
|
| Management
fees from subsidiaries |
|
$ |
11,904 |
|
|
$ |
12,968 |
|
|
$ |
9,857 |
|
| Selling,
general and administrative expenses |
|
|
18,185 |
|
|
|
14,491 |
|
|
|
14,336 |
|
| Asset
impairment |
|
|
— |
|
|
|
— |
|
|
|
1,970 |
|
| Loss
from operations |
|
|
(6,281 |
) |
|
|
(1,523 |
) |
|
|
(6,449 |
) |
| Fair
value adjustments |
|
|
473 |
|
|
|
(557 |
) |
|
|
1,641 |
|
| Interest
income |
|
|
4,793 |
|
|
|
5,964 |
|
|
|
5,739 |
|
| Interest
expense |
|
|
(5,829 |
) |
|
|
(240 |
) |
|
|
(27 |
) |
| Other
income (expense), net |
|
|
(95 |
) |
|
|
1,931 |
|
|
|
— |
|
| Income
(loss) before provision for income taxes |
|
|
(6,939 |
) |
|
|
5,575 |
|
|
|
904 |
|
| Provision
(benefit) for income taxes |
|
|
(321 |
) |
|
|
(981 |
) |
|
|
(10,034 |
) |
| Income
(loss) before equity in earnings of subsidiaries |
|
|
(6,618 |
) |
|
|
6,556 |
|
|
|
10,938 |
|
| Equity
in losses of subsidiaries |
|
|
(28,346 |
) |
|
|
(5,137 |
) |
|
|
(29,724 |
) |
| Consolidated
net income (loss) |
|
$ |
(34,964 |
) |
|
$ |
1,419 |
|
|
$ |
(18,786 |
) |
| |
|
For
the Years Ended December 31, |
|
| |
|
2017 |
|
|
2016 |
|
|
2015 |
|
| Operating
Activities: |
|
|
|
|
|
|
|
|
|
|
|
|
| Net
income (loss) |
|
$ |
(34,964 |
) |
|
$ |
1,419 |
|
|
$ |
(18,786 |
) |
| Adjustments
to reconcile net income (loss) to cash provided by (used in) operating activities: |
|
|
|
|
|
|
|
|
|
|
|
|
| Equity
in losses of subsidiaries |
|
|
28,346 |
|
|
|
5,137 |
|
|
|
29,724 |
|
| Dividends
from subsidiaries |
|
|
3,500 |
|
|
|
— |
|
|
|
— |
|
| Depreciation
and amortization |
|
|
830 |
|
|
|
727 |
|
|
|
390 |
|
| Fair
value adjustments |
|
|
(473 |
) |
|
|
557 |
|
|
|
(1,641 |
) |
| Asset
impairment |
|
|
— |
|
|
|
— |
|
|
|
1,970 |
|
| Deferred
income taxes |
|
|
169 |
|
|
|
(1,122 |
) |
|
|
(14,260 |
) |
| Amortization
of debt discounts |
|
|
636 |
|
|
|
10 |
|
|
|
— |
|
| Changes
in operating assets and liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
| Accounts
receivables |
|
|
4,065 |
|
|
|
7,302 |
|
|
|
(5,958 |
) |
| Other
assets |
|
|
4,356 |
|
|
|
4,647 |
|
|
|
(4,139 |
) |
| Accounts
payable and accrued expenses |
|
|
3,859 |
|
|
|
(3,741 |
) |
|
|
604 |
|
| Accounts
payable with subsidiaries |
|
|
(943 |
) |
|
|
(9,385 |
) |
|
|
11,179 |
|
| Net
cash provided by (used in) operating activities |
|
$ |
9,381 |
|
|
$ |
5,551 |
|
|
$ |
(917 |
) |
| Investing
Activities: |
|
|
|
|
|
|
|
|
|
|
|
|
| Additions
to property and equipment |
|
$ |
(468 |
) |
|
$ |
(465 |
) |
|
$ |
(1,483 |
) |
| Investments
in subsidiaries |
|
|
(28,126 |
) |
|
|
(50,886 |
) |
|
|
— |
|
| Purchase
of PE OP Co. debt |
|
|
— |
|
|
|
(17,003 |
) |
|
|
— |
|
| Net
cash used in investing activities |
|
$ |
(28,594 |
) |
|
$ |
(68,354 |
) |
|
$ |
(1,483 |
) |
| Financing
Activities: |
|
|
|
|
|
|
|
|
|
|
|
|
| Proceeds
from issuances of senior notes |
|
$ |
13,530 |
|
|
$ |
53,350 |
|
|
$ |
— |
|
| Proceeds
from warrant stock option exercises |
|
|
1,202 |
|
|
|
1,164 |
|
|
|
368 |
|
| Preferred
stock dividend payments |
|
|
(1,265 |
) |
|
|
(1,269 |
) |
|
|
(1,265 |
) |
| Net
cash provided by (used in) financing activities |
|
$ |
13,467 |
|
|
$ |
53,245 |
|
|
$ |
(897 |
) |
| Net
decrease in cash and cash equivalents |
|
|
(5,746 |
) |
|
|
(9,558 |
) |
|
|
(3,297 |
) |
| Cash
and cash equivalents at beginning of period |
|
|
11,060 |
|
|
|
20,618 |
|
|
|
23,915 |
|
| Cash
and cash equivalents at end of period |
|
$ |
5,314 |
|
|
$ |
11,060 |
|
|
$ |
20,618 |
|
|