Note 5 - Commitments and Contingencies

6 Months Ended

Jun. 30, 2012

Commitments and Contingencies Disclosure [Text Block]

Note 5.  Commitments and Contingencies.

Commitments

The Company has grain supply agreements to purchase its corn requirements for each of its Indiana Distillery and Atchison facility through a single elevator company.  These grain supply agreements expire December 31, 2014 and thereafter will automatically renew each year on March 31.  At June 30, 2012, the Company had commitments to purchase bushels of corn to be used in operations through January 31, 2013 totaling $20,428.

The Company has commitments to purchase approximately 1,165,000 mmbtu of natural gas at fixed prices at various dates through January 2013.  The commitment for these contracts at June 30, 2012 totaled approximately $4,269.

The Company has entered into a supply contract for flour for use in the production of protein and starch ingredients.  The initial term of the agreement, as amended, expires October 23, 2015.  At June 30, 2012, the Company had commitments to purchase approximately 24,319,000 pounds of flour, which extend through December 31, 2012, aggregating approximately $4,657.

At June 30, 2012, the Company had $500 outstanding from a letter of credit.

Contingencies

There are various legal proceedings involving the Company and its subsidiaries that are ordinary and routine in nature for an entity in the Company’s business.  Management considers that the aggregate liabilities, if any, arising from such actions would not have a material adverse effect on the consolidated financial position or overall trends in results of operations of the Company.