

NOTE 3:	REVENUE

Adoption of Topic 606, Revenue from Contracts with Customers. On January 1, 2018, the Company adopted Topic 606, using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Financial results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with the Company's historic accounting under ASC 605, Revenue Recognition. The Company has completed its evaluation of the impact of Topic 606 and concluded that there is no impact to the financial statements as a result of its adoption. The Company recorded no adjustment to opening retained earnings as of January 1, 2018 related to the transition from ASC 605 to Topic 606 and there are no differences to disclose to reconcile financial statement activity as reported under Topic 606 to ASC 605 for the year ended December 31, 2018.

Disaggregation of Revenue.

The following table presents the Company's revenues disaggregated by segment and major products and services.



	NET SALES
	Year Ended December 31,
	2018		2017^(a)		2016^(a)
Distillery Products
Premium beverage alcohol	$	188,431	$	177,998	$	150,364
Industrial alcohol	80,650		76,636		77,290
Food grade alcohol	269,081		254,634		227,654
Fuel grade alcohol	6,347		6,368		7,372
Distillers feed and related co-products	25,698		19,332		21,780
Warehouse services	12,929		10,674		8,437
Total distillery products	$	314,055	$	291,008	$	265,243

Ingredient Solutions
Specialty wheat starches	$	28,594	$	28,092	$	26,803
Specialty wheat proteins	21,098		19,458		18,211
Commodity wheat starch	9,223		8,288		7,002
Commodity wheat protein	3,119		602		1,004
Total ingredient solutions	$	62,034	$	56,440	$	53,020

Total net sales	$	376,089	$	347,448	$	318,263

^(a) Prior year amounts were not adjusted upon adoption of Topic 606.

The following table presents the Company's revenues disaggregated by segment and timing of revenue recognition.



	NET SALES
	Year Ended December 31,
	2018		2017^(a)		2016^(a)
Distillery Products
Products transferred at a point in time	$	301,126	$	280,334	$	256,806
Services transferred over time	12,929		10,674		8,437
Total distillery products	$	314,055	$	291,008	$	265,243

Ingredient Solutions
Products transferred at a point in time	$	62,034	$	56,440	$	53,020

Total net sales	$	376,089	$	347,448	$	318,263

^(a) Prior year amounts were not adjusted upon adoption of Topic 606.

The Company generates revenues from the distillery products segment by the sale of products and by providing warehouse services related to the storage and aging of customer products. The Company generates revenues from the ingredient solutions segment by the sale of products. Contracts with customers in both segments include a single performance obligation (either the sale of products or the provision of warehouse services).