DENVER, Aug. 13 /PRNewswire-FirstCall/ -- BIOFUEL ENERGY CORP. (NASDAQ: BIOF), an ethanol production company, today announced its second quarter results. For the three months ended June 30, 2009, revenues totaled $106.5 million, which was comprised of $88.3 million from sales of ethanol and $18.2 million from sales of distillers grain. Net loss attributable to common shareholders was $6.5 million, or $.28 a share, for the three months ended June 30, 2009. The net loss for the three months ended June 30, 2009 was $9.0 million, which included $2.5 million of losses attributable to noncontrolling interests. Operating loss for the second quarter was $5.1 million, which resulted from $107.3 million in cost of goods sold, including $79.5 million for corn, and $4.3 million in general and administrative expenses. The Company also had $3.9 million of interest expense in the second quarter, which resulted in the net loss of $9.0 million. Included in the net loss were $2.0 million of non-recurring expenses such as legal and financial advisory expenses and additional interest expense. These were related to the Company's negotiations with the lenders under its senior debt facility arising out of their declaration of Events of Default on May 22, 2009, as previously disclosed. The Company had $6.6 million of depreciation expense for the quarter. On a combined basis, the plants ran at 100% of their nameplate capacity during the quarter. For the six months ended June 30, 2009, revenues totaled $204.0 million. Operating loss for the six months ended June 30, 2009 was $12.8 million, which resulted from $209.9 million in cost of goods sold and $6.9 million in general and administrative expenses. Net loss attributable to common shareholders was $14.2 million, or $.62 a share, for the six months ended June 30, 2009. The net loss for the six months ended June 30, 2009 was $20.2 million, which included $6.0 million of losses attributable to noncontrolling interests. Scott H. Pearce, the Company's President and Chief Executive Officer, stated, "The second quarter's results, while disappointing financially, contained several positive elements. First, our plants again averaged 100% of capacity for the quarter, while we also reduced operating costs through our ongoing optimization initiatives. We also saw an improvement in crush spreads throughout the quarter, and a return to positive margins beginning in May, that has been part of an ongoing trend since that time. We accomplished this, despite the declaration of an event of default by our lenders and the resultant operational impacts that such action predictably causes. We remain in negotiations with our banks and while nothing can be assured, we are optimistic that we will be able to resolve this matter and get back to running the business without the ongoing drag on our financial results and operational performance." In the second quarter, the Company borrowed $1.2 million under its construction loan facility and $1.0 million under its working capital facility. At June 30, 2009, amounts outstanding under the facilities included $194.9 in construction loans and $20.0 million borrowed in working capital loans. Under the original terms of the senior debt facility, there remained $15.1 million in construction loan availability at June 30, 2009. Although the Company had expected to use the proceeds from the construction loan availability to fund a debt service reserve of $10.8 million required under the senior debt facility and to pay for remaining project costs, given its continuing discussions with the lenders under the senior debt facility regarding asserted events of default, it is uncertain whether the Company will have access to this remaining availability. Also, as a result of the assertion of Events of Default by the lenders, the entire $214.9 million drawn under the senior debt facility, and the $19.8 million of subordinated debt, have been reclassified as current on the Company's most recent balance sheet. At June 30, 2009, the Company held $4.6 million of cash and equivalents and stockholders' equity totaled $76.1 million, including $5.9 million of noncontrolling interest. The Company will host a conference call on Friday, August 14, 2009 beginning at 1:00 p.m. (ET) to discuss the results. To participate, please dial (800) 944-8766. The participant code for the call is 64090. Approximately 90 minutes following the call, a phone playback will be available for 30 days by dialing (866) 281-6782. The access code for the replay is 162565. This release contains certain forward-looking statements within the meaning of the Federal securities laws. Such statements are based on management's current expectations, estimates and projections, which are subject to a wide range of uncertainties and business risks. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of whether, or the times by which, our performance or results may be achieved. Factors that could cause actual results to differ from those anticipated are discussed in our Exchange Act filings and our Annual Report on Form 10-K. BioFuel Energy currently has two 115 million gallons per year ethanol plants in the Midwestern corn belt. The Company's goal is to become a leading ethanol producer in the United States by acquiring, developing, owning and operating ethanol production facilities. Contact: Kelly G. Maguire For more information: Vice President - Finance & http://www.bfenergy.com/ Chief Financial Officer (303) 640.6500 BioFuel Energy Corp. (in thousands, except per share amounts) Three Months Ended Six Months Ended June 30, June 30, ------------------ ---------------- Summary Income Statement 2008 2009 2008 2009 --------------- ---- ---- ---- ---- Net sales $292 $106,464 $292 $203,958 Cost of goods sold 255 107,307 255 209,872 --- ------- --- ------- Gross income (loss) 37 (843) 37 (5,914) General and administrative expenses: Compensation expense 2,988 1,580 5,445 3,084 Other 5,409 2,652 7,054 3,790 ----- ----- ----- ----- Operating loss (8,360) (5,075) (12,462) (12,788) ------ ------ ------- ------- Interest income 325 27 851 61 Interest expense - (3,937) - (7,438) Other non-operating income (expense) 338 (3) 338 (1) Unrealized gain on derivative financial instruments 10,080 - 10,080 - ------ ----- ------ ----- Net income (loss) 2,383 (8,988) (1,193) (20,166) Less: Net loss (income) attributable to the noncontrolling interest (1,435) 2,454 363 5,922 ------ ----- --- ----- Net income (loss) attributable to BioFuel Energy Corp. common shareholders $948 $(6,534) $(830) $(14,244) ==== ======= ===== ======== Income (loss) per share - basic attributable to BioFuel Energy Corp. common shareholders $0.06 $(0.28) $(0.05) $(0.62) ===== ====== ====== ====== Income (loss) per share - diluted attributable to BioFuel Energy Corp. common shareholders $0.03 $(0.28) $(0.05) $(0.62) ===== ====== ====== ====== Weighted average shares outstanding Basic 15,223 23,335 15,271 22,921 Diluted 32,656 23,335 15,271 22,921 Additional operational data ------------------------------ Ethanol sold (gallons, in thousands) - 55,950 - 111,011 Dry distillers grain sold (tons, in thousands) - 123.7 - 243.5 Wet distillers grain sold (tons, in thousands) 6.6 94.6 6.6 198.8 Average FOB price of ethanol sold (per gallon) n/a $1.59 n/a $1.53 Average FOB price of dry distillers grain sold (per ton) n/a $119.76 n/a $119.51 Average FOB price of wet distillers grain sold (per ton) $47.79 $40.81 $47.79 $39.11 Average corn cost (per bushel) n/a $3.99 n/a $3.83 December 31, June 30, Summary Balance Sheet 2008 2009 ---------------- ---- ---- Cash and equivalents $12,299 $4,574 Accounts receivable 16,669 21,887 Inventories 14,929 11,445 Certificates of deposit - current - 4,033 Prepaid expenses 2,153 1,399 Restricted cash - current 612 - Other current assets 203 460 Property, plant and equipment, net 305,350 294,546 Certificates of deposit - non- current 4,015 - Debt issuance costs, net 7,917 7,194 Restricted cash - non- current 1,003 1,006 Other non-current assets 574 57 --- -- Total assets $365,724 $346,601 ======== ======== Total current liabilities $38,157 $246,274 Long-term debt, net of current portion 226,351 17,831 Tax increment financing, net of current portion 5,887 5,632 Derivative financial instrument, net of current portion 83 - Other non-current liabilities 487 779 --- --- Total liabilities 270,965 270,516 BioFuel Energy Corp. stockholders' equity 80,690 70,207 Noncontrolling interest 14,069 5,878 ------ ----- Total equity 94,759 76,085 ------ ------ Total liabilities and stockholders' equity $365,724 $346,601 ======== ======== Total shares outstanding at August 12, 2009 (a) 32,575,322 (a) Includes common shares and class B common shares, net of 809,606 shares held in treasury. DATASOURCE: BioFuel Energy Corp. CONTACT: Kelly G. Maguire, Vice President - Finance & Chief Financial Officer of BioFuel Energy Corp., +1-303-640-6500, Web Site: http://www.bfenergy.com/

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