Company: AMTX
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001437749-25-015301
Chunk: 24

Company: AEMETIS, INC
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 24
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. The credit agreement would bear an interest rate equal to the greater of (i)
   prime rate plus
   10.0% and (ii)
   16.0%. We evaluated prior amendments to the Preferred Unit Purchase Agreement in accordance with ASC
   470 and we applied troubled debt restructuring accounting, resulting in
   no gain or loss from
   the execution of the particular amendment. In addition, consistent with ASC 470-60, the Company accreted the amount of principal and interest due using the effective interest method from the starting liability on the effective date of the amendment to the amount that would be due as of the maturity date of the credit agreement. We expect to apply the same approach to the accounting for the PUPA Ninth Amendment. Following this methodology, t
   he Company recorded Series A Preferred Unit liabilities of $126.8 million and $126.6 million as long-term liabilities as of 
    March 31, 2025
   , and 
    December 31, 2024
   , respectively.

12. Agreements
 
J.D. Heiskell Working Capital Agreements. Pursuant to a Corn Procurement and Working Capital Agreement with J.D. Heiskell, the Company procures whole yellow corn from J.D. Heiskell. The Company has the ability to obtain grain from other sources subject to certain conditions; however, in the past all the Company’s grain purchases have been from J.D. Heiskell. Title and risk of loss of the corn pass to the Company when the corn is deposited into the Keyes Plant weigh bin. Pursuant to a separate agreement entered in  May 2023, J.D. Heiskell also purchases all of our ethanol, WDG, corn oil, and CDS and sells them to marketing companies designated by us. We have designated Murex to purchase and market ethanol and A.L. Gilbert to purchase and market WDG and corn oil. The Company’s relationships with J.D. Heiskell, Murex, and A.L. Gilbert are well established, and the Company believes that the relationships are beneficial to all parties involved in utilizing the distribution logistics, reaching a widespread customer base, managing inventory, and providing working capital relationships. 

    17

     (Tabular data in thousands, except par value and per share data)

The following table summarizes the J.D. Heiskell purchase and sales activity during the three months ended  March