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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549
 FORM 10-Q
 þ
    
    Quarterly report under Section 13 or 15(d) of the Securities Exchange Act of 1934.
 For the fiscal quarter ended March 31, 2008
 OR
 o
    
    Transition report under Section 13 or 15(d) of the Exchange Act. For the transition period from            to           .
 COMMISSION FILE NUMBER 000-52420
 SIOUXLAND ETHANOL, LLC
  Nebraska(State or other jurisdiction of incorporation or organization)
    
    22-3902184(I.R.S. Employer Identification No.)
 1501 Knox Boulevard
Jackson, NE 68743
 (402) 632-2676
 þ o
  Large accelerated filer  ̈
    
    Accelerated filer  ̈Non-accelerated filer  ̈
    
    Smaller Reporting Company
þ(Do not mark if Smaller Reporting Company)
 o þ




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##### 



Page No.PART I. FINANCIAL INFORMATION
    
    1Item 1.
    
    Financial Statements
    
    1Item 2.
    
    Managements Discussion and Analysis of Financial Condition and Results of Operations
    
    11Item 4T.
    
    Controls and Procedures
    
    16PART II. OTHER INFORMATION
    
    16Item 1.
    
    Legal Proceedings
    
    16Item 2.
    
    Unregistered Sales of Equity Securities and Use of Proceeds
    
    16Item 3.
    
    Defaults Upon Senior Securities
    
    16Item 4.
    
    Submission of Matters to a Vote of Security Holders
    
    17Item 5.
    
    Other Information
    
    17Item 6.
    
    Exhibits
    
    18SIGNATURES
    
    19Certificate Pursuant to 17 CFR 240.13a-14(a)Certificate Pursuant to 17 CFR 240.13a-14(a)Certificate Pursuant to 18 U.S.C. Section 1350Certificate Pursuant to 18 U.S.C. Section 1350




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Information Regarding Forward Looking Statements
  
    
    Changes in general economic conditions or the occurrence of certain events causing
an economic impact in the agriculture, oil or automobile industries;
    
    Changes in the markets for ethanol and distillers grains, including the effects of
possible overproduction of ethanol or distillers grain;
    
    Changes in the availability and price of natural gas, corn and other inputs;
    
    Changes in federal and/or state laws (including the elimination of federal and/or
state ethanol tax incentives);
    
    Changes in our business strategy, capital improvements or plans for additional
development;
    
    Changes in the environmental regulations that apply to our plant site and
operations;
    
    Changes and advances in ethanol production technology;
    
    Competition from alternative fuel additives; and
    
    Changes in interest rates on our variable rate borrowings.
  ALL REFERENCES TO WE, US, OUR AND THE COMPANY IN THIS REPORT REFER TO
SIOUXLAND ETHANOL, LLC.




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PART I. FINANCIAL INFORMATION
 
 Item 1. Financial Statements
 SIOUXLAND ETHANOL, LLC
  March 31,
    
    
    September 30,ASSETS
    
    2008
    
    
    2007(Unaudited)Current AssetsCash and equivalents
    
    $
    1,022,284
    
    
    $
    5,924,234Restricted cash
    
    
    587,056
    
    
    
    286,902Accounts receivable
    
    
    5,553,343
    
    
    
    3,091,829Inventory
    
    
    4,365,003
    
    
    
    3,127,756Derivative instruments
    
    
    10,688,601
    
    
    
    Deposits and prepaid expenses
    
    
    235,319
    
    
    
    312,887Total current assets
    
    
    22,451,606
    
    
    
    12,743,608Property and EquipmentLand and land improvements
    
    
    9,734,057
    
    
    
    9,637,884Buildings
    
    
    8,496,416
    
    
    
    8,496,416Office equipment and furnishings
    
    
    213,139
    
    
    
    190,170Plant equipment and machinery
    
    
    59,851,703
    
    
    
    59,760,74678,295,315
    
    
    
    78,085,216Less accumulated depreciation
    
    
    (4,805,317
    )
    
    
    (2,186,740
    )Net property and equipment
    
    
    73,489,998
    
    
    
    75,898,476Other AssetsRestricted cash
    
    
    417,450
    
    
    
    10,912Restricted investments
    
    
    
    
    
    
    399,533Construction deposit
    
    
    560,150
    
    
    
    560,150Debt issuance costs, net of amortization
    
    
    473,473
    
    
    
    568,553Deposits and other
    
    
    2,000
    
    
    
    1,079,8861,453,073
    
    
    
    2,619,034Total Assets
    
    $
    97,394,677
    
    
    $
    91,261,118LIABILITIES AND EQUITYCurrent LiabilitiesChecks in excess of bank balance
    
    $
    251,012
    
    
    $
    Current maturities of long-term debt
    
    
    4,803,019
    
    
    
    4,797,627Due to broker
    
    
    635,140
    
    
    
    Accounts payable
    
    
    1,438,610
    
    
    
    2,642,753Accrued expenses
    
    
    779,384
    
    
    
    783,308Derivative instruments
    
    
    
    
    
    
    43,591Construction payable
    
    
    
    
    
    
    252,266Total current liabilities
    
    
    7,907,165
    
    
    
    8,519,545Long-Term Debt, net of current maturities
    
    
    32,131,910
    
    
    
    41,336,758Commitments and ContingenciesMembers Equity, 3,789 units issued and outstanding
    
    
    57,355,602
    
    
    
    41,404,815Total Liabilities and Members Equity
    
    $
    97,394,677
    
    
    $
    91,261,118
  1




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SIOUXLAND ETHANOL, LLC
  Three months ended
    
    
    Three months endedMarch 31,
    
    
    March 31,2008
    
    
    2007(Unaudited)
    
    
    (Unaudited)Revenues
    
    $
    32,786,624
    
    
    $
    Cost of Goods Sold
    
    
    21,819,594
    
    
    
    Gross Profit
    
    
    10,967,030
    
    
    
    Selling, General, and Administrative Expenses
    
    
    925,223
    
    
    
    486,931Operating Income (Loss)
    
    
    10,041,807
    
    
    
    (486,931
    )Other Income (Expense)Interest income
    
    
    21,898
    
    
    
    22,880Interest expense
    
    
    (700,869
    )
    
    
    Other income
    
    
    212,108
    
    
    
    65,888Loss on derivative instruments
    
    
    
    
    
    
    (156,792
    )Total other expense, net
    
    
    (466,863
    )
    
    
    (68,024
    )Net Income (Loss)
    
    $
    9,574,944
    
    
    $
    (554,955
    )Weighted Average Units Outstanding  Basic
and Diluted
    
    
    3,789
    
    
    
    3,789Net Income (Loss) Per Unit  Basic and Diluted
    
    $
    2,527.04
    
    
    $
    (146.46
    )
  2




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SIOUXLAND ETHANOL, LLC
  Six months ended
    
    
    Six months endedMarch 31,
    
    
    March 31,2008
    
    
    2007(Unaudited)
    
    
    (Unaudited)Revenues
    
    $
    59,826,237
    
    
    $
    Cost of Goods Sold
    
    
    40,502,024
    
    
    
    Gross Profit
    
    
    19,324,213
    
    
    
    Selling, General, and Administrative Expenses
    
    
    2,029,683
    
    
    
    693,611Operating Income (Loss)
    
    
    17,294,530
    
    
    
    (693,611
    )Other Income (Expense)Interest income
    
    
    37,775
    
    
    
    41,789Interest expense
    
    
    (1,596,384
    )
    
    
    Other income
    
    
    214,866
    
    
    
    65,888Gain on derivative instruments
    
    
    
    
    
    
    126,283Total other income (expense), net
    
    
    (1,343,743
    )
    
    
    233,960Net Income (Loss)
    
    $
    15,950,787
    
    
    $
    (459,651
    )Weighted Average Units Outstanding  Basic
and Diluted
    
    
    3,789
    
    
    
    3,789Net Income (Loss) Per Unit  Basic and Diluted
    
    $
    4,209.76
    
    
    $
    (121.31
    )
  3




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SIOUXLAND ETHANOL, LLC
  Six months ended
    
    
    Six months endedMarch 31,
    
    
    March 31,2008
    
    
    2007(Unaudited)
    
    
    (Unaudited)Cash Flows from Operating ActivitiesNet income (loss)
    
    $
    15,950,787
    
    
    $
    (459,651
    )Adjustments to reconcile net income to net cash from (used in) operations:Depreciation and amortization
    
    
    2,714,267
    
    
    
    29,885Change in fair value of derivative instruments
    
    
    (8,639,976
    )
    
    
    Income earned on restricted cash and investments
    
    
    (16,840
    )
    
    
    Change in assets and liabilities:Restricted cash
    
    
    (477,887
    )
    
    
    (390,646
    )Accounts receivable
    
    
    (2,461,514
    )
    
    
    Other receivable
    
    
    
    
    
    
    (2,809
    )Inventory
    
    
    (1,237,247
    )
    
    
    Derivative instruments
    
    
    (2,092,216
    )
    
    
    1,123,949Deposits and prepaid expenses
    
    
    1,155,454
    
    
    
    (112,315
    )Due to broker
    
    
    635,140
    
    
    
    Accounts payable
    
    
    (1,204,143
    )
    
    
    51,244Accrued expenses
    
    
    (3,924
    )
    
    
    47,838Net cash from operating activities
    
    
    4,321,901
    
    
    
    287,495Cash Flows from Investing ActivitiesPayment for construction deposit
    
    
    
    
    
    
    (509,250
    )Capital expenditures
    
    
    (462,975
    )
    
    
    (28,046,840
    )Net cash used in investing activities
    
    
    (462,975
    )
    
    
    (28,556,090
    )Cash Flows from Financing ActivitiesProceeds from checks in excess of bank balance
    
    
    251,012
    
    
    
    Proceeds from line of credit
    
    
    771,000
    
    
    
    Payments on line of credit
    
    
    (771,000
    )
    
    
    Proceeds from revolving term note
    
    
    1,000,000
    
    
    
    Payments on revolving term note
    
    
    (5,300,000
    )
    
    
    Proceeds from long-term debt
    
    
    
    
    
    
    25,775,000Payments on long-term debt
    
    
    (4,899,456
    )
    
    
    Payments for financing costs and other
    
    
    
    
    
    
    (71,884
    )Net withdrawals from restricted cash
    
    
    187,568
    
    
    
    Net cash from (used in) financing activities
    
    
    (8,760,876
    )
    
    
    25,703,116Net Decrease in Cash and Equivalents
    
    
    (4,901,950
    )
    
    
    (2,565,479
    )Cash and Equivalents  Beginning of Period
    
    
    5,924,234
    
    
    
    4,160,253Cash and Equivalents  End of Period
    
    $
    1,022,284
    
    
    $
    1,594,774Supplemental Cash Flow InformationCash paid during the period for:Interest capitalized
    
    $
    
    
    
    $
    896,371Interest expensed
    
    
    1,455,150
    
    
    
    Total
    
    $
    1,455,150
    
    
    $
    896,371Supplemental Disclosure of Noncash Investing and Financing ActivitiesCapital expenditures in construction payable
    
    $
    
    
    
    $
    4,977,030Debt issuance costs financed with TIF financing
    
    $
    
    
    
    $
    282
  4




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SIOUXLAND ETHANOL, LLC
   1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
   Nature of Business
  Accounting Estimates
  Revenue Recognition
   5




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SIOUXLAND ETHANOL, LLC
     Derivative Instruments
 Accounting for Derivative Instruments and Hedging Activities
    New Accounting Pronouncements
 Disclosures about Derivative Instruments and
Hedging Activities
 6




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SIOUXLAND ETHANOL, LLC
    2. INVENTORY
  March 31,
    
    
    September 30,2008
    
    
    2007 *Raw materials
    
    $
    1,997,635
    
    
    $
    1,172,335Supplies
    
    
    286,739
    
    
    
    215,530Work in process
    
    
    773,270
    
    
    
    581,063Finished goods
    
    
    1,307,359
    
    
    
    1,158,828Total
    
    $
    4,365,003
    
    
    $
    3,127,756
 
 *
    
    Derived from audited financial statements 3. DERIVATIVE INSTRUMENTS
  4. LINE OF CREDIT
   7




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SIOUXLAND ETHANOL, LLC
   5. LONG-TERM DEBT
  March 31,
    
    
    September 30,2008
    
    
    2007*Term note payable, see terms below
    
    $
    30,767,500
    
    
    $
    35,643,750Revolving promissory note, see terms below
    
    
    2,053,691
    
    
    
    6,353,691Tax increment financing
    
    
    4,030,000
    
    
    
    4,030,000Equipment note
    
    
    83,738
    
    
    
    106,944Total
    
    
    36,934,929
    
    
    
    46,134,385Less amounts due within one year
    
    
    4,803,019
    
    
    
    4,797,627Net long-term debt
    
    $
    32,131,910
    
    
    $
    41,336,758
 
 *
    
    Derived from audited financial statements Term Note
   Revolving Promissory Note
  8




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SIOUXLAND ETHANOL, LLC
   Maturities
  2008
    
    $
    4,803,0192009
    
    
    4,939,6292010
    
    
    4,918,5902011
    
    
    4,927,5002012
    
    
    4,947,500Thereafter
    
    
    12,398,691Total long-term debt
    
    $
    36,934,929
 6. COMMITMENTS AND CONTINGENCIES
 Construction Deposit
  Forward Contracts
  9




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SIOUXLAND ETHANOL, LLC
   7. RELATED PARTY TRANSACTIONS
  March 31, 2008Three months
    
    
    Six monthsended
    
    
    endedCorn purchases
    
    $
    773,000
    
    
    $
    1,327,000Distillers grain sales
    
    
    246,000
    
    
    
    436,000
 8. SUBSEQUENT EVENTS
  10




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SIOUXLAND ETHANOL, LLC
   
 Item 2.
    
    Managements Discussion and Analysis of Financial Conditionand Results of Operation
 Overview
    Results of Operations
  March 31, 2008(Unaudited)Three Months Ended
    
    
    Six Months EndedStatement of Operations Data
    
    Amount
    
    
    %
    
    
    Amount
    
    
    %Revenues
    
    $
    32,786,624
    
    
    
    100.0
    %
    
    $
    59,826,237
    
    
    
    100.0
    %Cost of Goods Sold
    
    
    21,819,594
    
    
    
    66.6
    %
    
    
    40,502,024
    
    
    
    67.7
    %Gross Profit
    
    
    10,967,030
    
    
    
    33.4
    %
    
    
    19,324,213
    
    
    
    32.3
    %SG&A Expenses
    
    
    925,223
    
    
    
    2.8
    %
    
    
    2,029,683
    
    
    
    3.4
    %Operating Income
    
    
    10,041,807
    
    
    
    30.6
    %
    
    
    17,294,530
    
    
    
    28.9
    %Other Income (Expense)
    
    
    (466,863
    )
    
    
    (1.4
    )%
    
    
    (1,343,743
    )
    
    
    (2.2
    )%Net Income
    
    $
    9,574,944
    
    
    
    29.2
    %
    
    $
    15,950,787
    
    
    
    26.7
    %
 11




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Revenues
   Cost of Goods Sold
   12




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Selling, General and Administrative Expenses
  Other Income (Expense)
  Liquidity and Capital Resources
   13




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Outlook
    15




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Application of Critical Accounting Estimates
  Off-Balance Sheet Arrangements
  
 Item 4T.
    
    Controls and Procedures
   
 PART II. OTHER INFORMATION
 
 Item 1.
    
    Legal Proceedings
  
 Item 2.
    
    Unregistered Sales of Equity Securities and Use of Proceeds
  
 Item 3.
    
    Defaults Upon Senior Securities
  16




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Item 4.
    
    Submission of Matters to a Vote of Security Holders
       Election of Group I Directors
 Name
    
    For
    
    
    Authority WithheldJohn Kingsbury
    
    
    1,701
    
    
    
    46Doug Garwood
    
    
    1,709
    
    
    
    38Matthew Sederstrom
    
    
    1,658
    
    
    
    89
 Election of Group II Directors
 Name
    
    For
    
    
    Authority WithheldRonald Wetherell
    
    
    1,665
    
    
    
    82Thomas Lynch
    
    
    1,709
    
    
    
    38Darrell Downs
    
    
    1,699
    
    
    
    48Donald Meisner
    
    
    1,703
    
    
    
    44
 Election of Group III Directors
 Name
    
    For
    
    
    Authority WithheldShennen Saltzman
    
    
    1,663
    
    
    
    84David Bailey Aalfs
    
    
    1,699
    
    
    
    48Pam Miller
    
    
    1,704
    
    
    
    43Craig Ebberson
    
    
    1,704
    
    
    
    43
 Ratification of Auditors
    
    For
    
    
    Against
    
    
    Abstained1,963
    
    
    
    20
    
    
    
    44
  
 Item 5.
    
    Other Information
  17




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Item 6.
    
    Exhibits
  Exhibit No.
    
    Exhibit3.1
    
    Articles of Organization of Siouxland Ethanol, LLC. Filed as
Exhibit 3.1 to the Companys registration statement on Form
SB-2 (Commission File 333-123473) and incorporated by
reference herein.3.2
    
    Amended and Restated Operating Agreement of Siouxland Ethanol,
LLC. Filed as Exhibit 3.2 to the Companys registration
statement on Form SB-2 (Commission File 333-123473) and
incorporated by reference herein.4.1
    
    Form of Membership Certificate. Filed as Exhibit 4.1 to the
Companys registration statement on Form SB-2 (Commission File
333-123473) and incorporated by reference herein.31.1
    
    Certificate pursuant to 17 CFR 240.13a-14(a).31.2
    
    Certificate pursuant to 17 CFR 240.13a-14(a).32.1
    
    Certificate pursuant to 18 U.S.C. § 1350.32.2
    
    Certificate pursuant to 18 U.S.C. § 1350.
 18




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SIGNATURES
  SIOUXLAND ETHANOL, LLCDate:
    
    May 15, 2008
    
    
    
    /s/ Charles HoflandCharles HoflandPresident and Chief Executive Officer (Principal Executive Officer)Date:
    
    May 15, 2008
    
    
    
    /s/ Mark RolfesMark RolfesTreasurer and Chief Financial Officer (Principal Financial and Accounting Officer)
 19