Pacific Ethanol (PEIX) One-for-15 Reverse Split to Take Effect May 14th

May 13, 2013 4:06 PM EDT
Pacific Ethanol, Inc. (Nasdaq: PEIX) announced that it has filed an amendment to its Certificate of Incorporation to effect a one-for-fifteen reverse stock split of its issued and outstanding shares of common stock. The reverse stock split will be effective as to stockholders of record at 12:01 a.m. Eastern Time on Tuesday, May 14, 2013. Trading of the Company's common stock on a split-adjusted basis is expected to begin at the open of trading on May 14, 2013.

As a result of the reverse stock split, every fifteen shares of pre-split common stock will automatically be reclassified as and converted into one share of post-split common stock. The reverse stock split, which was approved by the Company's stockholders on May 10, 2013, will reduce the number of shares of the Company's outstanding common stock from approximately 162.9 million shares to approximately 10.9 million shares. Any fractional shares resulting from the reverse stock split will be rounded up to the nearest whole share.

The Company's common stock will continue to trade on The NASDAQ Capital Market under the symbol "PEIX," with the fifth character "D" added to the end of the trading symbol, beginning on Tuesday, May 14, 2013, for a period of 20 trading days to indicate that the reverse split has occurred. The Company's common stock will revert to trading under its original symbol "PEIX" after the 20 trading day period.

The Company has retained American Stock Transfer & Trust Company ("AST") to act as exchange agent for the reverse stock split. AST will manage the exchange of old, pre-split shares for new post-split shares. Stockholders of record as of the effective time of the reverse stock split will receive a letter of transmittal providing instructions for the exchange of their shares. Stockholders who hold their shares in book entry form will be contacted by their banks or brokers with any instructions. For further information, stockholders and securities brokers should contact AST at 877-248-6417 on or after May 14, 2013.

The purpose of the reverse stock split is to raise the per share trading price of the Company's common stock to better enable the Company to maintain the listing of its common stock on The NASDAQ Capital Market. As previously disclosed, in order to maintain the Company's listing on The NASDAQ Capital Market, the Company's common stock must have a closing bid price of $1.00 or more for a minimum of 10 consecutive trading days by June 3, 2013.

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