Verasun (VSE) Expects To Post Unexpectedly High Third-Quarter Loss
Verasun, an ethanol producer, just filed a notice with the SEC indicating that their third quarter losses will be much higher than expected. Originally, the company was expected to post a net loss $2.4 million. However, the regulatory filing shows that that the company expects a net loss of between $63 million and $100 million. The company’s stock is expected to lose 40 to 65 cents per share as a result.
In the filing, Verasun attributes the loss to contracts that required it to purchase corn at above-market prices.
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Tags: Ethanol, verasun energy, vse
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Sep.17
[...] Downgraded from Outperform to Perform by OppenheimerShares of VSE are plunging nearly 70% today on news that the company is expected to post a large loss, with no support levels in [...]