FORM 8-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934.
Date of Report (Date of earliest event reported) May 9, 1997.
HIGH PLAINS CORPORATION
(Exact name of registrant as specified in its charter)
Kansas #1-8680
(State or other jurisdiction of (Commission File
incorporation)
Number)
200 W. Douglas #48-0901658
Suite #820 (IRS Employer
Wichita, Kansas 67202 Identification No.)
(Address of prinicipal
exeuctive offices)
(316)269-4310
(Registrant's telephone number)
Item 5 Other Information
Wichita, Kansas, April 17, 1997 -- High Plains Corporation (NASDAQ: HIPC)
today announced the retirement of its Chairman of the Board and President,
Stanley E. Larson. Daniel O. Skolness will replace Mr. Larson as Chairman of
the Board and Raymond G. Friend was named the Company's President. Mr.
Larson will continue as a consultant to the Company for the next three years.
"High Plains wishes to heartily acknowledge the many successes that the
Company achieved during Mr. Larson's tenure. He was one of the seven
original incorporators in 1980. He assumed the positions of both President
and Chairman of the Board in 1985, and the Company grew and prospered under
his leadership," said Mr. Friend.
Mr. Skolness has been a Director of High Plains since 1993. He is 47 years
old, and is the Chief Financial Officer of Skolness, Inc., a 7,000 acre
sugarbeet and corn farming corporation in Glyndon, Minnesota.
Mr. Friend is a Wichita native who started with High Plains in 1985 and has
served as Vice President and Chief Financial Officer since 1990. He is 44
years old, and has served two terms as Chairman of the Clean Fuels
Development Coalition (CFDC), a national organization formed to promote the
commercial development and use of clean alternative fuel sources. He
continues to serve as Executive Director of the CFDC.
"The Board is confident in Ray Friend's ability to lead High Plains into the
future. There are many challenges and opportunities which lie ahead. He has
our full support as we move forward," said Mr. Skolness.
A conference call is being held by High Plains at 4:00 p.m. Eastern Time
today. To participate in the call, dial 800-946-0712 approximately 15
minutes prior to its starting time.
Wichita, Kansas, April 17, 1997 -- High Plains Corporation (NASDAQ: HIPC)
today announced that its customer which had contracted to purchase ten
million gallons of Industrial Grade Ethanol over a one year period has
requested cancellation of that contract for reasons of force majeure.
According to the customer, governmental action closing the Russian borders to
alcohol importing has affected the entire European Industrial Grade market,
and resulted in a tightening of U.S. exports.
High Plains' President Raymond Friend commented, "It is unfortunate that the
customer has chosen to formally cancel the contract. We were aware that the
markets had been affected, but the customer had previously indicated a
willingness to keep the contract in force, and to take the product when
market conditions improved, and the subjective organoleptic (smell and taste)
specifications were met."
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"However, we do have alternative markets for the product we are capable of
producing at this time. We currently have customers interested in purchasing
at least a portion of this product at prices up to $1.43 per gallon FOB our
plant. Although this is less that the $1.70 sale price per gallon ($1.58 FOB
our plant) we had initially contracted for, it still represents a greater
profit potential than the current fuel grade spot price of $1.10 FOB our
plant."
"Additionally, the customer that cancelled the contract has indicated their
belief that the market oversupply situation is temporary, and has expressed
willingness to consider another purchase agreement when the export market
situation improves. We are continuing to adjust our process to attempt to
meet this customer's organoleptic standards, and they have requested that we
continue to send samples of the product for analysis."
A conference call is being held by High Plains at 4:00 p.m. Eastern Time
today. To participate in the call, dial 800-946-0712 approximately 15
minutes prior to its starting time.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant had duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Date May 9, 1997 HIGH PLAINS CORPORATION
Raymond G. Friend
President
