Aventine sells auction rate securities

By | August 04, 2008
Pekin, Ill.-based Aventine Renewable Energy Holdings Inc. has sold $127.2 million per value of its student loan-based auction rate securities to various unnamed parties for cash totaling approximately $97.1 million. In its first quarter of 2008, Aventine recorded an impairment charge of $21.6 million related to the remaining auction rate securities it held March 31 that it didn't report to the U.S. Securities and Exchange Commission in time. Taking into account the most recent sale, the company will still record an $8.5 million loss on the sale of those securities. According to the company, the funds received from the sale of its auction rate securities will be used to fund plant construction.