http://www.biofuelsdigest.com/blog2/2008/11/14/verasun-says-third-quarter-operating-loss-as-high-as-637-million/ The world's most widely-read biofuels daily Wed, 18 Nov 2009 17:30:24 +0000 http://wordpress.org/?v=2.8.4 hourly 1 http://www.biofuelsdigest.com/blog2/2008/11/14/verasun-says-third-quarter-operating-loss-as-high-as-637-million/comment-page-1/#comment-2082 derekb Mon, 17 Nov 2008 18:05:11 +0000 http://biofuelsdigest.com/blog2/?p=6984#comment-2082 "The second largest U.S. producer, with about 13 percent of the nation's ethanol capacity, filed for bankruptcy protection two weeks ago citing volatile corn prices and bad bets on corn futures." First of all, you don't make "bad bets" in the futures markets.....Go to Vegas for that. Whoever is or was in charge should be thrown out...You would utilize the markets to hedge your exposure...then you should also learn to either read a price chart or find someone who does. As the price was climbing to $8.00/ bu the technicals were signaling a weakening in the market. How could Verasun protect themselves? By not getting involved with something they don't have a clue about. I suspect many other ethanol companies are going to make the same mistake. “The second largest U.S. producer, with about 13 percent of the nation’s ethanol capacity, filed for bankruptcy protection two weeks ago citing volatile corn prices and bad bets on corn futures.”
First of all, you don’t make “bad bets” in the futures markets…..Go to Vegas for that. Whoever is or was in charge should be thrown out…You would utilize the markets to hedge your exposure…then you should also learn to either read a price chart or find someone who does. As the price was climbing to $8.00/ bu the technicals were signaling a weakening in the market. How could Verasun protect themselves? By not getting involved with something they don’t have a clue about.
I suspect many other ethanol companies are going to make the same mistake.

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