Xethanol Responds to ShareSleuth.com Posting
Thursday August 10, 3:28 pm ET
NEW YORK--(BUSINESS WIRE)--Aug. 10, 2006--Xethanol Corporation (AMEX:XNL - News) responded today to comments about the Company and its Chief Executive Officer that were published on the ShareSleuth.com website on August 7. Christopher d'Arnaud-Taylor, Chairman and Chief Executive Officer of Xethanol stated that "while it is generally our policy not to comment on articles or publications about our Company, the misinformation and disinformation contained in the ShareSleuth.com posting were so egregious that we felt we had no alternative but to respond."
Ethanol Production.
Xethanol states for the record that its Blairstown, Iowa, facility is producing ethanol at the rate of 450,000 gallons per month currently generating a gross profit of over $.50 per gallon. Full details will be made available on the Company's filing on Form 10Q with the SEC. The ethanol produced is sold through Aventine Renewable Energy (NYSE:AVR - News). The expansion on the Blairstown site to add 35 million gallons per year of capacity is proceeding on schedule. In addition, Xethanol has announced a planned expansion of 50 million gallons per year in Augusta, Georgia and 35 million gallons per year in Spring Hope, North Carolina.
Scientists
Xethanol further states for the record that it has research and development agreements in effect with two Federal Laboratories - The National Renewable Energy Laboratory (NREL) in Boulder, Colorado and the USDA Forest Product Laboratory in Madison, Wisconsin. In addition, there are research and development agreements with Virginia Tech and with The Energy & Environmental Research Center (EERC) at the University of North Dakota. All of these institutions are populated by eminent scientists. In addition, Mark Austin, our Chief Technology Strategist, is a respected technology innovator.
Technologies.
Xethanol further states for the record that criticisms of its low level of research and development expenditures are misleading. Though our expenditures are increasing, Xethanol considers it a source of pride that it has obtained the benefit of what it believes to be valuable technology without either the time delay or the expenditure of the cash necessary for internal research and development. Xethanol is presently evaluating several cellulosic technologies that may be deployed in its expansion program.
Corporate Governance
Xethanol further states for the record that it has a Board of Directors which includes independent experienced business persons. The Company operates under and is in compliance with AMEX Company Guidelines and reports regularly and on a timely basis to the SEC.
Management Qualifications.
Xethanol further states for the record that it is in possession of information validating Mr. Taylor's employment history. The Company reported that at its last meeting the Board of Directors decided to enter into a new 2-year employment contract with Mr. Taylor.
Mr. Taylor stated that "it is a shame and a disservice to the investor community and our shareholders that derogatory and misleading articles such as the one issued by ShareSleuth are published. We find such articles reprehensible. Xethanol questions the real purpose of this article, particularly in light of Mr. Cuban's professed intention to 'short the shares of this company.' Although we are not alleging that there has been any improper stock trading in this case, articles such as this provide fertile ground for such activities to occur."
The Company referred investors and potential investors to its public securities filings for a true and complete understanding of the Company and its business.
About Xethanol Corporation
Xethanol Corporation's goal is to be a leader in the emerging biomass-to-ethanol and biofuels industry. Xethanol's mission is to optimize the use of biomass in the renewable energy field and convert biomass that is currently being abandoned or land filled into ethanol and other valuable co-products, especially xylitol. Xethanol's strategy is to deploy proprietary biotechnologies that will extract and ferment the sugars trapped in these biomass waste concentrations. Xethanol's strategic value proposition is to produce ethanol and valuable co-products cost effectively with ethanol plants located closer to biomass sources. For more information about Xethanol, please visit its website at xethanol.com. To receive information on Xethanol in the future, please click on the following link: xethanol.com
Forward-Looking Statements
Certain matters discussed in this press release are "forward-looking statements." These forward-looking statements can generally be identified as such because the context of the statement will include words, such as "expects," "should," "believes," "anticipates" or words of similar import. Similarly, statements that describe Xethanol's future plans, objectives or goals are also forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties, including the financial performance of Xethanol, as appropriate, which could cause actual results to differ materially from those currently anticipated. Although Xethanol believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, it cannot give any assurance that their expectations will be attained. Shareholders, potential investors and other readers are urged to consider these factors carefully in evaluating any forward-looking statements. Certain factors could cause results and conditions to differ materially from those projected in these forward-looking statements, and some of these factors are discussed below. These factors are not exhaustive. New factors, risks and uncertainties may emerge from time to time that may affect the forward-looking statements made herein. These forward-looking statements are only made as of the date of this press release and Xethanol does not undertake any obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.
Contact:
Martin E. Janis & Company, Inc.
Beverly Jedynak (Media), 312-943-1100 ext. 12
bjedynak@janispr.com
or
Capital Group Communications, Inc.,
Anthony Evans/Mark Bernhard (Investors), 415-332-7200
info@capitalgc.com
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Source: Xethanol Corporation |
