S&P: GreenField, notes B+

Standard & Poor's said it assigned a B+ long-term corporate credit rating to GreenField Ethanol Inc., along with a B+ rating to the company's proposed C$175 million of senior secured second-lien notes due 2016.

The recovery rating is 4, indicating 30% to 50% expected recovery in a default.

The outlook is stable.

The ratings reflect the company's exposure to commodity price volatility, its aggressive credit measures and hedging risks associated with its commodity risk-management program, S&P said.

Offsetting these weaknesses are the company's long-term customer contracts within its fuel ethanol business, strong market positions within the Canadian fuel ethanol and North American industrial alcohol industry and operating support from participation in several government-administered fuel ethanol operating incentive programs, the agency said.

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