Here's Why Pacific Ethanol Gained 6% On Tuesday

Shares of Pacific Ethanol Inc PEIX, a marketer of low-carbon renewable fuels, gained more than 6 percent on Tuesday after the company announced that it has successfully retired $17 million of debt. Pacific Ethanol noted that it has paid in cash $17.0 million to fully retire the remaining portion of plant debt related to its West Coast production facilities. The company added that the payment was made at par and the lender waved the pre-payment penalty. Pacific Ethanol continued that the retiring of the debt marks an "important milestone" for the company and reflects its "strengthening financial position." The company also cited a reduction in its overall cost of capital and improved future earnings in its debt reduction.