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For immediate release - Monday, July 17, 2006.

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Grain Processing Corp. Pays $538,000 Civil Penalty for Air Pollution Violations

Muscatine company has ceased excess emissions, and has agreed to determine if additional changes are needed to ensure compliance with air quality standards.

Muscatine.  Muscatine County District Court Judge J. Hobart Darbyshire entered judgment today against Grain Processing Corporation, assessing a $538,000 civil penalty for air pollution control violations and requiring other measures to prevent air pollution in the future.

Grain Processing Corporation processes grain into ethanol and various feed and food products at its facility located in Muscatine, Iowa.

Attorney General Tom Miller said the Court's order resolves a State lawsuit against Grain Processing Corporation, which also was filed today. The lawsuit alleged that Grain Processing exceeded its annual hourly operating limits for a spray dryer, resulting in excess pollution, and failed to take measures to prevent significant deterioration of the air quality. The company agreed to the "Consent Order, Judgment and Decree" entered by the Court today. [Click here for the lawsuit. Click here for the Consent Order, Judgment and Decree.]

Grain Processing Corporation has ceased its excess emissions from the spray dryer and is enjoined from further violations. In addition to paying the civil penalty, Grain Processing Corporation agreed in the order to conduct facility-wide modeling to determine whether additional changes need to be made at the facility to ensure compliance with air quality standards, and to make any improvements that are necessary.

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