PEIXD Pacific Ethanol - Commonstock (MM)

Pacific Ethanol, Inc. (Nasdaq:PEIXD), the leading marketer and producer of low-carbon renewable fuels in the Western United States, announced today that it has amended the terms of its senior convertible notes. The amendment relieves the company from making its monthly amortization payment due on August 1, 2011, extends the maturity date one additional month to February 6, 2012 and enables the company to continue to make payments in either cash or stock.

Neil Koehler, PEI's president and CEO, stated, "Working in collaboration with our investors, we extended the payment schedule for our senior notes. We believe our investors' support conveys their ongoing confidence in Pacific Ethanol."

Additional terms and details of the amendment are more particularly described in a Current Report on Form 8-K to be filed with the Securities and Exchange Commission today.

About Pacific Ethanol, Inc.

Pacific Ethanol, Inc. (Nasdaq:PEIXD) is the leading marketer and producer of low-carbon renewable fuels in the Western United States. Pacific Ethanol also sells co-products, including wet distillers grain (WDG), a nutritional animal feed. Serving integrated oil companies and gasoline marketers who blend ethanol into gasoline, Pacific Ethanol provides transportation, storage and delivery of ethanol through third-party service providers in the Western United States, primarily in California, Nevada, Arizona, Oregon, Colorado, Idaho and Washington. Pacific Ethanol has a 20% ownership interest in New PE Holdco LLC, the owner of four ethanol production facilities. Pacific Ethanol operates and manages the four ethanol production facilities, which have a combined annual production capacity of 200 million gallons. The facilities in operation are located in Boardman, Oregon, Burley, Idaho and Stockton, California, and one idled facility is located in Madera, California. The facilities are near their respective fuel and feed customers, offering significant timing, transportation cost and logistical advantages. Pacific Ethanol's subsidiary, Kinergy Marketing LLC, markets ethanol from Pacific Ethanol's managed plants and from other third-party production facilities, and another subsidiary, Pacific Ag. Products, LLC, markets WDG. For more information please visit www.pacificethanol.net.

The Pacific Ethanol, Inc. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=5940

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

With the exception of historical information, the matters discussed in this press release including, without limitation, the ability of Pacific Ethanol to continue as the leading marketer and producer of low-carbon renewable fuels in the Western United States, are forward-looking statements and considerations that involve a number of risks and uncertainties. The actual future results of Pacific Ethanol could differ from those statements. Pacific Ethanol refers you to the "Risk Factors" section contained in its most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 31, 2011 and in its most recent Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on May 13, 2011.

CONTACT: IR Agency Contact:
         Becky Herrick
         Lippert / Heilshorn & Assoc.
         415-433-3777
         Investorrelations@pacificethanol.net
         
         Company IR Contact
         Pacific Ethanol, Inc.
         916-403-2755
         866-508-4969
         
         Media Contact:
         Paul Koehler
         Pacific Ethanol, Inc.
         503-235-8241
         paulk@pacificethanol.net