<SEC-DOCUMENT>0001019687-12-001727.txt : 20120615
<SEC-HEADER>0001019687-12-001727.hdr.sgml : 20120615
<ACCEPTANCE-DATETIME>20120511163654
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0001019687-12-001727
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		1
FILED AS OF DATE:		20120511

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			Pacific Ethanol, Inc.
		CENTRAL INDEX KEY:			0000778164
		STANDARD INDUSTRIAL CLASSIFICATION:	INDUSTRIAL ORGANIC CHEMICALS [2860]
		IRS NUMBER:				412170618
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		400 CAPITOL MALL, SUITE 2060
		CITY:			SACRAMENTO
		STATE:			CA
		ZIP:			95814
		BUSINESS PHONE:		916-403-2123

	MAIL ADDRESS:	
		STREET 1:		400 CAPITOL MALL, SUITE 2060
		CITY:			SACRAMENTO
		STATE:			CA
		ZIP:			95814

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	ACCESSITY CORP
		DATE OF NAME CHANGE:	20030627

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	DRIVERSSHIELD COM CORP
		DATE OF NAME CHANGE:	20001115

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	FIRST PRIORITY GROUP INC
		DATE OF NAME CHANGE:	19920703
</SEC-HEADER>
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<TYPE>CORRESP
<SEQUENCE>1
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        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: right">&nbsp;</P></TD>
    <TD STYLE="width: 30%; vertical-align: top; font-size: 10pt">&nbsp;</TD>
    <TD STYLE="width: 34%; vertical-align: bottom">
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: right">&nbsp;</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: right"><B>Larry A. Cerutti<BR>
        </B>Direct Dial: (714) 641-3450<BR>
        E-mail: lcerutti@rutan.com</P></TD></TR>
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    <TD STYLE="text-align: right; tab-stops: .55in; font-size: 10pt">&nbsp;</TD>
    <TD STYLE="padding-top: 66pt; padding-bottom: 24pt; font-size: 10pt; text-align: center">May 11, 2012</TD>
    <TD STYLE="font-size: 10pt; text-align: right">&nbsp;</TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><B><U>VIA VIA FEDEX AND<BR>
EDGAR CORRESPONDENCE</U></B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

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    <TD STYLE="width: 50%; padding-right: 5.4pt; padding-left: 5.4pt; tab-stops: -.5in; font-size: 10pt">Ms. Pamela Long<BR> Assistant Director<BR> Division of Corporation Finance<BR> Securities and Exchange Commission<BR> 100 F Street, NE<BR> Washington, D.C.&nbsp; 20549-3628</TD>
    <TD STYLE="width: 50%; padding-right: 5.4pt; padding-left: 5.4pt; tab-stops: -.5in; font-size: 10pt">&nbsp;</TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

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    <TD STYLE="width: 8%; text-align: justify; text-indent: 0in; tab-stops: -.5in; font-size: 10pt">Re:</TD>
    <TD STYLE="width: 92%; border-bottom: Black 1pt solid">
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in">Pacific
        Ethanol, Inc.</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in">Registration Statement on
        Form S-3</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in">Filed April 13, 2012</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0pt; text-align: justify; text-indent: 0in">File No. 333-180731</P></TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0.5in 0 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0.5in 0 0">Dear Ms. Long:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: left; text-indent: 0.5in">This letter responds
to the comments of your letter dated May 7, 2012 relating to Pacific Ethanol, Inc. (the &ldquo;Company&rdquo;), a copy of which
letter is enclosed for your convenience.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: left; text-indent: 0.5in">We have reproduced
below in bold font each of your comments set forth in your letter of May 7, 2012, together with the Company&rsquo;s responses in
regular font immediately following each reproduced comment. The Company&rsquo;s responses in this letter correspond to the numbers
you placed adjacent to the comments in your letter of May 7, 2012.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: left; text-indent: 0.5in"><U>Exhibit Index</U></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: justify; text-indent: 0.5in"><B>1.</B>&#9;<B>We
note that you have listed the Statement of Eligibility of Trustee for both the Senior Debt Indenture and the Subordinated Debt
Indenture as Exhibits 25.1 and 25.2. To the extent that you are relying on Section 305(b)(2) of the Trust Indenture Act of 1939
and intend to file Form T-1 under electronic form type &ldquo;305B2,&rdquo; please confirm this fact and include in the filing
related footnote disclosure. Please note that you may not file the Form T-1 in a post effective amendment to the registration statement
or in a Form 8-K that is incorporated by reference into the registration statement. For further guidance, please see Question 220.01
of the Trust Indenture Act of 1939 Compliance and Disclosure Interpretations.</B></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><B></B>Ms. Pamela Long</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">May 11, 2012</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">Page 2</P>



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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 12pt; margin-bottom: 0; text-align: left"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: left; text-indent: 0.5in">The Company intends
to rely on Section 305(b)(2) of the Trust Indenture Act of 1939 in filing its Forms T-1 under electronic form type &ldquo;305B2.&rdquo;
The Company has added footnote number &ldquo;#&rdquo; to Exhibits 25.1 and 25.2 on page II-2 of the Registration Statement stating
that in each case the Form T-1 will be incorporated by reference from a subsequent filing in accordance with Section 305(b)(2)
of the Trust Indenture Act of 1939.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: left; text-indent: 0.5in"><U>Exhibit 5.1</U></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: justify; text-indent: 0.5in"><B>2.</B>&#9;<B>We
note that counsel&rsquo;s opinion contains assumptions regarding the future issuances of the securities being registered. Please
confirm that you will file an unqualified opinion each time a takedown occurs that omits all such assumptions.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: left; text-indent: 0.5in">This will confirm that
the Company will file with the Securities and Exchange Commission an unqualified opinion of counsel each time a takedown occurs
that omits all such assumptions regarding the future issuances of the securities being registered.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: justify; text-indent: 0.5in"><B>3.&#9;We note
that counsel has included a list of qualifications in the second and third paragraphs on page five and the first paragraph on page
six of the opinion. While certain assumptions and qualifications are appropriate, qualifications that are either overly broad or
whose purpose is unclear are generally impermissible. Please have counsel revise its opinion to remove all assumptions or qualifications
that are inconsistent with the staff&rsquo;s views contained in Section II.B.3 of Staff Legal Bulletin No. 19 (Oct. 14, 2011).
To the extent counsel wishes to retain any of the qualifications listed on pages five and six, please have counsel provide us with
its analysis as to why such qualifications are necessary for the opinions rendered.</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: left; text-indent: 0.5in">The Company&rsquo;s
counsel has revised its opinion to remove all assumptions or qualifications that are inconsistent with the staff&rsquo;s views
contained in Section II.B.3 of Staff Legal Bulletin No. 19 (Oct. 14, 2011). A copy of the revised opinion is included as Exhibit
5.1 of the Registration Statement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: justify; text-indent: 0.5in">4.&#9;<B>We note
counsel&rsquo;s statement on page six that with respect to its opinions relating to the enforceability of the Documents, counsel
has assumed that the laws of the State of New York are identical in all relevant respects to the laws of the State of California.
Because the agreements or instruments pursuant to which the Debt Securities, Warrants, and Units are to be issued will be governed
the laws of the State of New York, counsel may not limit its opinion with respect to such laws. Please have counsel revise its
opinion to provide an opinion on the laws of the State of New York.</B></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0.75in 0 0">Ms. Pamela Long</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">May 11, 2012</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">Page 3</P>



<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: left; text-indent: 0.5in">The Company&rsquo;s
counsel has revised its opinion to provide an opinion on the laws of the State of New York. A copy of the revised opinion is included
as Exhibit 5.1 of the Registration Statement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 12pt 0 0; text-align: left; text-indent: 0.5in">We trust that the foregoing
is responsive to your comments in your letter of comments dated May 7, 2012. If you have any questions, please call me at (714)
641-3450 or my partner John Bradley, Esq. at (714) 662-4659.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify">&nbsp;</P>

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    <TH><P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify">Sincerely
yours,</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify">RUTAN
&amp; TUCKER, LLP</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify">/s/
&nbsp;Larry A. Cerutti</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify">Larry
A. Cerutti</P>
&nbsp;</TH></TR>
<TR STYLE="vertical-align: top; text-align: left">
    <TD STYLE="width: 50%">&nbsp;</TD>
    <TD STYLE="width: 50%">&nbsp;</TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; margin-left: 0pt; text-indent: 0pt; text-align: justify"></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0">Enclosures</P>

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<TD STYLE="width: 17pt; text-align: left">cc:</TD><TD STYLE="width: 5pt"></TD><TD STYLE="text-align: justify">Ms. Erin Jaskot, Esq. (w/enc.)<BR>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: left">Mr. Neil M. Koehler</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: left">Mr. Bryon T. McGregor</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: left">Christopher W. Wright, Esq.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: left">John T. Bradley, Esq.</P>

</TD>
</TR></TABLE>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: left">&nbsp;</P>



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