Highwater Ethanol LLC Amends Executive Bonus Plan, Increases CEO/CFO Bonus

What Happened
Highwater Ethanol LLC filed an 8-K on September 28, 2026 disclosing that its Board approved amendments to the Amended and Restated 2026 Executive Bonus Plan on September 23, 2026. The modification adds bonus eligibility for the Chief Executive Officer and Chief Financial Officer based on achieving certain net income and receiving federal clean fuel production tax incentives under Section 45Z of the Internal Revenue Code.

Key Details

• Amendments approved: September 23, 2026; filing date: September 28, 2026.
• Bonus triggers: (i) Company meeting specified goals for net income above $10,000,000; and (ii) receipt of incentives tied to federal Section 45Z clean fuel production tax credits.
• Maximum bonus potential: CEO up to 59% of base salary; CFO up to 56% of base salary.
• Performance assessment date: fiscal year end of October 31, 2026. The amended plan is attached as Exhibit 10.1 to the filing.

Why It Matters
The change ties larger potential cash awards for the CEO and CFO directly to company profitability and receipt of federal clean fuel tax incentives, aligning executive pay with specific financial and policy-driven outcomes. For investors, these amendments mean executive payouts could increase materially if Highwater exceeds $10 million in net income and secures Section 45Z incentives by the October 31, 2026 year end; conversely, payouts remain contingent on those outcomes. The filing was furnished under Regulation FD and the amended plan is included as an exhibit.