EXHIBIT 99.1

MGP Ingredients, Inc. Reports Results for Second Quarter and Six Months Ended December 31, 2011

New Company Structure, Including Key Distillery Acquisition, Geared to Improve Profitability

Highlights

ATCHISON, Kan., March 13, 2012 (GLOBE NEWSWIRE) -- MGP Ingredients, Inc. (Nasdaq:MGPI) today reported financial results for the second quarter and six months ended December 31, 2011. As previously announced, the company changed its fiscal year end to December 31 from June 30. As a result, the six months ended December 31, 2011, represent a transition period, with the next fiscal year covering the period from January 1, 2012, through December 31, 2012.

Net income for the six month period ended December 31, 2011, includes a $13 million purchase gain and an $8.3 million tax benefit associated with the acquisition of LDI's Distillery Business, partially offset by operating losses in distillery products, ingredients solutions and other segments, including an impairment charge on long-lived assets and a loss related to joint venture operations.

Subsequent to the end of the transition period, the company completed several actions designed to accommodate future growth by creating a tighter focus within operating units while enhancing commercial activities and financing options. This includes the sale of 20 percent of the company's interest in the ICP joint venture for approximately $9.1 million, with proceeds used mainly for debt reduction. The company expects a before tax gain on the sale of approximately $4.0 million in the current fiscal year's first quarter. The company also entered into a new supply agreement for lower cost sourcing and improved hedging of corn, one of its major raw materials. Also in the current quarter, the company brought the distillery in Lawrenceburg, Ind., closer to full production capacity. Further improvements in operating costs at the facility are planned during the first half of this year.

"We faced some big challenges over the past six months, complicating the task of putting the right business foundation in place," said Tim Newkirk, president and chief executive officer. "We've made solid progress in terms of lowering our fixed costs and increasing our flexibility. We now have the right strategic partners in place in the areas of raw materials, transportation logistics, and supply chain management. Our long-term goal is to generate sustainable cost and capital savings, improve our hedging, and generate higher cash flows on growing sales."

For the second quarter ended December 31, 2011, the company reported net income of $16.1 million, or $0.89 per diluted share, compared with net income of $3.2 million, or $0.18 per diluted share, in the year-ago period. Income from operations for the second quarter includes the previously mentioned purchase gains and a $1.3 million impairment charge for long-lived assets. Gross profit in the second fiscal quarter was $ 0.1 million on sales of $70.3 million compared with gross profit of $8.7 million in the prior-year period on sales of $57.9 million. While pricing increased across the distillery products and ingredient solutions segments, these increases were outpaced by higher costs for corn and flour. Increased raw material costs had the most significant impact in the distillery products segment. Factors impacting ingredients included a 10-day production shutdown of protein and starch products during the month of December to accommodate special customer requirements, and the unfavorable impact of losses on open derivative commodity contracts not designated as cash flow hedges.

Net income for the six-month transition period ended December 31, 2011, increased 29.0 percent to $10.6 million, or $0.59 per diluted share, compared with $8.2 million, or $0.46 per share, for the same period a year ago. Total sales of $146.5 million increased 27.5 percent over the prior year.

Distillery Products Segment Review

Ingredient Solutions Segment Review

Other Segment Review

Newkirk concluded, "Along with structural improvements to our core operations, the acquisition of the Lawrenceburg Distillery provides added potential for improving margins over the course of the coming year. While it may take several quarters to maximize the new distillery's profitability, we have the opportunity to generate sales from our finished goods inventory of premium spirits. In the meantime, our Atchison distillery is now running close to peak yield levels. We also have the benefit of new pricing that took effect on January 1st. Even with corn prices remaining elevated, our current expectation is to see a measurable improvement in our profitability for the first quarter compared to the previous quarter."  

About MGP Ingredients

In business since 1941, MGP Ingredients, Inc. has pioneered food science innovation and the production of value-added, grain-based starches, proteins and food-grade alcohol products for the branded packaged goods industry. The Company's facilities in Atchison, Kan., Onaga, Kan, and at its newest site located in the adjoining towns of Lawrenceburg and Greendale, Ind., are dedicated to utilizing the latest technologies to assure the highest quality products and superior customer service. For more information, visit www.mgpingredients.com.

Cautionary Note Regarding Forward-Looking Statements

This news release contains forward-looking statements as well as historical information. Forward-looking statements are usually identified by or are associated with such words as "intend," "plan", "believe," "estimate," "expect," "anticipate," "hopeful," "should," "may," "will", "could", "encouraged", "opportunities", "potential" and/or the negatives of these terms or variations of them or similar terminology. They reflect management's current beliefs and estimates of future economic circumstances, industry conditions, Company performance and financial results and are not guarantees of future performance. All such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those contemplated by the relevant forward-looking statement. Important factors that could cause actual results to differ materially from our expectations include, among others: (i) disruptions in operations at our Atchison facility, (ii) the availability and cost of grain and fluctuations in energy costs, (iii) the effectiveness of our hedging strategy, (iv) our ability to close the prospective acquisition of Lawrenceburg Distillers Indiana, LLC and to integrate the acquired operations into our own, (v) the competitive environment and related market conditions, (vi) the ability to effectively pass raw material price increases on to customers, (vii) the ability to effectively operate the Illinois Corn Processing, LLC ("ICP") joint venture, (viii) our ability to maintain compliance with all applicable loan agreement covenants, (ix) our ability to realize operating efficiencies, (x) and actions of governments, (xi) consumer tastes and preferences.    For further information on these and other risks and uncertainties that may affect the company's business, see Item 1A. Risk Factors in Part II of the company's Transition Report on Form 10-K for the period ended December 31, 2011.

MGP INGREDIENTS, INC.
CONSOLIDATED STATEMENTS OF INCOME
(unaudited) Quarter Ended Year to Date Ended
(Dollars in thousands, except per share)  Dec. 31, 2011  Dec. 31, 2010  Dec. 31, 2011  Dec. 31, 2010
Net Sales $ 70,339 $ 57,951 $ 146,477 $ 114,929
Cost of Sales 70,184 49,159 143,531 95,783
Gross Profit $ 155 $ 8,792 $ 2,946 $ 19,146
         
Selling, General and Administrative Expenses 6,343 4,360 11,417 10,587
Other operating costs (180) 88 114 650
Impairment of long lived assets 1,301 -- 1,301 --
Bargain purchase gain (13,048) -- (13,048) --
Income (loss) from Operations $ 5,739 $ 4,344 $ 3,162 $ 7,909
         
Other Income, Net 2 -- 48 3
Interest Expense (216) (141) (330) (266)
Equity in earnings(loss) of joint ventures 2,279 (957) (551) 632
Income Before Income Taxes $ 7,804 $ 3,246 $ 2,329 $ 8,278
         
Provision for Income Taxes (8,340) 4 (8,306) 34
Net Income $ 16,144 $ 3,242 $ 10,635 8,244
         
Other Comprehensive Income, net of tax 2,500 (203) (1,020) (176)
Comprehensive Income $ 18,644 $ 3,039 $ 9,615 8,068
         
Basic Earnings Per Common Share $ 0.89 $ 0.18 $ 0.59 $ 0.46
Diluted Earnings Per Common Share $ 0.89 $ 0.18 $ 0.59 $ 0.46
         
Weighted average shares outstanding – Basic 16,690,701 16,702,569 16,875,924 16,684,606
Weighted average shares outstanding – Diluted 16,907,209 16,713,936 16,879,153 16,702,189
         
CONSOLIDATED BALANCE SHEET (UNAUDITED)
(Dollars in thousands) Dec. 31, 2011 June 30, 2011 (Dollars in thousands) Dec. 31, 2011 June 30, 2011
ASSETS     LIABILITIES AND STOCKHOLDERS' EQUITY
Current Assets:     Current Liabilities:    
Cash and cash equivalents $ 383 $ 7,603 Current maturities on long-term debt $ 1,670 $ 1,705
Restricted cash 7,605 1,028 Revolving credit facility 21,142 4,658
Receivables 27,804 27,844 Accounts payable 22,704 18,052
Inventory 31,082 17,079 Accounts payable to affiliate, net 6,167 6,166
Prepaid expenses 957 1,201 Accrued expenses 4,023 4,399
Deposits 1 595 Derivative Liabilities 3,465 2,852
Deferred income taxes 6,056 3,740 Total Current Liabilities $ 59,171 $ 37,832
Refundable income taxes 566 525 Other Liabilities:    
Derivative Assets 1,304 598 Long-term debt, less current maturities  6,852 7,702
Assets held for sale 2,300 -- Deferred credit 4,195 4,498
Total Current Assets $ 78,058 $ 60,213 Accrued retirement, health and life 6,309 6,498
      insurance benefits    
Property and equipment, at cost 185,386 165,365 Other non-current liabilities 2,144 1,015
Less accumulated depreciation (108,307) (102,115) Noncurrent Deferred income taxes 6,056 3,740
 Net property, plant and      Total Liabilities $ 84,727 $ 61,285
equipment $ 77,079 $ 63,250      
Investment in joint ventures 12,147 12,575 Stockholders' Equity 84,430 75,198
Other assets 1,873 445 TOTAL LIABILITIES AND    
TOTAL ASSETS $ 169,157 $ 136,483 STOCKHOLDERS' EQUITY $ 169,157 $ 136,483
           
Capital Structure          
Net Investment in:          
 Cash and cash equivalents $ 383 $ 7,603      
      Financed By:    
 Working capital $ 18,887 $ 22,381 Long-term debt* $ 6,852 $ 7,702
 Property, plant and equipment 77,079 63,250 Deferred liabilities 18,704 15,751
 Other non-current assets 14,020 13,020 Stockholders' equity 84,430 75,198
Total $ 109,986 $ 98,651 Total $ 109,986 $ 98,651
*Excludes short-term portion. Short- term portion is included within working capital.
CONTACT: Marta Myers, 913-367-1480