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Pride Ag Resources Fourth quarter newsletter 2016

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MANAGER’S DESK

Jerald Kemmerer-CEO/GM

Pride Ag Resources Fall Harvest is starting to wind down as corn is almost complete but it has been one of our bigger harvests in the last few years. There is still more milo to be harvested as space continues to be a struggle but a good problem to have. Harvest yields may have not met everyone’s expectations but still a good crop overall despite some of the fungus and bugs we have seen. First of all, thanks for your harvest bushels, the employees are working hard to keep things running as smoothly as possible. We also appreciate your patience as it seems both corn and early milo was dry at the same time plus the addition of beans being delivered. We took in a record crop of wheat

FOURTH QUARTER 2016

but harvest did not get completed until the end of July. Moving that much wheat in a month and a half was impossible but the employees have done a great job of making room while receiving fall crops at the same time. October is nationally known as Cooperative month. Studies have shown that farmer owned cooperative business models deliver economic value in it’s’ community that far exceeds the multiplier effect of other business sectors. So we felt it was important to take this time to recognizing Cooperative month but more importantly to thank you for your daily business. It is also a good time for patrons to interact with the team of employees at Pride Ag Resources. I hope you were able to attend one of the lunches.

As we quickly finish harvest, the team of employees will be busy getting the milo off the ground while getting their locations ready for fall fertilizer application. Please get with our agronomy team regarding any of your fertilizer needs while you are able to take advantage of the great fall weather we are experiencing. In conjunction with the CHS Annual Meeting coming up on December 1st and 2nd, a specially selected group of top young producers will participate in the CHS New Leader Institute. Over the course of three intensive days, participants will examine indepth issues and challenges facing cooperatives in agriculture and rural America as well as learning ways they can build their leadership skills to benefit their cooperatives and communities. Sessions feature

Inside This Issue 2 Safety 3 Ace Hardware - Grain 4 Feed 5 Agronomy 6 Turf – AV Energy 7 Board of Directors


top-notch, professional speakers and agribusiness experts. If you have interest in attending, please let me know. I hope your fall harvest yields were better than you expected. We are looking for an increase in fall moisture to enhance the planted wheat acres from its current potential. Pride Ag Resources appreciates the opportunity to help you with all your production agricultural needs and we appreciate your business! Jerald S. Kemmerer CEO Pride Ag Resources

Safety Division

Skyler Hayes

Safety Director

DISTRACTED DRIVING Distracted driving is any activity that could divert a person’s attention away from the primary task of driving. All distractions endanger driver, passenger, and bystander safety. Driving distractions include texting, using a cell phone or smartphone, eating and drinking, talking to passengers, grooming, reading (including maps), using a navigation system, watching a video, and adjusting a radio, CD player or MP3 player. AAA now says that distracted driving accounts for 25-50% of all automobile accidents. Some alarming statistics I got off the web site Distraction.gov

include the following: In 2014 alone 3179 were killed and 431,000 injured in distracted driving crashes. Ten percent of all drivers 15 to 19 years old involved in fatal crashes were reported as distracted at the time of the crash. This age group (15-19 yrs.) has the largest proportion of drivers who were distracted at the time of the crashes. Drivers in their twenties are 23% of drivers in all fatal crashes, but are 27% of the distracted drivers and 38% of the distracted drivers who were using cell phones in fatal crashes. At any daylight moment across the United States, approximately 660,000 drivers are using cell phones or manipulating electronic devices while driving, a number that has held steady since 2010. A 2015 Erie Insurance distracted driving survey reported that drivers do all sorts of dangerous things behind the wheel including brushing teeth and changing clothes. The survey also found that one third of drivers admitted to texting while driving, and three fourths saying they’ve seen others do it. Five seconds is the average time your eyes are off the road while texting. When travelling at 55 miles per hour, that is enough time to cover the length of a football field blindfolded. There are three types of driving distractions, visual, manual and cognitive. Visual distractions are those that cause you to take your eyes off the road for any amount of time. Examples of visual distractions include using a cell phone or a smartphone, looking at a road map, looking at an electronic navigation device, watching a video, and reading. Manual distractions are those that cause you to use your body for tasks other than to drive and otherwise control the car. Examples of manual

distractions are adjusting your seat, adjusting the radio, CD player or MP3 player, eating and drinking, using a cell phone or a smartphone, and grooming. Cognitive distractions are those that cause you to take your mind off of driving and controlling the vehicle. Examples of cognitive distractions include talking to passengers, using an electronic navigation device, reading a road map, using a cell phone or a smartphone, and watching a video. These are just some of the distractions, and there are many more. You probably noticed that some distractions are more than one type of distraction, such as the use of a phone, which is a visual distraction, a manual distraction and a cognitive distraction. Is it any wonder that using a phone while operating a motor vehicle is such a dangerous activity? It is obvious to most of us as to why visual and manual distractions are dangerous, but cognitive distractions can be just as dangerous. Studies have shown that using a hands free device to talk on a cell phone is no safer than holding the cell phone while driving. The reason for this is that the brain quickly moves between tasks, but it cannot do two things at the same time. If you do not believe this, try to read a book and talk on the phone at the same time, and driving is a lot more important and dangerous than reading a book. The activity in the area of the brain that processes moving images decreases by up to one third when listening to talking on a phone. Drivers looking out the windshield can miss seeing up to half of what is around them when talking on any kind of a cell phone. “What about voiceto-text?” you may ask. Studies have shown that using voice-to2


text is more distracting than typing texts by hand.

ACE HARDWARE

available. As always thanks for your business and have a great Holiday season. GRAIN DIVISION

Jack Lane,

Gaylene Friesen

Ace Manager

Grain Merchandiser

It is hard to believe that the holiday time of year is upon us again. It seems like we were just there yesterday. All the Pride Ag Ace stores have been busy doing the winter product transformation Ace has a good stock of fall and winter products for all your needs from winterizer for your lawn to snow blowers and shovels for your driveway. We keep a good inventory of heat tapes and insulation for your water lines and a good selection of heaters including electric, propane and kerosene. All the stores have a selection of holiday decorations available including trees, lights and all the trimmings for all your decorating needs. We all want to congratulate the Ace location in Maize for winning a survey in Wichita for being the most helpful and best hardware store in Wichita. Hats off men good job! Everyone should be on the lookout for the Holiday sale bills from Ace there is going to be some crazy deals

Wow!! What a growing season we’ve had this year! Some of you have been asking why we weren’t more prepared for fall harvest. Well in order to understand the present, we must revisit the past. We started out the spring with timely rains which helped the wheat and set up the fall crops for the potential to have great yields. But then the rains kept coming into the middle of June and July. Instead of wheat harvest lasting two weeks, it stretched out to 2 months. Therefore, there wasn’t much time between wheat harvest and fall harvest which started in early September. From the middle of July up to the present, we have loaded 11 trains. That has kept the truckers busy! Now you must understand that we have 15 locations to take fall crops and they were all stuffed full of wheat. Some of you have asked why we didn’t have your particular location emptied of wheat before harvest. We loaded a lot of truck wheat and transferred wheat to the train loader from all locations so that all of you would have a place to dump your fall crops. We also had to take into consideration which locations had high protein wheat so that we could

blend it with the low protein wheat. Also, once fall harvest started, we have not had any weather delays; you were able to keep cutting every day. That made it harder for us to move grain around to maximize the room we had. Yes, we’ve had some impatient people, some very tired employees, and some very busy truckers who have worked tirelessly. But all in all, we’ve had a very successful harvest. To date, we’ve taken more corn and beans than we did last year, and we’ve almost taken the same amount of milo as we did last year We started out harvest thinking the corn would be good; but in different areas of our territory, cob rot showed up. We took samples to Kansas Grain Inspection to be graded, and some of it came back as sample grade. The grading scale for number 3 on down corn is very steep on the SW Kansas grading scale. So without prior notification to you, we decided not to dock the farmer; but we would absorb all the dock this year. Next year if cob rot shows up again, we will notify you ahead of time that we will be taking samples to be graded and will dock accordingly. Date Wheat Corn 07/6/16 2.95 3.07 08/4/16 2.86 2.81 08/18/16 3.01 2.92 09/16/16 2.77 2.92 Last Year –Nov. 2015 AVG. 4.09 3.72

Milo 2.57 2.31 2.42 2.42

Soybean 9.97 8.67 9.25 8.76

3.13 7.77

Many of you have been asking what to expect on market prices. The answer is simple but not one that we like to hear. It’s simply “supply and demand”. Worldwide we have an abundant supply of wheat. With the help of the South 3


American countries, there is an ample supply of corn and soybeans. Without China buying tons of milo like they did two years ago, we have a good supply of milo in the US. Lots of supply brings prices down, and low supply drives prices up. And then of course, there is the basis. One of the things that determine the local basis is demand. A feed yard is not going to pay top dollar for local corn when he can get it shipped in cheaper from somewhere in the Corn Belt. The feed yard operator gives the elevators a basis at which he is willing to buy corn. Among other factors, the local elevators use that basis to determine their own basis. In a nutshell, because of huge inventories in all grains, there is no current incentive for grains to go higher. We will be doing good to have the prices hold steady to the levels they are at now. Finally, we would like to say THANK YOU for the bushels of grain you brought to us and for your patience and understanding in getting this monstrous harvest accomplished.

FEED DIVISION

VFD outlines the process for authorizing the process for use of drugs for livestock. Drugs intended for animal use in feed require the authorization of a consulting veterinarian. VFD provides veterinarians across the country with a set of rules for prescribing medically necessary antimicrobials in the feed when needed for specific animal health purposes. The changes significantly affect the way that cattle and livestock producers use medically treated feed, and therefore it is important to learn more about the VFD regulations and discuss the impact this has with your veterinarian. The final VFD rule requires veterinarians to issue all VFD’s as part of the veterinarian client-patientrelationship. It includes certain fundamentals that define exactly how the client-patient relationship works. The requirements are:  

Calvin Carey Seems like the only thing that is constant is change. The feed department continues to change. The big change this year is VFD –Veterinary Feed Directive. The

Have a relationship with your veterinarian Veterinarian should visit producer at his feedlot at least 2 times / year No off label usage of feed grade antibiotics such as chlortetracycline, AS700, or Rumensin / Tylan No requirements as for now on Rumensin or Bovatec Script should be sent to your feed supplier with a hard copy or e-mail from the veterinarian Veterinarian will provide a script to be sent / given to the beef producer – feed supplier –veterinarian No VFD antibiotics will be sold to a beef producer until feed supplier has a script in hand Producer – feed retailer – veterinarian must keep a copy VFD script for two years

Must be able to provide the script for inspection by FDA Script will provide animals to be treated, etc. – see sample VFD form Rule goes into effect – January 1, 2017 – no exception

The premise behind the rule is that oversight of clinical treatment encompasses all the medical treatment needs for all livestock. The rules are meant to ensure that national principals are consistently followed to ensure operations are properly caring for the animals with an oversight by a medically trained professional. This is a program that will require producer, feed supplier and veterinarian to work together to make sure they are using antibiotics correctly. This is the information we now have, it can change tomorrow, wait until December, or have no change at all. Make sure you visit with your veterinarian on products that your feed supplier has and what the veterinarian will recommend. Other changes, with the grain and livestock prices we have to be as cost effective as possible. When receiving cattle we need to reduce stress as much as possible. Let them rest. A good rule of thumb is allow one hour of rest for every hour spent in transportation before processing them. Always provide plenty of high quality long stem hay. Don’t forget about the water and water tank. Calves will naturally walk the fence when introduced to a new pen. Placing additional water troughs perpendicular to the fence will maximize their exposure to water. This strategy can be especially helpful for high risk calves. Letting calves hear the sound of running water is also helpful in when trying to 4


increase water intake. For weaning and growing rations we will looking at using Availa-4 and yeast in your rations. Availa-4 is a combination of organic zinc, manganese, copper and cobalt. This is a patented formulation that consists of one metal ion bound to one amino acid ion – is called a metal amino acid complex. These trace minerals are required for improving numerous functions including: immunity, reproduction, skin and hoof integrity, growth and muscle development, milk production, fiber digestion, and energy metabolism. Availa–4 or chelated mineral is specifically designed to improve overall health and performance of newly received stressed cattle. In cows, improves reproduction efficiency through improved fertility, improves life-time performance through the positive impact on fetal development, will improve overall performance through immunity and disease prevention. When an animal has the proper balance of trace minerals it is better to able cope with the challenging effects of stress. Yeast has been found to improve feed intake by increasing rumen bacteria numbers and improved digestion of feed stuffs. Yeast will improve absorption of mineral. Improve palatability that will improve consistent feed intake. Better feed digestibility helps make more nutrients availably to the animal for absorption, performance, health and production. We have products with Availa-4 and yeast already in them and we have the option to add these ingredients to the feeding programs producers have used in the past. Stress Care Tubs is a free choice supplement designed

for young calves prior to and after stress. It is a highly palatable molasses supplement that entices cattle to taste. It improves the key nutrients needed to jump start the immune system so that cattle are prepared to face and recover from the stress of weaning and transportation. With Stress Care Tubs calves respond quickly to vaccination programs and start more quickly on feed. It also provides key nutrients for cows in reproduction performance to positively impact fertility and estrus. In bulls it improves the sperm quality and quantity. Stress Care tubs help by providing important nutrients and stimulate feed intake in sick pens to provide importation nutrition to overcome diseases. Offer newly received calves Stress Care tubs for 3 to 4 weeks. Stress Care Tubs help in providing increased nutrients to developing heifers and bulls. Breeding bulls should be feed Stress Care tubs 60 days prior to calving through the end of the breeding season. It is recommended to feed one tub to 20 -25 head of cattle and at least 2 tubs per pasture to ensure adequate intake by younger and timid animals. Feed tubs continuous. Cattle should consume 1/3 to 1/2 pound per head per day. Whatever kind of livestock you have we have a program for you. Give us a call at the feed mill or local branch of Pride AG Resources.

AGRONOMY

Lawrence Baxa Agronomy Manager Newsletter time again it just seems like I clicked the save button on last quarters newsletter and here it is time to write another one. If I am writing another article it means that the calendar has moved forward and fall harvest is nearly complete. That means it is time to think about next seasons cropping plans after just getting the bin door closed on this one One of the first things we will need to do this fall is make sure all of your soil test information is what you need, and is current. If it is not be sure to schedule a soil test with your Pride Ag agronomist. I realize that commodity prices are lower than they have been in a number of years, but we have seen fertilizer values come down as well. Now is an excellent time to take advantage of these options and lower fertilizer prices. With the excellent yields that were reported this fall on many crops, that tells me that to maintain the yields we need for production, in these times of lower commodity prices, fertilizer will need to be applied to keep production levels up. With the open fall weather we are having there is no better time than the present to get prepared for the 2017 crop season. I will leave fertilizer now for a brief look at chemical options and what we will be looking at going into spring. Like fertilizer we have seen chemical prices soften just a bit. We are looking at some price reductions in our burn down line up as well as wheat top dress products. We will have options for different control levels for Corn and some new labeling info on some 5


old products that can be used on milo stay tuned for details. Remember when crop production is concerned it takes fertilizer to grow bushels and it takes chemicals to control weeds. You can count on your local Pride Ag Resources agronomy location to have the ability to get you the producer the resources needed for a successful growing season. As with any agronomy questions if they should arise don’t hesitate to call, your Pride Ag rep or myself in Dodge City. The next growing season will have many challenges and with that, many opportunities as well. We at Pride Ag resources welcome the opportunity to work with you our customers. We APPREICIATE your business. We want to be your stop for chemical and fertilizer needs. Let us know how your Co-op can be of service to you.

Pride Ag Resources“Augusta Green” Turf Shed

“Turf Talk” Ryan Bourne rbourne@prideag.com It’s hard to believe that we are only a few short months away from the Holiday seasons already and I am not for sure what all happened as this year went by so fast! However, I hope everyone has had a great fall from harvest to planting to maintaining their yards! The Ensign Turf plant has seen some minor changes and

we have tuned the operation to a very efficient operation. Part of those changes has been transitioning into a new name of Pride Turf Products, keeping our brand name and expanding certain offerings has been very exciting lately. We now offer products for fertilizer, sports field conditioners, pond products, and ice melt. We have picked up more business and we continue to produce high quality products for homeowners, school districts, golf courses, and lawn care professionals. Greg Martinez has moved into running the plant operations and has done an outstanding job in fulfilling orders I send in. I am very excited with our future as my goal is to get our products into more hands of people across the region. If you have or have not purchased our products from one of our Ace Hardware stores or local branches, I encourage you to give us a shot! I will be releasing in 2017 a few new “solutions for lawns”, this will be program based but designed for a wide range of turf grasses including Cool-Season, Bermuda, and Buffalo grass lawns. We will also be expanding our fertilizer lineup with more great offerings. As we move from Winterizer to Ice Melts, be sure to get stocked up and ready for the winter months. I have seen some predictions for a wetter winter but as always Mother Nature has her own plans! We will be rolling out our ice melt program very soon with the same 2 blends as we had brought in last year (although we never had a storm past Christmas last year) and both have been used effectively in a Colorado Market to success, so I am confident these products will achieve the results you are after for the winter season.

The “ROYAL BLUE MELTER” is a true 3-way product. It contains 84% Sodium Chloride, 8% Magnesium Chloride, and 8% Calcium Chloride and has a Non-staining light blue color added for easy indication when applying and is perfect for fast effective melting as the products work well together. It can be used for high traffic surfaces, driveways, sidewalks and steps. It has melting capabilities from 20 deg. to -20 degrees. The “GREEN MELTER” is a combo product with 97% Sodium Chloride and 3% Calcium Carbonate, it is dyed a light green for easy indication, this product is great for large applications and has an anti-slip material added in. This product has melting capabilities from 20 deg. to -15 degrees. I was recently reading an article regarding Gypsum lawn applications before, during and after winter months. This product was used in high application areas of ice melt either along the sidewalks of schools or businesses to along roadways. Gypsum will help flush the salts from the soil, and if you battle with dead grass along your turf areas in the spring, give it a shot! We carry Gypsum in all of our locations. As always if you have a question, don’t hesitate to send me an email as I would be happy to help where I can. I hope everyone has a safe and wonderful holiday season and I look forward to 2017!

AV Energy I hope everyone had a safe and happy summer! Below is an article from Cenex that gives information about their Total Protection Warranty program. This warranty is 6


one of the best in the industry and I encourage you to read through the article and give us a call if you have questions or would like to sign up. Did You Know...There's a Simple Way to Protect the Performance of Your Agricultural Equipment and Gain Warranty Coverage for up to 10 Years or 10,000 Hours? In this business, there's no time for downtime — and there's no such thing as an "inexpensive" repair. That's why it pays to protect your equipment with the Cenex® Total Protection Plan™ Warranty. It's a small investment to make in exchange for valuable coverage and peace of mind. You get unsurpassed coverage while helping to ensure that only high-quality energy products go into your equipment.

doesn't have to be related to an oil or fuel defect 

Has no deductible, and a no-hassle claims process

Covers new equipment for just $299 and used equipment for $399

Is transferable

You'll Avoid Downtime with Premium Products and Oil Sampling 

By using Cenex® Ruby Fieldmaster® Premium Diesel Fuels and high-quality Cenex® lubricants, you'll get all the benefits of proven products that are specially formulated for the tough challenges of farming

By submitting fluid samples from each oil change or drain, you'll receive a LubeScan® analysis that will help you catch minor problems early and perform timely maintenance before expensive damage occurs.

Think of it as a no-fault insurance policy — one that helps keep you in the fields when you need to be there. There's no deductible, which can really pay off and help keep things moving during crunch times like planting and harvest.

Get Ready for Gift Cards for Gallons

You'll protect your bottom line. The Cenex Total Protection Plan Warranty:

Qualifying Cenex products include:

Provides unsurpassed coverage that goes above and beyond (but won't interfere with) your original manufacturer's warranty — up to 10 years or 10,000 hours on new equipment and 8 years or 8,000 hours on used equipment Pays for repair or replacements costs (including installation and labor) of faulty parts that fail during normal use —

Beginning Nov. 1, end-user customers can earn one $50 VISA® gift card for every 125 gallons of qualifying Cenex® lubricants purchased through February 28, 2017.

Superlube TMS®

Superlube 518

Qwiklift® HTB®

Maxtron® Enviro-EDGE®

Maxtron® DEO

Maxtron® THF+

MP Gear Lube

Maxtron GL

Cenex premium greases

®

To redeem purchases, end-user customers must complete a redemption form, attach their detailed invoice(s) and/or receipt(s), and mail the documentation as instructed no later than April 7, 2017. Contact Mike Reinert (785-7987221) or myself (620-225-4994) with questions or to enroll in the Cenex Total Protection Plan Warranty. Chris Klein AV Energy

BOARD OF DIRECTORS Scott Mac Nair ........................ Chairman Jeff Reinert……………................... ViceChairman Clint Hamilton ......... Secretary-Treasurer Jeremy Derstein ........................ Director Butch Irsik.................................. Director Tony Bleumer ............................ Director Toby Whipple ............................ Director Jacob Tarman…........Associate Director Weston Vogel …..…..Associate Director Jerald Kemmerer………………CEO/GM Debby Kennedy….......Newsletter Editor

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Pride Ag Resources

Published quarterly by the

PRSRT STD U.S. POSTAGE

Pride Ag Resources

PAID

4th Quarter 2016

710 West Trail, Dodge City, KS 67801

DODGE CITY, KS PERMIT #399

(620) 225-4193

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