2016 Spring Frontline Beef Producer by International Brangus Breeders Association

FRONTLINE

A NEWS SOURCE FOR COMMERCIAL BEEF PRODUCERS

SPRING 2016

VOLUME 8

ISSUE 1

beef producer

FRONTLINE Beef Producer 1

Your SOURCE for Top Quality Registered & Commercial Brangus Cattle

Proud Members of

GO TEXAN

Circle Land & Cattle Co., Ltd. Camp Cooley Ranch • Bobcat Bottoms Ranch • Persimmon Creek Ranch Spring Valley Ranch • Windy Hill Ranch • Vista Ridge Ranch

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located just off Hwy. 6 and OSR 1415 East OSR • Bryan, Texas 77808 Office: (979) 776-5760 • Fax: (979) 776-4818 Website: www.circlexbrangus.com Steve Densmore, Cattle Mgr., (979) 450-0819, cell • S.Densmore@bre.com Chris Duewall, Operations Mgr., (979) 777-6803, cell

SPRING 2016

Out Front:

MARKETING:

Faces of the industry:

Preparing for 2016 by: Tommy Perkins, Ph.D., PAS

FRONTLINE Beef Producer

Thoughts on the Horizon by: Kyle Dykes

Brangus Publications Inc. Editor and Layout/Art Director

Tyler Dean

Way Out West: Working Cattle the Parker Way by: Kyle Dykes

Communications and Member Services

Feature:

Field Service Representative

Feature:

MORE THAN MATERNAL Promotion

Feature:

34 36 38 38

Kyle Dykes

Administration/Circulation

Frances Miller

Carcass Quality in Brangus Cattle by: Mallorie Phelps

Jessica Johnston

Contributing Editors

Tommy Perkins, Ph.D., PAS Kyle Dykes Mallorie Phelps Dr. Kristen Kastner Jenny Bohac John Alan Cohan

Brangus: The Whole Package by: Dr. Kristen Kastner

The Power of Heterosis in Brangus by: Jenny Bohac

Advertising

Melanie Fuller, 979.255.3343 Kyle Dykes, 254.371.9388

Genetics:

Genomic-Enhanced EPDs Improve Buying Power by: Tommy Perkins, Ph.D., PAS

Operations

Rosanne Nelson Patti Teeler

Industry:

Jurisdiction of the U.S. Tax Court? by: John Alan Cohan

FRONTLINE Beef Producer is a product of:

CALENDAR

Brangus Publications, Inc. 5750 Epsilon San Antonio, Texas 78249 Phone: 210.696.8231 Fax: 210.696.8718

SERVICES AD INDEX

oN the Cover: Parker Brangus has built a thriving registered Brangus operation in the harsh environment that makes up the Southeast corner of Arizona. Read more about the Parker familyâ&#x20AC;&#x2122;s heritage and operation in our Faces of the Industry section starting on page 10. Photo by Dr. Tommy Perkins. 2 FRONTLINE Beef Producer

Brangus Publications, Inc. Directors: Mike Vorel, Chairman Tommy Perkins, Ph.D., PAS, President Brandon Belt, Secretary/Treasurer Michael Kammerer, Director Eddy Roberts, Director Information appearing in this issue may be reprinted only with written permission of Brangus Publications, Inc.

LPC Livestock Publications Council Member

FRONTLINE Beef Producer 3

OUT FRONT

by Tommy PERKINS, Ph.D., PAS ibba Executive vice president

Preparing for 2016

t was a very strange weather year in 2015. Many of you experienced flooding, drought conditions and flooding again on your ranches all in a twelvemonth period. All in all, cattlemen were able to put up a decent hay crop to refill the empty hay barns from the most recent droughts. Many of you have been able to rest some pastures for regrowth as you had to cut back on cow numbers for several years in a row. The rains have been welcomed in most parts of the country as many of you try to rebuild your herd sizes.

Recently, I attended the Cattlemen’s College at the Arizona National Stock Show in Phoenix. I was particularly impressed by the presentation that Dr. Dan Faulkner made on bull selection. Dr. Faulkner, the University of Arizona Livestock Extension Specialist, shared research findings that lead to a profitable cattle operation through strong bull selection criteria. He emphasized breed selection, use of EPDs, phenotypic evaluation, matching

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genetics to the environment and management resources. Dr. Faulkner highlighted the importance of heterosis gained from using a crossbreeding program. The research shows the biggest impact is due to maternal heterosis which is measured by increased cow fertility, improved calf survivability and cow longevity. It is also important to note his statements on the advantage of Brahman-influenced cows. Dr. Faulkner stated that Brangus cattle

eat less feed (have a better RFI), are more heat tolerant, more insect tolerant and have an improved grazing behavior. In other words, Brangus cattle “DO MORE WITH LESS”. They are able to flourish in harsh environments where feed quality and availability may be limited as they will travel farther and generally consume less water than other cattle. Lastly, Dr. Faulkner discussed the (continued on page 6)

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OUT FRONT In other words, Brangus cattle “DO MORE WITH LESS”. They are able to flourish in harsh environments where feed quality and availability may be limited as they will travel farther and generally consume less water than other cattle. (continued from page 4) beef industries move to genomic enhanced EPDs. He stated that genomic enhancement always increases the accuracy attached to the various EPDs. This, in turn, lowers the possible change value of

EARN

WITH

the EPD which ultimately produces a more precise value for you to use as a selection tool. DNA is also being used to test for genetic conditions in cattle, which allows for the ability to breed around carriers of the various conditions or completely eliminating them in your herd. MORE PROFIT The IBBA will be releasing the next round of spring EPDs very soon. It will include more than 5,000 animals with a 30K or higher density genomic profile. As WEST COAST BRANGUS Dr. Faulkner BREEDERS ASSOCIATION states, it gives For more information, contact any member of the West Coast Brangus Breeders Association listed below: all cattleman BELLA TERRA FARMS Atascadero, CA, (805) 391-0044 BITTERWATER LAND & CATTLE CO Paso Robles, CA, (805) 239-8755 an improved BRUNDY FARMS Seeley, CA, (760) 554-1044 COURTNEY CALLAWAY New Cuyama, CA, (805) 598-7659 selection tool DEER CREEK RANCH Los Molinas, CA, (541) 817-2535 EL RANCHO ESPANOL DE CUYAMA New Cuyama, CA, (805) 245-0434 for identifying KELONUKAI RANCH Hilo, HI, (808) 969-7982 ROMANS BRANGUS Vale, OR, (541) 212-1790 s u p e r i o r RUNNING STAR RANCH Lincoln, CA, (916) 257-5517 SPANGLER RANCHES Corona, CA, (951) 735-5000 genetics for the STARDUST FARMS Oak Run, CA, (530) 356-9300 next generation. TUMBLEWEED BRANGUS Delhi, CA, (209) 484-0152 WALKING S BRANGUS Sheridan, CA, (530) 633-2178 Genomic WAYNE GLASGOW Santa Ysabel, CA, (760) 789-2488 WYMAN CREEK CATTLE COMPANY Oroville, CA, (530) 713-5111 enhanced EPDs www.westcoastbrangus.com afford a higher

BRANGUS & ULTRABLACK

Genetics.

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accuracy value for all EPDs on young unproven sires and dams. This allows cattlemen to utilize younger (newer) genetics at some level in their breeding program. This holds true whether using natural service sires or AI. The cattle show season has kicked off again for the new year. By time you read this article, Brangus shows will already have been completed in Ft. Worth and West Palm Beach. However, you will have the Florida State Fair, San Antonio Stock Show, Dixie National, Houston Stock Show and the Oklahoma Youth Expo to look forward to in the next two months. Brangus cattle shows are a great way to “market your brand” in front of many faces that may not typically get to see your program. It is also a great place to encourage the next (younger) generation of cattleman to choose Brangus as their breed of choice in the future. Do not hesitate to call me if you have any specific questions about use of Brangus EPDs for bull selection, the use of genomic enhanced EPDs or the upcoming show season. For information about all IBBA programs and other inquiries, please call (210) 696-8231 or visit www. GoBrangus.com. Stay connected to IBBA through Facebook, Twitter, or receive news updates by joining our email list. ABOUT THE AUTHOR:

Dr. Perkins is the Executive Vice President for the International Brangus Breeders Association. He most recently was the executive for another breed association after serving as a professor at Missouri State University and Texas State University for nearly twenty years. His professional career is most noted for excellence in the field of beef cattle ultrasound. He has a doctorate in animal breeding from Texas Tech University.

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MARKETING

by Kyle DYKES ibba commercial marketing coordinator

Thoughts on the Horizon

e have made it through another great year in the cattle business. I would like to take a moment to congratulate all of the Brangus producers that made the Beef Magazine Seedstock 100 for 2016! Not only is this a great honor for those individuals, but it is also a great opportunity and privilege to get to use that as marketing material for the Brangus breed as a whole. These types of accomplishments just go to show how hard Brangus breeders are working to become the breed of choice all around the country. From genetic improvements to customer service, Brangus breeders are always at the forefront of the cattle business!

Although the lows of 2015 made it hard to believe that it was a positive year for the business, it still made for a good year overall. The beef boom that seems to take place around Christmas time each year seemed to hold strong and gave the market a decent bump to move into the new year. Cattle prices jumped slightly over the holidays making for positive news for retail beef suppliers, as well as the live cattle section. Even though the days of skyrocket record prices like those of 2014 have come and gone, I expect 2016 to stay consistent with last year. Providing we maintain rain through the whole year, instead of going dry part of the way, it may even be better. Really and truly I think we would all be happy as long as there is a little more stability and predictability ahead in 2016 for the cattle market and environmental conditions. Last year was fairly

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volatile as we made the turn at summertime and I hope that we will be a little more fortunate this year. As you start to put your new years plans into action, I would like to advise that you spend a little extra time on making sure you are developing a risk management strategy as well. When the moisture stopped last year and it got a touch dry, many producers who weren’t expecting that sudden climate change were up a dry creek without a paddle, or in that case a four-wheeler of some sort. All joking aside, when it comes to your livelihood, it is best to be prepared for any situation that arises. The expansion of our nations cowherd is still going to take place in 2016, however, it may progress at a slower rate than we have seen which honestly may be for the best in order to keep the

market a little bit more stabilized. Many producers had replacements to hold onto and breed, but as soon as signs of drought hit they let them go. This isn’t a bad strategy if you don’t have the necessary resources to hang on for long periods of time in those conditions. However, they took a small hit on price as time went on, which in this case I hope your input is efficiently calculated. Other larger producers continued to hang on and push their resources but it paid off by the time we made it to the end of the year. Please don’t think I am trying to convince you to take major risks, but at the same time do consider the options and try to develop a plan to meet your goals whatever they are, and include some sort of a back up protocol. This will ensure that you come out way ahead if the conditions end up being ideal. Overall, we are still trying to figure

MARKETING out the new balance in the cattle industry as prices have come up from years past and production has been down. The goal of market analysts in the years to come will consist of finding the best growth rate to keep the cattle market stable on the way up. It is best for you to stay up to date on the trends in your local market and continue to raise quality over quantity, because that is always where the difference is going to be made up no matter the current situation. Get with the seedstock producer you are most comfortable with and learn the ins and outs of genetics and performance. This will allow you the confidence of knowing that you are utilizing the most efficient

animals and breeding structures that your money can buy. The International Brangus Breeders Association (IBBA) is proud to supply this publication to commercial producers across the country. Our goal is to help you to have the best opportunities and genetics available through the breeders in the IBBA. We are here to help you meet your needs and get in contact with other producers in your area to improve your contribution to the industry and help you find new ways to profit in the business. After all, without the success of the commercial cattleman we would all be up a creek. Thank you for reading and as always you can contact the IBBA

office or the field staff at anytime, just go to gobrangus.com. ABOUT THE AUTHOR:

A native of Killeen, Texas, Kyle Dykes grew up on a small farm raising commercial crossbred cattle. Agriculture has always been a passion of his, and he has been actively trying to help make a difference and be a part of the growth of agriculture in Texas. Previously, Dykes worked as the Natural Resources County Extension Agent for McLennan County. This allowed him the opportunity to work with some of the finest 4-H youth in Texas as well as producers in the Central Texas region. His educational background helped him build a strong network within the industry that he is now able to apply to his current position as the IBBA Commercial Marketing Coordinator. Dykes received his bachelorâ&#x20AC;&#x2122;s degree in animal science from Texas A&M University in 2013, and has also been a licensed auctioneer in Texas since 2011. Dykes believes it is truly an honor to have the opportunity to promote Brangus and play a role in the cattle business on a national level. Contact Dykes to see how you can get involved too!

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FACES OF THE

INDUSTRY

by Kyle Dykes ibba commercial marketing coordinator PHOTOS BY Dr. tommy perkins & diane parker

Way Out West: Working Cattle the Parker Way

ith the NCBA Trade Show and some of the upcoming sales within the Brangus breed taking place out west in the next few months, we felt it was appropriate to take our faces of the industry article out west as well.

This edition comes to you from a Brangus ranch in the Southeast corner of Arizona, about 12 miles from the New Mexico line near a small town of San Simon. This little town, once known only for its stagecoach route for the Butterfield Overland Mail Trail, is where Larry Parker and family, of Parker Brangus, now call home. It all started with Art and wife

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Gerri Parker, father and mother of only son Larry Parker. Art Parker had suffered from polio at a young age and because of this his father felt that he would have difficulty from a physical standpoint in the working world, so he sent him to school to become a book keeper as Larry tells it. This was Artâ&#x20AC;&#x2122;s profession for 20 years until one day he up and decided that he had enough of the

city life and that he wanted a change of scenery. He came across a piece of land south of San Simon in the amount of 160 acres and bought it for a whopping $50 an acre, which at the time in 1958 was a lot of money. Never the less, Art made the purchase and the land is still to this day the headquarters for the Parker Brangus operation. Since this purchase Larry and his family have

FACES OF THE

INDUSTRY been able to turn Parker Brangus into a 60 section outfit, yes you heard me, that’s a 60 square mile ranch that has taken time, sweat and hard work to put together. To this day the ranch is run by Larry, his wife Elaine, their daughter Diane, and her son-in-law Jacob. Larry will be the first to tell you, it didn’t come that way overnight. Art Parker, after buying the initial 160 acres, did what he knew best and that was good ole fashion entrepreneurship. Upon moving to the new homestead, he opened up a 24-hour service station. “I had the night shift of course”, Larry said jokingly. This business went on for several years then migrated into a grocery store for numerous years after that, meanwhile growing and making improvements to the ranching operation along the way.

Larry stated that when the land was bought it was just raw land, “Everything that is on that land today, we put it there”. His father started improving it by having wells drilled on it after the purchase. The man who drilled the wells on the property was none other than Beau Tucker, the father of famous singer Tanya Tucker. He was well known in the (continued on page 12)

“Not much can be done out here without irrigation and proper water access.” Keeping up with such a task takes a sincere dedication to the land and animals and Parker Brangus puts in a lot of time for both.

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FACES OF THE

INDUSTRY (continued from page 11) area for his drilling service and happened to be a good friend of the family. According to Larry, “Not much can be done out here without irrigation and proper water access, it is a pretty tough environment”. As time went on, they worked the land, bought and sold commercial crossbred cattle wherever they felt they could make a profit. When land and lease land became available they would capitalize where they could. Larry worked on his own in addition to the family business as he started his own family, but kept the ranching alive on the side. He married Elaine Fielder in 1962 and had two daughters Diane and Debra Sue.

Managing such a large operation requires all family members to pitch in for success. Larry and his grandson-in-law, Jacob pause for a minute to discuss ranch operations.

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Aside from working on the ranch Larry has a knack for machinery. He is an expert when it comes to engines and mechanics and can fix just about anything that needs fixing. Larry started acquiring this expertise when he went to work for Homer Redding Pump and Well Service. This was a company that drilled wells and installed pumps, and this became a well-developed profession for Larry, as this service was extremely necessary for farmers and ranchers in the area. “Every well was pumped with natural gas engines,” Larry said.

This was where he learned his way around engines and was able to build, rebuild and repair just about anything that was put in front of him. This also made Larry a great hand around the ranch as well. It was this talent and skill that allowed Larry to work and maintain the ranch and continue to buy and sell cattle. But it was in 1968, at the Willcox Livestock Auction where Larry realized his true goal of raising quality Brangus cattle. He was buying

FACES OF THE

INDUSTRY cattle at the livestock market when a group of seven registered Brangus heifers came in the ring. “They were the prettiest group of cattle, and I bought all seven of them”, says Parker, and Parker Brangus was born. “We turned seven into 207 as fast as we could”. This statement rang true as Larry mentioned that they have had as many as 250 head of Brangus cows on the ranch. Over the years, it was a lot of work and a true family effort to make the dream come together. Diane and Debra Sue were the ranch hands. According to Diane, “We were the only hands, and we learned our roles really quick because it wasn’t going to be any other way!” In 1970, Larry had built up enough skill to take off on his own, starting Parker Engine Service. In 1979, the price to run a 200 horsepower engine for 24 hours was about $750 a month, and in a matter of about two years that had jumped to over $8,000 a month to do the same thing. Needless to say, this put many local farmers out of business and caused business to decline for Larry. Therefore, changes had to be made and he went to work in the oilfield after this decline. His new job was that of a shop foreman in Hobbs, N.M., in 1981. Almost a year and a half later the company wanted to send him to Odessa. This didn’t suit Larry and “that was as far east as he was gonna go”. So the decision was made and the opportunity arose to open his own business working on compressor engines for companies such as Texaco and other big names in the area. It didn’t take long before Larry grew tired of managing a business so far from home, his

family and the ranch. Larry made a deal with a local businessman to lease a large building back home in San Simon near the ranch. It was here that Larry found a way to make a living working on trucks.

As a few years passed, natural gas prices lowered and cotton farming picked up in the area and this gave Parker Engine Service a window of opportunity. Larry worked on (continued on page 14)

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FACES OF THE

INDUSTRY (continued from page 13) natural gas wells that went back into use and even became a dealer for the new caterpillar engines that were taking over the area. To this day he still maintains this aspect of his business, but it was at this point in time that he was able to take his other passion to the next level. In addition to juggling family, and hard work in the engine service, Larry also continued to buy and sell cattle on the side. Larry was able to purchase two little ranches that became available; granted they were both in different, rather distant locations, but he decided to take it on. This was where the Brangus business took off; not only was it busy at the shop, but ranch life was becoming quite the chore as well. Diane and her sister played a major role in the ranch work, “We changed a lot of hand line irrigation pumps” Diane said, “and did pretty much anything dad told us to do from punching cows and branding, to making hay and managing pastures.”

The Parkers did it all together in one big family effort. Eventually the opportunity came to make Parker Brangus reside in one centralized location. Larry’s wife Elaine worked at the same job with a member of the neighboring ranch’s family and got news that they were looking to sell. Capitalizing on this opportunity, Larry made an effort to sell the two ranches he owned to buy the one next door. He was successful in doing so and was able to own half of the vast 120-section property formerly known as the Allred Ranch. This was a crucial moment in the Parker Brangus operation that was able to take the Parker family to the next level in the cattle business. After years of finding a way to successfully b a l a n c e cattle and “The Shop”, Larry and his daughter Diane are actively

involved in buying and selling high quality Brangus genetics across the country. Larry recalled the early days of trying to purchase the best genetics his money could buy. He stated that he had a 1992 Chevrolet four wheel drive pickup truck that he took loans on to buy bulls when he was starting out. They were expensive but it all paid off in the end and he now jokes saying, “I can’t remember how many times I mortgaged that poor old pickup to buy a bull”. The Parkers have bought cattle from all over the country and everywhere in between, from names like Brinks, Suhn, Morrison, Townsend, and Skyhawk. They have been able to develop a hardy animal that can work in the harsh Arizona

Rough country spells horsepower at Parker Ranch and plenty of hours are spent horseback to get to remote areas on the ranch. However, Parker Brangus has done a solid job of utilizing Brangus cows that work in the harsh environment and bring in a healthy calf.

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FACES OF THE

INDUSTRY environment. The Parkers send cattle up the mountains in October to calve out and then bring them back down to work them in late April and early May. Larry likes his cattle to be “rock footed” as he calls it, “They’ve got to be able to hold up and raise a calf unassisted and maintain themselves on a low input basis”. It’s not uncommon to go months without seeing a set of cows on the Parker ranch. The country that they live in is tough and the land they run cattle on has few roads, especially up in the mountains. “If I can’t pack it on a horse, I can’t take it”, says Parker. The mountains develop and help select the cattle raised on the Parker’s ranch. It truly is a neat way to make a living and this family loves every aspect of it. Larry and his family are also very involved in environmental stewardship. They have worked with state programs to take control of pastureland and improve it to be more efficient cattle country. Larry was driving down highway 80 in New Mexico on his way to

Before and after photos show the drastic improvements the Parker family has made to the range conditions.

work on an engine one afternoon in 2007, when he looked over at all the grass growing in the desert with no Creosote/Greasewood and a lightbulb came on. It took Larry a lot of phone calls to the Arizona State Land Department to convince them the Spike would kill the Creosote and let the grass grow 12 miles across the line into Arizona. “We have a 10 section pasture called Hayflat” as Larry tells it, and he says the old-timers had to have named it that for a reason. Larry started treating that pasture with Spike chemical from 2008 to 2012 in order to kill the Creosote, at that time it was difficult to find a blade of grass on it. Creosote secretes oil all around itself to keep other vegetation from growing. However, to see it now you would never even believe that it was desert country. “These cattle aren’t raised in a feedlot”, said Parker. The Parkers supplement when necessary but they believe for the most part it is important to work with the land and get the most benefit that they can from it. Making all aspects of their business work together for the

greater good of their product is what the Parker family is all about. As Parker Brangus has developed over the years the Parker family has been involved in many Southwest cattle raising programs. They are very proud of the fact that they started selling cattle in the first Roswell Brangus Sale, which is now approaching its 25th year of production in Roswell, N.M., as well as participating in the annual Marana, Arizona Best of the West Sale. Overall, Larry and his family are proud to have come this far in the cattle business. They are especially proud of their Brangus cattle and the great involvement with the Southwest Brangus Breeders and International Brangus Breeders Associations. It’s all about the relationships made and the customer satisfaction in the end, and the Parkers are just glad to be along for the ride. ABOUT THE AUTHOR:

A native of Killeen, Texas, Kyle Dykes grew up on a small farm raising commercial crossbred cattle. Agriculture has always been a passion of his, and he has been actively trying to help make a difference and be a part of the growth of agriculture in Texas. Previously, Dykes worked as the Natural Resources County Extension Agent for McLennan County. This allowed him the opportunity to work with some of the finest 4-H youth in Texas as well as producers in the Central Texas region. His educational background helped him build a strong network within the industry that he is now able to apply to his current position as the IBBA Commercial Marketing Coordinator. Dykes received his bachelor’s degree in animal science from Texas A&M University in 2013, and has also been a licensed auctioneer in Texas since 2011. Dykes believes it is truly an honor to have the opportunity to promote Brangus and play a role in the cattle business on a national level. Contact Dykes to see how you can get involved too! FRONTLINE Beef Producer 15

FEATURE

MORE THAN MATERNAL Promotion

ollowing record setting demand throughout the breed for Brangus genetics in 2014 and 2015, one can’t help but get excited about the quickly approaching 2016 sale season. More and more throughout the country, commercial cattlemen are seeking an alternative to their Angus sired cattle as they see them consistently dropping in pounds of production, as well as a multitude of other issues including eye problems, structural soundness issues and excess hair which are all leading to problems in reproduction, longevity and quite frankly profitability. Being the resourceful group they are, however, ranchers across the United States are finding the answer to their problems coming from Brangus and Ultrablack genetics. With bulls literally being sold from coast to coast by IBBA members, producers throughout America are discovering the Brangus breed really is “MORE THAN MATERNAL”.

The IBBA Promotion committee has been hard at work analyzing the Association’s advertising efforts in 2015 in order to maximize the resources to the fullest extent in 2016. Coming off an ad campaign that garnered much attention and praise, the 2016 effort continues to build on the “MORE THAN MATERNAL” mantra, expressing the “dollars and cents” value of heterosis through crossbreeding with Brangus genetics. Brangus genetics can AND will add more dollars to the pocket of cattlemen and women through added pounds of product at weaning and increased fertility and longevity throughout the life cycle of replacement females, all the while maintaining that all important carcass quality that the industry expects, with quality grades as good as any Angus, and yield grades that match the continentals, hitting the highest valued premiums along the way. For 2016, producers will see a concept unique to the Brangus breed in print advertising, with QR 16 FRONTLINE Beef Producer

codes on each ad that send readers to the IBBA website where they are registered to win one of several $250 credits that can be used towards the purchase of Brangus/Red Brangus and/or Ultrablack/Ultrared genetics from ANY IBBA member in good standing with the Association. Those unable to access QR codes will have the chance to go directly to the website to enter in this drawing. Exclusive in its design, this not only creates opportunity and excitement in the breed, it allows the Association to evaluate its advertising structure, helping to sort out what periodicals customers are gravitating to the most. With the increased importance of the digital age, IBBA’s presence online will be interactive and eye catching, highlighting numerous traits help this breed excel, through the best mouth piece any business has, its customers. Video clips from tried and true Brangus enthusiasts

will complement the online advertisements, showing that the breed has a results driven and commercially focused product. It is the goal of IBBA’s promotion efforts to help spread the message of the Brangus breed and how it can improve the value of the product commercial cattlemen across the country are producing. With that in mind, the promotion committee has diligently designed a marketing strategy to accurately and effectively tell the story. With so many positives it might be easier to label Brangus as the “perfect breed”, but for now we’ll just stick to telling the world why and how Brangus truly is “MORE THAN MATERNAL”.

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FEATURE

by Mallorie PHELPS Graduate research assistant texas tech meat judging coach

Carcass Quality in Brangus Cattle

eeting the demand for high quality red meat product combined with the exponentially increasing population has posed many challenges for today’s progressive stockman. In order to maximize red meat output, the beef producer must understand the role that genetics, diet and environmental factors play on carcass characteristics. Some examples of these carcass characteristics include USDA quality grade, UDSA yield grade, carcass weight and dressing percentage, all contributing to the carcass merit. In order to achieve optimal carcass quality, breeders should select cattle with optimal carcass traits or high quality Expected Progeny Difference (EPD’s).

The Brangus breed was one of the very first breeds to capitalize on the use of carcass ultrasound technology to better understand carcass traits on live cattle. Prior to ultrasound technology, the only way to evaluate the sire’s ability to infuse carcass merit in his offspring was by harvesting the progeny of the sire and collecting the carcass data postharvest. This process was very slow, laborious and expensive, typically taking between four and seven years and up to thousands of dollars to complete. With the implementation of carcass ultrasound technology, breeders are now able to expedite this process, shortening the turnaround for EPD’s to only two years and reducing the cost to approximately one thousand dollars per sire. This powerful technique not only reduces the cost and labor necessary, but with this minimally invasive form of gathering carcass data, breeders are able to collect data from a much larger population of animals, increasing the accuracy of the EPD’s themselves and introducing cutting edge genetics more quickly into 18 FRONTLINE Beef Producer

production, in order to improve the breed’s carcass merit potential. According to Brangus breeder, Cody Gariss, EPD’s are the best tool available for either registered or commercial type breeders to use to select not only the specified carcass traits, but also other longevity and maternal type traits. In both facets of the breed, breeders use EPD’s to select sires that complement their

selected operational criteria, whether it is to produce a market animal or a breeding animal. In purebred or registered type operations, EPD’s and genetic parameters, as well as animal/carcass data collection are much easier to determine and are more regularly performed on specific, individual animals. From a commercial standpoint, genetic information is being collected, but

FEATURE many times data collection will come from a group of animals, rather than specific or individual animals. A few examples of the main carcass data EPD’s used in the Brangus breed are marbling or intramuscular fat (IMF), fat thickness, and ribeye area (REA). Currently, breeds including Angus and Hereford have created profit or $ indexes. These are multitrait indexes, which combine single EPD traits into one economic value, which producers can use to make selection decisions. These in structure, are very similar to EPD’s, however, they can give a breeder a more comprehensive prediction on production potential. Each of the breeds has their own set of profit indexes with many being related to beef or carcass value, with the Hereford breed having more maternal type indexes. Gariss believes that within the next five years, Brangus breeders can expect to see some indexes available on their cattle, particularly related to fertility and longevity. He also sees a high potential in creating a tenderness EPD for the Brangus breed. Tenderness, being one of the three driving factors of beef palatability, can potentially add a premium to Brangus beef, which has been proven to have consistent tenderness values by various studies conducted by various universities. When examining data collection from his own herd, Gariss reveals that Brangus cattle will consistently grade with Angus cattle, however, he sees the true advantage in the ability of the Brangus cattle to be higher yielding than the Angus cattle, typically falling in the Yield Grade 1 or 2 category, with a few Yield Grade

3’s and rarely being discounted for being Yield Grade 4’s and 5’s. Another demand for Brangus cattle is within replacement programs. Gariss has seen this demand firsthand, as replacement programs are looking to find ways to improve longevity, feet and leg structure and heat tolerance, while still maintaining a high quality and high yielding carcass. The Brangus breed’s ability to combine longevity and carcass merit in tandem proved lucrative for operations, not only in the South, but also reaching across the Midwest of the country. When asked of the biggest challenge facing the Brangus breed, specifically when it comes to carcass merit, Gariss said, “Getting the word about the Brangus breed and making the benefits of the Brangus breed known to cattle breeders everywhere!” The Brangus breed has many extremely positive characteristics to provide the industry, as this breed combines the traits from two very influential beef

breeds. At the end of the day, carcass quality is influenced before the calf is even born through selection for specific traits in your seedstock, nutritional management of dams and through environmental factors. Through the utilization of genetic parameters, EPD’s and proper herd management, you can positively influence the carcass merit of your herd and your bottom line. ABOUT THE AUTHOR:

Mallorie Phelps is currently a Graduate Research Assistant in Meat and Animal Science and the 2016 Meat Judging Coach at Texas Tech University. Her hometown is Grandview, Texas and she grew up raising and showing Hereford cattle across the state of Texas, as well as across the country. During this time, Phelps was an active participant in the Hereford breed, both on the state and national level, serving on the National Junior Hereford Board of Directors and as various positions on the Texas state board, including President. Phelps received her bachelor’s degree in Animal Science with a Certificate in Meat Science from Texas A&M University in December of 2014. While at Texas A&M, she was a member of the 2013 Texas A&M Meat Judging Team and was awarded First Team All American honors. Phelps is very passionate about beef cattle and meat science and plans to pursue a career in the agricultural industry.

It's easy to get the latest news from IBBA! Just send us your email address in a text: Text

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to 22828 to get started. Message and data rates may apply. FRONTLINE Beef Producer 19

20 FRONTLINE Beef Producer

FRONTLINE Beef Producer 21

FEATURE

by Dr. Kristen KASTNER VeterInarian

Brangus: The Whole Package

ith improved drought conditions, moderate feed and energy costs, and continued profitable cow/calf returns, 2015 will be remembered as a year of wide scale herd expansion in the beef cattle industry. High quality replacement females were (and continue to be) in demand and many commercial producers turned to the ultimate maternal factory, the Brangus female, to rebuild or expand their herd. These producers along with many others in the beef cattle industry are in agreement that Brangus genetics offer fantastic opportunity both in the replacement female and feeding sectors.

My personal decision to incorporate Brangus genetics was an easy one. I needed a breed that would consistently perform well in an oftentimes rough South Texas environment; one that possessed enough Bos Indicus influence to tolerate and thrive in the high heat and humidity, maintain body condition on minimal inputs, calve unassisted all the while producing top end replacement females and heavy, marketable feeder calf mates. Ultimately, I chose the Brangus breed because of these attributes and because I felt it could offer the greatest return on investment to me as a commercial producer. Brangus females are highly renowned for their ability to be fertile, easy calving, long lived and functional. Their mothering ability, milk production and udder soundness combined with a natural polled package to create, in my opinion, a near perfect maternal factory that is phenotypically pleasing. The Brangus female is incredibly adaptable 22 FRONTLINE Beef Producer

and has proven she is capable of performing effectively and efficiently in a variety of environments across the nation. She does this while excelling in the most important task

of any cow: to produce and raise a calf every 365 days. This reproductive efficiency allows for more pounds of calf produced over the length of time the female is maintained

From the pasture as a maternal powerhouse, to being a heterosis maximing cross, to hanging a high quality product at the packing plant, Brangus provide the WHOLE PACKAGE.

FEATURE in the herd, ultimately generating more profit for the producer. This longevity is illustrated in my own commercial herd as my Brangus females continue to be productive at 8-10 years of age without sacrificing quality in the calves produced. While Brangus females have become one of the most valued females in the beef industry, their steer mates are making a mark as well. In the past, Bos indicus influenced cattle have had a reputation for not performing well in the feed yard, oftentimes being discounted by buyers. But Brangus seedstock producers have made great strides in the last decade in terms of genetic advancement for growth and carcass quality. Today, Brangus sired feeders are in demand because they have proven their ability to feed efficiently, yield a high dressing percentage

and produce carcasses that meet or Brangus genetics to improve my exceed the requirements of value replacement females and maximize added marketing programs. herd profitability. My goal was to In a commercial production improve weaning weights, boost setting like my own, sire selection still post weaning performance and represents the greatest opportunity enhance carcass value in the calves for a producer to genetically advance I am producing. My AI program their herd. With this in mind, the currently focuses on virgin heifers International Brangus Breeders but with the success and impressive Association released genomic results in terms of calf quality and enhanced EPDs (GE-EPDs) which consistency, I hope to broaden my provide the commercial producer use to incorporate my entire female the most advanced tool to improve base. This transition is also partly and optimize beef production. With economically motivated as Brangus the development and integration sire prices have seen tremendous of GE-EPDs, Brangus producers growth over the last couple of can be even more confident in years. AI costs, in comparison, the accuracy and dependability are relatively unchanged making of an animalâ&#x20AC;&#x2122;s EPD predictions. incorporation of this technology a As a commercial producer this smart business decision. A decision additional information provides me that will help to minimize the effects more assurance particularly when of market volatility and that will selecting young, unproven sires to prepare my program for a successful complement and future in the beef cattle industry. further advance my The Brangus breed really does offer own program. the beef cattle industry a tremendous My personal long amount of opportunity in a unique term goal with package. The outstanding maternal my commercial characteristics combine with feed operation has always efficiency and carcass quality to been to produce top produce an animal that excels in quality Brangus generating a profitable and palatable r e p l a c e m e n t end product. Whatever your specific females that are well production goals, Brangus cattle can accepted and sought and will help to meet those goals after by others in while maximizing productivity and the industry. As my profitability. operation continues to grow and ABOUT THE AUTHOR: Kristen Kastner is a veterinarian with evolve, I decided to a Dr. special interest in beef cattle production institute an artificial medicine. She grew up on a farm in Sinton, and her family has been involved in i n s e m i n a t i o n Texas the beef cattle industry well over 45 years. (AI) program Dr. Kastner received her Bachelor of Science animal science and Doctorate of Veterinary to capitalize on in Medicine from Texas A&M University. She and incorporate owns and operates Double K Cattle Co, a b r e e d - l e a d i n g commercial Brangus cow/calf operation. FRONTLINE Beef Producer 23

ARE HORNS IN YOUR FUTURE? Another way Zoetis takes the guesswork out of genetics: a new standalone test available for use in conjunction with i50K™ and SireTRACE.® • Get accurate, dependable results from published markers for polled and new markers identified by Zoetis scientists • A trusted breeding program using polled genetics and genetic testing can yield 100 percent polled offspring in one generation • Know with certainty if future generations could acquire horns—using tested bulls that are homozygous polled ensures polled calves • Gain a more comprehensive view of a bull’s value when polled testing is added to i50K • Whether for breeding or feeding, polled cattle are worth more

TO LEARN MORE CONTACT YOUR ZOETIS CATTLE GENETICS SPECIALIST OR YOUR BRANGUS BREED ASSOCIATION.

HORN/POLLED

24 FRONTLINE Beef Producer

23B11 • DOB: 9/13/14

302B11 • DOB: 9/14/14

Estancia daughter - Ranks in breed’s top 10% for 4 traits

Estancia son - Low BW bull with a +12 Milk EPD

The 2016 “Cut Above” Brangus Sale will feature top genetics from the heart of the herds of some of the Southeast’s leading Brangus breeders. The core of the offering will again come from Quail Creek Brangus. Highlighting the sale will be proven and prospective donor cows, fancy show heifer prospects, bred females and pairs. Plus, we will have an outstanding offering of bulls. Many are herd sire prospects! Join us for the opportunity to select high quality Brangus cattle.

23B15 • DOB: 9/18/14

23B45 • DOB: 9/17/14

Steele Warrior 16Y x 23S85 donor

Low BW, high Milk Estancia son

23B21 • DOB: 9/14/14

27B14 • DOB: 10/23/14

Estancia heifer - Top 3% for REA

Steele Warrior 16Y x Ms Bar C 27N2

FRONTLINE Beef Producer 25

FEATURE

by Jenny BOHAC IBBA EDUCATION AND DATA COORDINATOR

The Power of Heterosis in Brangus

ne of the main genetic factors that affect the efficiency of commercial breeding programs is hybrid vigor, or heterosis. Heterosis is defined as the superior performance of crossbred cattle compared to the average of their purebred parental base. Heterosis has the highest effects on traits with low heritabilities such as fertility, longevity, and milk production. If a progeny is crossbred from two purebred parents, it will get one set of unique and different alleles from each parent and have direct heterosis. Direct heterosis is the higher performance of progeny compared to the average of their parents. Direct heterosis has the most impact on growth rate and size traits of the calf. If the dam is a crossbred herself, she will have heterosis that will benefit her calf. The dam will exhibit heterosis for maternal effects, such as milk production, and this maternal heterosis will help the calf have a higher weaning weight than if the calf had a straightbred dam. If you combine the advantage of having calves that will grow bigger faster with the advantage of cows that will stay in your herd longer while producing heavier calves, it is obvious why utilizing both direct and maternal heterosis is advantageous to your breeding program.

Being a composite breed developed from the base breeds of Brahman and Angus, Brangus exhibit residual levels of both direct and maternal heterosis because they carry many different alleles from both the Brahman and Angus breeds. Brahman and Angus are breeds from two different subspecies of Bos taurus- with Brahman of the Bos taurus indicus (shortened to the familiar Bos indicus) type and Angus from the Bos taurus taurus (shortened to the familiar Bos taurus). Due to being in separate subspecies, these two breeds are not very genetically similar which causes them to show very high amounts of heterosis when bred together since each breed brings

a very different set of genes to the mating. Breeding programs using Brahman with a Bos taurus breed have much higher levels of heterosis than breeding programs using only Bos taurus breeds because those breeds are more genetically similar to each other to begin with. This is why the foundation of the Brangus breed, utilizing both Brahman and Angus animals, has given the breed the heterosis advantages it has today. Brangus combine the heat tolerance, parasite resistance, easy fleshing ability on low quality forage, and frame size of the Brahman with the black hide favorable for value added marketing programs, earlier age of puberty,

carcass traits, notably good udders and mothering ability of the Angus. Being a composite breed Brangus can be managed as easily as straightbred herds while still being able to maintain heterosis levels, which is the best of both worlds. Brangus really is the breed that can do everything. ABOUT THE AUTHOR:

Jenny earned a Bachelor of Science degree in animal science and Master of Science in animal breeding from Texas A&M University. She has always loved animals and wanted to work in agriculture despite having grown up in the suburbs of Chicago. In college she got involved in research projects with horses and cattle which helped her become interested in the cattle industry. She is excited to be getting her feet wet by working for and representing the Brangus breed as the IBBA Education and Data Coordinator.

Being a composite breed Brangus can be managed as easily as straightbred herds while still being able to maintain heterosis levels, which is the best of both worlds. 26 FRONTLINE Beef Producer

FRONTLINE Beef Producer 27

GENETICS

by Tommy PERKINS, Ph.D., PAS ibba Executive vice president

Genomic-Enhanced EPDs Improve Buying Power

aking the correct decision in sire selection has a big impact on the economics of a beef cattle operation. The correct herd sire selection has a huge positive impact on the immediate offspring performance as well as future calf crops through the performance of the retained heifers in the cow herd. Likewise, the incorrect selection of a herd sire can have a negative impact. Since 1971, cattle associations have produced sire summaries for producers to use within the breed to make fair comparisons across herds, various locations of the United States and even around the world. Many adjustments to the mathematical model have been made throughout the years. For example, the Animal Model was developed in the 1980s and the Reduced Animal Model soon followed. Breed associations now generate National Cattle Evaluations (NCE) because of improvement in the mathematical models and the enhancements in computer power.

Traditional EPDs

Historically, genetic evaluations have used pedigree information and performance records, submitted by cattlemen, to generate Expected Progeny Differences (EPDs). Even in the absence of any individual performance data, the genetic merit of an animal can be predicted based on the average breeding value of its parents by using the pedigree information. This allows for the determination of “pedigree estimate EPDs” with very low accuracies. The low accuracies generally indicate a higher “possible change” value for

28 FRONTLINE Beef Producer

each assigned EPD. With only pedigree information, full sibs and/or flush mates will have the same EPDs (based on pedigree estimates) until individual performance data is entered into the system. Cattlemen must continue to submit performance data on the individual as well as its progeny over time to improve the accuracies. Thus, the accuracy of EPDs increase with each new NCE as more performance data has been made available and entered into the analysis. Individual performance of an animal, as well as performance of its descendants, create

a more accurate “genetic difference estimate” for that animal. It takes considerable time, effort and many times money to collect the much needed performance data. However, attainment of the additional performance data leads to a more precise or accurate EPD for use in bull selection. It generally takes 15 to 20 additional progeny to move accuracies from a pedigree estimate or interim EPD to a more reliable 0.400.50 level. This can mean the lifetime production of a cow or at minimum, the first calf crop of a young sire. (continued on page 30)

FRONTLINE Beef Producer 29

GENETICS (continued from page 28)

Genomic-Enhanced EPDs

The Brangus breed has chosen to incorporate DNA testing results alongside the traditional EPD methodology of using the extensive pedigree and phenotype database we have. The combination of pedigree, performance and DNA have produced better EPDs with higher accuracies. We have kept the traditional EPDs based on pedigree and phenotypes while adding the genomic component by using the single step approach or GBLUP. This process yields an EPD presented in the same, easy to use fashion of traditional EPDs. Ultimately, the advantage to genomic-enhanced EPDs is the increase in accuracy, especially

for animals that are younger and have lower accuracies in traditional genetic evaluations. For instance, for yearling bulls we would expect their accuracies to increase from the 10 percent to 20 percent range up to the 40 percent to 45 percent accuracy. Because DNA tests can be done at birth, they have the potential to increase the accuracy of genetic predictions on very young animals. Table 1 shows an example of how genomic-enhanced EPDs can help a bull buyer make a more informed decision. The three yearling animals are full-sib, flush mate brothers with two having DNA submitted for EPD enhancement and one without the DNA boost. It is evident that the genomic enhancement has improved the accuracy of each EPD by 17 to 18 units (0.33 vs. 0.50;

0.29 vs. 0.46; 0.24 vs. 0.41; 0.25 vs. 0.43). Bulls A and B would have had very similar EPDs to Bull C had genomics not been performed with their DNA. Note that Bull Aâ&#x20AC;&#x2122;s EPDs moved lower in the growth and Scrotal Circumference with the addition of DNA. However, Bull Bâ&#x20AC;&#x2122;s moved much higher in all of the growth traits (including birthweight) as well as the Scrotal EPDs. It is evident that a bull buyer has much more precise information for selection of genetically similar bulls in this example. The addition of genomics would inform me, with some confidence, that Bull B should not be bred to first calf heifers before he was ever bred to a female. This certainly helps shorten the generation interval during bull selection. (continued on page 32)

Table 1. EPD Comparison of Full Sibling, ET Flush Mate Yearling Brothers. BW BW WW WW YW YW Scrotal Scrotal EPD Accuracy EPD Accuracy EPD Accuracy EPD Accuracy Bull A1 0.0 0.50 24 0.46 48 0.41 -0.66 0.43 Bull B1 5.6 0.49 45 0.45 83 0.41 0.83 0.43 2 Bull C 0.3 0.33 27 0.29 56 0.24 0.60 0.25 1

Genomic Enhancement of EPDs

No Genomic Enhancement of EPDs (Parental Estimate)

Table 2. EPD Comparison of Full Sibling, ET Flush Mate Two-Year Old Brothers. BW BW WW WW YW YW Scrotal Scrotal EPD Accuracy EPD Accuracy EPD Accuracy EPD Accuracy 1 Bull A 5.5 0.49 48 0.46 87 0.42 0.79 0.43 1 Bull B 5.0 0.49 44 0.46 82 0.42 0.89 0.43 2 Bull C 5.2 0.41 48 0.35 84 0.24 0.83 0.31 1

Genomic Enhancement of EPDs

No Genomic Enhancement of EPDs

30 FRONTLINE Beef Producer

FRONTLINE Beef Producer 31

GENETICS (continued from page 30) The two-year old bulls in Table 2 are full-sib, flush mate brothers with two having DNA submitted for EPD enhancement and one without the DNA boost. It is evident that the genomic enhancement has improved the accuracy of each EPD by 8 to 18 units (0.41 vs. 0.49; 0.35 vs. 0.46; 0.24 vs. 0.42; 0.31 vs. 0.43). Note the higher the accuracy before genomics (0.41 vs. 0.49; 0.35 vs. 0.46) the less the amount of change in the value with enhancement. Likewise the lower the accuracy before genomics (0.24 vs. 0.42; 0.31 vs. 0.43), the greater the amount of change in the value with enhancement. Some EPD values improve with the addition of genomic data whereas other EPDs

actually decrease with the addition of genomics. It also important to note that every EPD accuracy value increased whether the EPD value improved or not. Although most of the focus on any genetic selection process is weighted heavily to selecting the correct herd sire. Genomics can play an important role in selecting the proper replacement females as well. A single DNA sample can yield improvements in EPD accuracy of a female equal to her lifetime production record. Therefore, I find it important to submit DNA for testing on all of your potential replacement females alongside your yearling bulls. The improvement in accuracy is independent of sex so it

is just as important to measure the females as it is the males. A Genomic enhanced EPD is just another selection tool for bull buyers to aid in proper selection. However, it can be used as an aid for in-herd culling and/or selection measures as well. ABOUT THE AUTHOR:

WEST TEXAS BRANGUS BREEDERS ASSOCIATION Twenty-Second Annual

Springtime Sale

March 12, 2016

Abilene Auction  Abilene, Texas

Featuring the finest ranch raised, rock-footed, easy doing Brangus cattle from the Big Country’s most progressive Brangus operations.

40-50 Top-Quality Brangus Bulls 20-30 Registered Brangus Females  150-200 Commercial Brangus Females

Alan Wedeking, President West Texas Brangus Breeders Association (325) 669-5570

Danny Farris, Sale Coordinator West Texas Brangus Breeders Association (325) 669-5727

Look for our 2017 Sale to move back to it’s historic 4th Saturday of March date! 32 FRONTLINE Beef Producer

FRONTLINE Beef Producer 33

INDUSTRY

by John Alan COHAN ATTORNEY AT LAW

Jurisdiction of the U.S. Tax Court

or most people their encounter with the IRS ends at the audit phase: Taxpayers will often agree to pay whatever the IRS says they owe. In situations where the auditor claims your ranch or farming activity is a hobby, not a business, this can have long-lasting and adverse consequences because deductions against outside income would be disallowed.

If you choose, you can appeal an audit determination to IRS Appeals and, if that is not successful, to Tax Court. The IRS is a large bureaucracy, but the procedures are fairly clear in that taxpayers are given ample opportunity, if you follow the procedures, to contest determinations made at the audit level. The “philosophy” in IRS appeals, for the most part, is to seek a fair settlement of cases. Often, if you have strong evidence on your behalf, the appeals officer will end up conceding the case in its entirety, and you walk away owing nothing. In other instances, a settlement might be based on a percentage that you agree to pay. If a large amount of money is at stake, the appeals proceeding usually requires representation by a tax attorney. The U.S. Tax Court is a Federal court established by Congress to provide a forum in which taxpayers can dispute IRS tax deficiencies assessed against them. This is a court, as it were, of last resort for taxpayers, if the matter has not been settled in IRS Appeals. In order to file a petition in Tax Court, you must await receipt from the IRS of a “90-day letter,” also known as a deficiency notice. This triggers a 90-day period in which you must file a petition or else the IRS assessment will become final and unappealable. 34 FRONTLINE Beef Producer

The Tax Court is composed of presidentially appointed judges who are well versed in tax law. Although the Court is physically located in Washington, D.C., court sessions are held throughout the country, so that the lawyer who files your case can designate a city convenient to you. The advantage of Tax Court is that you have the opportunity, once again, to settle your case. Your representative must be familiar with the extensive Tax Court rules and procedures. If the case is not settled with IRS counsel, the judge will hear your case. No juries are involved. Depending on the judge, and depending on the strengths of your case, you may or may not win. You will have the opportunity to present witnesses on your behalf, including expert witnesses. The taxpayer usually will be a key witness to testify as to your intentions and expectations in carrying on the activity. You will need to explain your method of recordkeeping, articulate what the business plan was, what efforts were made to cut down on costs and increase revenue, who was employed as ranch manager (if applicable), how decisions were made, and other elements. If there were setbacks, such as casualty losses or economic downturns, these also will need to be narrated. Some Tax Court judges are more

sympathetic than others on the trials and difficulties ranchers and farmers face to make a profit. Not everyone is audited in the first place. But most of audits of ranchers and farmers involve those who have a history of losses with large tax deductions taken against large principal sources of income. Although the ranching and farming industries are big forces in the American economy because they help fund many related industries and workers, the IRS takes a skeptical view towards taxpayers who have a history of losses in these areas. But at the same time, taxpayers who go to the effort of pursuing their cases in IRS Appeals or Tax Court usually can get a better opportunity to have a satisfactory result. It will still be necessary to have strong evidence that your activity is conducted in a businesslike manner, and plenty of documentation and witnesses, in order to determine just how you could make a profit in this activity over time.

ABOUT THE AUTHOR:

John Alan Cohan is an attorney representing people in federal and state tax disputes, IRS appeals, and Tax Court litigation, and is a longstanding author of a legal advice column published in numerous sporting magazines. In addition, he advises organizations on compliance with newly enacted laws and regulations. John is also author of the book, Turn Your Hobby Into A Business -The Right Way.

2.8

2.3

4.7

0.65

0.52

0.08

-0.056

0.55

0.65

0.51

0.45

0.43

0.41

0.49

0.46

0.44

0.45

30%

25%

30%

25%

10%

5.1

0.72

0.51

0.11

-0.015

0.22

0.37

0.36

0.29

0.34

15%

25%

15%

>95%

5.7

-0.1

0.37

0.53

0.41

0.29

0.23

20%

25%

25 30%

FRONTLINE Beef Producer 35

CALENDAR FEBRUARY 2016

MAY 2016

Space Deadline for March Brangus Journal

Florida State Fair Open Brangus Show :: Tampa, FL

9-13

Florida State Fair Junior Brangus Show :: Tampa, FL

NJBS Entries Due

Marana “Best of the West” Brangus Sale :: Marana, AZ

NJBS Ownership Deadline

San Antonio Open Brangus Show :: San Antonio, TX

Houston Livestock Show and Rodeo Late Entries Due

Dixie National Open Brangus Show :: Jacksonville, MS

San Antonio All Breeds Sale :: San Antonio, TX

15-18 TJBBA State Show :: Bryan, TX

San Antonio Junior Red Brangus Show :: San Antonio, TX

San Antonio Junior Brangus Show :: San Antonio, TX

JULY 2016

Yon Family Farms Sale :: Ridge Spring, SC

Spitzer Ranch and Hunts H+ Professional Cattlemen’s Brangus Bull and Commercial Female Sale :: Fair Play, SC

Silver Anniversary Roswell Brangus Sale :: Roswell, NM

MARCH 2016

JLS Winning Tradition XIV Sale :: Devine, TX World Brangus Congress :: South Africa

JUNE 2016 1

NJBS Late Entries Due

Futurity Entries Due

Space Deadline for August Brangus Journal

17-22 National Junior Brangus Show :: Hattiesburg, MS 21

IJBBA “Source of Champions” Sale :: Hattiesburg, MS

IJBBA Annual Meeting and Awards Banquet :: Hattiesburg, MS

Brangus Futurity :: Hattiesburg, MS

AUGUST 2016

International Brangus Bull Show :: Houston, TX

IBBA Annual Meeting and Awards Banquet :: Houston, TX

International Brangus Female Show :: Houston, TX

Genetic Edge Sale XXI :: Houston, TX

Space Deadline for October Brangus Journal

Space Deadline for April Brangus Journal

Thomas and Sons Sale :: Madison, MO

WTBBA Springtime Sale :: Abilene, TX

West Texas Fair & Rodeo Junior Brangus Show :: Abilene, TX

Houston Junior Red Brangus Show :: Houston, TX

Quail Creek Cut Above Sale :: Cullman, AL

Oklahoma Youth Expo Junior Brangus Show :: Oklahoma City, OK

Houston Junior Brangus Show :: Houston, TX

Tested by Time Sale at Mound Creek Ranch, Leona, TX

GeneTrust at Suhn Cattle Company Sale :: Eureka, KS

Salacoa Valley Farms Customer Appreciation Sale :: Fairmount, GA

Oklahoma Brangus Association Sale :: Ada, OK

APRIL 2016 1-2

TBBA Annual Convention :: Salado, TX

TBBA Miss America Sale :: Salado, TX

Space Deadline for May brangus Journal

Texas Best Brangus Sale :: Poteet, TX

GeneTrust at Cavender’s Neches River Ranch Sale :: Jacksonville, TX

For the most current listing of upcoming events visit

gobrangus.com/calendar 36 FRONTLINE Beef Producer

Space Deadline for Fall Frontline Beef Producer

SEPTEMBER 2016

OCTOBER 2016 8

CX Advantage Sale :: Weimar, TX

Big D Ranch Sale :: Center Ridge, AR

Space Deadline for November Brangus Journal

Doguet’s Diamond D Ranch Sale :: Poteet, TX

Town Creek Farm Sale :: West Point, MS

Miller Brangus Sale :: Waynesboro, TN

28-29 29

The Oaks & Genetic Partners Proven Performance Sale :: Newnan, GA Oak Creek Farms Sale :: Chappell Hill, TX

NOVEMBER 2016 4-5

GeneTrust at Chimney Rock Sale :: Concord, AR

The Branch Ranch Bull and Female Sale :: Mansfield, LA

Space Deadline for December Brangus Journal

11-12

They’re Not Ordinary Sale at Blackwater Cattle Co :: Lake Park, GA

Hill Country Brangus Breeders Sale :: San Angelo, TX

GeneTrust at Cavender’s Neches River Ranch Sale :: Jacksonville, TX

DECEMBER 2016 9

Space Deadline for January Brangus Journal

FRONTLINE Beef Producer 37

SERVICES Lakin Oakley Auctioneer

7081 Highway 82 West DeKalb, Texas 75559 903/667-3251 Home 903/277-9610 Mobile

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IBBA, 5750 Epsilon Detach form and send to: SanIBBA, Antonio, Texas 78249 5750 Epsilon (210) Texas 696-8718 SanFax: Antonio, 78249 lindsey@int-brangus.org Fax: (210) 696-8718 lindsey@int-brangus.org Or simply scan this QR Or simply code scanwith this your QR smartphone code with your smartphone

THE POWER OF A PROGRAM

BEGINS AND ENDS WITH QUALITY ASSURANCE. Highest Standards Guaranteed

✔ Cow Herd Testing. At weaning all Town Creek Farm dams, and cows owned by our bull production partners, are

tested for Johnes disease using both fecal and blood samples. This is far superior to testing virgin bulls in that Johnes will not exhibit clinical signs until an animal is three years and older. All cows with positive tests means that both cow and calf are immediately culled. ✔ Fertility. We are committed to proving genetics that are functional and fertile. Heifers must calve as two-year olds. All open and unproductive females are culled from herd. ✔ Bulls developed on high roughage, forage-based, low energy ration to ensure longevity and reliable travel. ✔ Efficiency bull selecting utilizing Grow-Safe System technology. ✔ User-friendly, high maternal, low birth weight bulls to produce valuable heifers. Profit begins with a live calf. ✔ Slick haired, heat and humidity tolerant bulls.

These bulls sell along with 160 more just like them on Saturday, October 15, 2016, at the ranch near West Point, Mississippi.

Quality Assurance always comes first. Total Commitment

Since 1993

Town Creek Farm

Milton Sundbeck, Owner Office 662.494.5944 • 32476 Hwy. 50 East, West Point, Mississippi 39773 Joy Reznicek 205.399.0221 • Joy@TownCreekFarm.com Clint Ladner 662.812.8370 • CLadner@TownCreekFarm.com www.TownCreekFarm.com

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