you know us as producers and the
customer that I work with they end up
wearing many many hats they're the CEO
the COO the CFO uh HR department in some
instances uh but they have to wear all
of those hats um and then they also have
to buy cattle as a banker what I really
want to see is everybody keep their
hedges in place especially in a market
like this if we were at the bottom end
of the market I probably wouldn't be as
big an advocate for you probably should
keep your hedges in place and that's
always a borrower's decision it's really
not the bank decision it's the borrower
decision the key is you got to have a
lot of communication whether you be the
largest borrowers out there feeding Catt
or the smallest and your your Banker
really needs to understand what you're
up against when you are in a market like
this where prices have risen you know
significantly everybody's in a little
bit of a cash crunch it's not easy to
get that money on a day's notice you
need that money in your commodity
account or you're going to blow people
out of Hedges that's just the way it
works but what's important from a
producer standpoint is we we we all have
to be having the right communication the
right conversations so that that money
is readily available welcome to we live
it the live a podcast your source for
livestock market insights management
strategies and real conversations with
those who don't just work in the cattle
industry they live it here are your
hosts tyd Cordova and Casey mayy
[Music]
ah welcome back they said to uh we live
it podcast uh tidy Cordova Casey Mary uh
hosting these things here bringing you
trying to bring you educational value to
the industry um case and I had this idea
I don't know several years ago and just
kind of now getting to where it can come
to tuition um trying to have guests on
here to join us that uh that can educ
educate Us in different parts of the
industry so we want to welcome y'all
back we thank y'all for joining us uh we
want to ask you on whatever platform
you're watching it on if you'll hit the
Subscribe button and the like button so
Subs subscribe and like is that what she
said Casey at this the thumbs up so but
be sure to subscribe it for us so but
without further Ado want to welcome John
Sloan with a Texas out of Amarillo Texas
uh we're going to kind of get in some
insights on the uh Market volatility and
then what that looks like and then we
might go further on into some strategies
some details uh want to analyze the
market a little bit and what that looks
like and then maybe move on into talking
about okay how do we make those plans
and what those plans look like going
forward as you try to grow and you try
to get bigger and that's the the name of
the game is you know let's start out
small and then let's gradually get
bigger and what do we have to do to do
that so Casey if you want to kind of
lean in on that a little bit and then
we'll get to John and we'll ask him a
few questions and maybe roll on with
some stuff yeah a lot of the ideas that
you'll have from this show is things
that we experience or we live through
you know um so whether I know how about
that that in so uh one of the things
that we've run into here recently as
we've seen the market escalate and as
we've seen some different things occur
uh is a lot of the things that my
customers are talking to me about is the
banking side of things and so uh I I
know that's one of the deals and I've
said that at length and whether it's
been on here or uh talking directly to
my customers or my clients um those are
things that we don't necessarily think
about every day is those banking
relationships or they're not necessarily
as fun to do as going out and buying a
set of cattle or feeding cattle or doing
whatever uh and and John I told you this
before we came on here um you know us as
producers and the customer that I work
with they end up wearing many many hats
they're the CEO the COO the CFO uh HR
department in some instances uh but they
have to wear all of those hats um and
then they also have to buy cattle and
they have to you know run their feed
yards and they're doing everything from
the windshield or through the windshield
of their pick up um and so whenever we
get to points like this it's like going
to the doctor almost you got to get more
consistent with uh that as you progress
or as you age or you morph into things
so I think it's important that we go
through this I think it's going to be
something that's super educational
hopefully uh that we get to get
experience with that so John if you want
to kind of introduce yourself and tell
us a little about bit about you where
you come from where you started um where
you where you where are you from I mean
what do you where did you grow up yeah
thank thank you very much guys for
having me here today I really appreciate
it I uh I do work for a Texas in
Amarillo I've been with the Farm Credit
system for almost 30 years now it's hard
to believe but I did grow up uh uh on a
small community called Truth to
Consequences New Mexico which is just uh
north of Los cruus New Mexico TR
Consequences New Mexico yep
that's America are you sure that's okay
that's perfect for the cattle industry
Truth where he got consequences got that
right uh but yeah I did grow up in New
Mexico and uh worked in as far as my
banking career goes I've worked in New
Mexico Arizona and Texas for about the
last 14 years
cool that's kind of awkward silence
right there was it so well let's just
kind of get right into it and deep get
into the meat of it of of kind of what
we wanted to start discussing and and
the first thing we want to talk about is
this Market volatility okay so what does
that look like on your side when this
thing starts doing what it's doing I
mean we're getting these big highs and
then you know you're you're these things
are costing so so much more uh our
finance levels are going up our interest
rates are going up the margin calls are
going up and then it's just such a risk
now so kind of on your side of that deal
kind of explain what that looks like on
your side and and what you guys look for
to to balance that out to to help sure
sure well so the way I look at the
market is if you think about the
volatility and what's happened over the
last say year or so the the cost of
these animals has risen by how much
probably 40 50% higher in some cases
correct oh we've easily doubled what it
cost to buy these cattle sure I mean
beforehand a lot of the cost of
production was you know financ maybe
through feed yards or something like
that because grain costs were higher uh
but as the grain costs have come down
and cattle prices have gone up the bulk
of what we're having to do is spend it
on cattle so we've easily doubled the
price of cattle right so you know if you
think of think of it in those terms if
you had a ,000 animal say a year ago or
18 months ago or whatever now those
animals are 2,000 plus correct so you
just have a significantly amount more
money tied up and anytime you're in a
banking relationship uh with any Bank
you're going to have to put some of your
own Equity into the deal you're not
going to likely ever get 100% financing
on a house uh livestock or anything so
more and more of the producers money is
tied up in their operating line now even
though they're making very good money
most likely all of their cash is now
tied up because they're paying so much
more for the animals the feed uh
interest costs Etc and it's more and
more important to have a great banking
relationship and a banker that really
understands how to get you through times
like this because it's gotten to be much
more complicated and quite honestly
there are some banks out there that uh
may not have the experience in terms of
uh you know Market type cattle to really
structure the loans correctly so that to
me is the most important part is having
the right relationship and having a a a
banking institution A lender that really
understands the industry and can help
you through times like this where the
Market's really high or let's say it
happen to drop 50% in three months you'd
have the flip side and you then you'd
have you know the opposite problem where
you may very well be losing money on
every pen of cattle yeah so that's
that's the way I look at it so so I was
looking at this uh over the last couple
of weeks and so if we look back at the
market and I'm going to talk fed cattle
uh fed cattle market 2021 Market was a$1
35 if we look before that the market had
really never I mean it had gone up into
the 172 area back in 1516 obviously but
then we had broke back in there and we
spent five years consistently in a
channel between a dollar and a140 so we
had a do we had a $40 range in cattle um
and then we we went on this ensuing
rally uh over the last four years where
the market went up into the 160s 170s
180s and then I I have not run into uh
and and John this is what I want to
really kind of get into and dig deep
into January 28th of this year
2025 um I probably heard more people
running into borrowing constraints more
than I ever have um and and since I've
been doing this or exposed to this um
and I think a lot of those situations um
I think there's like multiple different
parts of it I'm going to tell you the
industry is probably more hedged uh now
and so they're having to make margin
calls obviously um but then also they're
having to like buy cattle there's also a
instance where they're prepaying feed
right there at going into the end of the
year and I think a lot of guys the
stoutest guys that I've dealt with from
an equity standpoint running into
crunches from a from a borrowing
capacity standpoint um and so that's
where I probably want to focus is go
okay look how do we get ourselves into a
position where we don't have to say I
can't pay for that I can't do this
particularly when somebody's got a
tremendous amount of equity in their
cattle 50% or so are you in the industry
looking to stand out trust the experts
at IMI Global and where food comes from
the leaders in third party verifications
with over 30 years of experience their
team knows agriculture inside and out
ensuring you get innovated and
personalized service every step of the
way they help ranchers all over the
country add value with programs like age
Source nhtc verified Natural Care
certified Angus verified and Angus link
are you ready to add value get started
today with imig global and where food
comes from visit imig global.com for
more
information yeah I I couldn't agree more
um as a banker what I really want to see
is everybody keep their hedges in place
especially in a market like this if we
were at the bottom end of the market I
probably wouldn't be as big an advocate
for you probably should keep your hedges
in place and that's always a borrower
decision it's really not the bank's
decision it's the borrower's decision
the key is you you got to have a lot of
communication whether you be the largest
borrowers out there feeding cattle or
the smallest and your your Baker really
needs to understand what you're up
against when you are in a market like
this where prices have risen you know
significantly everybody's in a little
bit of a cash crunch it's not easy to
get that money on a day notice you need
that money in your commodity account or
you're going to blow people out of
Hedges that's just the way it works but
what important from a producer
standpoint is we we we all have to be
having the right communication the right
conversations so that that money is
readily available and uh where where
this really becomes a problem is when
there's no planning that's been done so
as the market was running make sure
you're talking to your Banker frequently
and you're giving yourself enough time
to make sure you've got the money set up
to make those calls because those kind
of things don't happen overnight I mean
if you're borrowing you know half a
million dollars or a million dollars or
more it's not like you're going to
probably be able to get that money in a
one day turnaround uh have a lot of
conversations with your Banker have a
lot of conversations with your commodity
broker probably those two people ought
to be talking and make sure that you've
got everything in place so that you do
not miss out on a margin call and you
can keep your strategies in place
because it is the borrower strategies
it's not the bank strategy and what I
always want to make sure of is that
whatever my customer wants to do that's
what we're able to do and that only
happens through great communication so I
I've heard guys say my banker makes me
hedge and I know that that's probably
not true okay so there m there's a
difference between makes and
incentivizes so can you kind of go down
that path a little bit and talk to us
about you know maybe what you guys do
what the incentive why would a banker
encourage uh or um be behind someone
that's managing risk so as far I I think
the right word is encourage What A
lender really wants to stay away from is
lender liability and if I'm requiring a
person to hedge cattle and then let's
say they you know put a hedge on they
sell their cattle at 200 and they run to
230 well I the bar and come back and say
well you just lost me 30 bucks and
that's never a position A lender wants
to be in now there may be lenders that
put themselves in that position but
really encourag is the right word what
we like to do is we give incentives for
being hedged so you will not have to put
as much of your own Equity into a cattle
feeding deal if you hedge your cattle
what the reason why is it's taking the
bank you're basically hedging the bank's
portion of the money in the deal is
really what you're doing because you're
able to borrow a lot more money than
you're probably putting it in your own
Equity so as a banker we want to have
those cattle heads so we know our
position is safe I'm not looking for
guys to hit home runs I want them to hit
singles so I want them to hit a single
every single day of the week I'm not
looking to finance a person that hits a
home run once a year I want a strategy
that I know they will make money every
day in every Market if you if you went
across a whole year there are there
people may lose money here and there
week to week day to day but in general
month to month in cattle feeding if they
have a sound strategy from start to
finish they are likely to make money
every single year yeah and so I think
part of that probably just understanding
your borrowing base more so so let's
let's say uh I'm a I'm a guy that I've
you know been feeding cattle here for a
couple of years and I've started out and
you know I've got a um you know I
haven't necessarily had to do a barring
base I just said I've got these cattle
and I went and borrowed some money to
finish those cattle out let's say I've
made pretty good money on this set of
cattle and now I'm doubling up and I'm
going to buy another set of cattle what
is a barwing base like what can you
explain what that is I know we have
conversations I've got conversations
with my guys explain what that is and
like what the point of that is in in the
very simplest term of borrowing base is
a is a report you're going to furnish to
your lender most likely monthly maybe
quarterly and in its most simplest terms
if let's say I'm just financing the
cattle I'm not financing feed or
anything else you're going to have the
cost of the cattle on the borrowing base
versus the loan on the cattle so it's
going to show you your Equity position
and there's different ways to Value the
cattle there's different ways every Bank
does this but in general at least the
way we do it what we're trying to strive
toward is to Value those cattle at
Market every single month so we want to
know what are those cattle worth every
month when they finish I don't really
care so much about what you paid for
them what I really care about is what
are they going to be worth the day you
finish them and what's it cost to take
those animals to finish
does that make sense so that that way
every single month I know exactly where
you are and you know as a producer
exactly where you are and what your
Equity position is so it's a protection
reporting mechanism for the bank but
it's a great management tool for the
producer because every single month or
what I would say hopefully is every
single day they know where they are on
their Equity position and their animals
and their feed so as it gets more
complicated uh you have feed on there as
well you have receivables if you do
prepaid you have those on there so what
we're trying to do is lend The Producers
uh an adequate amount of money so that
they can keep their strategy in place
you know you would think today cattle
prices have risen dramatically there's
cattle coming out of the feed yards
making1 to $300 per lot per head well
nobody's got any cash because all the
money's going back into the higher pric
cattle right and so that's just where we
are in the industry and that's why a
borrow base set up and a revolving line
of credit is important because a
producer needs to know he's got the
money to continue his
strategy that you keep saying strategy
and
communication and I think communication
is a key to a lot of things it keeps
everybody if you can keep everybody on
the same channel and the same wavelink
it don't matter what you're doing that
communication is is key and and a lot of
people don't don't like to make those
phone calls but they just they need to
be I mean that's right and I I'll tell
you that we were talking about this
earlier and it's it's like we like being
in the calmness of the water where you
don't necessarily have a whole lot going
on there um you know you like being in
the Lazy River I guess if you will
because you don't really have to do a
whole lot there whenever starts getting
real choppy and whether the Market's
going up or down or whatever it's doing
um people get it gets real turbulent and
we don't know what to do and so I think
the biggest thing is like stepping back
from a weekly standpoint going through
uh and trying to understand where you're
at at where you're going what you think
the Market's going to do and then
putting that in kind of a financial plan
but like I said when we first started
this most guys don't have the ability to
do that on a daily basis because they're
so busy they're exhausted one because
they've been feeding cattle all day long
or they've been riding their horse or
they've been doing whatever um but but
as we've grown and this Market has been
extremely fun extremely exciting and
extremely rewarding and the craziest
thing is when we got to the market highs
that we just recently experienced
um people were freaking out because
mostly because of lending I mean it's
like we're running into constraints you
know from that standpoint so um I I
think that uh to your point just having
that barwing base that ability to go
back and go okay where am I at today oh
a hedge yeah that does lost me some
money but I've got the rewarding side of
it from a cattle Equity or cattle market
appreciation standpoint right and and it
there is a cost of hedging for sure and
we get push back you know sometimes
because of what I talked about earlier
well why would I want to sell my cattle
and put a hedge on them today when I
think this Market may run up another 20
30 bucks what the Hedge is really doing
as you well know it's protecting the
producers Equity position and the banks
of course and what we don't want to have
happen is we have a $3 $40 drop and now
now all the equity's gone so the more
money that you're borrowing because in
general what whether you're borrowing
$200,000 or whether you're borrowing $20
million the equity is likely the same
that you're going to have those cattle
it doesn't necessarily change because
you're borrowing less money or more
money it's probably the same so think
about how many more dollars are on the
line as these operations grow or the
cattle you know double in
value there's just a lot more Equity
riding and that's that's why we like to
have hedges in place because we just
don't want to see a producer get blown
out there's not a lot of options if a
especially like think if you're a
younger guy uh growing your operation
you're you've done well everything is is
going good because cattle Market's been
good you've done a great job buying
cattle great job selling the animals
great job managing the
animals you can't do anything about the
market and if if you're getting a
position where you don't have some
protection you can very well lose all
your equity in a very short period of
time so that's that's the concern well
so y'all explain this to me then yeah
we're concerned about the equity
position but also with this big runup
there's the margin cost coming so what
happens when that accounts drained and
this thing keeps running up that's the
communication you're talking about
that's communication between your
commodity broker and your Banker that
need to be happen look if this thing
keeps running up we're going to need
this much more money you might want to
go to figuring that out because
shouldn't your Equity grow too so you
could loan them more money on the margin
account or am I looking at that wrong
yeah Ty what I would say on that is it's
it's really two separate issues so I I
almost separate the margin part of this
correct because that money's got to go
out no matter what and it's probably got
to go out in the market we're in 100%
financing from the bank so I'm not you
know if if you call me and say well I
got to make a margin call well I'm not
going to go out and try to find out well
what cattle inventory do you have today
we got to get that done and so that
money is going to probably be supplied
by the bank at 100% now on the the uh
Equity side of this
thing the
whether
typically now every bank is different
okay so when I say typically what I what
I mean is whether I'm lending a guy
$100,000 or $20 million let's say I
finance 200 producers pretty much their
loan requirements are likely to be
almost the same in terms of how much
Equity they got to put in those animals
MH and a a a severe Market drop it's
going to it's going to harm that
producer and uh it's going to do it in a
in a in a hurry and so all I'm saying is
yeah but it's going to harm him on this
side on the equity side correct okay so
so that say this cattle this C's this
these cattle are hedged M it's gonna
he's he's covered over here on this side
in this account you got two different
accounts you got your well I don't know
if he's I don't know if he's explained
that so we might have him explain what
he means by that because I don't know if
we really D because I think most guys I
mean I'm going to tell you the vast
majority people that I work with at Blue
Reef that are hedging cattle and this
what we're really trying to explore and
I'm trying to learn more about honestly
um again we don't try to learn about
things until incentive drives outcome
yeah like I need to go to the doctor
said you're naked yeah that's right so
um so what John had mentioned is having
two separated accounts so you have an
account where you have the amount of
equity that you need that's required to
buy the cattle and how much money you're
putting up and then the you know the 80%
that that the bank is going to loan you
um John explain the strategy or the plan
or however you go about what you use for
producers on hedge accounts because like
I said most of them are they're all
trying to they're all dipping in one pot
what well whether it be a separate loan
on so like on bigger accounts when I say
bigger I'm going to say loans in excess
of let's just say $5
million or greater a lot of those we
will do a separate hedge account or at
least a sub account where that money is
only there for Hedges so so you know as
a producer let's say I set a million
dollars in there I think you ought to at
least have 10% if you're bwing a million
dollar I need to plan on at least
$100,000 10% that loan set aside for
margin and I need to be comfortable
lending you that money as we start the
season you know if we meet once a year
we set up a plan then I think what a
producer ought to be asking
is do I have 10% set up and I think
that's probably a minimum at least in
this market the way it's run uh for
margin calls and then as a producer you
can monitor that whether it be in a
separate account or it's all in one loan
you should know well if I've put out you
know to my commodity broker 80 880,000
of the 100 I'm running now the Market's
still running I'm short probably better
have some conversations exactly we're
going to need another 50 or 100 or
whatever that's right well typically
when the market has what they refer to
as a blowoff top it's typically the the
commercial the producer blowing out of
Hedges you know you go from and I talk
about this with my customers at length
all the time where we talk about fear
hope greed panic and all those different
emotional cycles of things it's like
right now where the market has had lots
of chop in it you know it rallied up and
we put in a high there at the end of
January where we were kind of 207 fats
and you know call it right a bump it up
against 280 feeder cattle and then the
market corrected and then rallied back
and we're going to see these big ensuing
and everybody acts like volatility is
new volatility is not new they've been
saying volatility is new I'm 44 I got in
this industry at 24 it's been new for
the last 20 years right so it's just
part of doing business honestly right so
what what gets people messed up in my
mind is what I refer to in a market is
the zone of ruination and that's when
the Market's in a in a not in a trending
aspect it's in a choppy aspect where a
producer that never thought the market
was going to go over
$2 convinces himself that the Market's
going to go to 215 or 220 or 230 because
he's feeling the pressure from whether
his wife saying why am I sending this
money
out uh he wakes up and he's got a margin
call in his account his calls his banker
and says man I can't make this and then
he just says get me out um and a lot of
times that's whenever you have the
blowoff tops um and so I I have
experienced people that have come to
work with me that have blown out at the
top and so my biggest fear honestly in
this market as we go through this is
having a producer that has let's say
I've got a million dollar line of credit
I've got $200,000 of my own money in
there I've got $800,000 borrowed the
market goes up and then all of a sudden
we have this valuation there that's high
and you're like man I've never been able
to make this amount of money again and I
sell the market futures market and then
the market goes another 15% or 10%
higher than that and you don't have the
capital or the borrowing capacity or the
relationship to manage that and then
every day you go man I'm stupid for
doing this why did I do this and then
boom you get out and what you thought
was locking in a $200 profit and then we
see something happen a gray Swan a BL
Black Swan something happened in the
market and then all of a sudden you lose
$300 ahead and then originally you had
$200 put up now you can't be in business
anymore and you still owe the bank a
$100 that's right and that's exactly
what we're trying to guard against
because and I keep using the word
strategy but what you just what you just
described is why the producer should
think through the strategy with the
banker with the commodity broker so that
he then he's disciplined about okay I
know I've already I've already explained
and I've thought through for my own self
why I'm making these margin calls even
though it's costing me money because the
producer went into it with a strategy
that that's what he was going to do
whether the market was over two or under
two he went into it that year full well
saying to himself not to the bank I I
want to hit singles I'm not trying to
hit a home run because I want to keep
playing baseball I want to keep cattle
feeding I want to do it for the next 20
years and it nobody has unlimited
amounts of equity so and we don't know
when the the gray Swan or the Black Swan
or the purple Swan or whatever color the
swan is we don't know when it's going to
come next right and so that's why this
defi what this defined strategy is so
important to to talk about and think
through with you with your Banker with
your family because really it's it's you
as a producer and your family that are
making this decision you're you're
coming to the bank to get some
money as a as a producer you've got to
do whatever is right for you and your
family yeah and that's
a one one strategies not fit all right
so you like you said it best right there
you got to do what works for you what's
best for you and your family and what
you're doing I mean whether you're
running light cattle whether you're
going to run you're going to
precondition them have a backgrounding
yard whether you're going to feed cattle
all the way through there's strategies
for every one of those you just got to
get to that strategy exactly and you got
to get the right people we've we've
harped on this a long time a lot of time
since we started this deal this is a
people business this is a a relationship
business so you got to find those
relationships with the right people that
you trust and that you can move forward
and trust them to strategize for you
because you can't do it all he just I
mean just like Casey was saying earlier
we we got these people trying to be the
the CEO the the vice president the
janitor the feedbunk guy the doctor the
you can't be good at none of them if
you're trying to do them all and so we
got to come up with the right strategy
you got to get the right people in place
and then you got to have your plan
so do we want to dive more into this
Market or do we want to kind
of the volatility of the market have
y'all covered everything you want to
talk about there guys and is there any
more questions you have Casey about the
different accounts about you know that
that that helped me a lot was the okay I
have a a revolving line of credit over
here to buy cattle with okay and I want
to scale up my I want to scale up my
operation but man I'm got nervous my dad
never did it my grand Granddad never did
it my great Granddad never did it they
they thought hedging in the my great
Granddad every time he looked at that
board he'd say somebody needs to go
shoot them and so they never went naked
all their life and it worked for my dad
and it worked for my granddad I mean it
worked for them but at these levels I
mean yeah has always cost a lot of money
and and but you could lose the ranch you
could use your things you've been
working for all your life at these
levels right with one little stump of
the toe so now people are thinking you
know we might ought to get serious about
doing some hedging and stuff I've never
even thought about it never even done it
but at these levels and and and trying
to grow my the weak cattle deal that
we're trying to do and and then trying
to buy some cattle early on to kind of
risk I mean to to keep that cost down
buy them lighter and keep them longer
you know to keep that dollars per head
down that makes a lot of sense having a
having a heding account to just a one
account you have 10% sitting over here
to hedge with a lot of people don't know
that that's an option A lot of people
didn't know that was I didn't I me and
I've been doing this I mean he said'
been doing it since we was in our 20s I
mean been buying cattle since I was 15
and I didn't know you could you could
set those two different maybe it's
because I didn't want to know but then
never know that um yeah and I think I
think the most important thing or one of
the more important things is like just
that exposure part of it and then the
biggest thing is and I always go back to
this behavioral psychology and like
what's in your mind when things are
going on so so like let's say it's this
let's say you're 50% hedged the market
goes up
$201 you just picked up 10 bucks a 100
okay but what most people are going to
do is they're going to go I gave up 10
bucks a 100 right and then what you
should be doing is selling the next 5%
or 10% legging into the next part of
sales because we know it's easy to step
back and look at markets and hindsight
and go man I should have done that but
when you're at and you got the back of
your back against the wall and you got
your broker calling you and saying I
need a margin this thing or and then the
other part of this thing that happens is
is not only that but you miss
opportunities so the market goes up you
miss an opportunity to sell
more Tai you call somebody and offer
them a set of cattle and they tell you
no because they don't have the money to
do it they've been doing that a lot the
last couple days I don't know if you
know they're not but we've been we've
been hearing no a lot here lately you
figure on this High markets it'd be easy
to sell one looks like there's a lot of
people buying them though it's crazy but
but again I think like I said prices
that we thought would be not
attainable and we thought would be
awesome to get to we we somehow convince
ourselves
mentally that those prices are cheap now
and and so that's where I really try to
drive home and my customers are probably
going to listen to this and know what
I'm saying it's but it's it's something
where what I try to drive home is this
this is this is mental Warfare this is a
thing of making sure that you don't you
know you sell cattle and the market goes
up and you don't you know bang your head
against the wall and say I'm an idiot
for doing that you should go man there's
another opportunity here to sell more
and making sure that you know what your
inventory is you know what the value of
that inventory is you know what the
current market price is and then that
gives you the next step and that's the
opportunity and again like John I think
it's awesome that you got on here and
you were able to talk about these things
um so that we could go through and
really learn and I know we really harped
on this part of the banking side of it
but I think this part of the banking
side of it really folds into a lot of
other things when it comes to that so
but it's really kind of setting a plan
and and managing through that plan and
and and trying to understand it and I
think we'll get into that that plan
so-called that we talked about strategy
now we need to talk about plan but I
think we probably need to do that on the
next one um so you guys are going to
invite me back we're going to have a
part two yeah so whether you like it or
not you're going to be on part two and
we'll we'll continue this education on
okay now we've talked about the
different stuff through the hedging and
all that stuff and and and how the
financing part works now let's just
dissect the plan on okay what how do we
set these strategies up who do we get
involved and and who do we go to but
first we're going to have to do that
later so we need a uh take a little
break here we uh appreciate everybody
for uh watching and tuning in uh thank
John for coming on and and trusting us
to to share all this with us um remember
uh if you're watching on whatever
Platinum Platinum platform you're
watching on hit subscribe as Katie says
she saids be sure to tell them to hit
subscribe so we're going to hit
subscribe and hit like and uh join us uh
next week for the followup with John and
and we will get into that strategy and
that plan on on what that looks like on
the ranch or on the form or on the grow
yard or where whatever your whatever
your uh program is whatever your uh
program for what you hire you want to
run your cattle so thank you for
watching remember we live it thank you
Casey for being on and we'll see you
next time
[Applause]
[Music]
[Applause]
[Music]
he hey