Slaughter Steer Close-Outs
Current & Future (Projected)
.For the week ending August 19th
..

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Closeout projections are for cattle placed on feed by a cattle owner at a commercial feedyard and not for cattle owned by a feedyard and fed at cost or a farmer/feeder utilizing his own feed.
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Typical closeout for un-hedged steers sold this week:
  • Placed On Feed 150 days ago = March 22nd
  • Projected Profit/(Loss) based on the futures when placed on feed: ($44.13)
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Cost of 750 lb. steer delivered to the feedyard @ $160.37 per cwt. 
$1,202.78
Cost of gain* for 600 lbs. @ $75.96 per cwt.
$455.76
Interest** @ Prime + 2% on cattle cost for 150 days
$27.19
Interest** @ Prime + 2% of the feed cost for 150 days
$5.15
Total Cost & Expense
$1,690.87
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Sale proceeds: 1,350 lb. steer @ $117.50 per cwt.
$1,586.25
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This week's Profit/(Loss) per head
($104.62)
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Profit/(Loss) per head for previous week
($107.81)
Change from previous week
+$3.19
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Sale price necessary to breakeven
$125.25
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Projected closeout for steers placed on feed this week:
  • Projected Sale Date @ 150 days on feed = January 16th
  • Cost of 750 lb. steer delivered to the feedyard @ $148.15 per cwt.
    $1,111.13
    Cost of gain* for 600 lbs. @ $72.53 per cwt.
    $435.18
    Interest** @ Prime + 2% on cattle cost for 150 days
    $25.11
    Interest** @ Prime + 2% of the feed cost for 150 days
    $4.92
    Total Cost & Expense
    $1,576.34
    .
    Sale proceeds: February Live Cattle Futures @ $111.70 per cwt.
    $1,507.95
    .
    Projected Profit/(Loss) per head
    ($68.39)
    . .
    Projected Profit/(Loss) per head for previous week
    ($15.10)
    Change from previous week
    -$53.29
    .
    Sale price necessary to breakeven
    $116.77
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    *In addition to feed costs, "Cost of Gain" includes death loss, medicine, insurance, etc.
     **Interest Rate @ Prime + 2.00% - Prime Rate as defined and published by The Wall Street Journal
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    ,.

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    Typical closeout for steers sold this week and hedged when placed on feed: ($44.13)
    Typical closeout for un-hedged steers sold this week:($104.62)
    Projected Profit/(Loss) based on the futures & estimated Cost of Gain this week: ($68.39)
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