|
Carcass Merit Pricing Formula
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||
Option
1 Formula |
USDA Previous Weeks "Weekly Weighted Average Area Dressed Beef Price" |
| Option
2 Bid = Start Price* |
Call our Corporate office at 913-397-9100. We will then call you with a bid price when cattle are trading. |
| *Amount to add to Start Price to determine Choice YG 3 Base Price | 100% - Grade
% in plant * Ch/Sel Spread + Start Price |
| Choice/Select Spread | USDA Previous Week's 5 day Average |
| Prime/Ch Spread | $8.00 Premium |
| CAB/Choice Spread | $5.00 Premium |
| **Swift Premium Classic | $4.00 Premium |
| Standards | $20.00 under Select |
| Commercial/Heiferette | $20.00 under Select |
| Dark Cutters, Yellow, etc. | Market |
| Condemned cattle | No value |
| Yield Grade 1 Choice & Better | $5.00 Premium |
| Yield Grade 2 Choice & Better | $3.00 Premium |
| Yield Grade 1 Select | $1.00 Premium |
| Yield Grade 2 Select | $0.50 Premium |
| Yield Grade 3 | Base |
| Yield Grade 4 | Lesser of % of YG 4 or $18.00 (under YG 3) |
| Yield Grade 5 | $25 under YG 3 |
| 535/Down | $20.00 below base price (Ch YG 3) |
| 950/Up | $15.00 below base price (Ch YG 3) |
| Japan Age & Source Verified Cattle will be paid $25.00 per head (No CAB premiums paid) Til 7-1-07 | |
| **Swift Premium Classic=Upper 2/3 Choice Non-black hided cattle | |
| *Example
to figure amount to add to Start Price to determine CH YG 3 Base Price: |
|
| At
Grand Island and Greeley (Example: if past 4 week plant grade avg.
was 50%, the Choice/Sel Spread was $15, and the Start Price
or Bid Price was $140.00) then the Base Price
(What a Choice Yield Grade 3 carcass is worth) would be: 100% - 50% = 50% x $15.00 = $7.50 + $140.00 = $147.50 would be the Base Price From the $147.50 they would add & subtract all premiums and discounts on each carcass. All carcasses are individually priced, you are paid for every CAB, Prime, & YG 1&2's that you have. No ratios or plant avg. have to be met where you only get paid for ones above that ratio or plant avg. |
|