Since January 23, KJLS Beef Carcass Contest Participants. Matt Teagarden. Beef Carcass Contest Results

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Since 1894 January 23, 2017 TO: FR: RE: KJLS Beef Carcass Contest Participants Matt Teagarden Beef Carcass Contest Results Thank you for participating in the 2016 Kansas Junior Livestock Show proudly brought to you by Cargill. Enclosed are the results of the beef carcass contest, an explanation of the carcass merit grid on which the steers were valued and an explanation of how the results were determined. Thanks to the Beef Empire Days folks for letting us use their formula for our contest. The steer show included 112 steers with 34 head competing in the carcass contest. The contest, including cash awards for the top 3 places, was sponsored by Certified Angus Beef, LLC. Chase Ratliff from Anderson County owned the top placing carcass steer. Chase s Chianina steer graded Prime and was a Yield Grade 2.97. Second place went to Jacob Nikkel of McPherson County. Jacob s Crossbred steer was High Choice quality and a Yield Grade 2.22. Kristy Beene from Bourbon County owned the 3 rd place steer. The Angus was Average Choice with a Yield Grade value of 2.69. Overall, 32 of the 34 steers graded at least Choice and Yield Grade 3 or better. Eleven steers qualified for the Certified Angus Beef program. On average, the carcass merit grid provided a $102 per head premium compared to the cash market that week. Please take a minute to express your appreciation to Certified Angus Beef, LLC for supporting the carcass contest. Address thank you notes to: Steve Suther Certified Angus Beef, LLC 16360 Victory Road Onaga KS 66521 Congratulations to Chase, Jacob and Kristy! Let me know if you have any questions or concerns. And again, thanks to Cargill, Merck Animal Health and Certified Angus Beef for their support of the cattle divisions at KJLS. 6031 SW 37th Street * Topeka, KS 66614-5129 * (785) 273-5115 * Fax (785) 273-3399 * E-mail: kla@kla.org * www.kla.org

2016 KJLS Steer Carcass Contest Adjustments FINAL Tag Exhibitor County Weight Yield Grade HCW DRESS % FAT REA KPH QG HCW FAT REA REQ REA KPH QG INDEX RANK 73666 Chase Ratliff Anderson 1336 2.97 890 66.6% 0.48 14.4 2.5 PR- 0-14 14.48-0.4 0 60 145.6 1 74694 Jacob Nikkel McPherson 1370 2.22 904 66.0% 0.4 16.3 2.5 CH+ 0-2 14.65 8.26 0 35 141.3 2 90408 Kristy Beene Bourbon 1423 2.69 935 65.7% 0.4 15.2 2.5 CH0 0-2 15.02 0.9 0 35 133.9 3 74973 Anna Carpenter Wabaunsee 1255 2.55 820 65.3% 0.48 14.9 2.5 CH0 0-14 13.64 6.3 0 35 127.3 4 74974 Laura Carpenter Wabaunsee 1354 2.56 864 63.8% 0.48 15.4 2.5 CH0 0-14 14.17 6.16 0 35 127.2 5 75106 Luke Prill Harvey 1299 2.36 853 65.7% 0.52 16.2 2.5 CH0 0-20 14.04 10.82 0 35 125.8 6 75214 Sarah Loomis Morris 1384 3.62 895 64.7% 0.68 14 2.5 PR- 0-36 14.54-2.7 0 60 121.3 7 91461 Mackenzie Moldenhauer Sedgwick 1698 2.37 1128 66.4% 0.4 18.5 2.5 CH0-4.82-2 17.34-9.18 0 35 119.0 8 89707 Morgan Woodbury Osage 1283 3.62 717 55.9% 0.36 9.4 2.5 CH+ -1.16-1 12.40-15.02 0 35 117.8 9 91464 Madison Miller Coffey 1247 2.96 792 63.5% 0.52 13.6 2.5 CH0 0-20 13.30 1.48 0 35 116.5 10 89611 Jacob Rieger Brown 1260 1.62 796 63.2% 0.4 16.9 2.5 CH- 0-2 13.35 17.74 0 0 115.7 11 90808 Riley Sleichter Dickinson 1337 1.48 873 65.3% 0.28 17.3 2.5 CH- 0 0 14.28 15.12 0 0 115.1 12 73845 Aidan Ross Labette 1227 2.76 845 68.9% 0.64 15.8 2.5 CH0 0-32 13.94 9.3 0 35 112.3 13 74681 Benjamin Nikkel McPherson 1223 1.81 747 61.1% 0.32 15.1 2.5 CH- -0.19 0 12.76 11.68 0 0 111.5 14 74262 Abigail Dickinson Ellis 1174 2.01 774 65.9% 0.4 15.4 2.5 CH- 0-2 13.09 11.56 0 0 109.6 15 90752 Peyton King Cowley 1432 2.02 929 64.9% 0.36 16.9 2.5 CH- 0-1 14.95 9.76 0 0 108.8 16 73667 Madison Ratliff Anderson 1332 2.92 846 63.5% 0.68 15.6 2.5 CH0 0-36 13.95 8.24 0 35 107.2 17 90667 Michael Lehmann Coffey 1291 2.21 843 65.3% 0.68 17.8 2.5 CH+ 0-36 13.92 7.92 0 35 106.9 18 90416 John Emmerson Bourbon 1366 3.05 938 68.7% 0.72 16.6 2.5 CH+ 0-40 15.06 7.72 0 35 102.7 19 89555 Cole Montgomery Atchison 1389 3.32 932 67.1% 0.72 15.7 2.5 CH0 0-40 14.98 3.58 0 35 98.6 20 76149 Sarah Pelton Rooks 1361 4.80 879 64.6% 0.92 12 2.5 PR- 0-50 14.35-11.74 0 60 98.3 21 60864 Jase Hout Douglas 1258 3.45 815 64.8% 0.72 13.9 2.5 CH0 0-40 13.58 1.6 0 35 96.6 22 74696 Jacob Nikkel McPherson 1304 2.56 833 63.9% 0.44 14.7 2.5 CH- 0-8 13.80 4.52 0 0 96.5 23 91463 Mackenzie Moldenhauer Sedgwick 1254 1.61 810 64.6% 0.48 17.7 2.5 CH- 0-14 13.52 9.9 0 0 95.9 24 75115 Blaak Holcomb Cowley 1432 1.53 995 69.5% 0.32 18.9 2.5 CH- 0 0 15.74-11.2 0 0 88.8 25 76004 Cami Miller Butler 1286 2.57 809 62.9% 0.52 15 2.5 CH- 0-20 13.51 7.46 0 0 87.5 26 89562 Katie Shafer Barton 1442 3.82 917 63.6% 0.84 14.9 2.5 CH0 0-50 14.80 0.48 0 35 85.5 27 74685 Kylie Fox McPherson 1078 1.40 668 62.0% 0.52 17 2.5 SE+ -4.05-20 11.82 25.92 0-20 81.9 28 88917 Desiree Littlechild Trego 1172 2.20 780 66.6% 0.72 17.4 2.5 CH- 0-40 13.16 21.2 0 0 81.2 29 74384 Cooper Henson Finney 1357 2.87 911 67.1% 0.56 15.6 2.5 CH- 0-24 14.73 4.34 0 0 80.3 30 74684 Kayla Fox McPherson 1331 2.91 847 63.6% 0.56 14.7 2.5 CH- 0-24 13.96 3.68 0 0 79.7 31 75111 Taylor Nulik Cowley 1390 3.11 932 67.1% 0.56 15.1 2.5 CH- 0-24 14.98 0.58 0 0 76.6 32 73911 Haylee Lanham Linn 1480 3.73 989 66.8% 0.72 15.1 2.5 CH- 0-40 15.67-2.84 0 0 57.2 33 89553 Cole Montgomery Atchison 1405 3.99 896 63.8% 0.8 13.8 2.5 CH- 0-50 14.55-3.76 0 0 46.2 34

KJLS Base Bid Steer Grid Details Steers are sold to Cargill and will be marketed on a grid. The grid base price was $167.00/cwt on a carcass basis. The grid includes premiums and discounts calculated on a carcass weight basis. Base = Choice, Yield Grade 3 Certified Angus Beef = $3/cwt. premium Prime = $15/cwt. premium Select = $8/cwt. discount Yield Grade 1 = $6/cwt. premium Yield Grade 2 = $3/cwt. premium Yield Grade 4 = $10/cwt. discount Yield Grade 5 = $20/cwt. discount Carcass Weight >= 1050# = $15/cwt. discount The following were deducted from gross sale proceeds: Trucking = $11.55 per head Data Collection = $2 per head Beef Checkoff = $1 per head

Page 1 of 6 Beef Empire Days Carcass Index System The Beef Empire Days Carcass Index is calculated from a base of 100 points with bonus and penalty point adjustments for hot carcass weight (HCW), adjusted backfat, ribeye area (REA), internal kidney-pelvic-heart fat (KPH), and USDA Quality Grade (QG). Carcass traits that are closer to the desired ideal specifications will have higher indices. Bonus points awarded to carcasses having larger ribeyes, low KPH fat, and QG above low Choice will improve indices. The following is a description of the index adjustment procedures for each of the carcass traits. Hot Carcass Weight The optimum range for hot carcass weight is defined as 750 to 1050 lbs. for both steers and heifers. The indices of carcasses with weights outside that range are penalized according to the following table. Hot Carcass Weight Adjustment HCWPoints HCWPoints HCWPoints 500-24.10 610-8.55 720-0.77 510-22.36 620-7.52 730-0.45 520-20.69 630-6.55 740-0.19 530-19.08 640-5.65 540-17.54 650-4.82 550-16.06 660-4.05 1050-1.61 560-14.65 670-3.34 1060-2.12 570-13.30 680-2.70 1070-2.70 580-12.02 690-2.12 1080-3.34 590-10.79 700-1.61 1090-4.05 600-9.64 710-1.16 1100-4.82 The following figure graphically illustrates the adjustments for heifers and steers. Adjusted Twelfth Rib Backfat Thickness The optimum 12th rib fat thickness is defined as 0.30 inches which corresponds to a preliminary yield grade of 2.75 for both heifers and steers. Indices are negatively affected for carcasses having less than 0.28 inches or more than 0.36 inches of backfat.

Page 2 of 6 Twelfth Rib Backfat Adjustment Fat Thickness Points Fat Thickness Points 0.00-0.03-48 0.44-0.47-8 0.04-0.07-40 0.48-0.51-14 0.08-0.11-32 0.52-0.55-20 0.12-0.15-16 0.56-0.59-24 0.16-0.19-8 0.60-0.63-28 0.20-0.23-4 0.64-0.67-32 0.24-0.27-2 0.68-0.71-36 0.28-0.35 0 0.72-0.75-40 0.36-0.39-1 0.76-0.79-45 0.40-0.43-2 >0.79-50 The following figure illustrates the adjustment for backfat thickness. Ribeye Area A ribeye requirement is calculated for each carcass based on hot carcass weight. The equation for both steers and heifers is: Required REA, sq. in. = HCW x.012 + 3.8. A 5 point adjustment will be made to the index for every square inch that a carcass ribeye area deviates from the required value. There is also a maximum REA of 17.5 square inches for steers and heifers. Carcasses with excessively large ribeyes will be penalized 10 points for each inch, or fraction of an inch, over the 17.5 square inch REA maximim. The relationship of actual and required REA, the maximum REA, and the associated bonus or penalty points is illustrated in the graph below. This is equivalent to the USDA required REA area for yield grade calculation.

Page 3 of 6 The preceding graph demonstrates adjustment for the difference of the actual and required REA for various carcass weights. Bonus and penalty points can also be calculated mathematically. For example, an 850 pound steer carcass would have a required REA of 14.0 square inches. If the carcass REA was 16.5 inches the index adjustment calculated as follows: Example #2 17.5 Maximum REA 14.0 Required REA 16.5 Actual REA Difference of 2.5 sq inches x 5 = + 12.5 Bonus Points 850 pound steer carcass would have a required REA of 14.0 square inches. If the carcass REA was 18.5 inches the index adjustment calculated as follows: 17.5 Maximum REA 14.0 Required REA 18.5 Actual REA 17.5-14.0 = 3.5 sq inches x 5 = 17.5 Bonus Points REA Actual +1.0 over Maximum Allowable = -10 Points

Page 4 of 6 This equals a final REA Index adjustment of +7.5 Points **Note Bonus points are only added for the REA up to 17.5 sq inches Kidney, Pelvic and Heart Fat Adjustment The internal kidney-pelvic-heart fat index basis is 2.5%. Carcasses with a lower KPH will receive bonus points while those with a higher KPH will be penalized as shown in the following table. Internal Fat Adjustment KPH Points 0.0-1.5 2 1.6-2.0 1 2.1-2.9 0 3.0-3.4-2 3.5-3.9-4 4.0-4.4-6 4.5-4.9-8 >5.0-10 The following graph illustrates these adjustments. USDA Quality Grade To be competitive in the carcass show, a carcass must grade at least low Choice. The index system severely penalizes a carcass grading Select or lower. Bonus points are given to carcasses that grade above low Choice.

Page 5 of 6 Quality Grade Adjustment Quality Grade Points Low -80 Standard Average -80 High -80 Select Low -40 High -20 Low 0 Choice Average 35 High 35 Low 60 Prime Average 60 High 60 These adjustments are illustrated in the following graph. BED Carcass Index Examples The following table demonstrates the bonus and penalty points for various potential carcass traits using the currently defined Beef Empire Days Carcass Index System.

Page 6 of 6 Carcass Number 1 2 3 4 5 6 Carcass Measurements Hot carcass weight, lbs. 750 800 850 900 700 800 Backfat, in. 0.3 0.33 0.40 0.21 0.53 0.37 Kidney-pelvic-heart fat, % 2.5 2.5 3.0 1.5 2.5 2.0 Ribeye area, sq. in. Actual 15.5 14.4 17.0 15.2 11.0 14.7 Required 12.8 13.4 14.0 14.6 12.2 13.4 Quality grade Ch- Ch- Ch+ Pr Se- Ch- Point Adjustments Hot carcass weight 0 0 0 0-1.6 0 Backfat 0 0-1 -4-20 -1 Kidney-pelvic-heart fat 0 0-2 2 1 1 Ribeye area 13.5 5 15 3-6 6.5 Quality grade 0 0 35 60-40 0 Total adjustment 13.5 5 47 61-66.6 6.5 Index base 100 100 100 100 100 100 Index total 113.5 105 147 161 33.4 106.5 The BED Carcass Index was last updated 5/10/15.