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		 Printable Version                                                                                         $Value Search


Angus $Values

The use of multi-trait selection indexes as tools for commercial cow-calf operators and seedstock breeders is rapidly evolving in the beef industry. Selection indexes are a tool to select for several traits at once. An index approach takes into account genetic and economic values to select for economic merit. A multi-trait index approach can be contrasted to single-trait selection or independent culling levels. An index is challenging to develop, but the end result is easy to use, adding simplicity and convenience of a multi-trait approach.

The Expected Progeny Differences (EPDs) currently available through the American Angus Association, along with numerous individual performance measures, can become overwhelming. Weaned Calf Value ($W), Feedlot Value ($F), Grid Value ($G) and Beef Value ($B) are bioeconomic values, expressed in dollars per head, to assist commercial beef producers by adding simplicity to genetic selection decisions. Also, a Cow Energy Value ($EN) is available for fine-tuning the cow herd.

$Values encompass the revenue generated from genetically derived outputs and associated costs (expenses) from required inputs. $Values only have meaning when used in comparing the relative merit or ranking of two individuals. Each sire listed in this report is comparable to every other sire. The $Values are sensitive to the assumptions for the industry-relevant components used in calculating the indexes. As with EPDs, variation in $Values between animals indicates expected differences in the relative value of progeny if random mating is assumed. Thus, a $Value has meaning only when used in comparison to the $Value of another animal. Also, averages and percentile breakdowns are provided for $Values as reference points for the Angus database. A $Value of 0 does not correlate to the lowest ranking or to an average animal.

$VALUES ($Weaned Calf and Cow $Energy)

Weaned Calf Value ($W)       $Value article         $W Questions

Weaned Calf $Value ($W) quantifies four primary economic impact areas:

  1. Birth Weight - birth weight influences on calf death losses related to dystocia, weaned calf crop percentage, and resulting revenue per cow.
  2. Weaning Weight - direct growth impact on weaning weight revenue (pre-weaning growth and pounds of calf sold) and energy requirements and related costs to necessary to support pre-weaning calf growth.
  3. Maternal Milk - revenue from calf pre-weaning growth and pounds of calf sold as influenced by varying cow milk levels, and costs related to lactation energy requirements.
  4. Mature Cow Size - expense adjustments are made for maintenance energy as related to differing mature cow size, including mathematical linkages between mature weight and yearling weight.
The impact areas are combined into a bio-economic value expressed in dollars per head assigned to Angus genetics from birth through weaning. Resources used to form the Wean Calf Value ($W) include National Research Council (NRC), US Meat and Animal Research Center (USMARC), Cattle-Fax, SPA and university cow-calf budgets, and the American Angus Association performance database.

$Values only have meaning when used in comparing the relative merit or ranking of two individuals. $W provides the expected dollar-per-head difference in future progeny preweaning performance in a multi-trait fashion, within a typical U.S. beef cowherd. If Bull A has a $W of +25.00 and Bull B has a $W of +15.00, and these sires were randomly mated to a comparable set of females and the calves were exposed to the same environment, and a normal number of replacement females were saved from both sires, on average you could expect Bull A's progeny to have a +10.00 per head advantage in pre-weaning value over Bull B's progeny (25.00 - 15.00 = +10.00 per head). As with any $Value, $W only has meaning when used in comparing the relative merit or ranking of two individuals.

As with other $Values, the Weaned Calf Value includes assumptions, as listed below:

    Base Calf Price $180 per cwt
    Cow/Heifer Mix 80%/20%
    Cow Weight 1300 lb
    Feed energy cost  $.115 per MCal NEm

Cow Energy Value ($EN)

A Cow Energy Value ($EN) is available to assess differences in cow energy requirements, expressed in dollars per cow per year, as an expected dollar savings difference in future daughters of sires. A larger value is more favorable when comparing two animals (more dollars saved on feed energy expenses). Components for computing the cow $EN savings difference include lactation energy requirements and energy costs associated with differences in mature cow size.
 

In the above example, the expected difference in cow energy savings per cow per year for future daughters of the two animals is +11.07 (15.75 - 4.68 = +11.07).

$VALUES ($Feedlot, $Grid, and $Beef)

  • Feedlot Value ($F), Grid Value ($G), and Beef Value ($B) are postweaning bio-economic $Values, expressed in dollars per head, to assist commercial beef producers by adding simplicity to genetic selection decisions. The $Values were developed primarily to serve as selection tools for commercial bull buyers.  
  • $Values are reported in $/head, as illustrated below:
      
      $F $G $B
    Example +22.85 +19.33 +37.12
Although feedlot and carcass merit are important components of the beef production chain, it should be stressed to producers that the $Values ($F, $G, $B) are not to be used as a single selection criterion, since the indexes only encompass postweaning and carcass performance.

$Values have meaning when used in comparing the relative merit or ranking of two individuals. Each sire listed in this report is comparable to every other sire. For example, Bull 1 has a $B value of +26.00, and Bull 2 has a $B value of +16.00. If these bulls were randomly mated to a comparable set of females and the calves were exposed to the same environment, on the average you would expect Bull 1's progeny to have a $10-per-head advantage in postweaning performance and carcass merit over Bull 2's progeny
(+26 - +16 = +10 per head).

$Feedlot, $Grid, and $Beef Values incorporate available carcass EPDs, converted into economic terms, incorporating industry-relevant components for feedlot performance and carcass merit. These base components used to calculate $Values for any registered animal are:

Feedlot assumptions:
Time on feed160 Days
Ration cost$295 per dry ton
Fed market$130 per cwt. live

Grid assumptions:
Quality components:
Prime premium (above Choice)  $14.00
CAB premium (above Choice)  $4.00
Choice-Select spread$10.00
Standard discount$-22.00

Yield components:
YG 1 premium $4.50
YG 2 premium$2.25
YG 3 base$0.00
YG 4 & 5 discount$-18.00
Avg. carcass wt., lb.816
Heavyweight discount$-20.00

Feedlot Value ($F)

Feedlot Value ($F), an index value expressed in dollars per head, is the expected average difference in future progeny performance for postweaning merit compared to progeny of other sires. $F incorporates weaning weight (WW) and yearling weight (YW) EPD along with feed intake data, genomic information and trait interrelationships. Typical feedlot gain value and cost differences are accounted for in the final calculations, along with a standard set of industry values for days on feed, ration costs and cash cattle price.

Grid Value ($G)

Grid Value ($G), an index value expressed in dollars per head, is the expected average difference in future progeny performance for carcass grid merit compared to progeny of other sires. The $G combines quality grade and yield grade attributes, and is calculated for animals with carcass EPDs. A three-year rolling average is used to establish typical industry economic values for quality grade and yield grade schedules. Quality grade premiums are specified for Prime, CAB and Choice carcasses, as well as Select and Standard discounts. Yield grade premiums are incorporated for YG 1 and YG 2 (high-yielding carcasses), with discounts for YG 4 and YG 5 (low red meat yields). Grid impact in dollars per hundredweight (cwt.) and dollars per head is calculated from the yield and quality grade components, and then combined to arrive at the $G.

  • Quality Grade ($QG) $QG represents the quality grade segment of the economic advantage found in $G. $QG is intended for the specialized user wanting to place more emphasis on improving quality grade. The carcass marbling (Marb) EPD contributes to $QG.

  • Yield Grade ($YG) $YG represents the yield grade segment of the economic advantage found in $G. $YG is intended for the specialized user wanting to place more emphasis on red meat yield. It provides a multi-trait approach to encompass ribeye, fat thickness and weight into an economic value for red meat yield.
$G combines both $QG and $YG, and may be the best carcass decision tool for focusing on quality and red meat yield simultaneously.

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Beef Value ($B)

Beef Value ($B) facilitates what almost every beef breeder is already seeking - simultaneous multi-trait genetic selection for feedlot and carcass merit, based on dollars and cents. $B represents the expected average dollar-per-head difference in the progeny postweaning performance and carcass value compared to progeny of other sires. The $B value is comprised of two pieces: $F and $G. To align $B with marketplace realities and appropriately value carcass weight in Angus cattle, the following factors are incorporated into the final calculations for $B.

$B is not simply the sum of $F and $G.

Projected carcass weight and its value are calculated, along with production cost differences.

$B takes into consideration any discount for heavyweight carcasses.

Final adjustments are made to prevent double-counting weight between feedlot and carcass segments.

The resulting $B value is not designed to be driven by one factor, such as quality, red meat yield or weight. Instead, it is a dynamic result of the application of commercial market values to Angus genetics for both feedlot and carcass merit.

Availability of $Values

                      $Value Search  
  • $Values on individual animals may be viewed at on individual animals may be viewed at www.angus.org. Members and affiliates can also access $Values through AAA Login.
  • An interactive application for Custom $Values ($W, $F, $G, $B) is available for members and affiliates through AAA Login. Users can customize the economic components to create tailored within-herd $Values for their given scenario. The Custom $Values are designed for within-herd use in assisting commercial bull buyers producing to a specified market.
Questions on American Angus Association performance programs can be directed to ahir@angus.org or 816-383-5100 Skip Navigation Links.

American Angus Association® 3201 Frederick Ave. St. Joseph, MO 64506
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