End of CWB

[Fransisco]

The old Board was never a "Bull" not even on its best day. It was more along the lines of pampered poodle.

[jdepape]

Those within the CWB seem to think they can keep doing the same old things and get different results.

Same old thing = same old results.

We've tried something a bit different. We started a pricing program where we execute futures hedges throughout the year - incrementally on behalf of all our clients combined. Everyone in the program gets the same hedge. In a way, you could say its like a pool. Only much better.

And then we give guidance to our customers on basis. We don't tell them what to do, but if the market is paying them to store and they want to sell and ship, we tell them how much revenue they will be giving up. If they stay on course with our program, we pick up these gains for storing. And we will suggest when to pull the trigger on basis too.

With this simple little program we beat the latest CWB winter pool PRO by $52/t and the spring pool PRO by $60/t.

Go figure.

[jdepape]

I guess I should also say that our futures results were about 35 cents/bu above the average daily futures close over the year. And, our basis recommendation was about 56 cents above the average basis for the year.

Our net price on spring wheat last year was about 3% ABOVE the HIGHEST STREET PRICE seen all year.

No speculation, just sound grain merchandising.

If the CWB doesn't improve its results - and based on ours, it can be done - then I wonder how long it will last.