Farm manager Luke Jenkins believes in the cattle at 44 Farms. The ranch is one of the largest breeders and sellers of Angus cattle in the country. — CWN Staff photo by Coppedge

Country World News, May 27, 2010 – The “44″ brand has been around Milam County for 101 years now. S.W. McClaren acquired his first tract of Little River bottom land in 1909, and the land along with additional acres has been in the family ever since. The current owner, Robert S. McClaren, is a businessman who served for a time as president of the Houston Astros organization.

Luke Jenkins, farm manager, worked for many years as a professional groundskeeper, first for the New Orleans Saints in his native Louisiana, and later for the Astros, where he met McClaren. A few years ago, Jenkins decided to follow his roots back to production agriculture and went to work for McClaren and 44 Farms as the farm manager.

In its more recent history, 44 Farms has become one of the largest producers of Angus cattle in the country. The farm focuses on relative genetics, raising the best cattle and bulls for sale to farmers and ranchers primarily in Texas, though customers are served all over the country and, increasingly, the world.

“The main thrust here is relative genetics,” Jenkins said. “At the end of the day, when you go into a restaurant and order a steak, we want the end product to be as good as it possibly can be. That has to start somewhere, and it starts on places like this.”

McLaren, general manager James Burks, Jenkins and the rest of the 44 team have gone all over the country to buy Angus cattle that posses the kind of genetics they are looking for. The cattle are bred at 44 farms and sold primarily to Texas producers. Sales of bull semen go on year-round.

“We feel like we’re breeding the best bulls in Texas,” Jenkins said. “People buy them and put them in their herd in order to produce good tasting beef.”

The “relative genetics” that 44 Farms is looking for are identifiable genetic markers that can be measured by the animal’s appearance and performance. Of the 18 to 20 genetic markers that are currently measured, 44 Farms is interested in ease of calving, growth, maternal instincts, feed efficiency, tenderness, rib eye and marbling. Two 44 herd sires were recently ranked numbers one and two, respectively, in the Dollar Beef Index, which is used to measure the animal’s commercial potential and that of its progeny.

“We’re proud of our bulls here,” Jenkins said. “We have a couple of others that are really coming on that we think are going to be big producers for us.”

In addition to raising and selling some 3,000 cattle, 44 Farms also grows a lot of hay, from Coastal and Tifton Bermuda, and also from some native grasses. The farm recently planted about 50 acres of Texas Sue Eastern Gamma Grass. They also plant about 250 acres of corn, which is turned into silage.

Having a lot of silage on hand came in handy during the recent drought, when stock tanks went dry and producers were forced to cull their herds. 44 Farms wasn’t immune from the drought either.

“The drought affected everybody in Texas,” Jenkins said. “We were right on the edge of the worst part of it and we still had tanks that dried up. Fortunately, we had put up a lot of silage and were able to feed that until it started raining again. It’s pretty well caught us back up.”

The farm hosts a number of sales each year, including a big two-day fall sale where females are sold the first day and bulls the second. There is also a spring sale, and private treaty purchases are available year-round.

Though most of the 44 Farms customers are in the U.S., they recently sold a group of bulls that went to Mexico. Jenkins believes that other foreign markets are a possibility.

“With the technology that’s available today, there’s no reason the market couldn’t be worldwide,” he said. “You can log onto a computer in Australia and buy a cow in Cameron if you want to. We sell on the Internet and with video sales. It’s amazing how far that part of the industry has come in such a short time, but I guess that’s true in almost any business.”

Even with the changes in agriculture, Jenkins said he is glad he moved from the sometimes hectic and grueling schedule that working for a professional sports team often requires to a quieter existence for him and his family.

“One of things about working for a professional sports team is that you’re always going to be living in a big or mid-sized city or in one of its suburbs,” he said. Jenkins and his family live in College Station. “With two kids, I sometimes had to miss some birthdays and anniversaries. This was a good opportunity to live what I guess you would call a more normal life, away from the big city. It’s been a blessing for us.”

Volume 150 No. 4, February 25, 2010

Agriculture

Kyle McClaren of Cameron has been recognized nationally by the American Angus Association for having one registered Angus cow included in the report.

Only 2,220 of the nearly 30,000 American Association members are represented in this year’s report, according to Bill Bowman, chief operating officer and director of performance programs.

Houston Business Journal – Bob McClaren steered the careers of many young baseball players through the ranks during his lengthy stint as an executive and now as a consultant to the Houston Astros.

The former Astros president of business operations and current team board member and consultant says the same methodology can be applied to 44 Farms, his fast-growing business where four-legged performers are measured by a different type of quality standard.

Earlier this month, McClaren’s Houston-based Angus beef cattle breeding operation put the finishing touches on a deal to acquire rival Ankony Farms, based in Clarkesville, Georgia.

The transaction doubles the bovine assets at 44 Farms, and creates a newly merged entity dubbed 44 Ankony Farms.

The primary purpose of pursuing such a large acquisition was to place the 44 Farms brand on one specific top-quality herd owned by Ankony in North Platte, Neb.

Says McClaren: “We had always admired that herd, so we just chased it down. This business is all about setting yourself apart from the competition by the quality of your herd, and ultimately the tenderness of the meat that creates a great eating experience for consumers.”

Beef blood lines

McClaren’s family has operated 44 Farms since 1909, when it was run by his great-grandfather Sherwood McClaren.

Ankony has a similar long-standing heritage in the Angus beef business. The company founded in 1935 by New York businessman Allan Ryan, former chairman of the Royal Typewriter Co., was acquired in 1975 by Armand Hammer, founder of Los Angeles-based Occidental Petroleum Corp.

McClaren, CEO of 44 Farms, and Virgil Lovell, Ankony CEO, will serve as joint chief executives of the newly formed 44 Ankony Farms. Lovell took over Ankony from Hammer after his death in 1990.

McClaren stepped down as Astros president in 2001 after seven years in the front office to focus on 44 Farms. The ranch operation in Cameron, northeast of Austin, ran only 70 head of cattle when McClaren hit the acquisition trail in 2003.

Roping in Ankony almost doubled the 44 Farms herd size to 3,200 head of registered Angus beef and bulks up the company into a $9 million business. McClaren expects to thin his herds a bit while working through the merger.

McClaren might be talking about both in discussing his reasons for withdrawing from baseball to concentrate on beef.

“The company had its ups and downs over the years, and had started to get focused in other directions, with corn and hay crops,” he says. “I had that vision about five years ago to get back into the Angus business again.”

Jim Shirley, vice president of industry relations for the American Angus Association, says mergers involving cattle companies of this size are not the norm in an industry that focuses on creating efficiencies by decreasing herd size while maintaining existing levels of production.

The Angus brand of beef cattle is by far the dominant type of animal used for domestic beef production, with 348,000 head of breeding cattle registered in 2007.

Angus operations such as 44 Farms do not sell to meat producers. Their animals are the best of the best with proven genetic lines used strictly for breeding purposes by commercial cattle farmers who in turn sell animals for slaughter.

Breeding basic business

Shirley and McClaren agree the industry has changed dramatically in the past 30 years due to high-tech agricultural advances focusing on the breeding and reproduction of cattle.

But the basic order of business has remained the same. When the prize-winning cattle are in the mood for love, McClaren’s employees get down to work.

The company has three revenue streams: Selling bull semen for artificial insemination, arranging embryo transplants that allow other cows to give birth to top-notch specimens, and selling animals for breeding.

Top-quality females with the right ancestry can bring in as much as $800,000 apiece, while bulls can fetch as much as $100,000.

A couple of bulls in the 44 Ankony Farms fold are prominent in the 2008 industry rankings known as the Dollar Beef Index. “Ambush 28″ ranks No. 1 nationwide for proven Angus sires. “Future Direction” ranks No. 1 for young Angus sires, as well as No. 1 in marbling.

Such accolades trickle down to the commercial herd operations around the country as well, boosting prices for animals sent to slaughter that are connected to those blood-lines.

“People would be surprised, but the industry uses things like DNA testing to ensure that the offspring are top-quality animals with the ability to put on muscle and produce meat with the desired kind of (fat) marbling and the tenderness of the product,” says McClaren.

He finds similarities between his two favorite things, baseball and beef, noting young Angus cattle work on moving up from the minor leagues by staying in condition to become a star breeder one day.

Says McClaren: “You feed them, you train them, and some of them that are willing to work make it to the majors.”

Merger represents 166 years in agricultural production

Houston – 44 Farms and Ankony Farms announced today the merger of their Angus cattle operations. The new combined Angus cattle program represents a total of 166 years in agricultural production in the United States and creates an inventory of over 3,000 registered Angus cattle.

The merger provides grassroots purebred Angus operations from the Pacific coast in Terrebonne, Oregon, to the Atlantic coast in Clarkesville, GA, to a home in the heartland of America in the sand hills of North Platte, Nebraska, to the rich river bottom land of 44 Farms deep in the heart of Texas.

It is the vision and mission of 44 Ankony Farms to provide consumers around the world with the very finest eating experience through nutritious and delicious Angus beef. 44 Ankony Farms is blessed to be able to provide the highest quality Angus genetics and responsive customer service to cattle breeders throughout the United States and the world.

The genetically strong and high performing Angus herds of 44 Farms and Ankony Farms were further enhanced by the 2007 acquisition of the entire Angus herd of Bill and Barbara Rishel of North Platte, Nebraska. Their lifelong devotion to the Angus breed, teamwork and friendship have been and continue to be instrumental in the furtherance of the quality of the 44-Ankony Farms program and the Angus breed. The Rishel prefix of B/R is found in more than 1,500,000 current Angus three-generation pedigrees.

“We are very excited about the opportunities, extraordinary product quality and outstanding service that this alliance provides our customers. The knowledge, integrity and commitment to customer service that Virgil Lovell, Tom Hill and Bill and Barb Rishel possess inspires us all,” said Bob McClaren, CEO of 44 Farms.

The quality and strength of the 44 Ankony Farms Angus genetics program is evidenced by the performance of many of its cattle in the American Angus Association Fall 2008 Cattle Evaluation. The merged operations of 44 Farms and Ankony Farms includes the ownership of several sires and females that rank in the top ten in the Fall 2008 Cattle Evaluation EPD (Expected Progeny Differences) categories of the Angus breed, including:

Dollar Beef Index for Proven Angus Sires:
Ranked No. 1: B/R Ambush 28
Ranked No. 6: B/R 65R Genesis

Dollar Beef Index for Young Angus Sires:
Ranked No. 1: B/R Future Direction 4268
Ranked No. 2: B/R Destination 928-547

Marbling EPD for Proven Angus Sires:
Ranked No. 2: B/R Ambush 28
Ranked No. 5: B/R 65R Genesis

Marbling EPD for Young Angus Sires:
Ranked No. 1: B/R Future Direction 4268

Ribeye Area EPD for Young Angus Sires:
Ranked No. 5: B/R Future Direction 4268
Ranked No. 9: Three Trees Crossroads R0638

Dollar Beef Index for Proven Angus Females:
Ranked No. 7: B/R Ruby 9114
Ranked No. 10: B/R Ruby 419

Dollar Beef Index for Non-Parent Angus Females:
Ranked No. 1: B/R Ruby 7130
Ranked No. 7: B/R Blackcap Empress 6253

Marbling EPD for Non-Parent Angus Females:
Ranked No. 8: Circle A Primrose 7088

Percent IMF Measured by Ultrasound for All Angus Bull
Highest Measured Percent: IMF Summitcrest Grid Buster T096

The merged Angus programs of 44 Farms and Ankony Farms also includes the ownership of over 220 registered Angus females that record a Dollar Beef Index of $60 or more, which places those females in the top one percent (1%) of the Angus breed, and more than 274 females that score a Marbling EPD in the top two percent (2%) of the Angus breed.

“I have been in Angus business all of my life and these combined operations represent some of the finest cattle that I have ever seen. It is a credit to Bill and Barb Rishel, 44 Farms and the wonderful men and women of Ankony Farms. These proven Angus genetics can help cattle breeders around the world and provide consumers a great tasting product,” said Virgil Lovell, CEO of Ankony Farms.

With the increased number of animal units, 44-Ankony Farms will be able to further enhance its ability to gather structured carcass data through its association with Prather Ranch in California. The merger also provides opportunities for the furtherance of marketing alliances with Niman Ranch Meat Company, Oregon Country Beef, Painted Hills Beef, Superior Livestock Auctions and Western Video Market.

44-Ankony Farms welcomes cattle breeders from around the world to share in these exciting Angus genetics by attending in person, or online, one or more of the following sales:

Upcoming 44-Ankony Farms Angus Sales:

Ankony Top Cut Angus Female Sale
September 20, 2008 at 3:00PM
Terrebonne, Oregon
Open and Bred Angus Heifer Sale

The Sale at 44 Farms
October 28, 2008 at 12:30PM
Cameron, Texas
Angus Female Production Sale

The Sale at 44 Farms
October 29, 2008 at 12:30PM
Cameron, Texas
Bull and Registered/Commercial Female Sale

Ankony 2008 Female Production Sale
October 31, 2008 at Noon
Clarkesville, Georgia

Ankony Angus Bull Sale
February 18, 2009
Terrebonne, Oregon

44 Farms Spring Turn-Out Bull and Commercial Female Sale
February 27, 2009
Cameron, Texas

Bull Sale at Rishel Ranch
March 23, 2009
North Platte, Nebraska

44 Farms Angus and SimAngus Show Heifer Sale
March 28, 2009
Cameron, Texas

Those interested in acquiring semen from 44 Ankony Farms Angus herd sires can do so by calling 541-990-5479 or 979-451-2003.

The corporate headquarters for 44 Ankony Farms is in Houston, Texas, with ranch operations in Terrebonne, Oregon; Clarkesville, Georgia; North Platte, Nebraska; and Cameron, Texas. Bob McClaren and Virgil Lovell will serve as joint Chief Executive Officers , Thomas W. Hill will serve as President and Doug Slattery will be the Chief Operating Officer.

44 Farms has been in agricultural production since 1909 along the Little River of Milam County near Cameron, Texas. In its fourth generation of operation, 44 Farms was founded by Sherwood McClaren.

Ankony Farms has a rich history in the Angus business. For more than 70 years Ankony has been at the forefront of quality Angus genetics. New York businessman Allan Ryan (former Chairman of Royal Typewriter Company) founded Ankony in 1935. Ankony was acquired in 1975 by Dr. Armand Hammer, founder of Occidental Petroleum. After the death of Dr. Hammer in 1990, Dr. Hammer’s friend, Virgil Lovell, acquired Ankony. Mr. Lovell has since taken Ankony to new heights and has been a leader in providing the finest Angus genetics and customer service.

For further information, please call 713-650-9090 (Houston); 706-754-6000 (Georgia); 541-990-5479 (Oregon); or see us at 44farms.com and ankony.com.

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