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tv   U.S. Farm Report  FOX  September 19, 2010 4:00am-5:00am EDT

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to higher levels is the best indicator of how yields are turning out across much of the cornbelt. it could also be an early indicator of a fierce battle for acres next year. a powerful confidence has spread among corn farmers thanks to biotechnology that we have overcome the hurtles to farm production. after three disappointing years on our farm we decide that had there are weather conditions that can thwart even these powerful technologies. this war is not over, we shifted battle fields. al is on the war so i will cover the news. the usda says interest was high and now more than four million acres are going to the conservation program. that bris the acreage to 31.2 million-acres. the sign up in four years around 50,000 offers came friend land offers to the usda during the open period. crp pays farmers and ranchers to
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plant grasses and trees on fields, on environmental sensitive land or near streams and rivers. crp contracts planned production for up to 15 years. according to usda the average price is $46 an acre. a band was put in place earlier this year. russian officials are concerned about a chlorine in path oogenies and now it appears that russian could be self-sufficient in poultry production. the band has been lifted and some analysts contend that russia implemented the band to protect domestic production. the ceo's of top meat producers says russia was able to feel the demand without the imports. they may no longer be necessary. the u.s. beef industry expects a big return from one of
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its largest customers. u.s. da expects beef exports to south korea to increase 24% next year. the usda reports to decline among consumers as the driver. south korea is the 4th largest market for u.s. beef. the u.s. meat export federation says the new trust building campaign is help tog bolster the image of american beef in that country. crop lots are in lima ohio says that a farmer is pleased. tip back is not as bad as he expected from the heat from the filling stage in july. he started shelling on the 10th and yields appear to be above average. moisture levels range from 19 to 21%. for-free monroe county arkansas, a grower says rice harvest is
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near completion, long grain yields are down 15% but medium green is better. the texas ag life extension says rains from tropical storm her mine helped. there is hardly a farm or arm in the u.s. that doesn't rely on all terrain vehicle and now you have the chance to win a new unit for your operation. we are helping honda power sports give away an atv, we want to know what are the top 101 ways that farmers use a side by side. we'll be taking entries throughout september. we'll announce the winner later this fall. when u.s. farm report returns it is time to talk markets, bob butter back and mike norb sit down with al in
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two minutes. please stay with us. vis the new agweb.com. find it on ag web.com.
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round tro guests on u.s. farm report bob butter back and mike norb, gentlemen we have had higher prices and a lot of people thought they would have. bob, can you give us a summary. >> it was closed in violence on friday, several things, china had a frost in the northern cornbelt and quebec had a frost and just a general mania starting to kick in the market. we close at the high end range over five dollars mark on corn and beans and wheat. everything was strong across the board. >> demand market. one hundred percent in demand or are we worried about supply?
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>> yeah. >> we are moving from -- we are moving to a point where it's more fear of future demand and fear of future supply and where is that demand ration develop? that is what we will try to find out. >> is that what you were going to say mike? >> i would say we are still effectively in a supply market per se because if we want to try to ultimately give this any sort after fundamental flavor, the conversation drifts back to yield. it's not about what the demand is out there, certainly that will help fill in the cracks of the conversation but the heart and soul of the fundamental conversation always seems to come back to yield and what that yield will be. and you know i think we are in that kind of an environment where bob says we are shifting away from a bit of a supply type of a rally to a place where it's absolute panic. we have had end users across the
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table, all across the board that have been waiting for fall set back. >> it hasn't happened. >> no. >> unwetted you are an importer of grain or feed like, an ethanol plant, you have been waiting for that break so that you can start breaking out ahead. it hasn't come, but now that we have bust through that five dollar threshold, will they start coming to the market in fear of the potential numbers that are out there, i hate to name them because there's so many high ones that are being talked about but essentially will that fear make them bid for grain that they really didn't want to buy. >> contributing to that, china brought some corn. >> and working with some of my fundamentalists, we are on the track with this august weather and hot temperatures at night, it has only happened four times since 19 80s and when it did
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occur the crop got smaller into january. i now believe that we'll see 160 in the october report and i fear 158 by the january report. that is extreme dangerous number in august and i got neutral, are we in a short crop, long tail? could we have a high in here by december? everybody is prepared for next july and doesn't show up, these are difficult times for the market. >> you can dream about the high prices there. let's talk about corn and tell what a producer should do, some of the guys are selling early, i thought maybe three-and-a-half or close to four dollars. they got some sold. should they sell anymore? what should they be doing? if they haven't harvested. >> there is no perfect answer but if you break it down and look at where we are at right now, we are looking at a small
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carry out into next spring. >> or none. >> looking at wide bases and we have a front price in the market that have gone to north of five dollars. >> yes. >> and offering some really, really good flat price opportunities. my advice at this point is to capitalize on what has been taking place in the futures market and getting some of that priced, if you are nervous that you have jumped in too early, look at calls but what you will find is if you are holding grain in the bin right now, you are taking a heck of a risk letting that just sit there. >> a couple other things. for the december cash sales it could go positive, if you going to store it for basis narrowing, it will widen. you need to, if we get any moon back on that carry, you need to roll the december hedges
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forward. that's the first thing. as to reownership, i would not buy back my cash contract because i know i have had calls, i think you need to put on sell now and put fifty or sixty cents below the market but buying below the board is too hard. but the big story is september of next year it will be touching five dollars and premium for july of 2012. >> six dollars for corn sometime in the next six years, we'll be back with u.s. farm report in
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just a moment. gutter back marketing and we are talking about the corn and high prices and that sort of thing. a couple of things i want to get to. i guess the first thing let's talk about beans, a month ago we were saying sell the beans and store the corns or vice versa but now selling the beans off of
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the market is a better deal. >> if you are making that decision simply on flat price, yes, but like we talked about earlier, that becomes a real tough decision when you start looking at the carry in the market and where this basis could go if in fact we are off to some elevated price. the reason the beans have gone -- if you want to look at next year's crop competition standpoint, the beans are running around, we are just right now at a two to one price ratio with beans over corn. >> any day is not that bay, is it? and here we are. beans are just ultimately riding the coat tail of corn. so does a guy wait with beans? i don't think so. >> i would say right now from a carry, the reason you put corn
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in the bin is for storage and for carry. there's none to justify and a lot of elevators are filled up with wheat. if you want to put corn in commercial storage facility, will pay a premium, i would take that pree yum for the storage and sell your cash beans and buy a very limited risk strategy to have that buck-and-a-half to two dollar gain july contract, if it develops you got the call but the risk is both corn and beans as we get the front end pumped and everybody will be storing it waiting for neck summer's weather event, if it shows up it will be wild and you have to have the call in place. a couple years ago our agriculture markets had an experience and we talked about the funds and the amount of money that can come in and cause things to go. mike, you told me something what happened yesterday, a lot of money come in from the swiss.
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>> yeah, there was talk this morning that or friday morning that there was a large investment by credit swiss into the overnight markets to the tune of one billion dollars and there's no -- you know, obviously that is what helped corn breakthrough five dollars, nobody can with absolute certainty validate the claims until later on after reporting but that was going around in the market. that is the type of environment that really could help send this thing off to the races. >> and when that happens, if it happens and what level we don't know, as we talk about this today, but that also stimulated other companies that do the same thing that can send us on that spiral which is unrelated supply, demand where we started this meeting, right? >> and it's important for the edgers to get excited, taking advantage of this, you do not
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want to sell 2011 corn, talking may and july contracts go to a big premium to 2011 and thinking we will take advantage of that inversion, don't sell the hedges in july because what could happen is the old crop could stay firm and spread actually widens for next summer, keep the hedges in the contract year that you will deliver and be very cautious about that but september, 2011 is getting close to five dollars and by -- if it goes to carry over a 12 month time period you could be talking july 2012 over 530 corn. >> it seems like we are talking about a sig where before the end of of the year about a guy that could sell his 2011 and 2012 crop at a profit before he thinks about it. >> provided that the -- inputs don't get out of hand because that is another story we can pick up on this later but a lot of companies have been pulling the offers for next year's fertilizer off of the table waiting to see what the grain
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prices will do. so if we start seeing more that have, you get really nervous as a producer going out there and making firm commitments at a time when you don't know what your cost structure will look like. >> that comes from management with a producer that you will do that, you need to look at your inputs and need to see if you can get some locked in ahead of time. >> a lot of guys got some fertilizer for 2011 and the exposure is 2012. cash represents are up and that's the problem, and this goes back to the may and july of '08, i could remember everybody wanted to sell fine corn and couldn't do it because of costs. it is the same structure.
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in just a moment. welcome back to u.s. farm report. i'm mike hoffman, the drought
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monitor has improved for the northwest portions of the great lakes. still dry in that area as far as long term drought is concerned. starting to see some pockets in the western plains and we continue to see a bad area in northern portions of louisiana and parts of arkansas and that is starting to go to the ohio river valley and the southern portions of georgia and southeast alabama continues to be pretty dry along the eastern seaboard especially the mid-atlantic although that's typical. jet stream to monday, there's very chilly to cold air across much of canada and hot and humid in the southern parts of this country. as long the jet stream remains zonal like it will be we won't see any big intrusion of cold air into this country. we'll have cool air masses coming southward in the northern states but all in all that does not look that cold. there are signs that maybe down the road we will see the jet
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stream dip in the plains in the northeast, more than a week away though before that would probably happen according to the models right now. let's go day by day, on monday as we head through the ladder portions of september into fall obviously, official fall does arrive this week, you can see showers up across the northern plain states back into the portions of the central rockies just hit-and-miss showers and thunderstorms in the muggy air to the front and lit continue to be muggy. by wednesday we will see everything quickly shifting quickly northeast and you can see the warm front in new england and cold front dips and stalls out across the central plains and showers and thunderstorms and next system coming in out west as we head towards friday and we will see the warm air coming back in the plain states and rain ahead of the warm front and rainshowers back to the west and hit and miss thundershowers and the warm air to the east of the cold front. and we will check the forecast in the next half hour.
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>> a couple key advantages of the tracker is the power management. we get a power turning radius of 16 feet because of the longer wheel base and no steering stops and a tight turning annual and it has better fuel efficentsy it has better fuel efficentsy because cy because
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it was more surreal than anything. you're under fire. you're getting blown up. there's definitely adrenaline. there was the explosion, and i remember just opening my eyes, and it got both of my legs. i had surgery after surgery, you know, i was on a lot of pain medicine. "what's going to happen next? and how long am i going to be here?" the wounded warrior project dropped off a backpack for me. and it had everything in there that i could possibly have needed at that time. peer visitors, people who have been where i had been before, said, "look, brother, "everything's going to be okay. "three months from now, or four months "from now, a year from now, you'll be fine." that type of thing was an invaluable service. to be honest, i don't know if i would be as well adjusted as i am now if it wasn't for them. to learn more, call... or visit woundedwarriorproject.org.
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works together. >> i accidentally watch add political commercial for a u.s. house candidate. like many ads it was a barrage of negative words tested for the opponent. to my surprise the announcer detailed with contemptuous tones how the opponent's support for free trade was costing american jobs, the jobs were probably in another congressional district. at a time when both people are
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talking down free trade is counterproductive. it would appear free trade is only a good thing when it flows in our favor. why we think trading partners would go along with that mystifies me but it plays well in political polls. agriculture jury is a participant thin idea of one way free trade, our sugar program is a stark example,mos ag advocates don't want to take it on to trade in further commodities. there is a great deal of talk about american conceptism. we do have a leadership role in global affairs, we should be an exception to trade rules other nations must follow. please let us know. send e-mails to u.s. farm report or call and leave us a voice mail. coming up a retired soldier finds a new way to serve his country. stay with us, the second half of
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u.s. farm report is coming right
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up. today on u.s. farm report, what is in a name? corn processers try to rebrand a confusing product. what is the tracker pull sounded like a gulf tornment and the oil is out of sight but customers are weary of seafood from the gulf. u.s. farm report brought to you by chevy and their award winning cars trucks and crossovers and by yamaha, nobody is more in tuned with motorsports than yamaha. hello and welcome to u.s. farm report. i'm john pipps, a few week ago i read themos popular name for baby girls was isabella, odd naming children after a spanish queen in the 1400s, somebody clued me in about the twilight vampire series but just like the slew of jasons and heathers in
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my son's generation, names are subject to fads and as we'll learn shortly an unfortunate name can be a problem for a long time. the nickname stinky stuck to my father's friend for 80 plus years so be careful in that moment when the question is posed. what lu call it. al is on the road so i will handle the headlines. an ingredient is seeking a name change. corn syrup may be changed to something else and it may be corn sugar. high fox toes corn syrup has been taking a beating. some link it to obesity, some say it is no different than
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beats or cane. it may take top two years. switching of new names is not new. prunes was changed to dried plums. the ag industry weighs on large heavy machinery. at the show in iowa there was a new powered tracker, the nh2 is a working prototype, new holland says this machine can operate virtually silently with zero emissions other than heat and water vapor. the company replaced the engine with hydrogen fuel cells to generate electricities. >> compared to a diesel engine you can imagine the amount of soot you are not putting in the atmosphere even with clean engine standard this is emissionless and quiet, you can hear other systems working but in terms of when you are using it, it is quiet operating
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tractor. >> with the way technology changes so quickly, he thinks it may be available in ten years. the oil is no longer leaking into the gulf, problems continue for louisiana seafood industry. sceptical consumers are unsure about the safety of crab and crawl fish. in this report in the ag center, toby plannardvises a processers that says the public perception is hurting his business. crabs are on the dock of upon a train blues, the processing facility on the chores of lake upon a train. owner gary bower was determined to stay open to keep his customers supplied and his labor working. >> if i close my doors those people would leave and when they reopen the waters i wouldn't have anybody available to do the processing. a lot of motivation to keep the doors opened. >> some waters that were closed because of the oil spill have
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recently reopened for commercial crabbing but not before bower purchased crabs from north carolina to keep his business afloat. it cut into his profits. >> it kept us threading water. >> the scenario is playing out at docks across the region. some have not been as lucky because of lack of product. bower says his business is down seven to 80% from what is normal. recovery money is yet to put a dent in damages. >> thus far the claims for the docks and prossers have been woefully less than the actual losses. with additional waters opened more seafood is available but processors and fishermen are up the negative perception of seafood from the gulf coast. rigorous testing has shown that the oil spill has had little effect on seafood. >> in the samples in open and closed waters they have not found any contaminants.
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the reason wipe the waters were closed, they were closed as precaution. >> local crabs are starting to come in at upon a train blues and despite the challenges that the oil spill caused bower remains optimistic. >> i'm going to come out of this like we came out of katrina. >> this is toby blandard reporting. time now for the national forecast from meteorologist mike huffman. the jet stream is moving systems from west to east across the country rapidly i don't see any major changes in that jet stream, little ripples moving from west to east but no major troughs coming in to really bring the cold air. it is bottled up in canada and that is something we will be watching, the warm air continues to be bottled up south. so each one of the ripples will have rain, you can see by the
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middle of the week that's the great lakes and in new england showers and stalls out which means you will stay muggy to the south and cool air in the northern plains and more showers with the next system coming in from the west so as we head towards friday we might see a little bit of a trough trying to develop out west but i don't see that bringing the cold air far south, it will be cool in the northwest. rain showers east of there then across montana, much to the dakota into the western plain states and a warm front in the great lakes and mid-atlantic and that will continue to push eastward now following next week, i do see some possibilities for a big trough to develop into the plain states in the northeast but that's down the road and we'll be checking that next week at this time. here is the next week's temperature, below normal for the states along the canada border, we don't know how far south or whether the cold air will go south from the ohio river south we will go above
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normal temperature-wise to the four-corner region below normal out west. as we go to october precipitation for that next week below normal in the southern states and probably above normal for the northeast plains and the great lakes and part of the northeast and the far pacific northwest. let's check out the 30 day outlook. it will go above normal for much of the country. near normal up above the canadian border and northern california and checking out precipitation over the next 30 days near normal for most of the cornbelt and above normal in the northwestern plains and the southeast. a lot will be tropical moisture. john. the ultimate farm quest series is brought to you by case i h the world of farming us changing, to learn more visit case ih.com/be read. every producer knows to be successful you need to work as much in the office as the feel. when you include the hours on
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marketing and accounting and payroll the time can add up and that's why it is important have you the necessary tools for the business side. in today's ultimate farm quest we hear from nancy rough. doug and nancy rough are progressive farm painters in striker, ohio, they use marketing strategy and technology and teamwork to attain the ongoing success of their farming enterprise. doug farms full time now. but for 30 years he taught business, accounting and finance at the local high school and commune college. nancy was a teacher and she manages the finances, with the help of farm journals experts, nancy is trying to improve that aspect. she is looking for the right kind of computer software to help manage the bookkeeping. i know there's a local college that offers a course so i'm thinking about enrolling in that and kind of getting my feet wet because i could probably figure it out on my own but so much easier if someone will lead
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you through it. i handwrite all of the checks and i must be everything into the computer, to have that all done automatically when i get my setup, i think lit help. i spend a lot of hours. by the time i pay the bills and dot payroll and the quarterly report and the end report and the information for taxes i put a large amount of time in. sitting right here in the office, so once i learn the system doug and i will benefit. you can learn more at ultimate farm quest.com. when we come back, a retired soldier does his part to honor fallen comrades. spirit of the heart land is
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next. every day across the nation fallen soldiers are laid to rest in precise detail military funerals pay tribute to the men and women that died for their country. we head to oklahoma to meet a man that plays paps. >> it gives more dignity. >> the funerals and memorials, they run together for jay required son but for each one the preparation is the same, his dress boots dressed and everything shines. >> the emotions can run different. >> he spends much of his time
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among the tomb stones of the fallen, part of a unique army of musicians that normally play one soul. >> a lot of people call it the haunting 24 notes of taps. >> jay played the bugle in the band and put it away but at his father's funeral he wished he hadn't. the honor guard played taps on a scratched old record and jay thought his daddy served better so he picked up his horn again and started to play. >> a live ballgameler is better. >> to honor his father, he started to play taps at as many
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memorial services as possible. >> for a trumpet player or bugeler, play with the emotions, the hardest 24 notes ever played. there is no single piece of music that inspires each emotion, jay works hard for each note to properly memorialize the sacrifice and the heroism for those that gave everything for their country and that didn't come home. taps is their song and every soldier's song and his too. gailen carver reporting for the u.s. farm report. to learn more head online to bugles across american.org. when we come back, backser black presents the duck olympics,
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please stay with us.
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>> ever heard of the duck and run olympics. baxter black has, he joins us now with the story. when the crew came toward the cookout, hazel shut and locked the door. don't you even think about it. looks like youall have been in a war. hazel was not that far off track, they had been working there pasture cattle and those critters could fight back. all of the grass they were eating lubricated their insides and they were loose and when squeezed in a corner they could
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aim their guns at will and bombard that crew of cowboys with recycled chlorophyll. it is only grass and water but i'm here to tell you their performance on that day was a duck and run olympics, a projectile superbowl, a team of touch boys couldn't find the hole. willie got hit when caught a big one by surprise with one long blast turned him into split pea soup with eyes. big sam looked like a seaweed when his beard took several shots and pedro's hat got covered. broadside covered from range went down the shirt, matched him
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squirt for squirt and dripping off of their clothes and in their eyes and ears and probably up their nose and not a cowboy went untainted and not a dog escaped the muck and not a sand or stick or whip or shoot was immune to their propellant. they looked like works of art. little guacamole statuettes or could you pies a la carte. sam was looking at o'mally. is that what they where when a cowboy celebrates the wearing of the green? i don't think so said o'mally but when cowboys eat grass i will be reminded of the phrase "this too shall past" this is backser black from out there. next week, baxter tells us how to rope calf, check out
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his work at baxterblack.com. please stay with us, we'll be
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right back. tracker sales this week takes us to georgia to check out a tractor. well, i grew up on the farm and i thought when the tracker came out i thought it was the best thing for a farmer and we had the trackers coming up. later years i bought the "g" and i used to fly the back of it and daddy had two. you can take your foot and uncover it. >> why did you get this one and where duet it. >> i went to carrollton georgia to pick it up, i always wanted one and i just got it and restored it. it didn't look like that when i got it. [ laughter ] >> the trackers are getting
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pretty scarce. manufactured in alabama and they burn gasoline and pretty common when we used them because they replaced others. people would go to trackers instead of mules. today's first country salute goes to the hanover united methodist church in hanover illinois, located in the hills of northwest illinois known as the mallard capital because of the world largest mallard hatchery. 125 years of service. during that time served by 86 passers and the current home was dedicated in 1892, our thanks to les palmer. the st. john luther ran church in sherwood ohio was organized by german immigrants in 1859, had three church homes and at one time stood side by side and the present building erected in
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1965 and provided a parochial school until 1941. our thanks to ann hanna. we want to learn about your home church. salutes can be sent to the on address on the screen.
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stay with us we'll be right back. closed captioning is brought to you by optimum brand innovations from pioneer hi bred. science with service. delivering success. time now for a look inside of the old farm report mail bag, i have remarked how i think bioterrorism fears are overinflated and lionel stevens took exception. if an undergraduate student would to find a weakness and exploit a weakness to a common insect he could create a crop
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failure in both corn and soybeans, on the surface i will grant your theory sounds possible but let's break it down. you need a pretty savvy graduate student with a power terrorist tendency, that's my first o most terrorists are poorly educated and anti scientific fundamentalists and next the soybean terrorist would have to find a weakness in the genetics and a current expression for some kind of insect advantage, the possibility of either is minute and the possible of bothing both is infinitesimal and this variety would have to go undetected during years of field trials, if you want to get the things mantid million of acres it can't be done in a backyard lab and sold by mail. finally you have to get that particular variety sold to a brunch of farmers good luck with that one. at most only one variety from one company would be affected the threat you described may be possible but i rank it with the
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getting hit by a giant asteroid. as always we want to hear from you. send comments to input u.s. farm report or leave us a voice mail at (800)792-4329. for al and mike, we are saying good night and be sure to join us next week. we'll be working to do even better. working [ voices on television ] [ ringing continues ] [ laughter on television ]
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man on tv: no problem, no problem. woman on tv: are you okay? man on tv: look, ma, no skis! announcer: falls on tv can be entertaining. falling at home can be devastating. each year, 1 in 3 americans over 65 falls in their own home, breaking bones and shattering lives. for older people, any broken bone can be serious. a broken hip -- potentially lethal. to make your home as fall-safe and bone-friendly as it can be, visit orthoinfo.org/falls. a public service message from the american academy of orthopaedic surgeons, where staying on your feet is "doctor's orders."

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