Saturday, January 30, 2010

Wierd Weather


It looks like a wierd weather pattern again tonight. This storm is staying south of the Ohio again, like many did all last year.


I have already seen pictures of ice damage, and that can be devastating anywhere, especially in the south where it is happening.


This just makes the farmer what kind of year we are up against again this year? Will we still be in this wet pattern or will it stop before the crops are finished and be another drought year?


Agriculture and many industries are so highly dependent on the weather because the nature of our business. The local "plow boys" like snow so they can stay busy making money by pushing. You and I don't want to drive in it or shovel it.


Every good powerpoint I watched this winter showed the affect of weather on the farmer's bottom line and which is out of our control. It can easily determine half our profit for the year.


By the cycles, we are about due for another bout like 88 and 99 and 07 here.


It is really difficult to predict and recover from a downturn in income without shorting yourself if it doesn't materialize.


So, my budget looks a lot like last year with a little cushion for needed expenses or lack of income due to weather.


Ed Winkle

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