Weekend News Roundup - August 2

WEBINAR ON DROUGHT MANAGEMENT FOR RANCHERS PLANNED FOR THURSDAY

A Nebraska Extension webinar scheduled for Thursday at noon will focus on the financial impact of drought on ranchers and discuss available tools to help guide decision-making.

Drought: Financial Implications of Possible Decisions will look at drought conditions in the state so far this year and detail how research, financial modeling and tools that project financial outcomes can help ranchers make decisions while adjusting to the problems.

The webinar is part of an ongoing weekly series, produced every Thursday at noon, by the extension Farm and Ranch Management Team in the Department of Agricultural Economics. It will be held live on Zoom for approximately one hour, including time for questions from participants.

Registration is free and can be completed at farm.unl.edu.



The Cattle Industry Update You Have Been Waiting For
When: Tuesday, August 4th
Time: 7:00pm cdt
Where: Zoom

Join us for a Market Update, DC Update and NCBA Summer meeting update!!
  - Jeff Stolle, Nebraska Cattlemen VP of Marketing will be giving a market update.
  - NCBA is hosting the Summer Business Meeting this week and we will be sharing an update on issues that were discussed at committee meetings.
  - COVID-19 has added a twist to DC. Listen to an update on what we know about happenings in DC.
  - USDA released the results of their investigation into market reactions following the Holcomb plant fire last August and into COVID-19. We have reviewed the report and have a report to give.

Register at www.nebraskacattlemen.org. 



Northeast NE Cattlemen Steak Fry
August 9 @ 6:00 pm - 10:00 pm   
Venue - Wayne Co Fairgrounds, Wayne, NE    



Platte Valley Cattlemen Outlook Meeting
August 17 @ 6:00 pm - 9:00 pm   
6pm social
7pm meal and meeting
Venue - The Barn, Clarkson, NE    



NIC Hand Sanitizer Production Pauses After 200K Gallons

After manufacturing and donating more than 200,000 gallons of hand sanitizer at Nebraska Innovation Campus, production and distribution will cease on July 31.

This will be the final date for external entities to place or pick up any orders at NIC. All college or department orders will remain available through UNL Marketplace, as there is inventory reserved for use at Nebraska.

The university set up the temporary production just over four months ago to assist the state's medical, educational and business communities during the COVID-19 pandemic.

The project was first conceived by Hunter Flodman, associate professor of practice of chemical and biomolecular engineering, and Jan tenBensel of the Nebraska Ethanol Board. The Food Processing Center was chosen as the production site, which required registration with the FDA as an over-the-counter drug production facility. Flodman went to work around the clock to get the temporary plant set up.

"Beginning in mid-March, we knew there was a large demand for hand sanitizer (due to the pandemic) that the supply chain couldn't fulfill," Flodman said. "We also knew the State of Nebraska had the resources to produce large quantities of hand sanitizer because of our large ethanol industry. We wanted to help and so we brought those private and state agencies together with the university to accomplish the task."

"At the time, I thought if we produced 10,000 gallons, that would be significant," Terry Howell, executive director of the Food Processing Center, said. "Our production staff has been extremely dedicated to the project. And one of the great things that happened throughout all of this, has been engaging and building relationships with groups that we normally wouldn't have interacted with and discovering their many talents. That's a win in of itself."

To date, the plant has distributed over 1,100 individual web orders for hand sanitizer, impacting nearly every county in Nebraska. Recipients include K-12 school districts, hospitals, medical providers, community organizations, essential businesses and the University of Nebraska campuses.



2019 NE FARM PRODUCTION EXPENDITURES DOWN 13%

Farm and ranch production expenditures for Nebraska totaled $21.1 billion in 2019, down 13% from a year earlier, according to USDA's National Agricultural Statistics Service. Livestock expenses, the largest expenditure category, at $5.61 billion, decreased 31% from 2018. Rent, the next largest total expense category at $2.48 billion, increased 2% from 2018. Feed, the third largest expense category, at $2.45 billion, decreased 21% from 2018. Livestock expenses accounted for 27% of Nebraska's total production expenditures. Rent accounted for 12, feed 12, and farm services 9%.

The total expenditures per farm or ranch in Nebraska averaged $460,832 in 2019, down 13 percent from 2018. The Livestock expense category was the leading expenditure, at $122,757 per operation, 5.8 times the national average. Rent expenditures, at $54,267 per operation, were 3.7 times the national average. The average feed expenditure, at $53,611, was 1.8 times the national average. Farm services expenditures per operation, at $40,044, were 1.9 times the national average.

These results are based on data from Nebraska farmers and ranchers who participated in the Agricultural Resource Management Study conducted by USDA's National Agricultural Statistics Service. Producers were contacted in January through April to collect 2019 farm and ranch expenses.



IOWA FARM PRODUCTION EXPENDITURES UP $5B

Iowa farm production expenditures totaled $30.4 billion in 2019, according to the USDA, National Agricultural Statistics Service – Farm Production Expenditures 2019 Summary report. This was $5.06 billion more than the 2018 total expenditures.

Feed expense, which increased 62% to $6.92 billion, represented the largest single production expense in Iowa in 2019, accounting for 23% of the total.  Livestock, Poultry, and Related purchases, which increased 22% to $4.94 billion, was the second largest expense, and accounted for 16% of total expenditures. Rent expense increased 4% to $3.85 billion, and accounted for 13% of the total.

The largest percentage increases from last year were for Farm Improvements and Construction (up 125%), Feed (up 62%), Trucks and Autos (up 55%), and Other Farm Machinery (up 50%). The largest percentage decreases from last year were for Interest (down 10%), Fuels (down 8%), and Taxes (down 2%).



2019 United States Total Farm Production Expenditure Highlights

Farm production expenditures in the United States are estimated at $357.8 billion for 2019, up from $354.0 billion in 2018. The 2019 total farm production expenditures are up 1.1 percent compared with 2018 total farm production expenditures. For the 17 line items, nine showed an increase from previous year, while seven showed a decrease, and one remained the same.

The four largest expenditures at the United States level total $179.8 billion and account for 50.3 percent of total expenditures in 2019. These include feed, 16.6 percent, farm services, 12.0 percent, livestock, poultry, and related expenses, 12.0 percent, and labor, 9.7 percent.

In 2019, the United States total farm expenditure average per farm is $177,564, up 1.4 percent from $175,169 in 2018. On average, United States farm operations spent $29,478 on feed, $21,240 on livestock, poultry, and related expenses, $21,240 on farm services, and $17,270 on labor. For 2018, United States farms spent an average of $26,622 on feed, $21,822 on farm services, $22,911 on livestock, poultry, and related expenses, and $16,775 on labor.

Total fuel expense is $12.3 billion. Diesel, the largest sub component, is $7.9 billion, accounting for 64.2 percent. Diesel expenditures are down 2.5 percent from the previous year. Gasoline is $2.2 billion, up 5.2 percent. LP gas is $1.5 billion, up 2.8 percent. Other fuel is $710 million, up 7.6 percent.

The United States economic sales class contributing most to the 2019 United States total expenditures is the $1,000,000 - $4,999,999 class, with expenses of $113.7 billion, 31.8 percent of the United States total, up 0.3 percent from the 2018 level of $113.3 billion. The next highest is the $5,000,000 and over class with $97.9 billion, up from $92.5 billion in 2018.

In 2019, crop farms expenditures decreased to $181.6 billion, down 0.1 percent, while livestock farms expenditures increased to $176.2 billion, up 2.4 percent. The largest expenditures for crop farms are labor at $25.4 billon (14.0 percent), rent at $25.0 billion (13.8 percent of total), and farm services at $24.0 billion (13.2 percent). Combined crop inputs (chemicals, fertilizers, and seeds) are $51.7 billion, accounting for 28.5 percent of crop farms total expenses. The largest expenditures for livestock farms are feed at $57.9 billion (32.9 percent of total), livestock, poultry, and related expenses at $40.8 billion (23.2 percent), and farm services at $18.8 billion (10.7 percent). Together, these line items account for 66.7 percent of livestock farms total expenses. The average total expenditure for a crop farm is $192,451 compared to $164,447 per livestock farm.

The Midwest region contributed the most to United States total expenditures with expenses of $111.5 billion (31.2 percent), up from $104.7 billion in 2018. Other regions, ranked by total expenditures, are the Plains at $87.9 billion (24.6 percent), West at $79.5 billion (22.2 percent), Atlantic at $42.1 billion (11.8 percent), and South at $36.8 billion (10.3 percent). The Plains decreased $3.82 billion from 2018, which is the largest regional decrease.

Combined total expenditures for the 15 estimate states is $242.2 billion in 2019 (67.7 percent of the United States total expenditures) and $232.8 billion in 2018 (65.8 percent). California contributed most to the 2019 United States total expenditures, with expenses of $42.7 billion, (11.9 percent). California expenditures are up 16.1 percent from the 2018 estimate of $36.8 billion. Iowa, the next leading state, has $30.4 billion in expenses, (8.5 percent). Other states with more than $20 billion in total expenditures are Texas with $23.0 billion and Nebraska with $21.1 billion.

For further information on USDA farm expenditures, please visit https:/www.nass.usda.gov/Statistics_by_Subject/Economics_and_Prices/index.php. 



OCM Calls for Department of Justice to Halt JBS Purchase

Today the Lincoln, Nebraska-base Organization for Competitive Markets (OCM) sent a letter to Assistant Attorney General Makan Delrahim of the Antitrust Division of the United States Department of Justice (DOJ), calling for the DOJ to stop the purchase of Mountain States-Rosen (MSR), a Greeley, Colorado-based lamb processing cooperative made up of 150 independent producers, by Brazilian company JBS, the world’s largest meatpacker. OCM joins over a dozen United States Senators in calling for a DOJ investigation into the acquisition, which has been opposed by sheep ranchers and other agriculture groups.

OCM’s letter pointed out that JBS’s own lamb imports constitute nearly 50% of all lamb imports in North America, and the purchase and closure of a significant competitor by JBS would further increase consolidation in the lamb market, to potentially harmful levels, and should be investigated by the DOJ for possible antitrust violations.

OCM cited two ongoing investigations, one that began in June when the DOJ issued civil investigative demands to the four largest meatpacking companies in the U.S., including JBS, and the United States Department of Agriculture’s investigation of potential violations of the Packers and Stockyards Act.

OCM also pointed to JBS’s track record of food safety, environmental and worker safety violations as grounds for revoking JBS’s grant of inspection in the United States.



New Publication Describes Basics of Low Stress Cattle Handling

Low stress cattle handling can provide a multitude of benefits, including improved performance, animal welfare and handling efficiency. However, with a variety of techniques and approaches advocated by different experts, cattle producers may be unsure which direction to take with their own operation.

A new publication from Iowa Beef Center called “Low Stress Cattle Handling” https://store.extension.iastate.edu/product/15923 explains the common positive aspects of these systems, which are basic to understanding cattle responses regardless of system.

Grant Dewell, extension beef veterinarian with Iowa State University, authored the publication along with Suzanne Millman and Rebecca Parsons, of Iowa State’s Veterinary Diagnostic and Production Animal Medicine department, and Renee Dewell, with the Center for Food Security and Public Health at Iowa State.

“Low stress cattle handling is important to improve the welfare of cattle, handling efficiency and consumer confidence,” Dewell said. “Understanding the natural behavior of cattle is important to being able to introduce low stress cattle handling and to identify challenges in current facilities that make handling difficult.”

The four-page document provides an overview of the natural behavior of cattle and describes general principles of handling cattle. The section on facilities includes two simple designs used most commonly for low stress cattle handing. The information and awareness are helpful for all ages of cattle and types of operation.



Iowa Farm Bureau welcomes new leaders to the 2020 Young Farmer Advisory Committee

The Iowa Farm Bureau Federation (IFBF) Young Farmer Advisory Committee has elected new leaders for 2020. These officers and district representatives are committed to uniting young farmers, ages 18-35, throughout the state through engaging programs and events, including the annual IFBF Young Farmer Conference, which draws hundreds of young farmers and agribusiness leaders together to connect and share ideas. Elected to officer positions were:
    Mary Ebert, Guthrie County, Chair
    Shonda Hahn, Johnson County, Vice-Chair
    Allison Kruger, Hancock County, Secretary
    Kristin Plate, Mahaska County, Historian
    Megan Hansen, Cass County, PR Chair

Mary Ebert and her husband, Adam, raise three kids on their grain, cattle and hog farm. The pair also farm with Mary’s family and do custom manure hauling. The Eberts are both involved with their church and volunteer as EMTs. “As young farmers, we know there are many challenges that face agriculture today, but also many rewards,” says Ebert. “That includes finding new ways to improve our family farms for the next generation and make contributions to our local communities. Iowa Farm Bureau’s Young Farmer Program brings that all together; helping connect young farmers to improve their day-to-day operations on their family farms and build stronger rural communities.”

Shonda Hahn and husband, Jeremie, raise corn, soybeans, hay and cattle. Hahn runs her own seed business, Eister Ag LCC, and is an independent seed advisor for LG Seeds. She is active with the Johnson County Women, Land and Legacy, enjoys Iowa Hawkeye wrestling and sells produce at the local farmers market.

Allison Kruger and her husband, Darrin, farm with his family growing corn, soybeans and hogs. She works at Hancock County Health System as a dietary director and inpatient dietician. The couple enjoy downhill skiing, water sports, biking, camping and volunteering at their church.

Megan Hansen along with husband, Dan, raise their three kids and own and manage Ag Decisions Services LCC, an ag consulting business focused on fertility management, seeding prescriptions and soil sampling for the Granular Agronomy, Pivot Bio and Soil Analytics brands. Hansen has also represented Iowa in the American Farm Bureau national discussion meet.

Kristin Plate returned to the farm in 2010 after living in five states and four countries, following her husband, Sherwin’s, U.S. Army orders. They have three kids and raise grain and hogs. Plate also substitutes at her children’s school and teaches bible studies to three- and four-year-olds.

“Not only does the Young Farmer Program work to promote new opportunities and innovative thinking for our state’s youngest agriculturalists and emerging farmers, but you’ll notice this year all of our officers are young women,” says IFBF President Craig Hill. “Women continue to play vital roles on the farm and Iowa Farm Bureau is proud to have them representing the next generation of agricultural leaders.”

Additional new district representatives added to the committee include Brandon and Dee Pickard of Marshall County, Keaton Keitzer and Keely Acheson of Des Moines County and Dan and Megan Hansen of Cass County. These new committee members will serve three-year terms as communicators for their districts.

The 2021 Young Farmer Conference will take place Jan. 29-30 at the Community Choice Credit Union Convention Center. For more information on the Young Farmer Program, visit https://www.iowafarmbureau.com/Farmer-Resources/Farm-Bureau-Leaders/Young-Farmer-Program.  



Data Trends Show Grain Drying Season Back to Normal in 2020

The 2020 grain drying season is shaping up to be business as usual and nothing like the headache-laden harvest of 2019, according to data compiled by the Propane Education & Research Council.

“We’ve spent the last several months looking at planting reports, crop moisture tables, and weather forecasts, and the upcoming harvest is looking much more normal compared to 2019,” said Mike Newland, director of agriculture business development at the Propane Council. “Current trends show a drier season and more irrigation needed ahead of the 2020 harvest season, making it less likely that significant grain drying will occur as heating needs increase, as was the case in 2019.”

The propane supply delays that plagued much of the Midwest in 2019 occurred because of a rain-filled spring, which led to late plantings and a wetter, later-than-normal harvest. This created a short-term spike in demand due to a sudden increase in grain drying at the same time heating needs were on the rise, stressing the transportation system delivering propane.

“The good news for farmers is that none of the conditions that created problems in 2019 are expected this year,” Newland said. “The even better news is that the Propane Council has developed tools for propane suppliers and producers to help ensure everyone has enough propane on hand regardless of current or future conditions.”

The Propane Council recently launched a Grain Drying Calculator tool to help producers determine the number of propane gallons needed each season using just three simple data points. Users simply input their average expected yield to determine the number of propane gallons needed to dry crops by a specific moisture percentage. From there, PERC’s tool will calculate approximately how many gallons of propane will be needed, making it easier to fill tanks early and prepare for supply needs prior to an increase in demand.

The Propane Council has also developed a Grain Drying Demand Model tool exclusively for propane suppliers that allows them to monitor current corn moisture levels within USDA crop districts and compare those with the previous year, the five-year average and even the minimum and maximum levels from the last 20 years. The tool is intended to help propane suppliers plan well in advance with their farm customers ahead of any distribution needs.

“We’re encouraging farmers and propane suppliers to take advantage of these tools and establish a line of communication now to ensure their tanks are full and ready when needed,” said Newland.



WITH CHANGES, NPPC SUPPORTS USDA PROPOSAL TO CREATE NATIONAL LIST OF REPORTABLE ANIMAL DISEASES

In May, USDA’s Animal and Plant Health Inspection Service (APHIS) proposed a new National List of Reportable Animal Diseases (NLRAD) to further strengthen the country’s ability to detect, respond to and control animal diseases. The list would provide a consolidated, comprehensive set of guidelines to ensure federal and state animal health officials quickly receive information about potential cases of communicable animal diseases, the agency explained.

In joint comments submitted to APHIS this week, the National Pork Producers Council, the American Association of Swine Veterinarians (AASV) and the Swine Health Information Center (SHIC) said while they support the establishment of a NLRAD that consists of named animal diseases and conditions with established case definitions, a separate portal should be created to collect voluntary reports of suspicious animal health events. “NPPC, AASV and SHIC concur with APHIS that under-reporting of notifiable animal diseases within the United States can have significant domestic and international ramifications. However, it must be acknowledged that false or premature reports can similarly have damaging consequences. For these reasons, animal health professionals, or indeed any individuals other than veterinarians, should not be obligated to report under the NLRAD when they are not credentialled to make a diagnosis of a specific animal disease,” the groups wrote. 

The groups also noted they can only support mandating state reporting of monitored animal diseases if both APHIS and states have the necessary resources to compile and transmit this information electronically, and if APHIS has the resources to analyze the information when making it publicly available.



Dredging Project Readies Mississippi River for Efficient Soy Transportation

Checkoff-funded research, planning, analysis and design led by the United Soybean Board (USB), has informed the launch of a dredging project to provide crucial upgrades to the lower Mississippi River — a major channel for soybean exports. Once complete, the new depth will unlock long-term benefits for soybeans and other U.S. agricultural exports.

“The United Soybean Board’s mission has always been to create value for soybean farmers,” said Meagan Kaiser, USB farmer-leader and soybean farmer from Missouri. “More efficient shipping builds value in the supply chain and expands opportunities for our soybeans to reach our customers around the world.”

The Army Corps of Engineers announced it will be funding and proceeding with deepening the Mississippi River from 45 to 50 feet between Baton Rouge, Louisiana, and the Gulf of Mexico. The Louisiana Department of Transportation and Development will also provide funding. This dredging will help deliver soybeans to market in higher quantities and more cost-effective shipments that accommodate larger global ports — creating a more economically productive infrastructure for transporting soy products. For the agriculture industry, the Mississippi River is one of the most important waterways in the nation. It connects the Midwest and Northern growing regions to the global market. But it requires modernization to uphold its competitive advantage.

USB was joined by the Soy Transportation Coalition (STC), U.S. Soybean Export Council (USSEC) and American Soybean Association (ASA) in this endeavor to ensure the most efficient transportation methods are available to maximize profit opportunities for U.S. soybean farmers. Checkoff-funded research by STC showed this dredging work would save 13 cents per bushel of freight while increasing the load by 500,000 bushels per ocean vessel and bring an additional $461 million in revenue to U.S. soybean farmers.

“Dredging will help boost profitability for soybean farmers across the country,” said Woody Green, soybean farmer and USB director from South Carolina. “The project leads to a more reliable and globalized supply chain of U.S. soy products. We commend the Army Corps of Engineers for prioritizing the improvement of international trade opportunities for our farmers.”

A previous press release by STC emphasized the importance of this particular 256-mile stretch of the Mississippi River. This stretch accounts for 60% of U.S. soy exports, and 59% of corn exports from that region arrive via the inland waterway system. The work conducted in this project specifically supported environmental assessments (research) and education of infrastructure improvements, located near the Port of New Orleans, for the benefit of U.S. soybean farmers.

“If I had to select a single infrastructure enhancement that would provide the most benefit to the greatest number of U.S. soybean farmers, deepening the lower Mississippi River would be my choice,” said Mike Steenhoek, executive director of STC.

USB farmer-leader Kaiser said she is proud of the entire U.S. Soy community and its partners for working together to turn research into action.

“I hope other organizations across the various commodities will take to heart that collaboration can stimulate significant improvements to our nation’s infrastructure and result in added value for our products across all crops,” said Kaiser.

To learn more about infrastructure and the soybean industry, visit soytransportation.org or unitedsoybean.org.



Growth Energy to IRS: Ethanol Plants Ready to Capture More Carbon

Today, Growth Energy CEO Emily Skor submitted written comments on the Internal Revenue Service’s (IRS) proposed regulations under section 45Q, a performance-based tax credit for carbon capture projects. In her letter, Skor called on the agency to offer credit for carbon dioxide captured for food and beverage purposes, which would promote investment in new carbon capture capabilities and ensure that the food and beverage industry is not forced to tap alternative sources of carbon dioxide.
 
“The ethanol industry has more than 50 projects that on average capture 99,000 to 153,000 tons of carbon dioxide annually,” wrote Skor. “These facilities both capture qualified carbon oxides or are in the process of financing projects to capture and sequester carbon oxides.”
 
More projects are on the way, she added, and 45Q can accelerate that progress.
 
“Including the food and beverage industry as an eligible commercial market for carbon dioxide would help build resilience in this essential supply chain to external shocks, such as a pandemic, by creating an appropriate tax environment that incentivizes the buildout and operation of carbon capture capabilities,” wrote Skor.
 
Without the credit, however, producers may opt to seek the credit rather than supply carbon dioxide to food and beverage makers, forcing them to rely on non-renewable sources.
 
“The IRS should recognize that using carbon dioxide from our facilities ensures that additional mined carbon dioxide is not necessary to meet these applications as ethanol’s carbon comes from annual, renewed sources,” noted Skor.
 
Public comments on the rule are due by August 3.



RFA Provides USDA a Roadmap to Renewable Fuel Growth

The Renewable Fuels Association this week responded to the U.S. Department of Agriculture’s request for comment on its Agriculture Innovation Agenda (AIA). Regarding renewable fuels, the agenda calls for Increased biofuel feedstock production and biofuel production efficiency and competitiveness to achieve market-driven blend rates of E15 in 2030 and E30 in 2050.

“Not only will the AIA initiative’s Renewable Energy benchmarks, if achieved, stimulate long-term economic growth in rural America, they will also enhance sustainability, improve environmental quality, and provide lower costs and greater consumer choice at the pump,” said RFA President and CEO Geoff Cooper. “The AIA’s Renewable Energy goals are proactive and ambitious, and the USDA should be applauded for undertaking such a forward-looking initiative that provides clear benefits to American consumers.”

RFA’s response identified the following five opportunities for the industry:
    Increasing productivity in crops and ethanol to meet volume requirements sustainably
    Stimulating more demand and reducing more emissions from the current RFS policy
    Facilitating greater demand from future policy
    Continuing USDA infrastructure investments to expand biofuel deployment and sell higher blends
    Adopting carbon capture, sequestration and utilization technologies

In addition, the association identified several roadblocks that need to be addressed by the federal government. This includes providing RVP (Reid Vapor Pressure) parity for all ethanol blends, removing or significantly revising E15 fuel survey requirements and labeling requirements, revising EPA’s outdated lifecycle greenhouse gas analysis of corn ethanol, and eliminating unnecessary registration and pathway certification barriers to cellulosic ethanol production from corn kernel fiber.

“RFA has worked had to build a bold, sustainability-driven vision for the future of agriculture and transportation, and through our membership, we have positioned ourselves to lead that effort as advocates,” Cooper said. “On behalf of the nation’s ethanol producers, we are fully committed to collaborating with USDA to sustainably increase the production and availability of renewable fuels to achieve nationwide average blend rates of E15 in 2030 and E30 in 2050.”



Administration Takes Important Steps to Improve Species Conservation

National Cattlemen’s Beef Association (NCBA) Executive Director of Natural Resources and Public Lands Council (PLC) Executive Director, Kaitlynn Glover, today released the following statement in response to the U.S Fish and Wildlife Service and the National Marine Fisheries Service's announced improvement to the Endangered Species Act (ESA) "habitat" definition:
 
"We appreciate the Trump Administration’s work to direct important resources to where they are most needed. By clarifying the definition of habitat, species conservation will improve and we will avoid long, drawn out, speculative analyses that delay important conservation work for imperiled species. We welcome this addition to ESA as it removes an unnecessary burden from livestock producers who are looking to act as responsible stewards and make improvements to rangeland."



CNH Industrial Reports Lower Revenues for 2020

CNH Industrial has released its financial reports for the first half of 2020, which shows revenues fell 21 percent.

Consolidated revenues of $5.6 billion in the second quarter of 2020. That was 26% lower compared to the second quarter of 2019.

Reported net income of $361 million (or $0.26 per share) in the second quarter of 2020 including a gain of $1,475 million from the remeasurement to fair value of the investment in Nikola Corporation (NKLA), partially offset by $840 million of non-cash impairment charges primarily related to the goodwill allocated to Construction, as well as asset optimization charges of $282 million, mainly as a result of the adverse COVID-19 impacts on used trucks final markets in Europe

Adjusted net loss of $85 million in the second quarter of 2020 compared to adjusted net income of $430 million in the second quarter of 2019.