River Valley Ranch is the fourth largest ranch in California by land area.
An area with large flat land, 2,470 acres in the Terai Valley, planted with alfalfa.
The Drai Valley has 1,750 acres, including 230 acres of vineyards, 35 acres of walnuts, and the remaining Garbo orchards, mystery orchards, fig orchards, peach orchards, and large cherry orchards.
In the middle and lower reaches of the Moro Valley, there is a pasture cattle and sheep breeding area with a total area of 3,300 acres.
Santana Valley Plain and Flower Creek Canyon, cattle and sheep breeding areas. Among them, Santana Valley Plain covers an area of 4,500 acres, and Flower Creek Canyon covers an area of 975 acres...
These are large tracts of flat land, totaling 27,860 acres.
There are also hills, mountains and forests, and the entire pasture area exceeds 40,000 acres.
If you go from the Monterey Valley plains to the valley ranch hills, then to the Delai Valley, Moro Valley, Santana Valley, and end at the Flower Creek Canyon, the entire journey is 47 kilometers.
If you want to walk around the pasture, there are ups and downs of hills, and you may not be able to finish it in a whole day.
The accountant sorted out all the ranch's income and expenses, and it took Chen Mo two days to read through them.
The Drai Valley Ranch purchased from Garrison Investment Company was later renamed by Chen Mo as River Valley Ranch... at a cost of 248.5 million.
Afterwards, he built a pasture cattle and sheep breeding base, purchased two small and medium-sized ranches in the Moro Valley, and then purchased three small ranches in the lower reaches, with a total cost of 24.9 million US dollars.
Buyout Bright Bull for $37.6 million.
Santana Valley Ranch and Flower Creek Canyon Ranch cost a total of $37 million.
13,000 acres of hills belonging to the City of Field, $6.7 million.
The purchase of Bright sheep, pasture construction, purchase of machinery and equipment, labor expenses, and various other odds and ends... nearly 55 million US dollars.
Build a brewery…
In the office, Chen Mo scratched his head: "I earned 355 million from selling River Valley Ranch... No, there were 155 million U.S. dollars of stocks originally, and the total accounted for was 358.2 million U.S. dollars. Later, I sold some of Tangxia Yipin's shares and earned 40 million U.S. dollars.
"
"But this money... When I came to San Francisco, I still had 7 to 8 million in the bank, and the Snow Mountain Ranch originally had nearly 10 million in the account. But when Tang Xia Yipin raised funds, I spent some more money..."
The entire valley pasture land cost 320 million.
Purchasing cattle, sheep and other expenses currently cost $82.6 million.
There are still some expenses that have not been accounted for. Chen Mo spent them himself, such as buying Jiabao fruit trees.
River Valley Ranch only started making profits in mid-to-late April. The main profit point is goat milk. Tens of thousands of dollars are made every day. At the end of last month, the number of milk-producing ewes in the dairy exceeded 4,000. The goat milk is sold every day.
Hundreds of thousands in income...
Nearly a thousand sheep and 107 Bright cattle were also sold...
However, the ranch’s current book capital is only 1.68 million.
River Valley Ranch currently has 161 employees (Uncle Chen Mo and his aunt left the ranch), and the monthly salary expenditure is as high as 1.15 million US dollars. There are also various other expenses... Up to now, the ranch has to spend 1.7 million US dollars every month to maintain the basic
of normal operation.
However, as long as the sales of fresh milk are normal, the ranch can earn US$4 million from this alone.
It's a headache. If I had known that Bright was so unreliable, he should have come back to personally supervise the construction of the winery. He could have saved millions.
"Boss." Brett poked his head at the door, holding a return list with a timid look on his face and a sly smile on his face.
How many barrels were returned today?
512 barrels, 79 barrels more than yesterday.
The highest production record of pasture milk is 2,611 barrels in a single day, and the highest sales record in a single day is 2,533 barrels. Yesterday’s sales record is unclear... but the overall sales have fallen below 2,000 barrels. In the past 5 days, the average sales should be 1,800 barrels
about.
"The Albertsons store still didn't recommend it to us?" Chen Mo took the return list, looked at it, and clipped it on the wall.
"In the product display area, each counter costs 3,000 US dollars. There are 38 stores in total, which is 114,000 US dollars per day."
"Damn! Do you also charge for other display cabinets?"
"Maybe not……"
Chen Mo took a deep breath: "Have you contacted Kahn?"
"We have contacted him. He will arrive in San Jose tomorrow and promised to meet you."
"Hmm...Have you obtained the organic milk certification and green label?"
"200,000 green labels, each label costs $5. On the way back..."
"Isn't it $9.50 a ticket?"
"Of course not, it's only 5 dollars a piece, which is already a sky-high price."
The USDA's organic certification charges a certain percentage of the total value of the product, usually 2% to 4% of the total value.
Yeah, my balls hurt...
A piece of 5 US dollars is 7% of the market price. 9.5 is 7% of the retail price...
At $5 a piece, it’s pretty good.
200,000 sheets are enough for a period of time.
Chen Mo lit a cigarette. The wool came from the sheep, so the ranch definitely didn't pay for it.
In the future, the organic fresh milk launched by the ranch will no longer be a single product of only 6.5 pounds, but will be available in 6.5 pounds, 4.5 pounds, 2.5 pounds and 1.5 pounds.
"The 200,000 organic labels will not be affixed for the time being, please keep them confidential." Chen Mo said, stood up, opened the safe, took out the sales contract and supplementary agreement signed with the Albertsons store, and handed them over.
Chen Mo has read this contract many times: "The Albertsons store signed a purchase contract with us, 6.5 pounds of goat milk, 1,000 barrels per day. Is this part a purchase contract?"
"Yes." Bright nodded: "When the Albertsons store saw that our fresh milk sales were very good, it signed a supplementary underwriting contract with us, that is, a purchase contract. It purchased at least 1,000 barrels per day. It was signed on July 18th.
Contract. The contract period is one year, and the liquidated damages are US$45 million.”
Chen Mo snapped his fingers: "We can't kill them. Starting from tomorrow, we will deliver goods in accordance with the sales contract. Only 1,000 barrels will be delivered every day."
"What about the leftover goat's milk?"
"I'll go to Ellison Company later." Chen Mo touched the stubble on his chin: "For the workers in the fresh milk factory, you sign a labor contract with them, requiring that all work processes must be strictly standardized. Fresh milk factory installation
Is there surveillance?"
"certainly."
“Is the certification process for organic milk standardized?”
"Definitely normative."
The USDA charges for certification, and the price is not low. But it is also very strict...
Although it is not possible to monitor the whole process during the certification process, spot checks will be carried out from time to time during the production of fresh milk, and the product will be inspected from time to time.
"Try to make it traceable to every production link and identify the relevant person in charge. We may have a bad relationship with the Albertsons store this time..."
"I think it's not necessary, right?" Brett shook his head: "You have already rejected the cooperation of Tesco Supermarket, and then offended the Albertsons store, and the ranch's future business..."
"People are already riding on our heads. How can we bear to wait for them to poop and pee on our heads?" Chen Mo rarely gets angry, but it makes him feel distressed to see the sales of fresh milk from the ranch declining day by day.
The price of fresh milk from the pasture is indeed expensive, with the farm price being US$70 per barrel.
But when we arrived at the supermarket, the price in the supermarket was US$137.50, and the other party also made a very high profit, even higher than the profit of the ranch.
Chen Modu suspected that the new CEO of Albertsons Stores in California was a spy for Tesco Supermarkets...