Rich, not just working lines. Both working and show lines are required to have working titles as well as a show rating in order to breed and register the litter with SV.
Now, I am not a breeder, nor do I know if I would ever breed GSD pups, there's other breeds I'd rather breed, but thats a different story. However, I've spent enough time around good breeders to understand how the world works.
The problem with breeders is that most of them, even working line breeders, even those with decent reputations, are breeding for "The type of dog I can handle". Afterall, how is a breeder going to handle their breeding dogs if they aren't good enough handlers to handle them? So people breed dogs they CAN handle. If the breeder can't handle a VERY SERIOUS dog, then they will never produce VERY SERIOUS pups. The goal of breeding is to produce a dog that is as good, or maybe better than the sire. This is rarely the case, so to produce really good dogs, you need EXTREME breeding stock.
I can count the number of breeders that I know HAVE/OWN these types of dogs on one hand (figuratively speaking), which is sad. But there are SO MANY GSD's being bred, working lines too, and SO FEW people who can actually handle truly great dogs, that you just have to look at the numbers to see that finding the types of dogs that will keep the breed strong is getting harder and harder.
Not only are breeders not breeding truly strong dogs, but on top of that, most people looking to buy GSD pups are rarely looking for the types of dogs that I describe. When a breeder has a really great litter, often the pups get returned because the buyers just can't handle the dogs. Just look at the number of threads over the years on this forum alone with people complaining that their puppy nips. Nipping is NOTHING compared to what I've seen some pups do. I think Lee Sternberg on this forum has recently been enlightened as to how intense some puppies can be
So many breeders start breeding watered down versions for the sake of being able to sell them. Talk to any Malinois breeder and they will tell you that most of their pups end up in "performance/active homes". Placing working pups gets more difficult the tougher the dogs are.
Then you get all these people with mentalities like, "I really want a puppy out of my dog because he's great, so I'm gonna breed him", or "I love GSD's so I want to breed them". If you start a breeding program with puppies, you need to prepare to buy more than 2 puppies, and be willing to sell them at 9-18 months old if they turn out to not be suitable for breeding. You will go through alot of puppies to find the right ones!
Hypothetically, someones best bet as a new breeder is to look for a really great adult female (will cost you alot of money, don't buy just any female offered to you at a good price!), and then pay for stud fees from a proven producer that would go well with the bloodlines of your female. If you are REALLY lucky then the litter will have 2 or 3 good dogs, and a bunch of average dogs. If you are less lucky, you will have MAYBE 1 good dog, a bunch of average dogs, and a few that should just go to non-protection active homes for Flyball or Dock Diving or whatever the heck people do with their dogs that don't bite
I know, a lot of people have their heart set on starting a breeding program. It's a human thing, and I understand "why". But at the same time, I don't really get it. People always seem to want to breed dogs, but I have never heard a really good explanation from a novice as to "why" they are breeding the dogs. Odds are they are too inexperienced to handle a dog that is worth breeding, so then what are they breeding for? If they can't handle a great dog, don't have the money to buy a great dog to breed in the first place (like complaints about puppies being expensive), and couldn't identify a great dog if it bit them in the leg, then why breed? "To improve the breed" is the typical response here, but HOW? Does this person have some type of special ability to breed dogs better than people who have been producing champions for 20 years? OK so lets start with a puppy, and lets say you are going to a breeder that has produced dogs that went to championships and placed well. What makes you think this breeder will sell you a pup that will be worth breeding later on? If a breeder of this caliber sees great breeding potential in the pup, the pup will be held back. If the pup still shows promise at 9 or 12 months, then the pup is trained and then bred if he is doing well, otherwise he will get sold for way too much money to some shmo looking to start a breeding program thinking he's getting a good deal buying an adult dog from someone who has bred high caliber dogs, even though the dog they are buying was a washout.
Its a cruel cruel business ain't it???? Some people get lucky, but most people just breed watered down dogs that can be handled by the average weekend-schutzhunder, who then thinks their dog is oh so great and goes on to breed that dog to another watered down dog. Then where are we???
For someone who is serious about breeding, spend the money to buy a really good female, and pay the stud fees, and only after you have spent at least a couple years researching bloodlines and learning about the traits of the different dogs, and SEEING ALOT OF DOGS. Once you know what to look for, and have seen alot of dogs, you can start to pick out the types of dogs that you should be looking for and pick which lines you think will produce the best for your own breeding program.
There will always be lesser dogs, easier to handle dogs and weaker dogs in a litter of very strong parents, the problem is when those easier to handle dogs are bred. If strong dogs can still produce weaker dogs, then why are people producing weaker dogs for people who can't handle the stronger ones? Stick with breeding the strong ones and give the lesser dogs to the people that want an easier dog.