APPALOOSA HORSE CLUB INTRODUCTION

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APPALOOSA HORSE CLUB INTRODUCTION Appaloosas are known the world over for their unique coat patterns, athletic ability, intelligence and heart. The Appaloosa has roots dating back to cave drawings. The Nez Perce Indians of the Northwest bred these animals very carefully for their strength, speed and unique colors. Today, you will find the modern Appaloosa competing in a wide variety of disciplines as well as proving them as an even-tempered and reliable family mount. More than 650,000 Appaloosas have been registered since the Club was founded in 1938. Registrations remain stable with additional international market interest growing (over 15% of our annual registrations are from international customers). The Appaloosa Horse Club (ApHC) was founded in Moro, Oregon and relocated to Moscow, Idaho in the 1940 s. More than 300,000 owners worldwide enjoy the Appaloosa horse providing the ApHC a very stable share in the multi-million dollar equine market. Appaloosas are widely credited with being the most versatile breed. They compete in breed shows on a regular basis showing in Halter, English classes, Western classes, Stock/Working classes and Over Fence classes. We have seen a dramatic increased in reining competitors over the last two years. Dressage is also a popular venue for the Appaloosa Sport Horse. In addition, Appaloosas have more than proven themselves on the racetrack, setting new speed records against their counterparts in other breeds. 2003 brought more than 800 approved Appaloosa horse shows. Regional shows continue to draw many entrants and spectator attendance is up. Points earned at these shows are accumulated at ApHC headquarters and year-end awards are presented every year in more than 100 classes. In addition to breed shows, the Appaloosa Competitive All-Breed Activities Program encourages Appaloosa owners to compete in all-breed events while earning merits that will be added to their performance records at the ApHC. Membership numbers in this program have far surpassed the projected goals and continue to climb. The World Championship Appaloosa Show, National Appaloosa Show and World Championship Youth Show are held on an annual basis, and are sponsored and produced by the ApHC. These shows draw the cream of the crop of the Appaloosa breed. National and World titles are highly coveted. In addition, the ApHC strives to have an excellent program for its youth. They are indeed the future of the breed. The World Championship Youth Show is held in conjunction with the National Show and includes youth classes, awards, speech and essay contests, a team tournament and many social activities. It is estimated that 12,000 15,000 exhibitors, members and visitors attend the National and World Show events each year. Economic studies through various sources provide estimated economic impact figures for both the Oklahoma City and Fort Worth communities. Oklahoma City averages a yearly economic impact of 10 million dollars and our contract with the facility runs through 2007. Fort Worth economic impact runs near 15 million dollars with our contract continuing through 2007 as well. Longevity and stability is a staple of our program.

The Appaloosa Youth Association is an organization solely built and governed by youth interested in the Appaloosa. Founded in 1969, it is the oldest equine youth program in the United States. Activities administered by the AYA are events held at the World Championship Youth Show, year-end awards, and educational scholarships. The ApHC provides support for the youth and their many programs. For those who enjoy their horses and nature, the ApHC offers four weeklong trail rides, where riders from all walks of life can enjoy a week with their horse and other Appaloosa enthusiasts. The Chief Joseph ride is open only to Appaloosas and travels through Oregon, Idaho, Montana and Wyoming. Apache Land shows off the beautiful land of Arizona and New Mexico. The next Land of Liberty Trail Ride is currently slated to take place in the state of Pennsylvania. The Sheltowee ride follows paths in Kentucky and Tennessee. The Trail Department sponsors distance and saddle log programs honoring participants for competitive and endurance miles completed and hours in the saddle ridden. Pleasure trail riding has become the fastest growing activity in the industry. Appaloosa Journal, the official publication of the ApHC, is a colorful, award-winning, monthly publication dedicated to the promotion of the Appaloosa horse. This magazine has seen steady increases in advertising and circulation. The Appaloosa Horse Club participates in outside events such as National Reining Horse Association, National Cutting Horse Association, National Reined Cow Horse Association, National Snaffle Bit Association, United States Dressage Federation, USA Equestrian, National Barrel Horse Association, Professional Rodeo Cowboys Association, 4-H and a multitude of other open venues. Appaloosas are firmly represented, and the association has incentive and support programs in place to reward their efforts.

LIMITED HALTER FUTURITY INTRODUCTION The limited halter futurity was created in 2001 by a group of Appaloosa halter horse enthusiasts in an effort to spark a renewed interest in the Appaloosa halter industry. The futurity includes eligible horses in open weanling and non-pro yearling halter classes and Most Colorful at Halter at the World Championship Appaloosa In its first year, more than $23,000 in cash and prizes was awarded to futurity winners. Cash and prize donations have risen to well over $50,000 in 2003. Any cash collected is divided equally amongst the seven futurity classes, and then is divided amongst the top three finishers in each class at 50%, 30% and 20% respectively. Additional prizes awarded to futurity winners have also included use of a two-horse trailer, custom-made bronze trophies, custom-monogrammed blankets and sterling silver show halters. Horses that are pre-entered and whose handlers meet the definition of limited are eligible for the futurities. In order to be considered limited, handlers cannot have won an ApHC National or World championship halter title or equivalent title in another breed association competition. Each futurity runs concurrently with the regularly scheduled class. ApHC World champions are crowned, and the top three futurity-eligible horses are brought back for a special presentation of the Limited Halter Futurity awards during that evening s performance. Winners are brought in one at a time, are presented with their cash and prizes, and photos are taken. Sponsors are encouraged to take place in this special awards ceremony. The Limited Halter Futurity has its own display area at the World Show to feature awards and sponsor information; announcements and publications geared solely towards the program are made throughout the show; exclusive program advertisements appear regularly in Appaloosa Journal.

PLATINUM LEVEL SPONSORSHIP $10,001 AND ABOVE Joining the Platinum Sponsor Category provides: Access to ApHC mailing list for direct marketing purposes. List to include more than 32,000 members, 136 Regional Clubs and 18 International Affiliates. Six or more full-page full-color advertisements in Appaloosa Journal, official publication of the Appaloosa Horse Club. Circulation is over 32,000. Surveys have shown that 65% of readers save their issues for at least one year, with the average pass-on readership being four people per issue. Valued at minimum of $6,150. Full-page ad in the National Show and/or World Show Premium Book. Valued at minimum of $600 per event. Sponsor name to appear on the Corporate Sponsor Recognition page in the National Show and/or World Show official program issue of Appaloosa Journal, July and/or November respectively. Sponsor name to appear on the Corporate Sponsor Thank-You page in the National Show and/or World A minimum of 10 x 20 booth in the Trade Show at National Show and/or World Valued at $1000 per event. The opportunity to provide and hang at least two banners in the arena(s) at the National and/or World Valued at $500 per event. Sponsor logo on the front page of the Network publication, circulated daily at the National Show and/or World Valued at minimum of $450. Sponsor included in all event advertising including, but not limited to: radio, television, newspaper, local The opportunity to include a promotional flyer in the prepared exhibitor packets for the National Show and/or World The opportunity to present awards and participate in Awards Ceremony at the National Show and/or World Promotional items may be distributed at the ApHC Information Booth. Sponsor will receive: sponsorship award, VIP parking, preferred box seating and complimentary subscription to Appaloosa Journal.

GOLD LEVEL SPONSORSHIP $5,001 TO $10,000 Joining the Gold Sponsor Category provides: Three or more full-page full-color advertisements in Appaloosa Journal, official publication of the Appaloosa Horse Club. Circulation is over 32,000. Surveys have shown that 65% of readers save their issues for at least one year, with the average pass-on readership being four people per issue. Valued at minimum of $3,075. Full-page ad in the National Show and/or World Show Premium Book. Valued at minimum of $600 per event. Sponsor name to appear on the Corporate Sponsor Recognition Page in the National Show and/or World Show official program issues of Appaloosa Journal, July and/or November respectively. Sponsor name to appear on the Corporate Sponsor Thank-You Page in the National Show and/or World A minimum of 10 x 10 booth in the Trade Show at National Show and/or World Value at minimum of $500 per 10 x 10 per event. The opportunity to provide and hang at least two banners in the National Show and/or World Show arena(s). Value at $500 per event. Sponsor logo on the front page of the Network publication, circulated daily at the National Show and/or World Value at minimum of $450. Sponsor included in all event advertising including but not limited to: radio, television, newspaper, local The opportunity to include a promotional flyer in the prepared exhibitor packets for the National Show and/or World The opportunity to present awards and participate in Awards Ceremony at National Show and/or World Promotional items may be distributed at the ApHC Information Booth. Sponsor will receive: sponsorship award, VIP parking, preferred box seating and complimentary subscription to Appaloosa Journal.

SILVER LEVEL SPONSORSHIP $3,001 TO $5,000 Joining the Silver Sponsor Category provides: A maximum of two full-page full-color advertisements in Appaloosa Journal, the official publication of the Appaloosa Horse Club. Circulation is over 32,000. Surveys have shown that 65% of readers save their issues for at least one year, with the average pass-on readership being four people per issue. Valued at $2,050. Full-page ad in the National Show and/or World Show Premium Book. Valued at minimum of $600 per event. Sponsor name to appear on the Corporate Sponsor Recognition Page in the National Show and/or World Show official program issues of Appaloosa Journal, July and/or November respectively. Sponsor name to appear on the Corporate Sponsor Thank-You Page in the National Show and/or World A 10 x 10 booth in the Trade Show at National Show and/or World Value at minimum of $500 per 10 x 10 per event. The opportunity to provide and hang one banner in the arena at the National Show and/or World Valued at $250 per event. Sponsor logo on the front page of the Network publication, circulated daily at the National Show and/or World Value at minimum of $450. Sponsor included in all event advertising including but not limited to: radio, television, newspaper, local The opportunity to include a promotional flyer in the prepared exhibitor packets for the National Show and/or World The opportunity to present awards and participate in Awards Ceremony at National Show and/or World Promotional items may be distributed at the ApHC Information Booth. Sponsor will receive: sponsorship award, VIP parking and preferred box seating.

BRONZE LEVEL SPONSORSHIP $1,001 TO $3,000 Joining the Bronze Sponsor Category provides: One-half page full color advertisement in Appaloosa Journal, the official publication of the Appaloosa Horse Club. Circulation is over 32,000. Surveys have shown that 65% of readers save their issues for at least one year, with the average pass-on readership being four people per issue. Valued at $775. A half-page ad in the National Show and/or World Show Premium Book. Valued at minimum of $300 per event. Sponsor name to appear on the Corporate Sponsor Recognition Page in the National Show and/or World Show official program issues of Appaloosa Journal, July and/or November respectively. Sponsor name to appear on the Corporate Sponsor Thank-You Page in the National Show and/or World Discounted rate on booth space in the Trade Show at National Show and/or World Value to be determined. The opportunity to provide and hang one banner in the National Show and/or World Show arena(s). Valued at $250 per event. Sponsor logo on the front page of the Network publication, circulated daily at the National Show and/or World Valued at minimum of $450. Sponsor included in all event advertising including but not limited to: radio, television, newspaper, local The opportunity to include a promotional flyer in the prepared exhibitor packets for the National Show and/or World Sponsor to participate in the Awards Ceremony at National Show and/or World Promotional items may be distributed at the ApHC Information Booth. Sponsor to receive: sponsorship award, VIP parking and preferred box seating.

WINNERS CIRCLE SPONSORSHIP $1000 AND LESS Joining the Winners Circle Sponsorship provides: Sponsor name to appear on the Corporate Sponsor Recognition Page in the National Show and/or World Show official program issues of Appaloosa Journal, July and/or November respectively. Sponsor name to appear on the Corporate Sponsor Thank-You Page in the National Show and/or World Sponsor name to appear in the National Show and/or World Show Premium book. Sponsor name to appear on the sponsor wall at the National Show and/or World Sponsor included in all event advertising including but not limited to: radio, television, newspaper, local The opportunity to participate in the Awards Ceremony at National Show and/or World