GENERAL FUTURITY STUCTURE

1. The long term plan is that the money for the payout in the Futurity would come from three sources, 1.) AHBA Stallion breeding auction, 2.) Nominations Fee of $500 per Stallion each year, 3.) Entry fees for the Futurity Classes.

2. The horses eligible for the futurity classes would consist of one nominated foal sired by each Auction Stallion from the person who has the wining bid for each of the stallions in the AHBA Stallion Auction and one nominated foal from the each Stallion Owner who entered the Stallion in the Auction. Each nominated foal must be officially entered prior to December 31 of the year prior to the birth of the foal.

3. The Futurity classes will be held at the Las Vegas Show and will consist of a Yearling Class for fillies, a Yearling Class for Colts, a Two Year Class for fillies, and finally a Two Year Class for Colts. The prize money available for each class will be 25% of the total available money collected from the AHBA Stallion Auction and the entry fees collected for each individual class. For example, the Stallion Auction funds and Stallion Nomination Fees collected at the 2008 Auction would be divided as follows: 25% for the Yearling Filly Class in 2010, 25% for the Futurity Yearling Colt Class in 2010, 25% for the Two Year Filly Class in 2011 and finally 25% for the Two Year Colt Class in 2011. Each of these classes would also have added to the prize money, the entry fees collected for each individual class. Prize money will be given in each class to the Class Champion, Class Reserve Champion and the remaining three horses making up the Top Five.

4. The Futurity Classes will be Amateur To Handle (ATH) classes and be conducted and judged in the same manner as the other halter classes at the Las Vegas Show. Winners of the Futurity Classes will not be eligible for the normal Las Vegas Show Junior Champion classes. Horses can be entered in both the Futurity Class and also the Las Vegas normal halter classes.

5. AHBA Stallion Auction will normally be conducted each year during the Las Vegas Show but the AHBA Board reserves the right to change the time and place of the auction. Stallions in the Auction must be nominated by a AHBA Stallion Rights Holder. Each Stallion Rights Holder can nominate a maximum of two stallions for each Auction. One of the Stallions nominated by a Rights Holder must be owned by the Stallion Rights Holder. Stallions Rights Holders must guarantee to the AHBA that the bid for all nominated Stallions will be at least $2500. If any Stallion does not bring that amount in the Auction, the Stallion Rights Holder agrees to pay to the AHBA the balance to bring the bid up to the $2500 level. All such payments must be made within 60 days of the Auction or that Stallion’s foals will not be eligible for the Futurity Classes.

6. The AHBA Founding Stallion Rights Holders will be limited to 25 with each Founding Rights Holder having the ability to nominate two stallions for the Auction. The one time fee to become an AHBA Founding Stallion Rights Holder will be $2500 which must be paid to AHBA before 1 November 2007. After the initial 25 Stallion Founding Rights Holders are committed, the AHBA may consider a limited number of additional Right Holders at a higher initiation fee than the Founding Right Holders. Individual Stallion nominations for the Stallion Auction will be $500 per stallion each year.