TRANSITION FUTURITY PROGRAM FOR 2008 AND 2009

1. In order to get the AHBA Futurity Program started with classes in 2008 and 2009 we are introducing a Transitiion Futurity Program during 2007 and 2008 with the first classes to be held at the Las Vegas Show in 2008 and 2009.

2. This program will use the funds from the one time fees paid by the AHBA Founding Right Holders and the entry fees from the individual classes for payouts to the Yearling Futurity Classes in 2008 and the Two Year Futurity Classes in 2009.

3. The horses eligible for this Transition Futurity Programs will be one foal by each Nominated Stallion to be nominated by the owners of Stallions Nominated for the first Stallion Auction (assumed to be prior to the 2008 breeding season). These foals will already have been born in 2007 but must still be officially nominated before Dec 31, 2007. Therefore, the total number of horses eligible for the 2008 Futurity Yearling Classes would be 50 (or approximately 25 fillies and 25 colts)

4. Expected 2008 and 2009 Transition Futurity Program prize money for each class will be approximately $23,625 per class (assuming 25 Rights Holders at $2500 each or $62,500 total which will be divided between 4 classes at $15,625 per class and also assuming 16 individual class entries for each of the four classes at $500 per horse entry fee or a total of another $8000 per class, giving a total per class of $23,625).

Note: This is a preliminary structure and may be altered prior to the 2008 Futurity.