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       President Wethington also thanked Mr. Rose and Mr. Sturgill for
their invaluable assistance.

       Mr. Sturgill moved the adoption of FCR 12 and stated that, in his
opinion, the University is taking an aggressive step in properly
utilizing the assets of the University for the benefit of East
Kentucky. His motion, seconded by Mr. Rose, passed. Mr. Bruce
Addington and Mr. Doug Moore, Addington, Inc., were asked to stand and
be recognized, following which they received a round of applause. (See
FCR 12 at the end of the Minutes.)

       W. Agreement with Arch Mineral Corporation (FCR 13)

       At the direction of Mr. Ockerman, Mr. Carter commented on FCR
13. He said that this recommendation authorizes the administration to
enter into an Agreement with Arch Mineral Corporation for the purposes
of resolving all current issues and disputes between the University and
Arch and to establish a basis for cooperating on future questions which
may arise by reason of Arch's mining activities. He reviewed the issues
and the terms of the Agreement. With the adoption of this Agreement,
Arch Mineral Corporation can proceed with mining the approximately three
million tons of coal without University opposition, and the University
will continue to manage and utilize Robinson Forest and conduct its
research without damage from the mining activities.

       President Wethington said that the agreement, when executed, will
resolve the differences concerning the boundaries of Robinson Forest
with Arch Mineral Corporation. He expressed pleasure in adding his
support to the recommendation.

       Mr. Ockerman thanked Mr. Rose and Mr. Sturgill for their
assistance with the Agreement. He stated that everyone did a tremendous
amount of work on this particular project, and the administration has,
in his opinion, arrived at an equitable solution to a long-standing
problem. He entertained a motion for approval. Mr. Rose so moved. The
motion, seconded by Mr. Sturgill, carried. (See FOR 1.3 at the end of
the Minutes.)

       X.    Aceptance of Gift fromAshland Oil. Inc. (FCR 14) and
Acceptance of Gift from Hunana. Inc. (FCR 15)

       Mr. Ockerman asked President Wethington to comment on FCR 14
and 15.

       President Wethington expressed pleasure in recommending that the
Board accept the two major gifts from Ashland Oil, Inc. and Humana,
Inc. The two gifts of $1 million each have been given to the University
for the College of Business and Economics for their Program for
Excellence. He said that he was pleased that Kentucky's two largest
corporations saw fit to make these sizable donations to the College.

       On motion made by Mr. Stricker, seconded by Professor Betts and
passed, the gifts were officially accepted. (See FCR 14 and 15 at the
end of the Minutes.