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approval of FCR 5. Mr. Brown seconded the motion, and it carried. (See FCR 5 at the end of
the Minutes.)

       0.    Anonymous Gift of $1,000,000 (FCR 6)

       Mr. Hardymon said that FCR 6 recommends that the Board of Trustees accept an
anonymous gift of $1,000,000 for the Sigma Alpha Epsilon House Construction Fund.

       He reported that the University of Kentucky alumni members of the Sigma Alpha Epsilon
social fraternity have been raising funds for a new fraternity house since 1995. Nearly 500
SAE's have contributed to the project. The house is located on Rose Lane and is scheduled for
completion this fall. He said that he had visited the house recently and encouraged members of
the Board to see it. He moved approval of FCR 6. Mr. Welenken seconded the motion, and it
passed. (See FCR 6 at the end of the Minutes.)

      P.    Anonymous Gift to Establish an Endowed Scholarship Fund (FCR 7)

      Mr. Hardymon said that FCR 7 is an anonymous gift. The recommendation is that the
Board of Trustees accept a gift of $125,000 to establish and endow a scholarship fund to benefit
undergraduate and/or graduate students at either the University of Kentucky or a community
college.

      He stated that the donor established the fund to provide financial assistance for qualified
students to benefit from a college education. The purpose was to enable students to receive an
education that might otherwise be denied them because of financial resources. Additional
contributions to the fund will be made by the donor annually and by the donor's estate. On
motion made by Mr. Hardymon, seconded by Mr. Reed and carried, FCR 7 was approved. (See
FCR 7 at the end of the Minutes.)

      Q.    Brown & Williamson Tobacco Company Pledge (FCR 8)

      Mr. Hardymon said that FCR 8 recommends that the Board of Trustees accept a pledge of
$250,000 from the Brown & Williamson Tobacco Company of Louisville, Kentucky, to establish
and endow the Brown & Williamson Research Support Fund in the College of Agriculture's
Department of Agronomy.

      He said that the Research Support Fund will provide funds for the purchase of supplies,
equipment and other materials required in agronomy research. The pledge will be paid with
$50,000 annual payments beginning in 1999. A condition of the pledge is that it be matched by
the state's Research Challenge Trust Fund. He moved approval of FCR 8. His motion, seconded
by Mr. Brown, passed. (See FCR 8 at the end of the Minutes.)