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       E.    President's Report to the Trustees (PR 1)

       President Wethington commented on the following items in his report:

       1.   UK's equine research program has received three significant
             gifts: a William Robert Mills gift expected to exceed
             $3 million, a $1 million charitable lead trust from Albert
             Clay, former member of the Board of Trustees, and a commitment
             of $250,000 to a charitable remainder trust from an anonymous

       2.   UK Hospital has performed its 100th transplant operation.

       3.   UK is ranked again for the fourth consecutive year as one of
             the 101 Best Values in America's Colleges and Universities.

       4.    The Community College System has been awarded an $800,000 NSF
             grant for computer and math labs.

       5.    The Community College System has also received a $100,000
             Planning/Development KERA Grant from the Corporation for
             National and Community Service.

       6.   The College of Allied Health Professions, the Sanders-Brown
             Center on Aging and the St. Claire Medical Center in Morehead
             have received a three-year grant for $580,603 from the U.S.
             Department of Health and Human Services to initiate the Rural
             Health Interdisciplinary Training Project.

       7.   Odyssey, UK's research magazine, has received the Gold Award
             for the Best Cover of Educational Magazines in the nation.

       He asked the members to peruse the other items in the report at their

       As a part of the President's report and an effort to keep the Board
members apprised of major activities in the University, President Wethington
said that he had put a report on the University of Kentucky Lucille Parker
Markey Cancer Center on the agenda. He recognized Dr. Ben Roach, an
individual who has been largely responsible for the major fundraising
efforts that led to the facilities which comprise the current Cancer
Center. Dr. Roach was asked to stand and be recognized, following which he
received a round of applause. He then asked Chancellor Holsinger to
introduce Dr. Kenneth A. Foon, Director of the Lucille Parker Markey Cancer
Center and Chief of the Division of Hematology and Oncology in the College
of Medicine.

       Dr. Holsinger expressed pleasure in introducing Dr. Kenneth A. Foon.
He said that Dr. Foon has done an outstanding job in the short time that he
has been with the University and asked him to report on the Markey Cancer