Kenneth E. Perry and Mary A. Hofer - Page 10

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             Sugar Plum's second foal, a gelding named Copy's Black                   
             Prince, for $650 in 1993 after determining that it lacked                
             adequate confirmation.  Also in 1993, petitioners sold                   
             another of Sugar Plum's foals, a filly named Copy's Sugar                
             Shot, for $1,000.  At the time of trial, petitioners were                
             using Sugar Plum and two of its offspring, Copy's Allen                  
             Rose and Copy's Eyote Anoka, as broodmares.                              
                  In 1988, petitioners purchased an unregistered                      
             Tennessee Walking Horse mare named Amy for $1,000.  Amy                  
             was in foal at the time of petitioners' purchase and                     
             subsequently gave birth.  In 1989, after determining that                
             it was not economically feasible to register Amy or the                  
             foal, petitioners sold both horses for a total price of                  
             $500.                                                                    
                  Also in 1988, petitioners purchased a registered                    
             Tennessee Walking Horse mare named Damon's Red Lady for                  
             $650.  Damon's Red Lady subsequently produced three foals                
             for petitioners.  Petitioners sold the first of these                    
             foals, Shot Strutter, for $650 in 1991.  The purchaser                   
             thereafter paid petitioners to board Shot Strutter on                    
             their property.                                                          

             Thoroughbreds                                                            
                  Sometime in 1987, petitioners acquired two thorough-                
             bred mares named Spiro Gyro and Queens Dynasty for $500                  





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