Statement Regarding New Life Art, Inc.

March 22, 2005

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Statement Regarding New Life Art, Inc.

For many years, Daniel Moore of New Life Art, Inc. worked under license with The University of Alabama producing officially licensed paintings and prints related to the University. As with all licensed products, the University received royalty income from the sale of the products with the revenue supporting the University's academic scholarship fund and other endeavors. In 2000, New Life Art, Inc. told the University that it no longer needed a license to produce and market such products and it would no longer pay the licensing fee. (The standard fee is 8 percent of net sales.) Since that time, both parties have been in discussions. Recognizing the mutually beneficial relationship the University and New Life Art enjoyed for many years, the University tried to resolve the matter amicably. Both parties interpret the licensing laws differently with regard to New Life Art products. Having exhausted all reasonable efforts to resolve the matter through open discussion, University officials felt the only forum now available to both parties to resolve the matter is through the courts. This action was necessary to protect the University's reputation and financial interests and to protect consumers who assume Moore's products are officially licensed by the University. There is also an issue of fairness with regard to the many business owners who honor their licensing agreements with the University and would expect the University to consistently enforce the licensing rules with all businesses.

Statement from Janet Griffith, University Relations
March 22, 2005