In April 2017, Dreamstyle and Lobo Sports Properties entered into the well-known

naming rights and sponsorship agreement for Dreamstyle Arena and Dreamstyle Stadium.
The Sponsorship Agreement was to extend through the 2027. It is important to recognize
that the University of New Mexico is not party to the agreement between Dreamstyle and
Lobo Sports. Dreamstyle has only last week become aware that in March 2013, the
University sold all of its naming rights for the Stadium, Arena and other UNM media assets
to Learfield aka Lobo Sports Properties. Dreamstyle has requested full disclosure of the
agreements between UNM and Learfield / LSP however such documents have not been
provided.

The initial Dreamstyle Sponsorship Agreement between Lobo Sports Properties and
Dreamstyle provided for a $1,000,000 upfront payment to be allocated over a ten-year
period and then annual payments of $800,000 each year for the 10-year period of the
agreement. As a longtime supporter of UNM Football, Basketball, and Athletics,
Dreamstyle wanted each payment to be specifically allocated for the benefit of the
University – specifically the Football and Athletics departments.

During the summer of-2018, Dreamstyle started hearing rumors that UNM had
terminated its relationship with LSP, and as such, Dreamstyle’s Sponsorship Agreement
would also be unilaterally terminated by the University. Around this same time Dreamstyle
learned that its $1MM contribution to the University made in May 2017 had been mis-
appropriated and that at least $200,000 was missing and unaccounted for. Dreamstyle’s
President Larry Chavez reached out on multiple occasions in 2018 and early 2019 seeking
clarification and confirmation that its $1MM investment had been properly accounted for
and used for UNM Football and UNM Athletics and to also confirm that the Sponsorship
Agreement would be honored by whomever the University contracted for in the future.
Such assurances and accountings were never received.

In February 2019, Dreamstyle, LSP, and the University entered into an amendment
to the Sponsorship Agreement which was contingent upon the University providing a
proper and full accounting of Dreamstyle’s $1MM payment, and most importantly, the
University entering into a new sponsorship agreement with Dreamstyle for the duration of
the original 2027 terms. Neither the long sought-after accounting nor a new Sponsorship
Agreement were ever provided. In mid-June 2019, the February amendment was voided.

In October 2019, Learfield/LSP formally notified Dreamstyle that as a result of the

University’s termination of the Learfield – UNM agreement, Dreamstyle’s Sponsorship
would also be “void and terminated.”

“This is to confirm that [Dreamstyle’s] payment of $100,000 to the university

of New Mexico Athletics Department will complete your obligation to Lobo

Dreamstyle Media Statement Jun/24/2020 (GWB)

 Sports Properties and your account will have a $0 balance. This payment
will make the agreement dated April 24, 2017 void and terminated.”

As directed by LSP, the final $100,000 payment due by Dreamstyle under the April 2017
Sponsorship Agreement was paid the UNM Athletic Department in March 2020.

Since the fall of 2019, Dreamstyle has been waiting to hear from the University
about the new agreement it has been requesting. As a proud sponsor of UNM Sports,
Dreamstyle has been anxious to move forward yet to date – eight months later, UNM still
has not provided anything – not any extension, and not a new agreement. While we are
not trying to bicker with UNM, since 2017, Dreamstyle has never once complained about
the fact that all of the assets “purchased” by and promised to Dreamstyle have not been
provided – not by UNM and surely not by Learfield/LSP.

Now, as far as moving forward, obviously with the pandemic and Governor Lujan
Grisham’s March 2020 Executive Orders declaring a Public Health Emergency, the future
of sports is completely uncertain, as is the value of any sporting arena naming rights
agreement. Dreamstyle still desires to support UNM and move forward with a naming
rights agreement, but we must sit back and assess what we can justify for such a
sponsorship at this time. When will there be fans in The Pit again? We now have to work
through that.

Dreamstyle Media Statement Jun/24/2020 (GWB)