FOR IMMEDIATE RELEASE CONTACT: JOHN PHINIZY 512-771-7125 JUNE 13, 2013

NMMI Alumni Association: Funds Are Safe, Will Defend Against Grizzle Lawsuit and Baseless Allegations
(Roswell, NM) In an email distributed Tuesday, NMMIs Alumni Association informed its members that the Institutes current Superintendent, Jerry Grizzle, filed a lawsuit this week to seize control of the independent, non-profit Associations $5.2 million in assets. The Association announced its intention to defend against the lawsuit and the baseless allegations contained within it, while reiterating that its funds are safe and secure. In response to the lawsuit, NMMI Alumni Association President John Phinizy released the following statement today: Mr. Grizzles intentions are now very clear and very public, said Phinizy. We believed all along that Mr. Grizzles damaging, baseless claims toward the Association and his unwillingness to work with us to resolve very minor issues were rooted in a strong desire to have complete control over the $5.2 million in assets. This is exactly why it has been prudent for the Alumni Association to remain separate from the Institutions administrations for so many years. The Board of Directors of the NMMI Alumni Association is disappointed to have to defend against this expensive and baseless lawsuit. However, we are not surprised by Mr. Grizzles extreme action in this matter. The allegations

contained within the lawsuit are false, we will defend against them, and we will make sure that the Alumni and the Association membership have a fair say on what becomes of the Association in the future. The Associations funds, as always, remain safe and secure under proper management and oversight. ### Reporters Note: The email sent to alumni yesterday is below. Also, regarding claims that the NMMI Alumni Association assets are at risk, members and alumni should be aware that all funds are invested with and managed by Wells Fargo, are under the audit oversight of the highly reputable accounting firm Moss Adams, and are by law under the protection and oversight of a legally elected Board of Directors and President John Phinizy. Review applicable documents here:http:// www.scribd.com/New%20Mexico%20Military%20Alumni %20Association Dear NNMI Alumni: You may have received an emailed letter yesterday from the NMMI Board of Regents announcing that the Institute has filed a lawsuit against your Alumni Association. In this lawsuit, the administration is continuing to try to seize the $5.2 million of Association assets and is asking the court to place those assets under the control of Superintendent Grizzle. Your Association continues to deny the allegations set forth by NMMI. The funds are being properly managed and protected and are not at risk. We will vigorously defend the Association against the lawsuit. The relationship between the Association and the Institute has a strong, 50-plus year history that was in place long before Mr. Grizzle arrived at NMMI and will hopefully remain in place throughout the tenure of many

administrations to come. We are working toward solutions that can withstand individual personalities and agendas. Ultimately, it is up to you, the members of the NMMI Alumni Association, to decide if you want your organization to remain an independent entity, as it has been for over 50 years, or if you want your Association to fall under the control of the Superintendent, whomever that might be. A membership survey is forthcoming that will give all our members an opportunity to share their opinion as to what you want the Association to become. Information will follow. All the best, NMMI Alumni Association Board of Directors Note: Regarding claims that the NMMI Alumni Association assets are at risk, members and alumni should be aware that all funds are invested with and managed by Wells Fargo, are under the audit oversight of the highly reputable accounting firm Moss Adams, and are by law under the protection and oversight of a legally elected Board of Directors and President John Phinizy. More about John PhinizyJohn Phinizys commitment to service and core values has been demonstrated throughout his lengthy career in the Army and in the courtroom. John, 67 JC was born and raised in Roswell and upon graduation from the Institute, became a Life Member of the Alumni Association. He continued his education at Texas Tech obtaining a degree in psychology. He received his army commission and spent the next eight years in Military Intelligence. He mustered out as a captain in 1976 and started law school at Baylor University. In 1990, he was appointed as an Assistant United States Attorney for the Western District of Texas where he prosecuted such high profile cases as the Branch Davidians and the Baylor Basketball Coaches. John was

instrumental in the prosecution of former Texas Attorney General Dan Morales. Because of his experience in the Intelligence Community, he was assigned to the Austin FBI Joint Terrorism Task Force in 2003 where he worked until April 2007. As a federal prosecutor, he has earned numerous awards and commendations, including the Federal Law Enforcement Officers Association Prosecutorial Award, the Texas Department of Safety Directors Award, and the Department of Justice Directors Award. In April of 2007 Phinizy retired from the Department of Justice and accepted a contract position in the Department of Homeland Security as a Senior Legal Instructor at the Federal Law Enforcement Training Center in Artesia, NM. That contract was completed in February of 2012. After two months of retirement, Phinizy accepted a position as a Senior Trial Attorney with the Fifth Judicial District Attorneys Office in Roswell. He is licensed to practice law in both New Mexico and Texas.