1
                       SECURITIES AND EXCHANGE COMMISSION

                            WASHINGTON, D.C.  20549

                                  SCHEDULE 13D

                   UNDER THE SECURITIES EXCHANGE ACT OF 1934

                               Vail Resorts, Inc.
- --------------------------------------------------------------------------------
                                (Name of Issuer)


                          Common Stock, par value $.01
- --------------------------------------------------------------------------------
                         (Title of Class of Securities)

                                   91879Q109
- --------------------------------------------------------------------------------
                                 (CUSIP Number)

R. W. Lockwood, Vice President, Secretary and General Counsel, Ralcorp Holdings
Company, 800 Market St., Suite 2900, St. Louis, MO  63101 Telephone (314)
877-7000
- --------------------------------------------------------------------------------
          (Name, address and Telephone Number of Person Authorized to
                      Receive Notices and Communications)

                                February 4, 1997
- --------------------------------------------------------------------------------
            (Date of Event which Requires Filing of this Statement)

If the filing person has previously filed a statement on Schedule 13G to report
the acquisition which is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(b)(3) or (4), check the following box  [    ].

The information required on the remainder of this cover page shall not be
deemed to be "filed" for the purpose of Section 18 of the Securities Exchange
Act of 1934 ("Act") or otherwise subject to the liabilities of that section of
the Act but shall be subject to all other provisions of the Act (however, see
the Notes).



1. Name of Reporting Person S.S. OR I.R.S. Identification Nos. of Above Persons
 . . . . Ralcorp Holdings, Inc.  (Formerly known as New Ralcorp Holdings, Inc.),  
IRS Identification No. 43-1766315
_____________________________________________________________________________________________
2. Check the Appropriate Box if a Member of a Group
     (a)  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  [   ]
     (b)  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  [   ]
_____________________________________________________________________________________________
3. SEC Use Only . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  .
_____________________________________________________________________________________________
4. Source of funds  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .   OO
_____________________________________________________________________________________________
5. Check Box if Disclosure of Legal Proceedings is Required Pursuant to Items
   2(d) or 2(e) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  [   ]
_____________________________________________________________________________________________
6. Citizenship or Place of Organization . . . . . . . . . . . . . . . . . . . . . . Missouri
_____________________________________________________________________________________________
Number of Shares   7.  SOLE VOTING POWER . . . . . . . . . . . . . . .7,554,406 (See Item 5)
                   __________________________________________________________________________
Beneficially Owned 8.  SHARED VOTING POWER . . . . . . . . . . . . . . . . . . . . . . . -0-
                   __________________________________________________________________________
by Each Reporting  9.  SOLE DISPOSITIVE POWER  . . . . . . . . . . . .7,554,406 (See Item 5)
                   __________________________________________________________________________
Person With       10.  SHARED DISPOSITIVE POWER . . . . . . . . . . . . . . . . .  . . . -0-
_____________________________________________________________________________________________
11. Aggregate Amount Beneficially Owned by Each Reporting Person . . .7,554,406 (See Item 5)
_____________________________________________________________________________________________
12. Check Box if the Aggregate Amount in Row (11) Excludes Certain Shares . . . . . . .  [x]
_____________________________________________________________________________________________
13. Percent of Class Represented by Amount in Row (11) . . . . . . . . . . . . . . . . 35.1%
_____________________________________________________________________________________________
14. Type of Reporting Person  . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . CO
_____________________________________________________________________________________________

2 Item 1. Security and Issuer. This Statement relates to the common stock, par value $.01 per share, of Vail Resorts, Inc., a Delaware corporation (the "Issuer"), 127 Benchmark Road, Avon, Colorado 81620. Item 2. Identity and Background. The person filing this statement is Ralcorp Holdings, Inc., a Missouri corporation, formerly known as New Ralcorp Holdings, Inc., ("Ralcorp"). The principal office and place of business of Ralcorp is 800 Market Street, Suite 2900, St. Louis, Missouri 63101. Ralcorp, through itself or through its various subsidiaries, manufactures, distributes and markets private label ready-to-eat and hot cereals, Beech-Nut baby foods and private label crackers and cookies in the United States. Set forth in Appendix I with respect to each director and executive officer of Ralcorp are his or her name, business address and present principal employment or occupation and the name and principal business and address of any corporation or other organization in which such employment or occupation is carried on. No person other than persons listed as directors in Appendix I might be deemed to control Ralcorp. During the last five years, neither Ralcorp nor any director or executive officer of Ralcorp has been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors) or was a party to a civil proceeding of a judicial or administrative body of competent jurisdiction and as a result of such proceeding was or is subject to a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities subject to, federal or state securities laws or finding any violation with respect to such laws. Each of the directors and executive officers of Ralcorp is a United States citizen. Item 3. Source and Amount of Funds or Other Consideration. On January 3, 1997 pursuant to a Stock Purchase Agreement among the Issuer, Ralston Resorts, Inc. ("Resorts") and Ralston Foods, Inc. (which has merged into Ralcorp on January 31, 1997), Ralcorp exchanged all of the outstanding stock in Resorts for 7,554,406 shares of the Issuer's common stock (on a post split basis) and the assumption of $165 million in Resorts' debt. Ralcorp may receive additional shares in the issuer subject to closing adjustments related to Resorts' losses during the period August 1, 1996 through January 3, 1997. Additionally, the Shareholder Agreement restricts Ralcorp's ability to purchase Vail stock. Ralcorp may purchase Vail stock only as needed to retain Ralcorp's equity accounting treatment or in future Vail stock offerings in proportion to Apollo's purchases in the same offerings. As long as Ralcorp owns 10% or more of Vail's outstanding stock, then Ralcorp has the right to place two nominees on Vail's Board of Directors. Presently, Ralcorp has not exercised such right. On February 4, 1997, Mr. J. R. Micheletto, Chief Executive Officer and President, and Mr. R. W. Lockwood, Vice President, General Counsel and Secretary, purchased 1,000 and 450 shares of the Issuer's common stock in open market transactions described in Item 5. Except as set forth in this Item 4 and in Item 6 below, Ralcorp and its directors and executive officers have no plans or proposals which relate to or would result in any of the actions enumerated in clauses (a) - (i) of Item 4 of Schedule 13D. Item 4. Purpose of Transaction The purpose of the acquisition was to effect the sale of Resorts as described in Item 3. On January 3, 1997, the Issuer, Ralston Foods, Inc. (which was merged into Ralcorp) and Apollo Ski Partners, L.P. ("Apollo") entered into a Shareholder Agreement (the "Shareholder Agreement") that, among other things, governs the Company's ability to sell, buy and vote Vail common stock. The Shareholder Agreement is an exhibit to this Schedule 13D and the following description of the Shareholder Agreement is qualified in its entirety by the Shareholder Agreement. In part, the Shareholder Agreement provides that Ralcorp will not transfer or sell its shares of Vail common stock, without the prior approval of a majority of the Vail Board of Directors, other than (i) to affiliates or Ralcorp's stockholders; (ii) 3 pursuant to a demand or piggy-back registration under the federal securities laws as allowed under the Shareholder Agreement; or (iii) a transfer eighteen months after January 3, 1997, provided the transferee will not own more than 10% of the then outstanding voting securities of Vail and agrees to be bound by the Shareholder Agreement. In addition, Ralcorp has agreed that if it transfers its shares under the provisions of clause (iii) above, it will provide Vail with a right of first refusal, affording Vail the right to purchase such shares under the same terms and conditions, and will provide Apollo the right of second refusal. Item 5. Interest in Securities of the Issuer According to the Issuer's most recent publicly filed documents, the Issuer has issued and outstanding the following capital stock: 11,759,056 shares of Class A Common Stock and 21,539,832 shares of Common Stock. Ralcorp owns approximately 35.1% of the outstanding Common Stock, and 22.7% of the combined outstanding Class A Common Stock and Common Stock. Except as described in the Shareholder Agreement referred to in Items 4 and 6, Ralcorp has sole power to vote or to direct the vote and the sole power to dispose or direct the disposition of such shares. Except as set forth in Item 3, Ralcorp nor any director or executive officer of Ralcorp beneficially owns or has a right to acquire, directly or indirectly, any other shares of any class of common stock of the Issuer, nor during the past sixty days have there been any transactions in any class of the common stock of the Issuer by Ralcorp or any director or executive officer of Ralcorp. Mr. J. R. Micheletto directly owns 1,000 shares of the outstanding Common Stock of the Issuer. He purchased the shares in an open market transaction of February 4, 1997, at $22.00 per share. He has sole power to vote or direct the vote and sole power to dispose or direct the disposition of such shares. Mr. R. W. Lockwood directly owns 450 shares of the outstanding Common Stock of the Issuer. He purchased the shares in an open market transaction on February 4, 1997, at $22.00 per share. He has sole power to vote or direct the vote and sole power to dispose, or direct the disposition of such shares. Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer. The Shareholder Agreement contains a number of covenants on the part of Ralcorp prohibiting Ralcorp from attempting to control or act to change control of the management of the Issuer. Ralcorp, Apollo, and the Issuer are parties to the Shareholder Agreement pursuant to which they have agreed to cause the Board of Directors of the Issuer to consist of no more than twenty directors, with Ralcorp having the ability to nominate two directors for so long as it owns at least 10% of the Issuer's outstanding voting securities. Pursuant to the Shareholder Agreement, Apollo has agreed to vote in favor of the election of two directors nominated by Ralcorp. The Shareholder Agreement subjects Ralcorp to a voting agreement with respect to actions taken by the Issuer's Board of Directors. Among other things, Ralcorp agrees to vote (i) "for" all the nominees recommended by the Board, (ii) with the Board on all shareholder proposals and (iii) in the same proportion as all other shareholders (i.e., "for", "against" and "abstain") on all other matters, except that Ralcorp has full discretion on extraordinary events such as mergers or consolidations, sales of assets, creation of new stock with voting rights and changes in the Issuer's charter or bylaws. Under the terms of the Shareholder Agreement, Ralcorp has agreed to certain restrictions on the resale of its Vail common stock. Ralcorp has agreed not to transfer or sell its shares of common stock, without the prior approval of a majority of the Board of Directors, other than (i) to affiliates or Ralcorp's stockholders, (ii) pursuant to a demand or piggy-back registration as allowed under the Shareholder Agreement, (iii) a transfer eighteen months after January 3, 1997, provided the transferee will not own more than 10% of the then outstanding voting securities of the Issuer and agrees to be bound by the Shareholder Agreement. In addition, if Ralcorp transfers its shares under (iii) above, it has agreed to provide the Issuer with a right of first refusal, affording the Issuer the right to purchase such shares under the same terms and conditions, and to provide Apollo a right of second refusal if the Issuer elects not to purchase such shares. The Shareholder Agreement will terminate (i) upon agreement of each of Apollo and Ralcorp; (ii) upon the dissolution of the Issuer or a sale of substantially all of its assets; or (iii) when either Apollo or Ralcorp owns less than 10% of the Issuer's outstanding voting securities. Pursuant to the Shareholder Agreement, the Issuer has granted to each of Apollo and Ralcorp certain demand and piggyback registration rights with respect to the Common Stock owned by them. Apollo and Ralcorp will each have the right to effect one demand registration per twelve month period; provided, that no demand registration may be made within six months after the effective date of any other registration of voting securities of the Issuer under the Securities Act of 4 1933, as amended (the "Securities Act"). In addition, the Issuer will have the right to purchase Ralcorp's shares in lieu of registration (with Apollo have the right to purchase such shares if the Issuer elects not to purchase). The foregoing description of the Shareholder Agreement is qualified in its entirety by the Shareholder Agreement which is filed as an exhibit to this Schedule 13D. Item 7. Materials to be Filed as Exhibits Exhibit 1: Shareholder Agreement dated as of January 3, 1997, among Vail Resorts, Inc., Ralston Foods, Inc. and Apollo Ski Partners, L.P. Signature After reasonable inquiry and to the best of my knowledge and belief, the undersigned certify that the information set forth in this statement is true, complete and correct. Ralcorp Holdings, Inc. By: /s/ J. R. Micheletto -------------------------------------------- Name: J. R. Micheletto Title: Chief Executive Officer and President APPENDIX 1 Set forth below with respect to each director and executive officer of Ralcorp are his or her name and (a) business address (unless another address is set forth, the business address of each person is 800 Market St., Suite 2900, St. Louis, MO 63101); (b) present principal employment or occupation and the name and (if not Ralcorp) principal business of any corporation or other organization in which such employment or occupation is carried on and the address of such corporation or other organization (which, unless another address is set forth, it is the same as the business address set forth for such person); and (c) the number of shares of the Issuer's common stock beneficially owned. Ralcorp believes the stock ownership information below is correct as of February 13, 1997. The information will be updated when amendments to this Schedule 13D are filed. EXECUTIVE OFFICERS K. S. Hunt: (a) see above; (b) Corporate Vice President and President of Bremner, Inc.; (c) none. R. W. Lockwood: (a) see above; (b) Corporate Vice President, General Counsel and Secretary; (c) 450. J. R. Micheletto: (a) see above; (b) Director and Chief Executive Office and President; (c) 1,000. J. A. Nichols: (a) see above; (b) Corporate Vice President and President, Ralston Foods; (c) none. D. P. Skarie: (a) see above; (b) Corporate Vice President and Director, Director of Customer Development of Ralston Foods; (c) none. 5 S. P. Widham: (a) see above; (b) Corporate Vice President and President, Beech-Nut Nutrition Corporation; (c) none. R. D. Wilkinson: (a) see above; (b) Corporate Vice President and Director, Product Supply of Ralston Foods; (c) none. DIRECTORS W. H. Danforth: (a) Campus Box 1044, 7425 Forsyth Blvd., Suite 262, Clayton, MO 63105-2198; (b) Chairman of the Board of Trustees, Washington University; (c) none. W. D. George, Jr.: (a) c/o Council House, 222 Three Mile Rd, Racine, WI 53402; (b) retired President and Chief Executive Officer, S. C. Johnson & Son, Inc.; (c) none. J. W. Goodall: (a) 9330 Balboa Avenue, San Diego, CA 92123-1516; (b) Chairman of the Board, Foodmaker, Inc.; (c) none. D. W. Kemper: (a) 8000 Forsyth, 2nd Floor, St. Louis, MO 63105; (b) Chairman, President and Chief Executive Officer, Commerce Bancshares, Inc.; (c) none. J. R. Micheletto: see above. W. P. Stiritz: (a) Checkerboard Square - 15T, St. Louis, MO 63164; (b) Chairman, Chief Executive Officer and President, Ralston Purina Company; (c) none.
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                                                                   EXHIBIT 1











                             SHAREHOLDER AGREEMENT

                                     Among

                               VAIL RESORTS, INC.

                              RALSTON FOODS, INC.

                                      AND

                           APOLLO SKI PARTNERS, L.P.



                                January 3, 1997



   2


                               TABLE OF CONTENTS


                                                                            Page

ARTICLE I - DEFINITIONS 1

ARTICLE II - STANDSTILL AND VOTING PROVISIONS ......................    6 
         Section 2.1.    Standstill Covenants ......................    6
         Section 2.2.    Acquisition of Vail Securities ............    8
         Section 2.3.    Voting of Vail Equity .....................    9
         Section 2.4.    Restrictions on Certain Transactions
                          Prior to IPO .............................   10

      ARTICLE III - TRANSFER OF VAIL EQUITY ........................   10
         Section 3.1.    Restrictions on Transfer ..................   10
         Section 3.2.    Exceptions to Restrictions ................   10
         Section 3.3.    Improper Transfer .........................   11
         Section 3.4.    Restrictive Legend ........................   12

      ARTICLE IV - RIGHT OF FIRST OFFER ............................   13
         Section 4.1.    Sales by Foods ............................   13

      ARTICLE V - REGISTRATION .....................................   14
         Section 5.1.    Demand Registration .......................   14
         Section 5.2.    Delay of Demand Registration ..............   16
         Section 5.3.    Piggyback Registration ....................   17
         Section 5.4.    Delay of Piggyback Registration ...........   18
         Section 5.5.    Holdback Agreements .......................   18
         Section 5.6.    Right to Purchase in Lieu of
                          Registration .............................   19

      ARTICLE VI - REGISTRATION EXPENSES ...........................   19
         Section 6.1.    Registration Expenses .....................   19

      ARTICLE VII - REGISTRATION PROCEDURE .........................   20
         Section 7.1.    Shareholder Information ...................   20
         Section 7.2.    Compliance ................................   21
         Section 7.3.    Provision of Prospectuses .................   21
         Section 7.4.    Blue Sky Compliance .......................   22
         Section 7.5.    Listing of Vail Equity ....................   22
         Section 7.6.    Stop Orders ...............................   22






                                     -i-

   3

                                                                      Page

      ARTICLE VIII - INDEMNIFICATION AND CONTRIBUTION ..............   23
         Section 8.1.           Indemnification ....................   23
         Section 8.2.           Contribution .......................   27

      ARTICLE IX - TAKE-ALONG RIGHTS ...............................   28
         Section 9.1.           Take-Along Rights ..................   28

      ARTICLE X - INITIAL PUBLIC OFFERING ..........................   29
         Section 10.1.          IPO Commitment .....................   29
         Section 10.2.          Co-Manager .........................   29
         Section 10.3.          Foods Initiated IPO ................   30

      ARTICLE XI - ADDITIONAL COVENANTS ............................   30
         Section 11.1.          Maintain Listing or Quotation ......   30
         Section 11.2.          Board of Directors .................   31
         Section 11.3.          No Inconsistent Agreements .........   31
         Section 11.4.          Rules 144 and 144A .................   31
         Section 11.5.          Limitations on Holdings of Foods
                                 Associates ........................   31

      ARTICLE XII - MISCELLANEOUS ..................................   31
         Section 12.1.          Entire Agreement ...................   31
         Section 12.2.          Headings and Captions ..............   31
         Section 12.3.          Choice of Law ......................   32
         Section 12.4.          Venue ..............................   32
         Section 12.5.          Notices ............................   32
         Section 12.6.          Amendments .........................   33
         Section 12.7.          Extended Meanings ..................   33
         Section 12.8.          Successors and Assigns .............   33
         Section 12.9.          Severability .......................   34
         Section 12.10.         Counterparts .......................   34
         Section 12.11.         Remedies Cumulative ................   34
         Section 12.12.         Binding Agreement ..................   34
         Section 12.13.         Recapitalizations, Exchanges, Etc.,
                                 Affecting Vail Securities .........   34
         Section 12.14.         Other Agreements ...................   35
         Section 12.15.         Termination ........................   35
         Section 12.16.         Enforcement ........................   35
         Section 12.17.         Confidentiality ....................   36


                                     -ii-


   4

                                                                      Page

         Section 12.18.         Fiduciary Accounts .................   36


                                    -iii-
   5

                             SHAREHOLDER AGREEMENT


     THIS SHAREHOLDER AGREEMENT, dated January 3, 1997 (the "Agreement"), is
among Vail Resorts, Inc., a Delaware corporation ("Vail"), Ralston Foods, Inc.,
a Nevada corporation ("Foods"), and Apollo Ski Partners, L.P., a Delaware
limited partnership ("Apollo") (Foods and Apollo and their respective legal
representatives, successors and assigns are referred to herein individually as
a "Shareholder" and collectively as the "Shareholders").

     WHEREAS, pursuant to the Stock Purchase Agreement dated as of July 22,
1996, as amended (the "Purchase Agreement") by and among Vail, Foods and
Ralston Resorts, Inc., a Colorado corporation ("Ralston"), Vail acquired all of
the outstanding shares of capital stock of Ralston in exchange for 3,777,203
shares of Common Stock, par value $.01 per share, of Vail ("Vail Stock"); and

     WHEREAS, Apollo owns 1,325,669 shares of Vail Stock and 5,958,874 shares
of Class A Common Stock, par value $.01 per share, of Vail ("Vail Class A
Stock"); and

     WHEREAS, the parties hereto desire to enter into this Agreement to provide
for certain rights and restrictions with respect to the shares of Vail Equity
(as hereinafter defined).

     NOW, THEREFORE, in consideration of the mutual covenants and obligations
set forth herein, each of Vail and Foods agree as follows:

                                      I

                                  DEFINITIONS

     As used in this Agreement, and unless the context requires a different
meaning, the following terms (whether used 

   6

                                      -2-

in the singular or plural) have the meanings indicated herein.  Any term used 
and not defined herein has the meaning set forth in the Purchase Agreement.
                                             

     "Affiliate" of a Person means any other Person that directly or indirectly
through one or more intermediaries Controls, is Controlled by or is under
common Control with such Person.

     "Apollo" has the meaning set forth above in the recitals to this
Agreement.

     "Apollo Option Period" has the meaning set forth in Section 4.1(c) of this
Agreement.

     "Associate" of a Person means any of such Person's directors, officers,
shareholders, representatives, trustees, employees, attorneys, advisors or
agents.

     "Business Day" means any day other than a Saturday, Sunday or legal
holiday for commercial banks in New York City.

     "Change of Control" means any "person" or "group" (as such terms are used
in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as
amended), other than Apollo or one or more Affiliates of Appollo, becomes the
beneficial owner of (i) more than 50% of the total outstanding Vail Securities
or (ii) such number of Vail Securities which would allow such person or group
to elect a majority of the Board of Directors of Vail.

     "Closing" means the closing of the transactions contemplated by the
Purchase Agreement.

     "Control" (including the terms "Controlling," "Controlled by" and "under
common Control with") means the possession of the power, directly or
indirectly, (a) to elect a majority of the board of directors (or equivalent
governing body) of the entity in question; or (b) to direct or cause the
direction of the management and policies of or with respect to 


   7

                                      -3-

the entity or assets in question, whether through ownership of securities, by 
contract or otherwise.

     "Demand Notice" has the meaning set forth in Section 5.1(a) of this
Agreement.

     "Demand Registration" has the meaning set forth in Section 5.1(a) of this
Agreement.


     "Discussion Period" has the meaning set forth in Section 10.3(b) of this
Agreement.

     "Exchange Act" means the Securities Exchange Act of 1934, as amended, and
the rules and regulations thereunder.

     "First Option" has the meaning set forth in Section 4.1(b) of this
Agreement.

     "Foods" has the meaning set forth above in the recitals to this Agreement.

     "Foods Initiated IPO" has the meaning set forth in Section 10.3(b) of this
Agreement.

     "Foods Notice" has the meaning set forth in Section 10.3(b) of this
Agreement.

     "GAAP" means accounting principles which are (a) consistent with the
principles promulgated or adopted by the Financial Accounting Standards Board
and its predecessors in effect from time to time and (b) applied on a basis
consistent with prior periods.

     "Group" means any group of Persons within the meaning of Section 13(d)(3)
of the Exchange Act.

     "IPO" means the consummation of an initial public offering of Vail Stock
pursuant to a registration statement filed with the Securities and Exchange
Commission.


   8

                                      -4-


     "Loss" has the meaning set forth in Section 8.1(a)(i) of this Agreement.

     "Marketable Number" has the meaning set forth in Section 5.1(e) of this
Agreement.

     "Non-Qualified Transferee" has the meaning set forth in Section 9.1 of
this Agreement.

     "Non-Requesting Shareholder" has the meaning set forth in Section 5.1(e)
of this Agreement.

     "Person" means an individual, corporation, partnership, trust,
incorporated or unincorporated association, joint venture, joint stock company,
limited liability company, government (or an agency or political subdivision
thereof) or other entity of any kind.

     "Piggyback Notice" has the meaning set forth in Section 5.3(a) of this
Agreement.

     "Piggyback Registration" has the meaning set forth in Section 5.3(a) of
this Agreement.

     "Piggyback Shareholder" has the meaning set forth in Section 5.3(a) of
this Agreement.

     "Private Sale" has the meaning set forth in Section 2.2 of this Agreement.

     "Purchase Agreement" has the meaning set forth above in the recitals to
this Agreement.

     "Ralston" has the meaning set forth above in the recitals to this
Agreement.

     "Registration Statement" means any registration statement or comparable
document under Section 5 of the 


   9

                                      -5-


Securities Act through which a public sale or disposition of Vail Securities
may be registered other than a registration statement (a) relating to an
Employee Benefit Plan or similar plan or a business combination or (b) on any
form that is not available for a secondary offering.

     "Requesting Shareholder" has the meaning set forth in Section 5.1(d) of
this Agreement.

     "SEC" means the Securities and Exchange Commission or other federal agency
at the time administering the Securities Act, the Exchange Act or any successor
acts thereto.

     "Second Option" has the meaning set forth in Section 4.1(c) of this
Agreement.

     "Section 4.1 Shares" has the meaning set forth in Section 4.1(a) of this
Agreement.
                                
     "Section 5.6 Shares" has the meaning set forth in Section 5.6 of this
Agreement.

     "Section 9.1 Shares" has the meaning set forth in Section 9.1 of this
Agreement.

     "Securities Act" means the Securities Act of 1933, as amended, and the
rules and regulations thereunder.

     "Shareholder" means Apollo or Foods and its permitted successors and
assigns.

     "Shareholder Indemnified Party" has the meaning set forth in Section
8.1(c) of this Agreement.

     "Transfer" with respect to all or any part of the Vail Equity means to
directly or indirectly (whether or not through an underwriter) sell, convey,
distribute, transfer (by merger or otherwise), assign, devise, exchange,
encumber, gift, pledge, hypothecate or otherwise dispose of such Vail Equity
(including 


   10

                                      -6-

without limitation the sale or disposition of an entity the primary
asset of which is Vail Equity).

     "Transfer Notice" has the meaning set forth in Section 4.1(a) of this
Agreement.

     "Trigger Date" has the meaning set forth in Section 10.3(a) of this
Agreement.

     "Vail" has the meaning set forth above in the recitals to this Agreement.

     "Vail Class A Stock" means the Class A Common Stock of Vail, par value
$.01 per share.

     "Vail Equity" means (i) shares of Vail Stock acquired by Foods at the
Closing and any other Vail Securities owned, beneficially or of record, by
Foods or any of its Affiliates at any time during the term of this Agreement
and (ii) shares of Vail Stock, Vail Class A Stock and any other Vail Securities
owned, beneficially or of record, by Apollo or any of its Affiliates at any
time during the term of this Agreement.

     "Vail Indemnified Party" has the meaning set forth in Section 8.1(a) of
this Agreement.

     "Vail Market Price" means the average of the closing sale prices of the
Vail Stock being valued on the New York Stock Exchange or, if the Vail Stock is
not listed or admitted to trading on the New York Stock Exchange, as reported
in the principal consolidated transaction reporting system of the principal
national securities exchange on which the Vail Stock is listed or admitted to
trading, for the twenty (20) trading days which end on the day immediately
prior to the date of the Demand Notice.  If the Vail Stock is not listed or
admitted to trading on any national securities exchange, "Vail Market Price"
means the last quoted sale price or, if not so quoted, the average of the high
bid and low asked prices in the over-the-counter market, as reported by the
National  Association of Securities Dealers, 


   11

                                      -7-


Inc. Automated Quotation System or such other system then in use, for the
twenty (20) trading days which end on the day immediately prior to such date
or, if on any such trading day the Vail Stock is not quoted by any such
organization, the average of the closing bid and asked prices as furnished by
two professional market makers making a market in the Vail Stock, one selected
in good faith by the board of directors of Vail and the other selected in good
faith by Foods.  If the Vail Stock is not publicly held or so listed or
publicly traded, "Vail Market Price" means the cash price at which a willing
seller would sell and a willing buyer would buy such securities in an
arm's-length negotiated transaction without undue time restraints, as
determined in good faith by an investment banking firm selected by agreement
between Vail and Foods.

     "Vail Option Period" has the meaning set forth in Section 4.1(b) of this
Agreement.

     "Vail Securities" means the Vail Stock, Vail Class A Stock and any other
voting securities of Vail or its Affiliates, including any securities
convertible into or exercisable or exchangeable for any voting securities of
Vail.

     "Vail Stock" has the meaning set forth above in the recitals to this
Agreement.

                                     II

                        STANDSTILL AND VOTING PROVISIONS

     II.1 Standstill Covenants.  Unless otherwise permitted in this Agreement,
Foods agrees that during the term of this Agreement, it will not, directly or
indirectly:

     (a) acquire, offer to acquire, or agree to acquire by purchase or
  otherwise, any Vail Securities except as a result of a stock split, stock
  dividend or similar recapitalization by Vail;


   12

                                      -8-

           (b) except in the ordinary course of business, acquire, offer to
      acquire, or agree to acquire by purchase or otherwise, any assets of
      Vail;

           (c) initiate, solicit, propose, seek to effect or negotiate, alone
      or with any other Person, (i) any form of business combination
      transaction involving Vail or any  Affiliate thereof, or (ii) any
      restructuring, recapitalization or similar transaction with respect to
      Vail or any Affiliate thereof;

           (d) initiate, solicit, propose, seek to effect, negotiate, or
      announce an intent to make, alone or with any other Person, any tender
      offer, exchange offer, merger, consolidation or share exchange for any
      Vail Securities, or disclose an intent, purpose, plan or proposal with
      respect to Vail, any of its Affiliates or any Vail Securities
      inconsistent with the provisions of this Agreement;

           (e) make, or in any way participate in, any "solicitation" of
      "proxies" (as such terms are defined or used in Regulation 14A under the
      Exchange Act) with respect to Vail or any of its Affiliates or become a
      "participant" in any "election contest" (as such terms are defined or
      used in Rule 14a-11 under the Exchange Act) involving Vail or any of its
      Affiliates;

           (f) initiate, solicit or propose the approval of one or more
      shareholder proposals with respect to Vail or any of its Affiliates or
      induce or attempt to induce any other Person to initiate any such
      shareholder proposal;



           (g) form, join or in any way participate in a Group with respect to
      the Vail Securities;

           (h) except as expressly provided herein, seek election to or seek to
      place a representative on the board of directors of Vail or any of its
      Affiliates or seek the 

   13

                                      -9-

      removal of any member of the board of directors of Vail or any of its 
      Affiliates;

           (i) except for participation on the board of directors of Vail, act
      in concert with any other Person to seek to affect the management or
      board of directors of Vail or any of its Affiliates or the business,
      operations or affairs of Vail or any of its Affiliates;

           (j) call or seek to have called any meeting of the shareholders of
      Vail or any of its Affiliates;

           (k) disclose to any third party or in any filing with any
      governmental authority any intention, plan or arrangement inconsistent
      with any of the foregoing or with  the restrictions on transfer set forth
      in this Agreement; or

           (l) enter into any discussions, negotiations, arrangements or
      understandings with any third party with respect to any of the foregoing,
      or advise, assist, encourage or influence any other Person to take any
      action with respect to any of the foregoing.

     II.2 Acquisition of Vail Securities.  Notwithstanding Section 2.1 hereof,
Foods may purchase in one or more open market transactions or otherwise
(including the IPO) that number of shares of Vail Securities necessary for
Foods to continue to account for its investment in Vail under the equity
accounting method under GAAP; provided, that in no event shall any such
purchase result in the ownership by Foods and its Affiliates of Vail Securities
exceeding 23.5% of the total outstanding Vail Securities.  In the event that
Vail proposes to register or otherwise offer any Vail Securities for sale for
its own account (including the IPO) under the Securities Act (other than a
registration of securities in connection with a merger, an acquisition, an
exchange offer or an employee benefit plan maintained by Vail or its Affiliates
or on Form S-4 or S-8 or any successor or similar form or by means of a shelf
registration pursuant to Rule 415 under the Securities Act) or in a 


   14

                                      -10-


transaction exempt from registration under the Securities Act (a "Private
Sale"), Vail will give written notice to Foods of its intention to do so and of
Foods' rights under this Section 2.2, at least twenty (20) calendar days prior
to the anticipated filing date of a Registration Statement relating to such
registration (or if such transaction is a Private Sale a comparable period of
time).  Foods will have the right, but not the obligation, to elect to purchase
shares in such offering (including the IPO), at the same price Vail is to
receive for the shares to be sold for its account provided that if such
offering is not the IPO Foods shall only have such purchase right if Apollo is
purchasing Vail Securities in such offering, in which case the number of Vail
Securities that Foods may purchase in such offering shall be equal to the
number of shares proposed to be purchased by Apollo multiplied by a fraction,
the numerator of which is the total number or shares of Vail Equity owned by
Foods at such time and the denominator of which is the sum of the total number
of shares of Vail Equity owned by Apollo and Foods at such time.  In the event
that the size of such offering is increased after Foods has received notice of
such offering, Foods will have the right, but not the obligation, to 
proportionately increase its purchase of shares in such offering.  Foods may
exercise its purchase rights under this Section 2.2 by notifying Vail of its
election to purchase shares (which election shall be irrevocable) in such
offering within ten days of receiving notice from Vail (failure by Foods to
give such notice within such ten-business-day period shall be deemed an
election by Foods not to purchase Vail Securities in such offering).  Any
purchase by Foods of Vail Securities pursuant to this Section 2.2 may not
result in Foods and its Affiliates' ownership exceeding 23.5% of the total
outstanding Vail Securities.  Foods shall not be entitled to a Piggyback
Registration with respect to any offering if it has elected to purchase Vail
Securities in such offering.

     II.3 Voting of Vail Equity.  Foods agrees that during the term of this
Agreement, with respect to the election of directors of Vail, each class of
Vail Equity owned by Foods and its Affiliates shall be voted (i) "for" the
nominees recommended by the Board of Directors of Vail, provided Vail and
Apollo are 


   15
                                      
                                     -11-

in compliance with the terms of Section 11.2 of this Agreement, (ii) in
accordance with the recommendation of the Board of Directors of Vail on each
proposal of a security holder pursuant to Rule 14a-8 under the Exchange Act, so
long as the subject matter of such proposal does not fall within the
proviso hereto, and (iii) with respect to all other matters requiring a vote of
the Vail Equity, "for" any proposal in the same proportion as the votes cast
"for" such proposal by the holders of the Vail Securities of the same class
(excluding the Vail Equity owned by Foods), and "against" any proposal in the
same proportion as the votes cast "against" such proposal by the holders of
each such class of Vail Securities (excluding the Vail Equity owned by Foods)
and that with respect to broker non-votes and abstentions, each class of Vail
Equity owned by Foods will be voted in the same proportion as votes deemed
"for," "against" or "abstain," giving effect to broker non-votes and
abstentions as required under the laws and rules then applicable; provided,
however, that Foods shall retain the right to vote its Vail Equity in any
manner it sees fit with respect to any proposals for (1) the merger,
consolidation or other business combination of Vail or any subsidiary of Vail
with or into any other corporation, (2) the sale, lease, exchange, transfer or
other disposition of all or substantially all of the assets of Vail and all of
its subsidiaries taken together as a single business, (3) the creation of any
other class of stock with voting rights and (4) changes to the Certificate of
Incorporation or Bylaws of Vail that adversely affect Foods' rights under this
Agreement.  The  provisions of this Section 2.3 shall apply to both the casting
of votes at meetings of shareholders and execution of actions by written
consent.

     II.4 Restrictions on Certain Transactions Prior to IPO.  Prior to the IPO,
Vail shall not, without the prior written approval of Foods, (1) enter into
transactions with Apollo or its Affiliates that are not on an arm's-length
basis (other than the continuation or extension of contracts or arrangements
between Vail and Apollo and its Affiliates that are in existence as of the date
of this Agreement and have heretofore been disclosed to Foods), (2) permit (a)
the merger of Vail with or into any other 


   16

                                     -12-


corporation (other than a subsidiary of Vail), (b) the sale, lease, exchange,
transfer or other disposition of all or substantially all of the assets of
Vail and all of its subsidiaries taken together as a single business, (c) the
creation of any other class of stock with voting rights that materially
adversely affects Foods' rights under this Agreement or (d) changes to the
Certificate of Incorporation or Bylaws of Vail that adversely affect Foods'
rights under this Agreement, or (3) enter into any material business not
currently conducted by Vail that is not related to the operation of ski 
resorts, real estate or the vacation, leisure and entertainment industries.

                                     III

                            TRANSFER OF VAIL EQUITY

     III.1 Restrictions on Transfer.  During the term of this Agreement, Foods
agrees that it will not, and it will cause each of its Affiliates who acquire
Vail Equity not to, Transfer any Vail Equity, except as permitted by or in
accordance with this Agreement.

     III.2 Exceptions to Restrictions.  Subject to all applicable laws, the
restrictions on Transfer set forth in Section 3.1 hereof shall not apply to any
of the following:

     (a) a Transfer of some or all of the Vail Equity pro rata to all of
  the holders of common stock of Foods as a dividend or distribution, in
  redemption of the Foods Stock or pursuant to a similar transaction;

     (b) a Transfer of some or all of the Vail Equity to an Affiliate of
  Foods, provided that such Affiliate (i) shall agree to be bound by and
  subject to the  provisions of this Agreement, (ii) Foods shall remain
  liable for the performance by such Affiliate of its obligations under
  this Agreement and (iii) such Affiliate shall have executed and
  delivered to Vail the guaranty required by Section 5.14 of the Purchase
  Agreement;


   17

                                      -13-

           (c) a Transfer of some or all of the Vail Equity in accordance with
      Section 5.1 or 5.3 of this Agreement;

           (d) a Transfer of some or all of the Vail Equity in any tender
      offer, self-tender, exchange offer, going private transaction or other
      transaction involving a Transfer which is recommended to shareholders of
      Vail by at least a majority of the Board of Directors of Vail;

           (e) subject to Section 4.1, a Transfer of some or all of the Vail
      Equity with the prior written consent of a majority of the Board of
      Directors of Vail;
                                          
           (f) subject to Section 4.1, a Transfer of some or all of the Vail
      Equity pursuant to Rule 144 of the Securities Act if an IPO has not been
      consummated by December 31, 1998;
           (g) subject to Section 4.1, a Transfer of some or all of the Vail
      Equity if an IPO has not been consummated by December 31, 1998 and such
      transferee agrees to be bound by the terms of this Agreement; and

           (h) subject to Section 4.1, a Transfer of some or all of the Vail
      Equity on or after the date which is 18 months after the date of this
      Agreement, provided that (i) the transferee agrees to be bound by and
      subject to the provisions of this Agreement, (ii) after giving effect to
      such Transfer, the transferee will not own, directly or indirectly, more
      than 10% of the then outstanding Vail Securities and (iii) such
      transferee agrees with Vail and Apollo not to thereafter purchase or
      otherwise acquire, directly or indirectly, any additional Vail Securities
      if it would result in such transferee owning, directly or indirectly,
      more than 10% of the then outstanding Vail Securities.

        III.3 Improper Transfer.  Any attempt to Transfer any shares of Vail
Equity not in accordance with this Agreement will be null and void and Vail
will not give nor  permit the transfer 

   18

                                      -14-

agent of Vail to give any effect to such attempted Transfer in its stock 
records.

        III.4 Restrictive Legend.

        (a) A copy of this Agreement will be filed with the Secretary of Vail 
and kept with the records of Vail.  All certificates representing shares of
Vail Equity hereafter issued to or acquired by Foods or its successors or
permitted assigns, will bear the following legend (until such time as such
shares are sold pursuant to an effective registration statement or pursuant to
Rule 144 under the Securities Act) noted conspicuously on such certificates:

      THE SHARES EVIDENCED BY THIS CERTIFICATE HAVE BEEN ACQUIRED FOR
      INVESTMENT ONLY, AND MAY NOT BE OFFERED, SOLD, TRANSFERRED (BY MERGER OR
      OTHERWISE), ASSIGNED, DEVISED, EXCHANGED, GIFTED, PLEDGED, HYPOTHECATED
      OR OTHERWISE DISPOSED OF UNLESS AND UNTIL REGISTERED UNDER THE SECURITIES
      ACT OF 1933, AS AMENDED (THE "ACT"), AND ANY APPLICABLE STATE SECURITIES
      LAWS OR UNLESS SUCH TRANSFER IS EXEMPT FROM REGISTRATION, AND AN
      ACCEPTABLE OPINION OF COUNSEL IS DELIVERED TO VAIL RESORTS, INC. WITH
      REGARD TO SUCH EXEMPTION, OR IS OTHERWISE IN COMPLIANCE WITH THE ACT AND
      SUCH STATE SECURITIES LAWS.

      THE SHARES EVIDENCED BY THIS CERTIFICATE ARE SUBJECT TO THE RESTRICTIONS
      ON TRANSFER SET FORTH IN THE SHAREHOLDER AGREEMENT, DATED           ,
      1996.  NO TRANSFER OF THESE SHARES WILL BE EFFECTIVE UNLESS AND UNTIL THE
      TERMS AND CONDITIONS OF SUCH SHAREHOLDER AGREEMENT HAVE BEEN COMPLIED
      WITH IN FULL AND NO PERSON MAY REQUEST VAIL RESORTS, INC.  TO RECORD THE
      TRANSFER OF ANY SHARES IF SUCH TRANSFER IS IN VIOLATION OF SUCH
      SHAREHOLDER AGREEMENT.  A COPY OF THE SHAREHOLDER AGREEMENT IS ON FILE AT
      THE EXECUTIVE OFFICES OF VAIL RESORTS, INC. AND WILL BE FURNISHED WITHOUT
      CHARGE TO THE HOLDER OF SUCH SHARES UPON WRITTEN REQUEST.  THE SHARES
      EVIDENCED BY THIS CERTIFICATE ARE SUBJECT TO RESTRICTIONS ON VOTING
      PROVIDED FOR IN THE SHAREHOLDER AGREEMENT AND NO VOTE 

   19

                                      -15-

   OF SUCH SHARES THAT CONTRAVENES THE SHAREHOLDER AGREEMENT SHALL BE EFFECTIVE.

     (b) Until such time as the Vail Equity has been registered pursuant to a
registration statement under the Securities Act or sold pursuant to Rule 144 of
the Securities Act, the certificates representing Vail Equity (including,
without limitation, all certificates issued upon Transfer or in  exchange or
substitution therefor) will also bear any legend required under any other
applicable laws, including state securities or blue sky laws.

     (c) Vail may make a notation on its records or give stop-transfer
instructions to any transfer agents or registrars for the Vail Equity in order
to implement the restrictions set forth in this Article III.

     (d) In the event Foods acquires any other or additional Vail Securities,
Foods will submit all certificates representing such Vail Securities to Vail so
that any appropriate legend or legends required by this Section 3.4 may be
placed thereon.

                                     IV

                              RIGHT OF FIRST OFFER

     IV.1 Sales by Foods.

     (a) Prior to any Transfer pursuant to Section 3.2(e), (f), (g) and (h),
Foods must first give written notice of its intent to make such Transfer (a
"Transfer Notice") to Vail and Apollo setting forth the number of shares of
Vail Equity (the "Section 4.1 Shares") that Foods desires to Transfer and the
cash price that Foods proposes to be paid for such Section 4.1 Shares and the
other terms and conditions of such proposed Transfer.

     (b) Vail shall have the right, but not the obligation, to purchase the
Section 4.1 Shares (the "First Option") on the 

   20

                                      -16-

same terms and conditions as set forth in such notice, which option shall be
exercised by delivering to Foods irrevocable written notice of its
commitment to purchase the Section 4.1 Shares within ten business days after
receipt of the Transfer Notice (the "Vail Option Period").  Failure by Vail to
give such notice within such ten-business-day period shall be deemed an
election by Vail not to purchase the Section 4.1 Shares.

     (c) In the event that Vail decides not to purchase the Section 4.1 Shares
pursuant to Section 4.1(b), then Apollo will have the right, but not the
obligation, to purchase the Section 4.1 Shares (the "Second Option") on the
same terms and conditions as set forth in the Transfer Notice, which option
shall be exercised by delivering to Foods irrevocable written  notice of its
commitment to purchase the Section 4.1 Shares within five business days after
the termination of the Vail Option Period (the "Apollo Option Period").
Failure by Apollo to give such notice within such five-business-day period
shall be deemed an election by Apollo not to purchase the Section 4.1 Shares.

     (d) Delivery of written notice by Vail or Apollo accepting the First
Option or the Second Option, as the case may be, shall constitute a contract
between Vail or Apollo, on the one hand, and Foods, on the other hand, for the
purchase and sale of the Section 4.1 Shares on the terms and conditions set
forth in the Transfer Notice.  The purchase of any shares pursuant to the
exercise of the First Option or the Second Option, as the case may be, shall be
completed not later than 30 days following delivery of the Transfer Notice with
respect to the Section 4.1 Shares, subject to receipt of any required material
third-party or governmental approvals, compliance with applicable laws and
the absence of any injunction or similar legal order preventing such
transaction.  In the event that neither the First Option nor the Second Option
is exercised, Foods shall have the right for a period of 45 days after the
termination of the Apollo Option Period to Transfer the Section 4.1 Shares at a
price not less than 90% of the price contained in, and on terms and conditions
no less favorable to Foods than those set forth in, the Transfer Notice;
provided that the Transferee agrees to be bound by the 

   21

                                      -17-

terms and conditions of this Agreement (unless the Transfer is pursuant to 
Rule 144 under the Securities Act).

                                      V

                                  REGISTRATION

     V.1 Demand Registration.

     (a) After the consummation of an IPO or at such time prior to the
consummation of an IPO as is permitted by Section 10.3 with respect to a given
Shareholder, upon a Shareholder's written request specifying the intended
manner of disposition (including the number of shares of Vail Equity to be
sold) (a "Demand Notice"), Vail will use its best efforts to prepare and file
with the SEC, as expeditiously as possible, a Registration Statement on an
available form for which Vail then qualifies (but not including by means of a
shelf registration pursuant to Rule 415 under the Securities Act), which legal
counsel for Vail deems appropriate and which is available for the sale of  Vail
Equity to permit an underwritten public offering of some or all of the shares
of Vail Equity then held by such Shareholder and use its best efforts to cause
such registration statement to become effective (a "Demand Registration").

     (b) A Demand Registration will not be deemed to have occurred until it has
become effective under the Securities Act (unless a Shareholder delivers a
Demand Notice and subsequently withdraws the Demand Notice, in which case such
Demand Registration will be deemed to have occurred unless such Shareholder
agrees to pay all reasonable out-of-pocket expenses associated with such
registration actually incurred by Vail); provided, however, that if, after a
Demand Registration has become effective, the offering of Vail Equity pursuant  
to such Demand Registration is prohibited by any stop order, injunction or 
other order or requirement of the SEC or other governmental agency or a court,
such Demand Registration will be deemed not to have occurred (unless such
prohibition on the sale of the Vail Equity is based on actions or omissions of
such Shareholder, in 

   22

                                      -18-

which case such Demand Registration will be deemed to have occurred unless
such Shareholder agrees to pay all reasonable out-of-pocket expenses associated
with such registration actually incurred by Vail).

     (c) Vail shall only be obligated to effect one Demand Registration per
Shareholder in any twelve month period under this Section 5.1; provided,
however, that Vail will not be required to register the Vail Equity pursuant to
a Demand Notice under this Section 5.1 if at such time (i) the shares of Vail
Equity which a Shareholder is requesting to be registered pursuant to this
Section 5.1 constitute less than 6.0% (or, if less, all of the shares of Vail
Equity owned by such Shareholder) of the outstanding Vail Securities so
requested to be registered or (ii) such Demand Notice is given within six (6)
months after the effective date of any other registration of any Vail
Securities under the Securities Act.

     (d) The managing underwriter will be selected by the Shareholder
requesting registration pursuant to this Section 5.1 (the "Requesting
Shareholder"); provided, however, that such underwriter shall be subject to the
approval of Vail, which approval shall not be unreasonably withheld.  In the
event there is one or more co-managers, the first such co-manager shall be
selected by Vail, provided that such co-manager shall be subject to the
approval of the Requesting Shareholder, which approval shall not be
unreasonably withheld  or delayed, and all other co-managers will be selected
by the Requesting Shareholder.

     (e) In connection with a Demand Registration, both the Shareholder not
requesting the Demand Registration (the "Non-Requesting Shareholder") and Vail
may elect to include additional shares of Vail Securities in such offering on
the same terms and conditions as the Vail Equity to be sold by the Requesting
Shareholder; provided, however, that if the managing underwriter(s) advises the
Requesting Shareholder, the Non-Requesting Shareholder and Vail that, in its
judgment, the number of shares proposed to be included in such offering exceeds
the largest number of Vail Securities which can be sold without

   23

                                      -19-

having an adverse effect on such offering, including the price at which such
securities can be sold (the "Marketable Number"), then the total number of
shares to be included in such offering shall be limited as follows:  (i) first,
all the shares of Vail Equity that the Requesting Shareholder and the
Non-Requesting Shareholder propose to sell up to the Marketable Number,
allocated pro rata between the Requesting Shareholder and the Non-Requesting
Shareholder on the basis of the relative number of Vail Securities that the
Requesting Shareholder and the Non-Requesting Shareholder have proposed to be
included in such registration, and (ii) second, all the shares of Vail
Securities that Vail proposes to sell, which does not exceed the difference, if
any, between the Marketable Number and that number of shares which the
Requesting Shareholder and the Non-Requesting Shareholder have included
pursuant to clauses (i) and (ii) above.

     V.2 Delay of Demand Registration.  Notwithstanding anything to the
contrary in Article V hereof, in the event that Vail determines in its
reasonable judgment that it may be advisable to delay filing a Registration
Statement described in Section 5.1 hereof or to withdraw such Registration
Statement if such Registration Statement has already been filed, Vail may delay
filing such, or withdraw such previously filed, Registration Statement for a
period of not more than ninety (90) days from the date of receipt of the
request for the Demand Registration if Vail furnishes to the Requesting
Shareholder a certificate signed by an executive officer of Vail stating that
Vail has reasonably determined that (i) such a filing would adversely affect
any proposed financing or acquisition by Vail or (ii) such a filing would
otherwise represent an undue hardship for Vail; provided, however, that Vail
will, at the request of the Requesting Shareholder, file or refile, as the case
may be, such  Registration Statement promptly after Vail, in its reasonable
judgment, determines that it is no longer advisable to delay filing or to
continue the withdrawal of such Registration Statement but in no event shall
the filing or re-filing of such Registration Statement be delayed more than the
aforementioned ninety (90) days.


   24

                                      -20-

     V.3 Piggyback Registration.

     (a) Right To Include Vail Equity.
                     


        (i) If Vail or any other Person (other than a Shareholder) at any time
proposes to register any Vail Securities under the Securities Act (other than a
registration of securities in connection with a merger, an acquisition, an
exchange offer or an employee benefit plan maintained by Vail or its Affiliates
or on Form S-4 or S-8 or any successor or similar form or by means of a shelf
registration pursuant to Rule 415 under the Securities Act to permit sales of
Vail Securities by employees, officers and directors of Vail), whether or not
for sale for its own account, in a manner which would permit registration of
the Vail Equity for sale to the public under the Securities Act, it will give
written notice to each Shareholder of its intention to do so and of such
Shareholder's rights under this Section 5.3(a)(i), at least twenty (20)
calendar days prior to the anticipated filing date of a Registration Statement
relating to such registration (a "Piggyback Notice").  Such Piggyback Notice
will offer each Shareholder the opportunity to include in such Registration
Statement that number of shares of Vail Equity as such Shareholder may request.
Upon the written request (the "Piggyback Registration") (which request will
specify the number of shares of Vail Equity intended to be disposed of by each
Shareholder pursuant to such Registration Statement) of each Shareholder (the
"Piggyback Shareholder") made within ten (10) calendar days after the receipt
of the Piggyback Notice, Vail will use its best efforts to effect the
registration under the Securities Act of all shares of Vail Equity which Vail
has been so requested to register; provided, however, that each Shareholder
must sell its Vail Equity requested to be included in such registration to the
underwriter(s) selected by Vail on the same terms and conditions as apply to
other Persons, including Vail, and if, at any time after receiving a reply from
each Shareholder to a Piggyback Notice and prior to the effective date of the
Registration Statement filed in connection with such registration, Vail decides
for any reason not to register any shares of Vail Securities, Vail  will notify
each Shareholder and 

   25

                                      -21-

thereupon be relieved of its obligation to register any Vail Equity in 
connection with such registration.

        (ii) No registration, whether or not effected under this Section 5.3(a),
will relieve Vail of its obligations to effect Demand Registrations under
Section 5.1 hereof.

     (b) Priority in Piggyback Registrations.  If the managing underwriter
advises Vail in writing that, in its opinion, the Marketable Number is less
than that intended to be included in a Registration Statement, Vail will
include in such Registration Statement (i) first, all of the Vail Securities
Vail proposes to sell for its own account, and (ii) second, the Vail Securities
requested to be included by the Shareholders and other Persons pursuant to
Section 5.3(a) hereof shall be allocated pro rata among the Shareholders on the
basis of the relative number of Vail Securities each Shareholder and such other
Persons has requested to be included in such registration.

     V.4 Delay of Piggyback Registration.  Notwithstanding anything to the
contrary in this Article V, in the event that Vail determines in its reasonable
judgment that it may be advisable to delay filing a Registration Statement
described in Section 5.3 hereof or to withdraw such Registration Statement if
such Registration Statement has already been filed, Vail may delay filing such,
or withdraw such previously filed, Registration Statement in accordance with
the provisions of Section 5.2 hereof.

     V.5 Holdback Agreements.

     (a) Whenever Vail effects an underwritten public offering of Vail Equity
pursuant to a registration statement (including the IPO), each Shareholder
agrees not to effect any public sale or distribution, including any sale
pursuant to Rule 144 under the Securities Act, of any Vail Securities (other
than as part of such registration) during the 15 days prior to, and during the
180-day period (or such shorter period as may be 

   26
                                    -22-


requested by the lead underwriter for such offering) beginning on, the
effective date of such registration statement.

     (b) In connection with underwritten public offering of Vail Equity
pursuant to a registration statement under this Agreement, Vail agrees not to
effect any public sale or  distribution of any Vail Securities (other than as
part of such registration or in connection with any employee stock option or
other benefit plan or any private issuance of Vail Equity where the recipient
also agrees to be bound by the hold back arrangements applicable to Vail under
this Section 5.5) during the 15 days prior to, and during the 90-day period (or
such shorter period as may be requested by the lead underwriter for such
offering) beginning on the effective date of, such registration statement.

     V.6 Right to Purchase in Lieu of Registration.

     (a) Any time Vail receives a request for a Demand Registration or a
Piggyback Registration from Foods, Vail shall have the option to purchase all
but not less than all of the Vail Equity proposed to be disposed of in such
request (the "Section 5.6 Shares") at the Vail Market Price by delivering to
Foods, a notice of Vail's election to purchase the Section 5.6 Shares within
seven (7) days of receipt by Vail of the request for the Demand Registration or
Piggyback Registration, as the case may be, pursuant to Section 5.1 or Section
5.3(a), as the case may be.

     (b) In the event that Vail decides not to purchase the Section 5.6 Shares
pursuant to Section 5.6(a), then Apollo will have the right, but not the
obligation, to purchase the Section 5.6 Shares at the Vail Market Price by
delivering to Foods a notice of Apollo's election to purchase the Section 5.6
Shares within seven (7) days of Vail deciding not to purchase the Section 5.6
Shares.

                                     VI


   27

                                      -23-


                             REGISTRATION EXPENSES

     VI.1 Registration Expenses.

     (a) Subject to Section 5.1(b) of this Agreement, all expenses incident to
Vail's performance of or compliance with Articles V and VII of this Agreement
to effect Demand Registrations and Piggyback Registrations will be borne by
Vail, including, without limitation:

           (i) all federal registration and filing fees;

           (ii) subject to Section 7.4, fees and expenses of compliance with
      securities or blue sky laws; provided, however, that Vail will in no
      event be obligated to pay the fees and disbursements of counsel for the
      underwriters or the Shareholders in connection with blue sky
      qualifications of the Vail Equity under the laws of such jurisdictions as
      the managing underwriter(s) may designate;

           (iii) printing, messenger, telephone and delivery expenses;

           (iv) fees and disbursements of legal counsel for Vail;

           (v) fees and disbursements of all independent certified public
      accountants of Vail;

           (vi) NASD fees and disbursements of the underwriters; provided,
      however, that in all cases a Shareholder will pay all costs of discounts,
      commissions, spreads or fees of underwriters, selling brokers, dealer
      managers or similar securities industry professionals relating to the
      distribution of the Vail Equity being sold by such  Shareholder;

           (vii) fees and expenses of other Persons retained by Vail; and




   28

                                      -24-

           (viii) listing or quotation fees and expenses required to be made
      pursuant to Section 7.5 hereof in connection with the Registration
      Statement.

     (b) Each of Vail and the Shareholders will pay its own respective internal
expenses (including, without limitation, all salaries and expenses of its
officers and employees performing legal or accounting duties), the fees and
expenses of any Person, including special experts, retained by Vail or the
Shareholders, respectively.

                                     VII

                             REGISTRATION PROCEDURE

     VII.1 Shareholder Information.  Each Shareholder will provide Vail with
such information about such Shareholder and the intended manner of distribution
of Vail  Equity and otherwise cooperate with Vail and the underwriter(s) as may
be necessary in the reasonable opinion of Vail to satisfy any obligation of
Vail under this Agreement to register the Vail Equity under federal or state
securities laws and otherwise take actions related thereto.  In the event of
the failure of a Shareholder to comply with the requirements of the preceding   
sentence Vail may delay filing such, and withdraw such previously filed,
Registration Statement.  Vail will file or refile, as the case may be, such
Registration Statement promptly following compliance with such requirements by
a Shareholder; provided, however, that a Shareholder will be responsible for
any reasonable out-of-pocket costs which arise out of such non-compliance.  A
Shareholder will immediately notify Vail upon discovery that any information
provided by such Shareholder which is included in the prospectus that is
included in a Registration Statement, as then in effect, is untrue in any
material respect, or omits to state any material fact required to be stated
therein or to make the information stated therein not misleading in the light
of the circumstances under which it is presented.


   29

                                      -25-

     VII.2 Compliance.  Each Shareholder and Vail will comply with all rules
and regulations of the SEC and applicable state securities or blue sky laws
governing the manner of sale of securities in connection with the Transfer of
any of the Vail Equity pursuant to any Registration Statement.

     VII.3 Provision of Prospectuses.

     (a) Vail will furnish to each Shareholder such number of copies of a
summary prospectus or other prospectus, including a prospectus subject to
completion in conformity with the requirements of the Securities Act, and such
other documents as such Shareholder may reasonably request in writing, in order
to facilitate the public sale or other disposition of the Vail Equity of each
Shareholder included in a Registration Statement.

     (b) At any time when a sale or other disposition of Vail Equity pursuant
to a Registration Statement is subject to a prospectus delivery requirement,
Vail will notify each Shareholder of the occurrence of any event that causes
the prospectus included in such Registration Statement, as then in effect, to
include an untrue statement of a material fact or to omit to state a material
fact required to be stated therein or necessary to make the statements therein
not misleading in the light of the circumstances then existing and Vail will
use its  best efforts, as expeditiously as possible, to either amend the
prospectus or otherwise take any actions so that use of the previous prospectus
may be legally resumed.  Upon receipt of such a notice, each Shareholder will
immediately discontinue all sales or other dispositions of Vail Equity pursuant 
to the Registration Statement.  Each Shareholder may resume such sales or
dispositions only upon receipt of an amended prospectus or after such
Shareholder is advised by Vail that the use of the previous prospectus may be
legally resumed.

     VII.4 Blue Sky Compliance.  Vail will use its best efforts to (a) register
or qualify the Vail Equity included in a Registration Statement under the
securities or blue sky laws of such jurisdictions as each Shareholder
reasonably requests and 


   30

                                      -26-

(b) do any and all other acts that may be reasonably
necessary or advisable to enable each Shareholder to consummate the public sale
or disposition of such securities in such jurisdictions; provided, however,
that Vail is not required to consent to, or take any action that would subject
it to, general service of process or taxation in any jurisdiction where it is
not then so subject, nor qualify to do business in any jurisdiction where it is
not then so qualified.

     VII.5 Listing of Vail Equity.  Vail will use its best efforts to cause the
Vail Equity when issued to be listed on all securities exchanges on which any
securities issued by Vail are then listed, or quoted on all automated quotation
systems on which any such securities of Vail are then quoted, including,
without limitation, entering into appropriate customary agreements (including a
listing application and indemnification agreement in customary form).

     VII.6 Stop Orders.  Vail will promptly notify each Shareholder of (a) the
receipt by Vail of any notification with respect to the issuance by the SEC of
any stop order or order suspending the effectiveness of any Registration
Statement covering any Vail Equity or the initiation of any proceedings for
that purpose or (b) the receipt by Vail of any notification with respect to the
limitation, restriction or suspension of the offer or sale of Vail Equity in
any jurisdiction in which the Vail Equity was qualified to be sold, or the
initiation of any proceedings for such purpose.  In the event that Vail
notifies each Shareholder of any such event, each Shareholder will immediately
discontinue all sales or other dispositions of Vail Equity pursuant to the
Registration Statement until such time that Vail notifies each Shareholder of
the lifting of such stop order or similar order; provided,  however, that such  
a stop order or similar order issued by a state securities or blue sky
administrator will apply only to offers and sales in such state, unless each
Shareholder is advised otherwise by Vail.  Vail, with the cooperation of each
Shareholder, will use its best efforts to contest any such proceedings and to
obtain the withdrawal of any such order at the earliest possible date.




   31

                                      -27-

                                    VIII

                        INDEMNIFICATION AND CONTRIBUTION

     VIII.1 Indemnification.

 (a) Indemnification by Foods.

     (i) Foods agrees to indemnify and hold harmless Vail and its Affiliates
and Associates (each such Person being hereinafter referred to as a "Vail
Indemnified Party") from and against all losses, claims, damages, liabilities
and expenses (including reasonable costs of investigation and legal expenses)
(each a "Loss") arising out of or based upon any untrue statement or alleged
untrue statement of a material fact contained in any Registration Statement or
preliminary, final or summary prospectus covering the Vail Equity, or in any
amendment or supplement thereto, or in any document incorporated by reference
into any of the foregoing or arising out of or based upon any omission or
alleged omission to state therein a material fact required to be stated therein
or necessary to make the statements therein not misleading, but only if, and
only to the extent, such statement or alleged statement or omission or alleged
omission was made in reliance upon and in conformity with written information
furnished to Vail or its representatives by or on behalf of Foods for use in
the preparation of such Registration Statement, preliminary, final or summary
prospectus or such amendment or supplement thereto, or such document
incorporated by reference.  This indemnity will be in addition to any liability
which Foods may otherwise have.  Foods will also indemnify the underwriter(s),
selling broker(s), dealer manager(s) and similar securities industry
professionals participating in the distribution, their officers and directors
and each Person who Controls such Persons to the same extent as provided above
with respect to the indemnification of a Vail Indemnified Party.

     (ii) Foods also agrees to indemnify and hold harmless any Vail Indemnified
Party to the same extent as 


   32

                                      -28-

provided in clause (i) above from and against all Losses arising out of
any action or proceeding brought against any Vail Indemnified Party in
connection with the distribution or proposed distribution of Vail Equity to the
holders of Foods Stock; provided, however, that this Section 8.1(a)(ii) shall
not apply to any Losses for which Vail is responsible as provided in Section
8.1(c) of this Agreement.

     (iii) If any action or proceeding (including any governmental
investigation or inquiry) is brought or asserted against a Vail Indemnified
Party in respect of which indemnity may be sought from Foods, such Vail
Indemnified Party will promptly notify Foods in writing of the commencement of
such action and Foods shall assume the defense thereof and have primary control
over any related suit or proceeding, including the employment of legal counsel
and the payment of all expenses in connection therewith; provided, however,
that the failure of any Vail Indemnified Party to give notice as provided
herein shall not relieve Foods of its obligations under this Section 8.1(a)
except to the extent that Foods is actually materially prejudiced by such
failure to give notice.  A Vail Indemnified Party shall have the right to
participate in and jointly with Foods, to the extent that it may wish, and
employ separate counsel reasonably satisfactory to such Vail Indemnified Party,
provided, however, that Foods will not be liable to such Vail Indemnified Party
for any legal or other expenses incurred by such Vail Indemnified Party in
connection therewith, unless such Vail Indemnified Party shall have been
advised by counsel that a conflict of interest between such Vail Indemnified
Party and Foods is likely to exist in respect of such claim.

  (b) Indemnification by Apollo.

     (i) Apollo agrees to indemnify and hold harmless each Vail Indemnified
Party from and against all Losses arising out of or based upon any untrue
statement or alleged untrue statement of a material fact contained in any
Registration Statement or preliminary, final or summary prospectus covering the
Vail Equity, or in any amendment or supplement thereto, or in 


   33

                                      -29-

any document incorporated by reference into any of the foregoing or arising out
of or based upon any omission or alleged omission to state therein a material
fact required to be stated therein or necessary to make the statements therein
not misleading, but only if, and  only to the extent, such statement or alleged
statement or omission or alleged omission was made in reliance upon and in
conformity with written information furnished to Vail or its representatives by
or on behalf of Apollo for use in the preparation of such Registration
Statement, preliminary, final or summary prospectus or such amendment or
supplement thereto, or such document incorporated by reference.  This indemnity
will be in addition to any liability which Apollo may otherwise have.  Apollo
will also indemnify the underwriter(s), selling broker(s), dealer manager(s)
and similar securities industry professionals participating in the
distribution, their officers and directors and each Person who Controls such
Persons to the same extent as provided above with respect to the
indemnification of a Vail Indemnified Party.

     (ii) Apollo also agrees to indemnify and hold harmless any Vail
Indemnified Party to the same extent as provided in clause (i) above from and
against all Losses arising out of any action or proceeding brought against any
Vail Indemnified Party in connection with the distribution or proposed
distribution of Vail Equity to the holders of Apollo Stock; provided, however,
that this Section 8.1(b)(ii) shall not apply to any Losses for which Vail is
responsible as provided in Section 8.1(c) of this Agreement.

     (iii) If any action or proceeding (including any governmental
investigation or inquiry) is brought or asserted against a Vail Indemnified
Party in respect of which indemnity may be sought from Apollo, such Vail
Indemnified Party will promptly notify Apollo in writing of the commencement of
such action and Apollo shall assume the defense thereof and have primary
control over any related suit or proceeding, including the employment of legal
counsel and the payment of all expenses in connection therewith; provided,
however, that the failure of any Vail Indemnified Party to give notice as
provided herein 


   34

                                    -30-

shall not relieve Apollo of its obligations under this Section
8.1(b) except to the extent that Apollo is actually materially prejudiced by
such failure to give notice.  A Vail Indemnified Party shall have the right to
participate in and jointly with Apollo, to the extent that it may wish, and
employ separate counsel reasonably satisfactory to such Vail Indemnified Party,
provided, however, that Apollo will not be liable to such Vail Indemnified
Party for any legal or other expenses incurred by such Vail Indemnified Party
in connection therewith, unless such Vail Indemnified Party shall have been
advised by counsel
that a conflict of interest  between such Vail Indemnified Party and Apollo is
likely to exist in respect of such claim.

  (c) Indemnification by Vail.

     (i) Vail agrees to indemnify and hold harmless each Shareholder and its
Affiliates and Associates (each such person being hereinafter referred to as a
"Shareholder Indemnified Party") from and against all Losses arising out of or
based upon any untrue statement or alleged untrue statement of a material fact
contained in any Registration Statement, preliminary, final or summary
prospectus covering the Vail Equity, or in any amendment or supplement thereto,
or in any document incorporated by reference into any of the foregoing or
arising out of or based upon any omission or alleged omission to state therein
a material fact required to be stated therein or necessary to make the
statement therein not misleading, except insofar as such Losses arise out of or
are based solely upon any such untrue statement or omission or allegation
thereof based upon written information provided by or on behalf of a
Shareholder for inclusion in such Registration Statement, preliminary, final or
summary prospectus, or such amendment or supplement thereto, or such document
incorporated by reference; provided, however, that Vail will not be liable in
any such case to the extent that any such Loss arises out of or is based upon
an untrue statement or alleged untrue statement or omission or alleged omission
made in any preliminary prospectus if (A) such Shareholder failed to send or
deliver a copy of the final prospectus with or prior to the delivery of written
confirmation 


   35

                                      -31-

of the sale of the Vail Equity covered by the Registration Statement to the
Person asserting such Loss, and (B) the final prospectus  corrected such untrue
statement or omission; and provided, further, that Vail will not be liable in
any such case to the extent that any such Loss arises out of or is based upon
an untrue statement or omission in the final prospectus, if such untrue
statement or omission is corrected in an amendment or supplement to the final
prospectus and if, having previously been furnished by or on behalf of Vail
with copies of the final prospectus as so amended or supplemented, such
Shareholder thereafter fails to deliver such prospectus as so amended or
supplemented, prior to or concurrently with the sale of the Vail Equity to the
Person asserting such Loss who purchased such Vail Equity which is the subject  
thereof.  This indemnity will be in addition to any liability which Vail may
otherwise have.  Vail will also indemnify the underwriter(s), selling
broker(s),  dealer manager(s) and similar securities industry professionals
participating in the distribution, their officers and directors and each Person
who Controls such Persons to the same extent as provided above with respect to
the indemnification of a Shareholder Indemnified Party.

     (ii) If any action or proceeding is brought against a Shareholder
Indemnified Party in respect of which indemnity may be sought against such
Shareholder Indemnified Party, such Shareholder Indemnified Party will promptly
notify Vail in writing of the commencement of such action and Vail will assume
the defense thereof and have primary control over any related suit or
proceeding, including the employment of legal counsel and the payment of all
expenses in connection therewith; provided, however, that the failure of any
Shareholder Indemnified Party to give notice as provided herein shall not
relieve Vail of its obligations under this Section 8.1(c) except to the extent
that Vail is actually materially prejudiced by such failure to give notice.  A
Shareholder Indemnified Party shall have the right to participate in and
jointly with Vail, to the extent that it may wish, and employ separate counsel
reasonably satisfactory to such Shareholder Indemnified Party, provided,
however, that Vail will not be liable to such Shareholder


   36

                                      -32-


Indemnified Party for any legal or other expenses incurred by such
Shareholder Indemnified Party in connection therewith, unless such      
Shareholder Indemnified Party shall have been advised by counsel that a
conflict of interest between such Shareholder Indemnified Party and Vail is
likely to exist in respect of such claim.

     VIII.2 Contribution.

     (a) If the Indemnification provided for in Section 8.1 hereof is
unavailable to a Vail Indemnified Party or Shareholder Indemnified Party under
Section 8.1(a), 8.1(b) or Section 8.1(c) hereof (other than by reason of the
exceptions provided in Sections 8.1(a), 8.1(b) and 8.1(c)) in respect of any
Losses referred to therein, then such indemnifying party, in lieu of
indemnifying such indemnified party, will contribute to the amount paid or
payable by such indemnified party as a result of such Losses in such proportion
as is appropriate to reflect the relative fault of the indemnifying party, on
the one hand, and the indemnified party, on the other hand, in connection with
the statements or omissions which resulted in such Losses, as well as any other 
relevant equitable considerations.  The relative fault of the  indemnifying
party, on the one hand, and the indemnified party, on the other hand, shall be
determined by reference to, among other things, whether the untrue statement or
alleged untrue statement of a material fact or the omission or alleged omission
to state a material fact relates to information supplied by such indemnified
party and each parties' relative intent, knowledge, access to information and
opportunity to correct or prevent such statement or omission.  The amount paid
or payable by each party as a result of the Losses referred to above will be
deemed to include, subject to the limitations set forth in Sections 8.1(a),
8.1(b) and 8.1(c) hereof, any legal or other fees or expenses reasonably
incurred by such party in connection with investigating or defending any action
or claim.

     (b) Notwithstanding the provisions of Section 8.2(a) hereof, no Person
found to be guilty of fraudulent misrepresentation shall be entitled to
contribution from any 


   37

                                      -33-

Person who is not found to be guilty of such fraudulent misrepresentation.
                                            




   38
                                      
                                     -34-
                                      
                                      IX
                                      
                              TAKE-ALONG RIGHTS
                                      



   39

                                      -35-

     IX.1 Take-Along Rights.  Apollo may not effect a Transfer (or a series of
related Transfers) of Vail Equity to one person or a related group of persons
if such Transfer would result in a Change of Control of Vail (other than
Transfers effected by sales of Vail Equity through underwriters in a public
offering or in the securities markets generally) (the "Section 9.1 Shares")
without first complying with this Section 9.1.  If Apollo desires to Transfer
the Section 9.1 Shares, Apollo shall give written notice (the "Take-Along
Notice") to Foods stating (i) the name and address of the transferee (the
"Non-Qualified Transferee") and (ii) the price and terms upon which the
Non-Qualified Transferee proposes to purchase the Section 9.1 Shares.  Foods
shall have the irrevocable option, but not the obligation (the "Take-Along
Option"), to sell to the Non-Qualified Transferee, up to a number of shares of
Vail Equity (the "Included Shares") determined in accordance with Section
9.1(a), at the price and on the terms set forth in the Take-Along Notice.  The
Take-Along Option shall be exercised by Foods by giving written notice to
Apollo, within ten business days of receipt of the Take-Along Notice,
indicating its election to exercise the Take-Along Option.  Failure by Foods to
give such notice within the ten business day period shall be deemed an election
by  Foods not to sell its shares of Vail Equity pursuant to that Take-Along
Notice.  The closing with respect to any sale to a Non-Qualified Transferee
pursuant to this Section 9.1 shall be held at the time and place specified in
the Take-Along Notice but in any event within 30 days of the date the
Take-Along Notice is given; provided that if through the exercise of reasonable
efforts Apollo is unable to cause such transaction to close within 30 days,
such period may be extended for such reasonable period of time as may be
necessary to close such transaction.  Consummation of the sale of the Section
9.1 Shares by Apollo to a Non-Qualified Transferee shall be conditioned upon
consummation of the sale by Foods to such Non-Qualified Transferee of the
Included Shares, if any.

     (a) The number of Included Shares purchased from Foods shall be determined
by multiplying the number of Shares proposed to be purchased from Apollo by a
Non-Qualified Transferee by a
                      


   40

                                      -36-

fraction, the numerator of which is the total number of shares of Vail Equity
owned by Foods and the denominator of which is the sum of the total number of
shares of Vail Equity owned by Apollo and Foods.

     (b) Apollo shall arrange for payment directly by the Non-Qualified
Transferee to Foods, upon delivery of the certificate or certificates
representing the Included Shares duly endorsed for transfer, together with such
other documents as the Non-Qualified Transferee may reasonably request.  The
reasonable costs and expenses incurred by Apollo and Foods in connection with a
sale of shares of Vail Equity subject to this Section 9.1 shall be allocated
pro rata based upon the number of shares of Vail Equity sold by each
Shareholder to a Non-Qualified Transferee.

     (c) If, at end of 30 days following the date on which a Take-Along Notice
was given, the sale of shares of Vail Equity by Apollo and the sale of the
Included Shares, if any, have not been completed in accordance with the terms
of the Non-Qualified Transferee's offer, all certificates representing the
Included Shares shall be returned to Foods, and all the restrictions on
Transfer contained in this Agreement with respect to shares of Vail Equity
owned by Apollo shall again be in effect.

                                   ARTICLE X

                            INITIAL PUBLIC OFFERING

     X.1 IPO Commitment.  Vail and Apollo hereby agree to use reasonable
efforts to consummate the IPO as soon as possible following the Closing.

     X.2 Co-Manager.  In connection with the IPO (unless the IPO is effected by
means of a Demand Registration by Foods), Foods shall select one of the
co-managers (other than the lead manager); provided, however, that such
co-manager shall be subject to the approval of Vail, which approval shall not
be unreasonably withheld.




   41

                                      -37-


     X.3 Foods Initiated IPO.

     (a) If the IPO has not been consummated on the later of (i) September 30,
1997 or (ii) nine months after the Closing
(the "Trigger Date"), Apollo, Vail and Foods agree to abide by the procedures
of this Section 10.3.

     (b) Following the Trigger Date, Apollo and Foods agree to discuss in good
faith for a period of 30 days (the "Discussion Period") the timing of the IPO.
At the conclusion of the Discussion Period, Foods may deliver a notice to Vail
within 30 days (the "Foods Notice") stating that it will request a Demand
Registration unless Vail consummates the IPO within three months from the date
of the Foods Notice.  If at the conclusion of such three-month period the IPO
has not been consummated, during the next six months Foods shall have the right
to request a Demand Registration and consummate the IPO by means of such Demand
Registration.  If at the conclusion of such six-month period the IPO has not
been consummated, Foods' right to request a Demand Registration to effect the
IPO shall be suspended for a twelve-month period.  If at the conclusion of such
twelve-month period the IPO has not otherwise been consummated, during the next
six months Foods shall again have the right to request a Demand Registration
and consummate the IPO by means of such Demand Registration.  If the IPO is
consummated by means of a Demand Registration by Foods (the "Foods Initiated
IPO"), then Foods shall select the lead manager for the Foods Initiated IPO;
provided, however, that such lead manager shall be subject to the approval of
Vail, which approval shall not be unreasonably withheld or delayed.  Vail may
select one co-manager in connection with a Foods Initiated IPO, subject to the
approval of the lead manager for  the Foods Initiated IPO, which approval shall
not be unreasonably withheld or delayed.

                                     XI

                              ADDITIONAL COVENANTS




   42

                                      -38-

     XI.1 Maintain Listing or Quotation.  Vail hereby covenants and agrees that
it shall use its best efforts to maintain its listing of Vail Securities on any
securities exchanges on which Vail Securities are listed in the future pursuant
to Section 7.5 hereof and to maintain its quotation of Vail Securities on any
automated quotation systems on which Vail Securities are quoted in the future
pursuant to Section 7.5 hereto.

     XI.2 Board of Directors. Vail and the Shareholders agree to take all 
actions necessary to cause the Board of Directors to consist of no more than
twenty  directors.  As lone as Foods owns at least 10% of the outstanding Vail
Securities, Vail and the Shareholders agree to take all actions necessary to
cause the Board of Directors to consist of no more than twenty directors.  As
long as Foods owns at least 10% of the outstanding Vail Securities, Vail and
the Shareholders agree to take all actions necessary for Foods to be able to
nominate and appoint two directors to the Board of Directors of Vail, including
without limitation Apollo nominating and electing such directors as Class 1
directors elected by the holders of the Vail Class A Stock.

     XI.3 No Inconsistent Agreements.  Vail hereby covenants and agrees that it
shall not enter into any agreements governing the transfer or registration of
shares of Vail Securities which would materially adversely affect Foods' rights
under this Agreement without Foods' prior written consent.

     XI.4 Rules 144 and 144A.  Vail hereby covenants and agrees that it will
use its reasonable best efforts to file any reports required to be filed by it
under the Securities Act and the Exchange Act and it will take such further
action as Foods may reasonably request, all to the extent required from time to
time to enable Foods to sell its Vail Equity (subject to the terms hereof)
without registration under the Securities Act within the limitation of the
exemptions provided by (a) Rule 144 or 144A under the Securities Act, as such
Rules may be amended from time to time, or (b) any similar rule or regulation
hereafter adopted by the SEC.

     Section XI.33  Limitations on Holdings of Foods Associates.  Foods shall
use its best efforts to cause its 



   43

                                    -39-


Associates and Associates of its Affiliates not to own, in the aggregate, 2% or
more of the outstanding Vail Securities.

                                     XII
                                      
                                MISCELLANEOUS

     XII.1 Entire Agreement.  This Agreement constitutes the entire agreement
among the parties hereto relative to the subject matter hereof, and supersedes
all prior written or oral understandings, agreements, conditions or
representations.

     XII.2 Headings and Captions.  All headings and captions used in this
Agreement are for convenience only, and will not be construed to either limit
or broaden the language of this Agreement or any particular section.

     XII.3 Choice of Law.  This Agreement will be governed by and construed
under and in accordance with the laws of the State of New York, without giving
effect to the conflict of laws provisions thereof, except that all matters
relating to the internal affairs of Vail shall be governed by and construed
under and in accordance with the General Corporation Law of the State of
Delaware.

     XII.4 Venue.  Any action or legal proceedings to enforce this Agreement or
any of its terms, or for indemnification and the recovery of losses as provided
for in this Agreement by a party, may be brought and prosecuted in such court
or courts located in the State of New York as provided by law, and the parties
to this Agreement consent to the jurisdiction of said court or courts and to
service of process by registered mail, return receipt requested, or by any
other manner provided by New York law.

     XII.5 Notices.  Any notice or other communication required or permitted
hereunder is deemed delivered when delivered in person, when transmitted by
telecopier (which will also be sent concurrently by certified or registered
mail), on 


   44

                                      -40-

the next Business Day when sent by Federal Express or a similar
overnight delivery service, or on the third Business Day when sent by
registered or certified U.S. mail service as follows:



                        If to Foods:

                        Ralston Foods, Inc.
                        800 Market Street
                        Suite 2900
                        St. Louis, Missouri  63101

                        Attn.:  Robert W. Lockwood, Esq.
                        Facsimile No.:  (314) 877-7748

                        If to Vail:

                        Vail Resorts, Inc. (Delivery other than mail)
                        137 Benchmark Road      
                        Avon, Colorado  81620

                        Vail Resorts, Inc. (Mail Delivery)
                        Post Office Box 7
                        Vail, Colorado  81658

                        Attn.:  James S. Mandel, Esq.
                        Facsimile No.:  (970) 845-2912

                        If to Apollo:

                        1301 Avenue of the Americas
                        New York, New York  10019
                        Attn.:  Marc Rowan
                        Facsimile No.:  (212) 261-4071

                        With a copy to:


   45

                                    -41-

                        James J. Clark, Esq.
                        Cahill Gordon & Reindel
                        80 Pine Street
                        New York, NY  10005

                        Facsimile No.:  (212) 269-5420

The parties to this Agreement will promptly notify each other in the manner
provided in this Section 12.5 of any change in their respective addresses.  A
notice of change of address will not be deemed to have been given until
received by the addressee.

     Section XII.6  Amendments.  No changes, modifications, amendments or
additions will be valid unless such be made in writing and signed by or on
behalf of each party.

     XII.7 Extended Meanings.  Words importing the singular number include the
plural and vice versa, and words importing the masculine gender include the
feminine and neuter genders.

     XII.8 Successors and Assigns.  This Agreement shall be binding upon and
shall inure to the benefit of the parties hereto and their respective
successors and permitted assigns; provided each of Foods and Vail shall have
the right to assign its rights and obligations under this Agreement as a whole
(i) in a transaction pursuant to Section 3.2(b), (g) or (h) or (ii) to the
surviving entity in a merger, consolidation, combination or other
corporate transaction involving it if the surviving entity agrees in writing to
be bound by the terms hereof, and Apollo shall have the right to assign its
rights and obligations under this Agreement to any of its Affiliates or in a
bona fide distribution of its assets following dissolution or liquidation,
provided each of the distributees agrees in writing to be bound by the terms
hereof.

     XII.9 Severability.  The invalidity or unenforceability of any provision
hereof in any jurisdiction will not affect the validity or enforceability of
this Agreement, 


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                                    -42-

including that provision, in any other jurisdiction.  To the extent permitted 
by applicable law, each party waives any provision of law that renders any 
provision hereof prohibited or unenforceable in any respect.  If any
term, provision, covenant or restriction in this Agreement is held by a court
of competent jurisdiction to be invalid, void or unenforceable, the parties
hereto will use their best efforts to find and employ an alternative means to
achieve the same or substantially the same result as that contemplated by such
term, provision, covenant or restriction and the remainder of the terms,
provisions, covenants and restrictions set forth herein shall remain in full
force and effect, in order to achieve the intent of the parties to the extent
possible.

     XII.10 Counterparts.  This Agreement may be executed simultaneously in two
or more counterparts, each of which is deemed an original, but all of which
together constitute a single agreement, and it is not necessary in making proof
of this Agreement to produce or account for more than one such counterpart.

     Section XII.11  Remedies Cumulative.  Except as otherwise expressly
limited herein, the remedies given to any party by this Agreement are in
addition to all remedies under any statute or rule of law.  Any forbearance or
failure or delay in exercising any remedy hereunder is not deemed to be a
waiver of any other remedy a party may have under this Agreement.

     XII.12 Binding Agreement.  This Agreement will be deemed effective and
legally binding upon the parties when it has been executed and delivered by all
parties hereto.  This Agreement will inure to the benefit of the parties hereto
and their successors and permitted assignees.
          
     XII.13 Recapitalizations, Exchanges, Etc., Affecting Vail Securities.  The
provisions of this Agreement apply to the full extent set forth herein with
respect to the Vail Equity, to any and all shares of capital stock of Vail or
any successor or assign of Vail (whether by merger, consolidation, sale of
assets 


   47

                                    -43-

or otherwise) which may be issued in respect of or in exchange or       
substitution for Vail Equity and will be appropriately adjusted for any stock
dividends, splits, reverse splits, combinations, recapitalizations and the like
occurring after the date hereof.

     XII.14 Other Agreements.  Nothing contained in this Agreement will be
deemed to be a waiver of, or release from, any obligations any party hereto may
have under any other agreement, including, without limitation, the Purchase
Agreement.

     XII.15 Termination.  This Agreement, and all rights and obligations of
each party hereto, shall terminate (i) upon agreement of each of the
Shareholders, (ii) upon the voluntary or involuntary dissolution of Vail, (iii)
upon the sale of all or substantially all of the assets of Vail or upon a
Change of Control of Vail, (iv) when Apollo and its Affiliates own less than
10% of the shares of Vail Equity owned by Apollo on the date of this Agreement
(adjusted accordingly for any stock splits, stock dividends or similar
recapitalizations by Vail after the date hereof) or (v) when Foods and its
Affiliates own less than 10% of the outstanding Vail Securities.  The
provisions of Article VIII hereof shall survive the termination of this
Agreement.

     XII.16 Enforcement.  Each of Vail, Apollo and Foods agree that any breach
of the provisions contained in this  Agreement by Vail, Apollo and/or Foods
would cause irreparable harm to the other and its Affiliates and therefore,
notwithstanding any right of Vail, Apollo and/or Foods to recover monetary
damages with respect to any such breach (a) as set forth in this Agreement or
(b) at law, Vail, Apollo and Foods will each be entitled to equitable relief to
enjoin any threatened or continuing breach of the other hereof and, in the
event of any action for specific performance, each party shall waive the
defense that a remedy at law would be adequate.  If the scope of any
restriction contained in this Agreement is too broad to permit enforcement to   
its fullest extent, then such restriction will be enforced to the maximum
extent permitted by law in the manner provided in Section 12.9 hereof.  Nothing
herein stated 


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                                    -44-

will be construed as prohibiting any party from pursuing any other remedies 
available to that party for a breach hereunder, including recovery of damages.

     XII.17 Confidentiality.  Each of Foods, Apollo and Vail acknowledges that
the other would be irreparably damaged if confidential knowledge of its
business and affairs were disclosed or utilized on behalf of any Person.  Each
of Vail, Apollo and Foods covenants and agrees not to disclose or use any such
confidential information of the other unless such information has been made
available to the public generally (other than in violation of this Section
12.17) or Vail, Apollo and/or Foods is required to disclose such information by
a governmental body or regulatory agency or by law in connection with a
transaction that is not otherwise prohibited hereby.

     XII.18 Fiduciary Accounts.  Vail, Apollo and Foods each acknowledge and
agree that this Agreement shall apply only to the Vail Securities owned by
Foods and Apollo for its own respective  account and does not apply to any Vail
Securities which may be deemed to be beneficially owned or controlled by Foods
or their respective Affiliates and which shares are held in fiduciary accounts
in connection with any pension plans, profit sharing plans or other employee
benefit plans or held in any other fiduciary accounts.


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                                    -45-


     IN WITNESS WHEREOF, the parties have executed this Agreement by an officer
thereunto duly authorized, all as of the day and year first above written.


                                   VAIL RESORTS, INC.



                                   By:
                                       ----------------------------------
                                       Name:
                                       Title:


                                   RALSTON FOODS, INC.



                                   By:
                                       ----------------------------------
                                       Name:
                                       Title:


                                   APOLLO SKI PARTNERS, L.P.



                                   By:
                                       ----------------------------------
                                       Name:
                                       Authorized Signatory