25x36" thin loose weave fabric has state name below large shield showing state seal with motto "United We Stand, Divided We Fall." Item was found along with a Washington cotton banner produced for the 1876 Centennial exhibition (Threads Of History page 188) and we think it very likely this Kentucky piece is from the same event. Some damage but easily restored. Upper left has horizontal splits, one 6" and one that crosses top edge of shield is 15". Top center edge has .25" long by 1" deep fabric loss due to insects with a few fabric dots gone just above shield tip. Bottom center has tears and missing piece below "U" of "Kentucky" over a 3" wide by 2.25" deep area. Left margin has total of 12 fabric spots gone from as small as 1/16" up to .25". Right margin top edge is missing fabric about .5" deep and 4" down the side with a few tiny tears and a pair of .25x1" holes further down. There are three horizontal and one vertical old crease lines from being folded many years. Just a couple scattered brown spots and one other .5" square hole above "E" of "Kentucky." Image remains extremely strong. While we will call present condition VG, with minor repairs this piece could be improved to a very attractive display and matting would eliminate a vast majority of the damage area. Unlisted in Threads Of History. Rare.