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DERBY ELIGIBLESWORKAT LEXINGTON LEXINGTON Ky April 2 J C Milam has a running horse in Frogtown his candidate for tho Blue Grass Stakes and the Kentucky and Latonia Derby and other races aggregating about 75000 This son of Magneto and Beth Miller worked this morning threequarters in 1 He did it in such a way as to indicate that within a few days lie will be ready to go a mile in 140 or there alKHits This gelding had an application of the firing irons last fall for strengthening purposes and it was fully effective It was a matter of comment among the work watchers who recalled the fact that Milam last year sold Exterminator to Willin Sharpc Kilmer a fortnight before he won the Kentucky Derby that Milam might IK fortunate enough to have in Frogtown a winner of the Derby for himself himselfSerbian Serbian and Regalo from the Gallaher Brothers string two more Derby candidates worked this morning The former in 117 and the latter In 11C both finishing fresh The order of the morning for twoyearolds was threeeighths in from 37 to 30 but T C McDowells fOuryear old St Augustine did threeeighths in 35 The twoyearolds in several of the stables are coughing from a form of laryngitis and naturally have walkingGeneral had their exercises reduced to walking General manager R L Baker today wired starter A B Dade to send one of his assistants from Hot Springs to begin breaking yearlings to the barrier i at the local track