"Liebster Blog" Award

We've been having terrible server problems lately and I have hardly been able to get into the net to check e-mails, not to even think or speak  about posting on my blogs. So it came as a surprise when yesterday I found a mail by Kathleen Loomis from several days ago that she would make me the recipient of her second round of passing on the "Liebster Blog" award, which she had already received last year and has now received again. Thank you for this honor, Kathy! I know Kathy from a Nancy Crow workshop, and we had a wonderful Daily Art Project in 2010/11 with our "Daily Mail" project, which we have posted about here and here.
Now this award already has succeeded in getting me two additional registered readers, and it has bumped up my viewer number on Kathy's publication date considerably, so thank you all for following Kathy's lead and checking out my blog.
As this award comes with conditions, I would like to fulfill at least two of these right now:
first condition calls for posting the picture on the blog. Which I do here:

Second condition calls for thanking the awarder - which I have already done, see above - and setting a link to that person's blog, which I have done repeatedly before but am happy to do again here.

Third condition calls for passing on the award to five other blogs. Now as I couldn't find an originator of the award in a quick net-search, nor could find out who altered the rules and set the number of blogs for the award to be passed on to up to five in the last year - it used to be three when Kathy first received it - I have decided to stick to the semantics of the German word 'Liebster' - "most favorite" and pass the award on to only one other blog. Now Kathy, as the person who gave me the award and has it received twice already is out of bounds, though hers is really my most favorite blog. The second-favorite blog I read has over 800 registered readers - so I will take a few days to think this over before deciding...