I say its C. correct me if I'm wrong
i want to say grades, but i also want to say future.
Horrified would be more dramatic in the sentence so its not horrified. Its not sad because there is no remorse. Its not embarrassed because there is no words expressing the feeling embarrassed. So your best bet is hesitant.
Assuming that you're referring to the new mexico tourism campaign featuring ugly aliens,
Top tourism people complained that the Ad will cast new Mexico in a negative light and the ads make absolutely no reference to New Mexico's tourist attraction.
hope this helps