Exhibit (d)(vii)
September 19, 2007
Xxxxxxx X. Xxxx
President and Chief Executive Officer
Schwab Investments
000 Xxxxxxxxxx Xxxxxx
Xxx Xxxxxxxxx, XX 00000
Re: Schwab(R) Premier Income Fund
Dear Xx. Xxxx:
This letter will confirm our agreement to limit net operating expenses of the
above-named fund, as noted in the table below and described in the fund's
registration statement filed with the Securities and Exchange Commission.
FUND PROPOSED OER CAP AND EXPIRATION DATE
-----------------------------------------------------------------------------------------
SCHWAB(R) PREMIER INCOME FUND 0 bps; to expire 1/31/08 87 bps; to expire 6/30/09
Investor Shares
-----------------------------------------------------------------------------------------
SCHWAB(R) PREMIER INCOME FUND 0 bps; to expire 1/31/08 72 bps; to expire 6/30/09
Select Shares
-----------------------------------------------------------------------------------------
SCHWAB(R) PREMIER INCOME FUND 0 bps; to expire 1/31/08 63 bps; to expire 6/30/09
Institutional Shares
-----------------------------------------------------------------------------------------
Sincerely,
/s/ Xxxxxx Xxxxxxx /s/ Xxxxxxx Xxxxxxx
------------------------------------------ ----------------------------------------
Xxxxxx Xxxxxxx Xxxxxxx Xxxxxxx
Senior Vice President and Vice President
Chief Financial Officer Product Strategy and Product Management
Xxxxxxx Xxxxxx Investment Management, Inc. Xxxxxxx Xxxxxx & Co., Inc.
cc: Xxxxxxx, Xxxxxxx
Xxxxxx, Xxxx
Xxx, Xxxxxxx
Xxxxxxx, Xxxx
Xxxxxx, Xxxxxxxx
Xxxx, Xxxxxxx
Xxxxxxx, Xxxxx
Xxxxxx, Xxxxx
Xxxxxxx, Xxxxxx
Xxxxxx, Xxxxxxx
Xxxxxxxxx, Xxxxxxxx
