September 20, 2002
Xx. Xxxx X. Xxxxxx
Chairman
Board of Trustees
Forum Funds
Two Portland Square
Portland, Maine 04102
RE: Contractual Waivers and Reimbursements
Dear Xxxx:
Brown Investment Advisory Incorporated (the "Adviser") agrees to waive
its investment advisory fee and reimburse expenses as necessary to ensure that
total annual operating expenses for BrownIA Intermediate Bond (the "Fund"), a
series of the Forum Funds (the "Trust"), does not exceed 0.45% and 0.70% for
Institutional Shares and A Shares, respectively.
This agreement can only be terminated or amended upon the approval of
the Trust's Board of Trustees and is automatically terminated if the Adviser is
no longer a service provider to the Fund. Unless otherwise amended or
terminated, this agreement will terminate on September 30, 2003.
Very truly yours,
Brown Investment Advisory Incorporated
By: /s/ XXXXX X. XXXXXXXXX
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Xxxxx X.Xxxxxxxxx
Chief Financial Officer
