AMENDMENT NO. 1 TO SERVICES AGREEMENT
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WHEREAS, Security Benefit Life Insurance Company (the "Company") and
Security Investors, LLC, formerly, Security Management Company, LLC (the
"Administrator"), are parties to a Services Agreement dated January 1, 2006 (the
"Agreement");
WHEREAS, the parties wish to amend the Agreement effective as of May 1, 2009
by deleting Exhibit A in its entirety and replacing it with the new Exhibit A
attached hereto;
NOW, THEREFORE, in consideration of the mutual promises set forth herein the
parties hereto agree as follows:
1 It is hereby agreed that Exhibit A to the Agreement is deleted in its
entirety and replaced with the new Exhibit A attached hereto effective as of May
1, 2009;
2 Except as expressly amended hereby, all of the terms and conditions of
the Agreement shall remain unamended and shall continue to be in full force and
effect
IN WITNESS WHEREOF, the undersigned have executed this Amendment No 1 to the
Services Agreement.
SECURITY BENEFIT LIFE SECURITY INVESTORS, LLC
INSURANCE COMPANY
By: /s/ Xxxxx Xxxx By: /s/ Xxxxx Xxxxxx
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Name: Xxxxx Xxxx Name: Xxxxx Xxxxxx
Title:Vice President Title: Vice President
EXHIBIT A
1 A. RETAIL SHARE CLASSES: For providing the Services with respect to SBL
Fund (all series), Class A, B and C shares of Security Large Cap Value
Fund, Security Equity Fund (all series), Security Mid Cap Growth Fund,
Security Income Fund (all series) and Security Cash Fund, Administrator
shall pay Company an annual rate of 0.25% (25 basis points) of the average
daily value of the shares held in any of the Variable Contracts heretofore
or hereafter issued by Company
B. INSTITUTIONAL FUNDS AND INSTITUTIONAL SHARE CLASSES: For providing the
Services with respect to the Security Large Cap Value Institutional Fund,
Security Global Institutional Fund, Security Mid Cap Value Institutional
Fund, and Institutional Class Shares of the Security All Cap Value Fund,
Security Alpha Opportunity Fund, Security Small Cap Value Fund and Security
High Yield Fund Administrator shall pay Company an annual rate of 0.10% (10
basis points) of the average daily value of the shares held in any of the
Variable Contracts heretofore or hereafter issued by Company
2 Payments shall be made monthly in arrears. For purposes of computing
payment, the average daily value of shares held in the Variable Contracts
over a monthly period shall be computed by totaling such Variable
Contract's aggregate investment (share net asset value multiplied by total
number of shares held by such Variable Contracts) on each business day
during the calendar month, and dividing by the total number of business
days during such month. The payment to the Company shall be calculated at
the end of each calendar month and will be paid to the Company within 30
days thereafter A statement showing the calculation of the monthly amounts
payable hereunder shall be prepared
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SERVICES AGREEMENT
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The terms and conditions of this Services Agreement between Security Benefit
Life Insurance Company (the "Company") and Security Management Company, LLC (the
"Administrator") are effective as of January 1, 2006.
WHEREAS, the Administrator serves as transfer agent, administrator and
accountant for certain registered investment companies (individually a "Fund"
and collectively, the "Funds"); and
WHEREAS, the Company, on behalf of certain of its separate accounts (the
"Separate Accounts"), purchases shares of certain portfolios of the Funds (each
a "Series") to serve as investment vehicles under certain variable annuity
and/or life insurance contracts ("Variable Contracts") issued by the Company;
and
WHEREAS, the Administrator recognizes that substantial savings in
administrative expenses will be derived by virtue of having a sole shareholder
rather than multiple shareholders in connection with each Variable Contract's
investments in a Series, and that in the course of servicing owners of such
Variable Contracts, the Company and/or its agents will provide information about
the Funds and their respective Series from time to time, answer questions
concerning the Funds and their respective Series, including questions respecting
Variable Contract owners' interests in one or more Series, and provide services
respecting investments in the Series; and
WHEREAS, the Administrator wishes to compensate the Company for the efforts
of the Company and/or its agents in providing written and oral information and
services regarding the Funds to Variable Contract owners; and
WHEREAS, the following represents the collective intention and understanding
of the service fee agreement between the Administrator and the Company.
NOW THEREFORE, in consideration of their mutual promises, the Company and
the Administrator agree as follows:
1. Services. The Company and/or its agents agree to provide services
("Services") to existing owners of Variable Contracts including, but not limited
to: teleservicing support in connection with the Series; facilitation of the
tabulation of Variable Contract owners' votes in the event of a shareholder
vote; maintenance of Variable Contract records reflecting shares purchased and
redeemed and share balances, and the conveyance of that information to the
Administrator or its agents as may be reasonably requested; provision of support
services, including providing information about the Funds and their Series and
answering questions concerning the Funds and their Series, including questions
respecting Variable Contract owners' interests in one or more Series; provision
and administration of Variable Contract features for the benefit of Variable
Contract owners in connection with the Series, which may include fund transfers,
dollar cost averaging, asset allocation, portfolio rebalancing, earnings sweep,
and pre-authorized deposits and withdrawals; and provision of other services as
may be agreed upon from time to time, consistent with applicable law and
regulation
2. Compensation. In consideration of the Services, the Administrator agrees
to pay to the Company a service fee as set forth in Exhibit A Payment of fees as
compensation for any activity or service provided pursuant to this Services
Agreement shall not duplicate payments for the same activity or service under
any other agreement or plan applicable to a Series
3. Term. This Services Agreement may be terminated by either party hereto
upon three (3) months' written notice to the other This Services Agreement shall
terminate automatically upon the redemption of all shares held in the Variable
Contracts. Notwithstanding the termination of this Services Agreement, the
Administrator will continue to pay the service fees in accordance with Section 2
so long as net assets of a Variable Contract remain in a Series, provided such
continued payment is permitted in accordance with applicable law and regulation
4. Amendment. This Services Agreement may be amended only upon mutual
agreement of the parties hereto in writing.
IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to
be executed in its name and on its behalf by its duly authorized representative
as of the date specified below
Security Benefit Life Insurance Company: By its authorized officer
By: /s/
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Title: Sr. Vice President, Chief
Financial Officer and Treasurer
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Date: July 17, 2006
Security Management Company, LLC By its authorized officer
By: /s/
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Title: President
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Date: July 17, 2006
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EXHIBIT A
1. For providing the Services with respect to SBL Fund (all series),
Security Large Cap Value Fund, Security Equity Fund (all series), Security
Mid Cap Growth Fund, Security Income Fund (all series) and Security Cash
Fund, Administrator shall pay Company an annual rate of 0.25% (25 basis
points) of the average daily value of the shares held in any of the
Variable Contracts heretofore or hereafter issued by Company
2. Payments shall be made monthly in arrears. For purposes of computing
payment, the average daily value of shares held in the Variable Contracts
over a monthly period shall be computed by totaling such Variable
Contract's aggregate investment (share net asset value multiplied by total
number of shares held by such Variable Contracts) on each business day
during the calendar month, and dividing by the total number of business
days during such month. The payment to the Company shall be calculated at
the end of each calendar month and will be paid to the Company within 30
days thereafter. A statement showing the calculation of the monthly amounts
payable hereunder shall be prepared,
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