EXHIBIT h(5)
EXPENSE REIMBURSEMENT AGREEMENT
RELATED TO DST TRANSFER AGENT SYSTEM CONVERSION
This Expense Reimbursement Agreement (this "Agreement") is made as of
the 30th day of June 2003, by and between A I M Fund Services, Inc. ("AFS"), and
each of the mutual funds on behalf of each of their respective portfolios listed
on Exhibit A, attached hereto (each, a "Fund").
WHEREAS, AFS currently serves and has, at all relevant times, served as
the transfer agent for each of the Funds, pursuant to a Transfer Agency and
Service Agreement with each Fund (collectively, the "Transfer Agency
Agreements"); and
WHEREAS, pursuant to the Transfer Agency Agreements, AFS has agreed to
maintain and does maintain all shareholder account records and information for
the Funds, and the Funds have agreed to reimburse AFS for certain costs incurred
by AFS in the course of performing such services, including, but not limited to,
the cost of obtaining licenses to use and the cost of usage of certain record
keeping systems and related support systems owned by DST Systems, Inc., and its
affiliates (collectively, "DST"); and
WHEREAS, the Funds were made aware of (i) the costs associated with the
movement of shareholder account information and related books and records from
systems previously used by AFS to perform such services to the DST-owned systems
(the "DST system conversion"), and (ii) the cost savings and other benefits that
were expected to be realized over the long term by using the DST-owned systems;
and
WHEREAS, the Funds determined that it was in the best interests of
their shareholders to facilitate the DST system conversion and the use the
DST-owned systems by AFS to provide the services contemplated by the Transfer
Agency Agreements; and
WHEREAS, the Boards of Directors/Trustees of the Funds have agreed that
each of the Funds would reimburse a pro rata share of the costs of the DST
system conversion; and
WHEREAS, AFS provided the Funds with periodic reports regarding the
project plan and budget related to the DST system conversion, updating cost
projections as the project progressed; and
WHEREAS, the DST system conversion is now complete and the final costs
related to the project have been compiled;
THEREFORE, the premises considered, AFS and each of the Funds agree on
behalf of the portfolios set forth on Exhibit A, severally and not jointly, as
follows:
1. Each Fund agrees to reimburse AFS for a pro rata share of the expenses
incurred by AFS in connection with the DST system conversion in an aggregate
amount, when allocated to all portfolios of the Funds, not to exceed FOUR
MILLION SIX HUNDRED FORTY-NINE THOUSAND THREE HUNDRED THIRTY FOUR AND 57/100
DOLLARS ($4,649,334.57), payable in equal installments over thirty-six (36)
months. Each month, each portfolio of each Fund shall pay its pro rata portion
of the reimbursement, based on each portfolios' number of open billable
shareholder accounts for the preceding month. AFS shall submit an invoice to
each Fund on the first business day of each month for the amount due by each
portfolio. Unless this Agreement is terminated prior to the payment of an
invoice, each invoice shall be due and payable by each portfolio of each Fund
within thirty (30) days of receipt.
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2. The Funds may terminate this Agreement with respect to any portfolio, without
penalty, for cause or for convenience, upon notice to AFS.
IN WITNESS WHEREOF, the parties hereto have duly executed this
Agreement as of the day and year first above written.
A I M FUND SERVICES, INC. ON BEHALF OF EACH OF THE FUNDS:
By: /s/ XXXX X. XXXXX /s/ XXXXX X. XXXXXX
-------------------------------------------------- -----------------------------------------------------
Name: Xxxx X. Xxxxx Name: Xxxxx X. Xxxxxx
------------------------------------------------ ------------------------------------------------
Title: President Title: Senior Vice President
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EXHIBIT A
SCHEDULE OF FUNDS
The following Funds enter into the Agreement on behalf of each of their
respective portfolios:
FUND NAME PORTFOLIO NAME
--------- --------------
AIM Advisor Funds AIM International Core Equity Fund
AIM Real Estate Fund
AIM Equity Funds AIM Aggressive Growth Fund
AIM Basic Value II Fund
AIM Blue Chip Fund
AIM Capital Development Fund
AIM Charter Fund
AIM Constellation Fund
AIM Core Strategies Fund
AIM Dent Demographic Trends Fund
AIM Emerging Growth Fund
AIM Large Cap Basic Value Fund
AIM Large Cap Core Equity Fund
AIM Large Cap Growth Fund
AIM Mid Cap Growth Fund
AIM U.S. Growth Fund
AIM Xxxxxxxxxx Fund
AIM Floating Rate Fund AIM Floating Rate Fund
AIM Funds Group AIM Balanced Fund
AIM Basic Balanced Fund
AIM European Small Company Fund
AIM Global Utilities Fund
AIM International Emerging Growth Fund
AIM Mid Cap Basic Value Fund
AIM New Technology Fund
AIM Premier Equity Fund
AIM Premier Equity II Fund
AIM Select Equity Fund
AIM Small Cap Equity Fund
AIM Worldwide Spectrum Fund
AIM Growth Series AIM Basic Value Fund
AIM Mid Cap Core Equity Fund
AIM Small Cap Growth Fund
AIM International Funds, Inc. AIM Asia Pacific Growth Fund
AIM European Growth Fund
AIM Global Aggressive Growth Fund
AIM Global Growth Fund
AIM Global Income Fund
AIM International Growth Fund
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FUND NAME PORTFOLIO NAME
--------- --------------
AIM Investment Funds AIM Developing Markets Fund
AIM Global Biotech Fund
AIM Global Energy Fund
AIM Global Financial Services Fund
AIM Global Health Care Fund
AIM Global Science and Technology Fund
AIM Strategic Income Fund
AIM Investment Securities Funds AIM High Yield Fund
AIM High Yield Fund II
AIM Income Fund
AIM Intermediate Government Fund
AIM Limited Maturity Treasury Fund
AIM Money Market Fund
AIM Municipal Bond Fund
AIM Short Term Bond Fund
AIM Total Return Bond Fund
AIM Series Trust AIM Global Trends Fund
AIM Special Opportunities Funds AIM Opportunities I Fund
AIM Opportunities II Fund
AIM Opportunities III Fund
AIM Tax-Exempt Funds AIM High Income Municipal Fund
AIM Tax-Exempt Cash Fund
AIM Tax-Free Intermediate Fund
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