Exhibit (8)(b)
ADDENDUM NO. 1 TO CUSTODIAN AGREEMENT
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This Addendum, dated as of the 30th day of April, 1997, is entered
into between PEGASUS VARIABLE ANNUITY FUND (the "Trust"), a Delaware business
trust, and NBD BANK ("NBD" or the "Custodian"), a state-chartered bank
incorporated under the laws of Michigan.
WHEREAS, the Trust and NBD have entered into a Custodian Agreement
dated March 30, 1995 (the "Custodian Agreement"), pursuant to which the Trust
appointed NBD to act as Custodian to the Trust's Money Market Fund, Growth and
Value Fund, Mid-Cap Opportunity Fund, Managed Assets Balanced Fund and Growth
Fund.
WHEREAS, Article XIV, Paragraph 9 of the Custodian Agreement provides
that in the event the Trust establishes one or more additional portfolios with
respect to which it desires to retain NBD to act as the custodian under the
Custodian Agreement, the Trust shall so notify NBD in writing and if NBD is
willing to render such services it shall notify the Trust in writing, and the
compensation to be paid to NBD shall be that which is agreed to in writing by
the Trust and NBD pursuant to Article XII, Paragraph 6 of the Custodian
Agreement;
WHEREAS, pursuant to Article XIV, Paragraph 9 of the Custodian
Agreement, the Trust has notified NBD that it intends to establish the Bond Fund
and Intrinsic Value Fund and that it desires to retain NBD to act as the
custodian therefor, and NBD has notified the Trust that it is willing to serve
as custodian for such Funds.
NOW THEREFORE, the parties hereto, intending to be legally bound,
hereby agree as follows:
1. Appointment. The Trust hereby appoints NBD to act as Custodian to
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the Trust for the Bond Fund and Intrinsic Value Fund for the period and on the
terms set forth in the Custodian Agreement. NBD hereby accepts such appointment
and agrees to render the services set forth in the Custodian Agreement, for the
compensation provided in Appendix A hereto.
2. Capitalized Terms. From and after the date hereof, the terms
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"Fund" and "Series" as used in the Custodian Agreement shall be deemed to
include the Bond Fund and Intrinsic Value Fund. Capitalized terms used herein
and not otherwise defined shall have the meanings ascribed to them in the
Custodian Agreement.
3. Miscellaneous. Except to the extent supplemented hereby, the
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Custodian Agreement shall remain unchanged and in full force and effect and is
hereby ratified and confirmed in all respects as supplemented hereby.
IN WITNESS WHEREOF, the undersigned have executed this Addendum as of
the date and year first above written.
PEGASUS VARIABLE ANNUITY FUND
By: /s/ Xxxxxx X. Xxxxxxxxxx
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Xxxxxx X. Xxxxxxxxxx
President and Trustee
NBD BANK
By: /s/ Xxxxx X. Xxxxxxx
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Xxxxx X. Xxxxxxx
Vice President
APPENDIX A
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Fee schedule for the services provided by NBD Bank as Custodian to the
Bond Fund and Intrinsic Value Fund.
Basic Annual Account Charge $ 1,000
Annual Security Fee
First $20,000,000 = .0003
Next $20,000,000 = .00025
Next $20,000,000 = .0002
Next $40,000,000 = .00015
Next $200,000,000 = .000125
Balance over $300,000,000 = .0001
Asset Fee $1.541 per security held at end of month.
Security Transactions:
$13.00 for each Pass-Through Certificate Payment
$35.00 for Option Transactions requiring Escrow Receipts
$20.00 for all other security transactions
Accounting Statements:
Cash Statement - $50 per statement
Inventories - $50 per inventory
A-1
