Delaware Management Company
EX-99.d.4
Delaware
Management Company
0000
Xxxxxx Xxxxxx
Philadelphia,
PA 19103
February
25, 2010
Board of
Trustees
0000
Xxxxxx Xxxxxx
Philadelphia,
PA 19103
Re: Expense
Limitations
Ladies and
Gentlemen:
By our execution of this letter
agreement (the "Agreement"), intending to be legally bound hereby, Delaware
Management Company, a series of Delaware Management Business Trust (the
"Manager"), agrees that in order to improve the performance of Delaware
Diversified Floating Rate Fund (the “Fund”), a series of Delaware Group Income
Funds, the Manager shall waive all or a portion of its investment advisory fees
and/or reimburse expenses (excluding any 12b-1 plan expenses, taxes, interest,
inverse floater program expenses, brokerage fees, short-sale dividend and
interest expenses, certain insurance costs, and non-routine expenses or costs,
including, but not limited to, those relating to reorganizations, litigation,
conducting shareholder meetings, and liquidations (collectively, “non-routine
expenses”)) in an aggregate amount equal to the amount by which the Fund’s total
operating expenses (excluding any 12b-1 plan expenses, taxes, interest, inverse
floater program expenses, brokerage fees, short-sale dividend and interest
expenses, certain insurance costs, and non-routine expenses) exceed the
percentages set forth below for the period February 26, 2010 through February
November 30, 2011. For purposes of this Agreement, non-routine
expenses may also include such additional costs and expenses as may be agreed
upon from time to time by the Fund’s Board and the Manager. Inverse
floater program expenses include, but are not limited to, interest expense,
remarketing fees, liquidity fees, and trustees’ fees from the Fund’s
participation in inverse floater programs where it has transferred its own bonds
to a trust that issues the inverse floaters.
|
Fund
|
Expense Cap
|
|
Delaware
Diversified Floating Rate Fund
|
0.80%
|
The Manager acknowledges that it (1)
shall not be entitled to collect on, or make a claim for, waived fees at any
time in the future, and (2) shall not be entitled to collect on, or make a claim
for, reimbursed Portfolio expenses at any time in the future.
Delaware
Management Company, a series of
Delaware
Management Business Trust
By: /s/ Xxxxxx X.
Xxxxx
Name:
Xxxxxx X. Xxxxx
Title:
Executive Vice President & Chief Administrative Officer
Your
signature below acknowledges acceptance of this Agreement:
By: /s/Xxxxxxx X.
Xxxxx
Name: Xxxxxxx
X. Xxxxx
Title:
President & Chief Executive Officer
Date: February
25, 2010
