April 6, 2007
PFS Investments Inc.
0000 Xxxxxxxxxxxx Xxxx.
Xxxxxx, Xxxxxxx 00000-0000
Re: Distribution Agreement
Ladies and Gentlemen:
Reference is made to the Distribution Agreements (each, as amended
to date, an "Agreement" and, collectively, the "Agreements"), by and between
each investment management company identified as an "Old Fund" on Exhibit A
hereto (each, an "Investment Company" and, collectively, the "Investment
Companies"), with respect to one or more of its series, if any, identified
as an "Old Portfolio" on Exhibit A hereto (each, a "Portfolio" and,
collectively, the "Portfolios"), and PFS Investments Inc.
In connection with a restructuring of the complex of which the
Investment Companies and Portfolios are a part, as of the close of business
on April 13, 2007 or April 27, 2007, as indicated on Exhibit A hereto (each,
a "Closing Date"), many of the Investment Companies and Portfolios will be
reorganized as set forth on Exhibit A hereto. Additionally, as indicated on
Exhibit A hereto, several the Investment Companies and Portfolios shall
cease operations following fund combinations as of the close of business
on April 27, 2007 (the "Termination Date").
On each applicable Closing Date, (i) each management company
identified as a "New Fund" shall become the "Investment Company" party to
the applicable Agreement and shall assume all of the rights and obligations
under such Agreement of the corresponding Old Fund with respect to each
applicable Old Portfolio (or, if such Old Fund has no Old Portfolios, with
respect to the Old Fund itself), (ii) each such New Portfolio shall be
deemed a "Fund" within the meaning of the applicable Agreement and the
shares for such New Portfolio shall be deemed "Shares" within the meaning
of the Agreement, (iii) each Old Fund shall cease to be a party to the
applicable Agreement and shall have no rights or obligations thereunder,
and (iv) each corresponding Old Portfolio shall cease be deemed to be a
"Fund" under the applicable Agreement and shares for such Old Portfolio
shall cease to be "Shares" within the meaning of the Agreement.
As of the Termination Date, (i) each Old Fund indicated on
Exhibit A hereto as terminating operations, or as having all of its Old
Portfolios terminating operations, shall cease to be deemed the
"Investment Company" under the applicable Agreement and shall have no
further rights or obligations under the Agreement by virtue of all of its
Old Portfolios (or, if such Old Fund has no Old Portfolios, the Old Fund
itself) having ceased operations in connection with a fund combination,
and (ii) each Old Portfolio indicated on Exhibit A hereto as terminating
operations shall cease to be deemed a "Fund" under the applicable Agreement
and shares for such Old Portfolio shall cease to be "Shares" within the
meaning of the Agreement by virtue of the Old Portfolio having ceased
operations in connection with a fund combination.
Except to the extent expressly set forth herein, this letter shall
not be deemed to otherwise amend or modify any term of any of the Agreements.
Please sign below to evidence your consent and agreement to the
above.
EACH MANAGEMENT INVESTMENT COMPANY IDENTIFIED ON
EXHIBIT A HERETO AS AN "OLD FUND"
OR A "NEW FUND"
By:
Name:
Title:
Consented and Agreed to:
PFS INVESTMENTS INC.
By:
Name:
Title:
Exhibit A
INVESTMENT COMPANIES AND PORTFOLIOS
INVOLVED IN RESTRUCTURINGS
OR FUND COMBINATIONS
Old Fund
Old Portfolio
Restructuring
, Fund
Combination
or Other
Cessation of
Operations
New Fund
New Portfolio
Closing Date
or Termination
Date
(as
applicable)
Xxxx Xxxxx Partners
Aggressive Growth Fund,
Inc. (f/k/a Xxxxx Xxxxxx
Aggressive Growth Fund
Inc.)
n/a
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Aggressive Growth Fund
4/13/07
Xxxx Xxxxx Partners
Lifestyle Series, Inc.
(f/k/a Xxxxx Xxxxxx
Allocation Series Inc.)
Xxxx Xxxxx Partners
Lifestyle Allocation 50%
(f/k/a Balanced Portfolio)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Lifestyle Allocation 50%
4/13/07
Xxxx Xxxxx Partners
Lifestyle Allocation 30%
(f/k/a Conservative
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Lifestyle Allocation 30%
4/13/07
Xxxx Xxxxx Partners
Lifestyle Allocation 70%
(f/k/a Growth Portfolio)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Lifestyle Allocation 70%
4/13/07
Xxxx Xxxxx Partners
Lifestyle Allocation 85%
(f/k/a High Growth
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Lifestyle Allocation 85%
4/13/07
Xxxx Xxxxx Partners
Lifestyle Allocation 100%
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Lifestyle Allocation
100%
4/13/07
Xxxx Xxxxx Partners
Lifestyle Income Fund
(f/k/a Income Portfolio)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Lifestyle Income Fund
4/13/07
Xxxx Xxxxx Partners
Variable Lifestyle
Allocation 50% (f/k/a
Select Balanced Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Lifestyle
Allocation 50%
4/27/07
Xxxx Xxxxx Partners
Variable Lifestyle
Allocation 70% (f/k/a
Select Growth Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Lifestyle
Allocation 70%
4/27/07
Xxxx Xxxxx Partners
Variable Lifestyle
Allocation 85% (f/k/a
Select High Growth
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Lifestyle
Allocation 85%
4/27/07
Xxxx Xxxxx Partners
Appreciation Fund, Inc.
(f/k/a Xxxxx Xxxxxx
Appreciation Fund Inc.)
n/a
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Appreciation Fund
4/13/07
Xxxx Xxxxx Partners
California Municipals
Fund, Inc. (f/k/a Xxxxx
Xxxxxx California
Municipals Fund Inc.)
n/a
Restructuring
Xxxx Xxxxx Partners
Income Trust
Xxxx Xxxxx Partners
California Municipals
Fund
4/13/07
Xxxx Xxxxx Partners Equity
Funds (f/k/a Xxxxx Xxxxxx
Equity Funds)
Xxxx Xxxxx Partners Social
Awareness Fund (f/k/a
Xxxxx Xxxxxx Social
Awareness Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Social Awareness Fund
4/13/07
Xxxx Xxxxx Partners
Fundamental Value Fund,
Inc. (f/k/a Xxxxx Xxxxxx
Fundamental Value Fund
Inc.)
n/a
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Fundamental Value Fund
4/13/07
Xxxx Xxxxx Partners Income
Funds (f/k/a Xxxxx Xxxxxx
Income Funds)
Xxxx Xxxxx Partners
Diversified Strategic
Income Fund (f/k/a Xxxxx
Xxxxxx Diversified
Strategic Income Fund)
Restructuring
Xxxx Xxxxx Partners
Income Trust
Xxxx Xxxxx Partners
Diversified Strategic
Income Fund
4/13/07
Xxxx Xxxxx Partners
Capital and Income Fund
(f/k/a SB Capital and
Income Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Capital and Income Fund
4/13/07
Xxxx Xxxxx Partners
Investment Funds, Inc.
(f/k/a Xxxxx Xxxxxx
Investment Funds Inc.)
Xxxx Xxxxx Partners
Investment Grade Bond Fund
(f/k/a Xxxxx Xxxxxx
Investment Grade Bond
Fund)
Restructuring
Xxxx Xxxxx Partners
Income Trust
Xxxx Xxxxx Partners
Investment Grade Bond
Fund
4/13/07
Xxxx Xxxxx Partners
Multiple Discipline Funds
All Cap Growth and Value
(f/k/a Xxxxx Xxxxxx
Multiple Discipline Funds-
All Cap Growth and Value
Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners All
Cap Fund
4/13/07
Xxxx Xxxxx Partners
Government Securities Fund
(f/k/a Xxxxx Xxxxxx
Government Securities
Fund)
Restructuring
Xxxx Xxxxx Partners
Income Trust
Xxxx Xxxxx Partners
Government Securities
Fund
4/13/07
Xxxx Xxxxx Partners Small
Cap Value Fund (f/k/a
Xxxxx Xxxxxx Small Cap
Value Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Small Cap Value Fund
4/13/07
Xxxx Xxxxx Partners
Investment Series (f/k/a
Xxxxx Xxxxxx Investment
Series)
Xxxx Xxxxx Partners
Dividend Strategy Fund
(f/k/a Xxxxx Xxxxxx
Dividend Strategy Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Dividend Strategy Fund
4/13/07
Xxxx Xxxxx Partners
Variable Premier
Selections All Cap Growth
Portfolio (f/k/a Xxxxx
Xxxxxx Premier Selections
All Cap Growth Portfolio)
Combination
(acquired by
Xxxx Xxxxx
Partners
Variable
Aggressive
Growth
Portfolio)
n/a
n/a
4/27/07
Xxxx Xxxxx Partners
Variable Government
Portfolio (f/k/a SB
Government Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Income Trust
Xxxx Xxxxx Partners
Variable Government
Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable Dividend Strategy
Portfolio (f/k/a Xxxxx
Xxxxxx Dividend Strategy
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Dividend
Strategy Portfolio
4/27/07
Xxxx Xxxxx Partners
Investment Trust (f/k/a
Xxxxx Xxxxxx Investment
Trust)
Xxxx Xxxxx Partners Large
Cap Growth Fund (f/k/a
Xxxxx Xxxxxx Large
Capitalization Growth
Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Large Cap Growth Fund
4/13/07
Xxxx Xxxxx Partners Mid
Cap Core Fund (f/k/a Xxxxx
Xxxxxx Mid Cap Core Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners Mid
Cap Core Fund
4/13/07
Xxxx Xxxxx Partners
Managed Municipals Fund,
Inc. (f/k/a Xxxxx Xxxxxx
Managed Municipals Fund
Inc.)
n/a
Restructuring
Xxxx Xxxxx Partners
Income Trust
Xxxx Xxxxx Partners
Managed Municipals Fund
4/13/07
Xxxxx Xxxxxx Money Funds,
Inc.
Cash Portfolio
Restructuring
Xxxx Xxxxx Partners Money
Market Trust
Western Asset Money
Market Fund
4/13/07
Government Portfolio
Restructuring
Xxxx Xxxxx Partners Money
Market Trust
Western Asset Government
Money Market Fund
4/13/07
Xxxx Xxxxx Partners
Variable Portfolios IV
(f/k/a Xxxxx Xxxxxx
Multiple Discipline Trust)
Xxxx Xxxxx Partners
Variable Multiple
Discipline Portfolio-All
Cap Growth and Value
(f/k/a Multiple Discipline
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Multiple
Discipline Portfolio-All
Cap Growth and Value
4/27/07
Xxxx Xxxxx Partners
Variable Multiple
Discipline Portfolio-Large
Cap Growth and Value
(f/k/a Multiple Discipline
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Multiple
Discipline Portfolio-
Large Cap Growth and
Value
4/27/07
Xxxx Xxxxx Partners
Variable Multiple
Discipline Portfolio-
Global All Cap Growth and
Value (f/k/a Multiple
Discipline Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Multiple
Discipline Portfolio-
Global All Cap Growth
and Value
4/27/07
Xxxx Xxxxx Partners
Variable Multiple
Discipline Portfolio-
Balanced All Cap Growth
and Value (f/k/a Multiple
Discipline Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Capital and
Income Portfolio
4/27/07
Xxxxx Xxxxxx Municipal
Money Market Fund, Inc.
n/a
Restructuring
Xxxx Xxxxx Partners Money
Market Trust
Western Asset Municipal
Money Market Fund
4/13/07
Xxxx Xxxxx Partners
Municipal Funds (f/k/a
Xxxxx Xxxxxx Muni Funds)
Xxxx Xxxxx Partners New
York Municipals Fund
(f/k/a New York Portfolio)
Restructuring
Xxxx Xxxxx Partners
Income Trust
Xxxx Xxxxx Partners New
York Municipals Fund
4/13/07
Xxxx Xxxxx Partners Sector
Series, Inc. (f/k/a Xxxxx
Xxxxxx Sector Series Inc.)
Xxxx Xxxxx Partners
Financial Services Fund
(f/k/a Xxxxx Xxxxxx
Financial Services Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Financial Services Fund
4/13/07
Xxxx Xxxxx Partners World
Funds, Inc. (f/k/a Xxxxx
Xxxxxx World Funds)
Xxxx Xxxxx Partners
International All Cap
Opportunity Fund (f/k/a
International All Cap
Growth Portfolio)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
International All Cap
Opportunity Fund
4/13/07
Xxxx Xxxxx Partners
Variable Portfolios II
(f/k/a Greenwich Street
Series Fund)
Xxxx Xxxxx Partners
Variable Appreciation
Portfolio (f/k/a
Appreciation Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Appreciation
Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable Capital and
Income Portfolio (f/k/a
Capital and Income
Portfolio)
Combination
(acquired by
Xxxx Xxxxx
Partners
Variable
Multiple
Discipline
Portfolio-
Balanced All
Cap Growth
and Value)
n/a
n/a
4/27/07
Xxxx Xxxxx Partners
Variable Aggressive Growth
Portfolio (f/k/a Salomon
Brothers Variable
Aggressive Growth Fund)
Combination
(acquired by
Xxxx Xxxxx
Partners
Variable
Aggressive
Growth
Portfolio)
n/a
n/a
4/27/07
Xxxx Xxxxx Partners
Variable Equity Index
Portfolio (f/k/a Equity
Index Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Equity Index
Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable Growth and Income
Portfolio (f/k/a Salomon
Brothers Variable Growth &
Income Fund)
Combination
(acquired by
Xxxx Xxxxx
Partners
Variable
Appreciation
Portfolio)
n/a
n/a
4/27/07
Xxxx Xxxxx Partners
Variable Fundamental Value
Portfolio (f/k/a
Fundamental Value
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Fundamental
Value Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable Portfolios III,
Inc. (f/k/a Travelers
Series Fund Inc. )
Xxxx Xxxxx Partners
Variable High Income
Portfolio (f/k/a Xxxxx
Xxxxxx High Income
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Income Trust
Xxxx Xxxxx Partners
Variable High Income
Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable International All
Cap Growth Portfolio
(f/k/a Xxxxx Xxxxxx
International All Cap
Growth Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable International
All Cap Opportunity
Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable Large Cap Growth
Portfolio (f/k/a Xxxxx
Xxxxxx Large
Capitalization Growth
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Large Cap
Growth Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable Large Cap Value
Portfolio (f/k/a Xxxxx
Xxxxxx Large Cap Value
Portfolio)
Combination
(acquired by
Xxxx Xxxxx
Partners
Variable
Investors
Portfolio)
n/a
n/a
4/27/07
Xxxx Xxxxx Partners
Variable Mid Cap Core
Portfolio (f/k/a Xxxxx
Xxxxxx Mid Cap Core
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Mid Cap Core
Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable Money Market
Portfolio (f/k/a Xxxxx
Xxxxxx Money Market
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Income Trust
Xxxx Xxxxx Partners
Variable Money Market
Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable Social Awareness
Stock Portfolio (f/k/a
Social Awareness Stock
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Social
Awareness Portfolio
4/27/07
Xxxx Xxxxx Partners
Variable Adjustable Rate
Income Portfolio (f/k/a SB
Adjustable Rate Income
Portfolio)
Restructuring
Xxxx Xxxxx Partners
Variable Income Trust
Xxxx Xxxxx Partners
Variable Adjustable Rate
Income Portfolio
4/27/07
Xxxx Xxxxx Partners Series
Funds, Inc. (f/k/a Salomon
Brothers Series Funds
Inc.)
Xxxx Xxxxx Partners Small
Cap Growth Fund I (f/k/a
Salomon Brothers Small Cap
Growth Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Small Cap Growth Fund
4/13/07
Xxxx Xxxxx Partners
Variable Portfolios I,
Inc. (f/k/a Salomon
Brothers Variable Series
Funds Inc.)
Xxxx Xxxxx Partners
Variable Small Cap Growth
Portfolio (f/k/a Salomon
Brothers Variable Small
Cap Growth Fund)
Restructuring
Xxxx Xxxxx Partners
Variable Equity Trust
Xxxx Xxxxx Partners
Variable Small Cap
Growth Portfolio
4/27/07
Xxxx Xxxxx Partners Trust
II (f/k/a Xxxxx Xxxxxx
Trust II)
Xxxx Xxxxx Partners Global
Equity Fund (f/k/a Xxxxx
Xxxxxx International Large
Cap Fund)
Restructuring
Xxxx Xxxxx Partners
Equity Trust
Xxxx Xxxxx Partners
Global Equity Fund
4/13/07
Xxxx Xxxxx Partners
Variable Portfolios V
(f/k/a Variable Annuity
Portfolios)
Xxxx Xxxxx Partners
Variable Small Cap Growth
Opportunities Portfolio
(f/k/a Xxxxx Xxxxxx Small
Cap Growth Opportunities
Portfolio)
Combination
(acquired by
Xxxx Xxxxx
Partners
Variable
Small Cap
Growth
Portfolio)
n/a
n/a
4/27/07
