JOHN HANCOCK FUNDS AMENDMENT TO EXPENSE LIMITATION AGREEMENT
XXXX XXXXXXX FUNDS
AMENDMENT TO EXPENSE LIMITATION AGREEMENT
This Amendment dated September ___, 2008 to the Expense Limitation Agreement in effect on this
date (the “Expense Limitation Agreement”) by and between, as the case may be, Xxxx Xxxxxxx
Investment Management Services, LLC and Xxxx Xxxxxxx Advisers, LLC (collectively, “Xxxx Xxxxxxx”),
and each registered investment company listed on Schedule A attached hereto (each a “Trust”), on
behalf of the Trust’s series, also as set forth in Schedule A (each a “Fund”).
WHEREAS, the parties have entered into the Expense Limitation Agreement in order to limit each
Fund’s expenses as described therein; and
WHEREAS, Xxxx Xxxxxxx and each Trust have determined that it is appropriate and in the best
interests of the Funds to permit Xxxx Xxxxxxx to recoup waived fees and reimbursed expenses under
certain conditions;
NOW THEREFORE, the parties hereto agree as follows:
1. Reimbursement of Fee Waivers and Expense Reimbursements.
1.1. Reimbursement. With respect to each Fund, if, in any year in which Xxxx Xxxxxxx
serves as the Fund’s investment adviser pursuant to an effective investment advisory agreement (the
“Advisory Agreement”), the aggregate operating expenses (the “Fund Operating Expenses”) of such
Fund for the fiscal year are less than the maximum annual operating expense limit set forth in the
Expense Limitation Agreement (“Maximum Annual Operating Expense Limit”) for that year, Xxxx Xxxxxxx
shall be entitled to reimbursement by such Fund, in whole or in part as provided below, of the fees
payable under the Advisory Agreement (the “Advisory Fees”) that were waived or reduced, and other
payments remitted (“Expense Reimbursements”), by Xxxx Xxxxxxx to such Fund pursuant to the Expense
Limitation Agreement. The total amount of reimbursement to which Xxxx Xxxxxxx may be entitled
(“Reimbursement Amount”) shall equal, at any time, the sum of all Advisory Fees previously waived
or reduced by Xxxx Xxxxxxx and all other Expense Reimbursements remitted by Xxxx Xxxxxxx to the
Fund during any of the previous three (3) fiscal years, less any reimbursement previously paid by
such Fund to Xxxx Xxxxxxx with respect to such waivers, reductions, and payments. The
Reimbursement Amount shall not include any additional charges or fees whatsoever, including, e.g.,
interest accruable on the Reimbursement Amount.
1.2. Method of Computation. To determine each Fund’s accrual, if any, to reimburse
Xxxx Xxxxxxx for the Reimbursement Amount, each month the Fund Operating Expenses of each Fund
shall be annualized as of the last day of the month. If the annualized Fund Operating Expenses of
a Fund for any month are less than the Maximum Annual Operating Expense Limit of such Fund, such
Fund shall accrue into its net asset value an amount payable to Xxxx Xxxxxxx sufficient to increase
the annualized Fund Operating Expenses of that Fund to an amount no greater than the Maximum Annual
Operating Expense Limit of that Fund, provided that such amount paid to Xxxx Xxxxxxx will in no
event exceed the total Reimbursement Amount. For accounting purposes, when the annualized Fund
Operating Expenses of a Fund are below the Maximum Annual Operating Expense Limit, a liability will
be accrued daily for these amounts.
1.3. Year-End Adjustment. If necessary, on or before the last day of the first month
of each fiscal year, an adjustment payment shall be made by the appropriate party in order that the
actual
Fund Operating Expenses of a Fund for the prior fiscal year (including any reimbursement
payments hereunder with respect to such fiscal year) do not exceed the Maximum Annual Operating
Expense Limit.
1.4. Limitation of Liability. Xxxx Xxxxxxx shall look only to the assets of the Fund
for which it waived or reduced fees or remitted payments for reimbursement under this Agreement and
for payment of any claim hereunder, and neither the Funds, nor any of the Trust’s trustees,
officers, employees, agents, or shareholders, whether past, present or future shall be personally
liable therefor.
2. Term of Amendment.
This Amendment shall continue in effect with respect to all Funds in accordance with the terms
for the continuation of the Expense Limitation Agreement.
3. Miscellaneous.
3.1. All capitalized terms not otherwise defined in this Amendment shall have the same meaning
as in the Expense Limitation Agreement.
3.2. Except as modified in this Amendment, all terms of the Expense Limitation Agreement
continue to be in effect and binding on the parties.
3.3. This Amendment may be amended or terminated only in accordance with the terms of the
Expense Limitation Agreement, except that this Amendment will terminate automatically upon the
termination of the Expense Limitation Agreement.
IN WITNESS WHEREOF, the parties have caused this Amendment to be signed by their respective
officers thereunto duly authorized as of the day and year first above written.
XXXX XXXXXXX ADVISERS, LLC
By:
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Name: | ||||||
Title: | ||||||
XXXX XXXXXXX INVESTMENT MANAGEMENT SERVICES, LLC
By:
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Name: | ||||||
Title: | ||||||
THE TRUSTS LISTED ON SCHEDULE A,
ON BEHALF OF THE FUNDS LISTED THEREON
By:
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Name: | ||||||
Title: | ||||||
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SCHEDULE A
Trusts and Funds
Trusts and Funds
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