SUBSCRIPTION AGREEMENT
This Agreement is made as of the 2nd day of June, 2003 between Xxxx
Xxxxxxx Advisers, LLC, a Delaware limited liability company (the "Adviser"), and
Xxxx Xxxxxxx Preferred Income Fund III, a Massachusetts business trust (the
"Fund").
WHEREAS, the Fund wishes to sell to the Adviser, and the Adviser wishes
to purchase from the Fund, $143,011.25 of common shares of beneficial interest,
no par value, of the Trust (5,990 common shares at a purchase price of $23.875
per share (collectively, the "Shares")); and
WHEREAS, the Adviser is purchasing the Shares for the purpose of
providing the initial capitalization of the Fund as required by the Investment
Company Act of 1940;
NOW, THEREFORE, the parties hereto agree as follows:
1. Simultaneously with the execution of this Agreement, the Adviser is
delivering to the Trust a check in the amount of $143,011.25 in full
payment for the Shares.
2. The Adviser agrees that it is purchasing the Shares for investment
and has no present intention of reselling the Shares.
Executed as of the date first set forth above.
XXXX XXXXXXX ADVISERS, LLC
/s/Xxxxxxx X. Xxxx
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By: Xxxxxxx X. Xxxx
Its: Chairman, President and
Chief Executive Officer
XXXX XXXXXXX PREFERRED INCOME FUND III
/s/Xxxxx X. Xxxxxx
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By: Xxxxx X. Xxxxxx
Its: Senior Vice President, Secretary
and Chief Legal Officer
