BLACKROCK ADVISORS, INC.
WAIVER RELIANCE LETTER
October 22, 2002
BlackRock Florida Insured Municipal Income Trust
000 Xxxxxxxx Xxxxxxx
Xxxxxxxxxx, Xxxxxxxx 00000
Ladies and Gentlemen:
BlackRock Advisors, Inc. (the "Advisor") and BlackRock Florida Insured
Municipal Income Trust (the "Trust"), a closed-end management investment company
registered under the Investment Company Act of 1940, as amended, have entered
into an Investment Management Agreement, dated as of October 22, 2002 (the
"Advisory Agreement"), pursuant to which the Advisor has agreed to furnish
investment advisory services to the Trust on the terms and subject to the
conditions of the Advisory Agreement.
The Advisory Agreement provides, among other things, that the Trust will
pay to the Advisor as full compensation for all investment advisory services
rendered by the Advisor to the Trust under the Advisory Agreement a monthly fee
in arrears at an annual rate equal to 0.55% of the average weekly value of the
Trust's Managed Assets (as defined in the Advisory Agreement) (such fee being
referred to herein as the "Investment Advisory Fee"). The Advisor has covenanted
to the underwriters of the Trust's common shares of beneficial interest that the
Advisor will waive receipt of certain payments that would be expenses of the
Trust, as set forth below. The Advisor understands that you intend to disclose
this undertaking in your Registration Statement on Form N-2 and the prospectus
included therein. This letter confirms that you may rely on such undertaking for
purposes of making disclosure in your Registration Statement and prospectus and
authorizes you to offset the appropriate amount of the waived payments described
herein against the Investment Advisory Fee.
For the period from the commencement of the Trust's operations through
October 31, 2003, and for the twelve month periods ending October 31 in each
indicated year during the term of the Advisory Agreement (including any
continuation thereof in accordance with Section 15 of the Investment Company Act
of 1940, as amended), the Advisor will waive receipt of certain payments that
would be expenses of the Trust in the amount determined by applying the
following annual rates to the average weekly value of the Trust's Managed
Assets:
Period Ending Period Ending
October 31 Waiver October 31 Waiver
---------- ------ ---------- ------
2003 0.20% 2007 0.20%
2004 0.20% 2008 0.15%
2005 0.20% 2009 0.10%
2006 0.20% 2010 0.05%
The Advisor intends to cease to so waive receipt of payments upon the
earlier of (a) October 31, 2010 or (b) termination of the Advisory Agreement.
Please acknowledge the foregoing by signing the enclosed copy of this
letter in the space provided below and returning the executed copy to the
Advisor.
Sincerely,
BLACKROCK ADVISORS, INC.
By: Xxxx. X. Xxxxxxxx
--------------------------------------
Name: Xxxx X. Xxxxxxxx
Title: Managing Director
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CONFIRMED AND ACCEPTED:
BLACKROCK FLORIDA INSURED MUNICIPAL INCOME TRUST
By: Xxxx. X. Xxxxxxxx
-------------------------------------
Name: Xxxx X. Xxxxxxxx
Title: Secretary
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