Exhibit (8)(b)
ADDENDUM NO. 1 TO CUSTODIAN AGREEMENT
This Addendum, dated as of the ____ day of __________, 199__,
is entered into between PEGASUS VARIABLE ANNUITY FUND (the "Trust"), a
Delaware business trust, and NBD BANK ("NBD" or the "Custodian"), a
state-chartered bank incorporated under the laws of Michigan.
WHEREAS, the Trust and NBD have entered into a Custodian
Agreement dated March 30, 1995 (the "Custodian Agreement"), pursuant to which
the Trust appointed NBD to act as Custodian to the Trust's Money Market Fund,
Growth and Value Fund, Mid-Cap Opportunity Fund, Managed Assets Balanced Fund
and Growth Fund.
WHEREAS, Article XIV, Paragraph 9 of the Custodian Agreement
provides that in the event the Trust establishes one or more additional
portfolios with respect to which it desires to retain NBD to act as the
custodian under the Custodian Agreement, the Trust shall so notify NBD in
writing and if NBD is willing to render such services it shall notify the
Trust in writing, and the compensation to be paid to NBD shall be that which
is agreed to in writing by the Trust and NBD pursuant to Article XII,
Paragraph 6 of the Custodian Agreement;
WHEREAS, pursuant to Article XIV, Paragraph 9 of the Custodian
Agreement, the Trust has notified NBD that it intends to establish the Bond
Fund, Intrinsic Value Fund and International Equity Fund and that it desires
to retain NBD to act as the custodian therefor, and NBD has notified the Trust
that it is willing to serve as custodian for such Funds.
NOW THEREFORE, the parties hereto, intending to be legally
bound, hereby agree as follows:
1. Appointment. The Trust hereby appoints NBD to act as
Custodian to the Trust for the Bond Fund, Intrinsic Value Fund and
International Equity Fund for the period and on the terms set forth in the
Custodian Agreement. NBD hereby accepts such appointment and agrees to render
the services set forth in the Custodian Agreement, for the compensation
provided in Appendix A hereto.
2. Capitalized Terms. From and after the date hereof, the terms
"Fund" and "Series" as used in the Custodian Agreement shall be deemed to
include the Bond Fund, Intrinsic Value Fund and International Equity Fund.
Capitalized terms used herein and not otherwise defined shall have the
meanings ascribed to them in the Custodian Agreement.
3. Miscellaneous. Except to the extent supplemented
hereby, the Custodian Agreement shall remain unchanged and in
full force and effect and is hereby ratified and confirmed in all
respects as supplemented hereby.
IN WITNESS WHEREOF, the undersigned have executed this Addendum
as of the date and year first above written.
PEGASUS VARIABLE ANNUITY FUND
By: _______________________
Xxxxxx X. Xxxxxxxxxx
NBD BANK
By: ________________________
APPENDIX A
Fee schedule for the services provided by NBD Bank as Custodian
to the Bond Fund, Intrinsic Value Fund and International Equity Fund.
Basic Annual Account Charge $1,000
Annual Security Fee
First $20,000,000 = .0003
Next $20,000,000 = .00025
Next $20,000,000 = .0002
Next $40,000,000 = .00015
Next $200,000,000 = .000125
Balance over $300,000,000 = .0001
Asset Fee $1.541 per security held at end of month.
Security Transactions:
$13.00 for each Pass-Through Certificate Payment
$35.00 for Option Transactions requiring Escrow Receipts
$20.00 for all other security transactions
Accounting Statements:
Cash Statement - $50 per statement
Inventories - $50 per inventory
A-1
