SUPPLEMENT TO
ADMINISTRATION AGREEMENT
PIMCO Variable Insurance Trust
000 Xxxxxxx Xxxxxx Xxxxx
Xxxxxxx Xxxxx, Xxxxxxxxxx 00000
EXHIBIT 99.(h)(2)
_________________ , 1998
Pacific Investment Management Company
000 Xxxxxxx Xxxxxx Xxxxx
Xxxxxxx Xxxxx, Xxxxxxxxxx 00000
RE: Equity Income Portfolio
Small-Cap Value Portfolio
Capital Appreciation Portfolio
Mid-Cap Growth Portfolio
Long-Term U.S. Government Portfolio
Real Return Bond Portfolio
Dear Sirs:
This will confirm the agreement between the undersigned (the "Trust") and
Pacific Investment Management Company (the "Administrator") as follows:
1. This Trust is an open-end investment company organized as a Delaware
business trust, and consisting of such investment portfolios as have been
or may be established by the Trustees of the Trust from time to time. A
separate series of shares of beneficial interest of the Trust is offered to
investors with respect to each investment portfolio. The Equity Income
Portfolio, Small-Cap Value Portfolio, Capital Appreciation Portfolio, and
Mid-Cap Growth Portfolio, Long-Term U.S. Government Portfolio and Real
Return Bond Portfolio (the "Portfolios") are each separate investment
portfolios of the Trust.
2. The Trust and the Administrator have entered into an Administration
Agreement ("Agreement") dated December 31, 1997, pursuant to which the
Trust has employed the Administrator to provide management and
administrative services to the Trust as set forth in that Agreement.
3. As provided in paragraph 1 of the Agreement, the Trust hereby adopts the
Agreement with respect to the Portfolios and the Administrator hereby
acknowledges that the
Agreement shall pertain to the Portfolios, the terms and conditions of such
Agreement being hereby incorporated herein by reference.
4. Subject to the approval of the Trust's Board of Trustees, the Trust
consents to the Administrator's delegation of some or all of its
responsibilities under the Administration Agreement with respect to the
Portfolios to a qualified party or parties. Such delegation shall be
evidenced by a written agreement to which the Trust need not be a party but
which shall be subject to Trustee review and approval. Nothing contained
herein shall be deemed to limit in any way the Administrator's ability to
delegate its duties under the Administration Agreement with respect to any
other series of shares of the Trust.
5. As provided in paragraph 5 of the Agreement and subject to further
conditions as set forth therein, the Trust shall with respect to the
Portfolios pay the Administrator a monthly fee calculated as a percentage
(on an annual basis) of the average daily value of net assets of the
Portfolios during the preceding month as follows: for the Equity Income
Portfolio, at a rate of 0.25% of the assets, for Small Cap Value Portfolio,
at the rate of .25% of the assets, for the Capital Appreciation Portfolio,
at the rate of .25% of the assets, for the Mid Cap Growth Portfolio, at the
rate of .25% of the assets, for the Long-Term U.S. Government Portfolio, at
the rate of .25% of the assets, and for the Real Return Bond Portfolio, at
the rate of .25% of the assets.
6. This Supplement and the Agreement shall become effective with respect to
the Portfolios on ______________, 1998 and shall continue in effect with
respect to the Portfolios for a period of more than two years from that
date only so long as the continuance is specifically approved at least
annually (a) by the vote of a majority of the outstanding voting securities
(as defined in the 0000 Xxx) of the Portfolios or by the Trust's Board of
Trustees and (b) by the vote, cast in person at a meeting called for the
purpose, of a majority of the Trust's trustees who are not parties to this
Contract or "interested persons" (as defined in the 0000 Xxx) of any such
party. This Agreement may be terminated with respect to the Portfolios at
any time, without the payment of any penalty, by a vote of a majority of
the entire Board of Trustees of the Trust or by a majority of the
outstanding voting securities of the Trust or, with respect to a particular
Portfolio, by a vote of a majority of the outstanding shares of such
Portfolio, on 60 days' written notice to the Administrator or, at or after
the two-year period commencing the date of its effectiveness, by the
Administrator on 60 days' written notice to the Trust. This Agreement shall
terminate automatically in the event of its assignment (as defined in the
1940 Act).
If the foregoing correctly sets forth the agreement between the Trust and
the Administrator, please so indicate by signing and returning to the Trust the
enclosed copy hereof.
Very truly yours,
PIMCO VARIABLE INSURANCE TRUST
By:
---------------------------------
Title:
ACCEPTED:
PACIFIC INVESTMENT MANAGEMENT COMPANY
By:
---------------------------------
Title:
