Exhibit 77Q1e
Amendment to
Investment Advisory Contract
between
Federated Fund for U.S. Government Securities, Inc.
and
Federated Investment Management Company
This Amendment to the Investment Advisory Contract ("Agreement") dated
August 1, 1989, between Federated Fund for U.S. Government Securities, Inc.
("Fund") and Federated Investment Management Company ("Service Provider")
is made and entered into as of the 1st day of June, 2001.
WHEREAS, the Fund has entered into the Agreement with the Service Provider;
WHEREAS, the Securities and Exchange Commission has adopted Regulation S-P
at 17 CFR Part 248 to protect the privacy of individuals who obtain a
financial product or service for personal, family or household use;
WHEREAS, Regulation S-P permits financial institutions, such as the Fund,
to disclose "nonpublic personal information" ("NPI") of its "customers"
and "consumers" (as those terms are therein defined in Regulation S-P) to
affiliated and nonaffiliated third parties of the Fund, without giving such
customers and consumers the ability to opt out of such disclosure, for the
limited purposes of processing and servicing transactions (17 CFR S 248.14)
("Section 248.14 NPI"); for specified law enforcement and miscellaneous
purposes (17 CFR S 248.15) ("Section 248.15 NPI") ; and to service providers
or in connection with joint marketing arrangements (17 CFR S 248.13)
("Section 248.13 NPI");
WHEREAS, Regulation S-P provides that the right of a customer and consumer
to opt out of having his or her NPI disclosed pursuant to 17 CFR S 248.7 and
17 CFR S 248.10 does not apply when the NPI is disclosed to service providers
or in connection with joint marketing arrangements, provided the Fund and
third party enter into a contractual agreement that prohibits the third party
from disclosing or using the information other than to carry out the purposes
for which the Fund disclosed the information (17 CFR S 248.13);
NOW, THEREFORE, the parties intending to be legally bound agree as follows:
0 The Fund and the Service Provider hereby acknowledge that the Fund may
disclose shareholder NPI to the Service Provider as agent of the Fund
and solely in furtherance of fulfilling the Service Provider's
contractual obligations under the Agreement in the ordinary course of
business to support the Fund and its shareholders.
1 The Service Provider hereby agrees to be bound to use and redisclose
such NPI only for the limited purpose of fulfilling its duties and
obligations under the Agreement, for law enforcement and miscellaneous
purposes as permitted in 17 CFR SS 248.15, or in connection with joint
marketing arrangements that the Funds may establish with the Service
Provider in accordance with the limited exception set forth in 17 CFR
S 248.13.
2 The Service Provider further represents and warrants that, in
accordance with 17 CFR S 248.30, it has implemented, and will continue
to carry out for the term of the Agreement, policies and procedures
reasonably designed to:
* insure the security and confidentiality of records and NPI of Fund
customers, protect against any anticipated threats or hazards to the
security or integrity of Fund customer records and NPI, and
* protect against unauthorized access to or use of such Fund customer
records or NPI that could result in substantial harm or inconvenience
to any Fund customer.
3 The Service Provider may redisclose Section 248.13 NPI only to: (a) the
Funds and affiliated persons of the Funds ("Fund Affiliates"); (b) affiliated
persons of the Service Provider ("Service Provider Affiliates") (which in
turn may disclose or use the information only to the extent permitted under
the original receipt); (c) a third party not affiliated with the Service
Provider of the Funds ("Nonaffiliated Third Party") under the service and
processing (S248.14) or miscellaneous (S248.15) exceptions, but only in the
ordinary course of business to carry out the activity covered by the exception
under which the Service Provider received the information in the first
instance; and (d) a Nonaffiliated Third Party under the service provider and
joint marketing exception (S248.13), provided the Service Provider enters into
a written contract with the Nonaffiliated Third Party that prohibits the
Nonaffiliated Third Party from disclosing or using the information other
than to carry out the purposes for which the Funds disclosed the information
in the first instance.
4 The Service Provider may redisclose Section 248.14 NPI and Section 248.15
NPI to: (a) the Funds and Fund Affiliates; (b) Service Provider Affiliates
(which in turn may disclose the information to the same extent permitted under
the original receipt); and (c) a Nonaffiliated Third Party to whom the Funds
might lawfully have disclosed NPI directly.
5 The Service Provider is obligated to maintain beyond the termination
date of the Agreement the confidentiality of any NPI it receives from the
Fund in connection with the Agreement or any joint marketing arrangement,
and hereby agrees that this Amendment shall survive such termination.
WITNESS the due execution hereof this 1st day of June, 2001.
Federated Fund for U.S. Government Securities, Inc.
By: /s/ J. Xxxxxxxxxxx Xxxxxxx
Name: J. Xxxxxxxxxxx Xxxxxxx
Title: President
Federated Investment Management Company
By: /s/ G. Xxxxxx Xxxxxxxxx
Name: G. Xxxxxx Xxxxxxxxx
Title: Vice President
