Exhibit (d) (1) (i)
▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇▇ FUND, INC.
AMENDMENT NO. 2 TO
INVESTMENT MANAGEMENT AGREEMENT
AMENDMENT NO. 2 TO INVESTMENT MANAGEMENT AGREEMENT, dated as of October 28,
2004 between ▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇▇ FUND, INC., a Maryland Corporation, (the
"Fund"), on behalf of U.S. Government Short Duration Portfolio, Short Duration
Plus Portfolio, Intermediate Duration Portfolio, Diversified Municipal
Portfolio, California Municipal Portfolio, New York Municipal Portfolio, Short
Duration Diversified Municipal Portfolio, Short Duration California Municipal
Portfolio, Short Duration New York Municipal Portfolio, Tax-Managed
International Portfolio, International Portfolio, and Emerging Markets Value
Portfolio (the "Portfolios") and ALLIANCE CAPITAL MANAGEMENT L.P., a Delaware
Limited Partnership (the "Adviser" or "Alliance").
Pursuant to the Investment Management Agreement dated as of October 2, 2000
(the "Investment Management Agreement") between the Fund, on behalf of each
Portfolio, and the Adviser, the Fund, on behalf of each Portfolio, has agreed to
compensate the Adviser for the services it performs for, and the facilities and
personnel it provides to, each Portfolio. The Adviser and the Fund, on behalf of
each Portfolio, wish to amend the Investment Management Agreement to modify such
compensation with respect to each Portfolio. Accordingly, the parties hereto
hereby agree as follows:
Subsections (a) - (d) of Section 5 of the Investment Management Agreement
are hereby deleted in their entirety and replaced with the following:
As compensation for the services performed and the facilities and personnel
provided by the Adviser pursuant to Section 1 of this Agreement, the Fund, on
behalf of each Portfolio, will pay the Adviser, promptly after the end of each
month, fees at the rates set forth below:
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Portfolio Annual Percentage of Average Daily Net Assets of Each Portfolio
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Short Duration California .50% of the first $250 million; .45% of assets in excess of $250 million up
Municipal Portfolio to, but not exceeding $750 million; .40% of assets in excess of $750 million
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Short Duration Diversified .50% of the first $250 million; .45% of in excess of $250 million up
Municipal Portfolio to, but not exceeding $750 million; .40% of assets in excess of $750 million
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Short Duration New York Municipal .50% of the first $250 million; .45% of assets in excess of $250 million up
Portfolio to, but not exceeding $750 million; .40% of assets in excess of $750 million
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U.S. Government Short .50% of the first $250 million; .45% of assets in excess of $250 million
Duration Portfolio up to, but not exceeding $750 million; .40% in excess of $750 million
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Short Duration Plus Portfolio .50% of the first $250 million; .45% of assets in excess of $250 million up to,
but not exceeding $750 million; .40% in excess of $750 million
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New York Municipal Portfolio .50% of the first $1 billion; .45% of assets in excess of $1 billion up to,
but not exceeding $3 billion; .40% of assets in excess of $3 billion
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California Municipal Portfolio .50% of the first $1 billion; .45% of assets in excess of $1 billion up to,
but not exceeding $3 billion; .40% of assets in excess of $3 billion
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Diversified Municipal Portfolio .50% of the first $1 billion; .45% of assets in excess of $1 billion up to,
but not exceeding $3 billion; .40% of assets in excess of $3 billion
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Intermediate Duration Portfolio .50% of the first $1 billion; .45% of assets in excess of $1 billion up to,
but not exceeding $3 billion; .40% of assets in excess of $3 billion
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Tax-Managed International Portfolio 1.00% of the first $1 billion; .90% of assets in excess of $1 billion up to,
but not exceeding $4 billion; .85% of assets in excess of $4 billion up to,
but not exceeding $6 billion; .75% of assets in excess of $6 billion
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International Portfolio 1.00% of the first $1 billion; .90% of assets in excess of $1 billion up
to, but not exceeding $4 billion; .85% of assets in excess of $4 billion up to,
but not exceeding $6 billion; .75% of assets in excess of $6 billion
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Emerging Markets Value Portfolio 1.25% of the first $1 billion; 1.125% of assets in excess of $1 billion up to,
but not exceeding $2 billion; 1.00% of assets in excess of $2 billion
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If the Adviser shall serve hereunder for less than the whole of any month,
the fee hereunder shall be prorated.
Except as herein provided, the Investment Management Agreement shall remain
in full force and effect.
IN WITNESS WHEREOF, the Fund, on behalf of each Portfolio, and the Adviser
have caused this Amendment No. 2 to the Investment Management Agreement to be
executed by their duly authorized officers as of the date first above written.
▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇▇ FUND, INC. ALLIANCE CAPITAL MANAGEMENT L.P.
By: Alliance Capital Management
Corporation, General Partner
By:
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