EX-99.77I NEW SECUR 4 new.txt SUBITEM 77Ib Terms of new or amended securities Attached is the Class F Shares Exhibit to the Multiple Class Plan of Federated Municipal Securities Fund Inc The information contained in the attached Exhibit serves as the description of Class F Shares as required by this Item CLASS F SHARES EXHIBIT TO MULTIPLE CLASS PLAN 1 SEPARATE ARRANGEMENT AND EXPENSE ALLOCATION For purposes of Rule 18f3 under the Act the basic distribution and shareholder servicing arrangement for the Class F Shares will consist of sales by financial intermediaries in consideration of the payment of the sales load dealer reallowance Financial intermediaries may also provide shareholder services and may receive shareholder service fees therefor Additionally the principal underwriter may pay up to 100 basis points 100 of the public offering price to financial intermediaries as an advance commission on sales In consideration of advancing this payment the principal underwriter will receive any contingent deferred sales charges paid upon redemption of Class F Shares and distribution service fees under the 12b1 Plan on an ongoing basis In connection with this basic arrangement Class F Shares will bear the following fees and expenses Fees and Expenses Maximum Amount Allocated Class F Shares Sales Load Up to 100 basis points 100 of the public offering price Contingent Deferred Sales Charge CDSC Up to 100 basis points 100 of the share price at the time of original purchase or redemption whichever is lower Shareholder Service Fee Up to 25 basis points 025 of the average daily net asset value 12b1 Fee As set forth in the attached Schedule Other Expenses Itemized expenses incurred by the Fund with respect to holders of Class F Shares as described in Section 3 of the Plan 2 CONVERSION AND EXCHANGE PRIVILEGES For purposes of Rule 18f3 Class F Shares have the following conversion rights and exchange privileges at the election of the shareholder Conversion Rights None Exchange Privileges Class F Shares may be exchanged for Class F Shares of any other Fund In any exchange the shareholder shall receive shares having the same aggregate net asset value as the shares surrendered Exchanges to any other Class shall be treated as a redemption and purchase 3 EXCEPTIONS TO BASIC ARRANGEMENTS For purposes of Rules 22d1 and 6c10 under the Act unless otherwise specified on the Schedule to this Exhibit the scheduled variations in sales load and contingent deferred sales charges are as follows A BASIC SALES LOAD SCHEDULE Purchase Amount Sales Charge as Percentage of Offering Price Sales Charge as a Percentage of NAV Less than 1 million 100 101 1 million or greater 000 000 Applies to all Funds indicated on the attached Schedule except Federated Limited Term Municipal Fund which has no initial sales load B CDSC SCHEDULE Unless otherwise indicated below the Schedule of Contingent Deferred Sales Charges for each Fund is as follows Purchase Amount Shares Held Contingent Deferred Sales Charge Under 2 million 4 years or less 100 2 million but less than 5 million 2 years or less 050 5 million or greater 1 year or less 025 C REDUCING OR ELIMINATING THE SALES LOAD Contingent upon notification to the Funds principal underwriter or transfer agent in applying the exceptions set forth in this Section 3 the purchase amount shall take into account Discounts achieved by combining concurrent purchases of andor current investment in Class A Class B Class C Class F and Class K Shares made or held by or on behalf of the investor the investors spouse and the investors children under age 21 regardless of whether the purchases or investments are made or held directly or through an investment professional or through a singleparticipant retirement account provided that such purchases and investments can be linked using tax identification numbers TINs social security numbers SSNs or Broker Identification Numbers BINs and Letters of intent to purchase a certain amount of Class F Shares within a thirteen month period D WAIVER OF SALES LOAD Contingent upon notification to the Funds principal underwriter or transfer agent no sales load will be assessed on purchases of Class F Shares made within 120 days of redeeming Shares of an equal or greater amount through a financial intermediary that did not receive a dealer reallowance on the purchase by shareholders who originally became shareholders of a Fund pursuant to the terms of an agreement and plan of reorganization which permits the shareholders to acquire shares at net asset value with reinvested dividends or capital gains by Directors Trustees employees former employees and sales representatives of the Fund the Adviser the principal underwriter and their affiliates employees of any investment professional that sells shares according to a sales agreement with the principal underwriter by the immediate family members of the above persons and by trusts pension or profitsharing plans for the above persons and pursuant to the exchange privilege E WAIVER OF CDSC Contingent upon notification to the Funds principal underwriter or transfer agent no CDSC will be imposed on redemptions Class F Shares of Federated Capital Income Fund Only as a shareholder who owned Shares on September 30 1989 following the death of the last surviving shareholder or postpurchase disability as defined in Section 72m 7 of the Internal Revenue Code of 1986 representing minimum required distributions from an Individual Retirement Account or other retirement plan to a shareholder who has attained the age of 70 12 of Shares purchased within 120 days of a previous redemption of an equal or lesser amount of Shares held by Directors Trustees employees former employees and sales representatives of the Fund the Adviser the principal underwriter and their affiliates employees of any investment professional that sells Shares according to a sales agreement with the principal underwriter by the immediate family members of the above persons and by trusts pension or profitsharing plans for the above persons of Shares purchased through a financial intermediary that did not receive an advance commission on the purchase of Shares purchased with reinvested dividends or capital gains imposed by the Fund when it closes an account for not meeting the minimum balance requirements of Shares which were purchased pursuant to an exchange privilege if the Shares were held for the applicable CDSC holding period and representing a total or partial distribution from a qualified plan which would not include account transfers rollovers or redemptions for the purpose of reinvestment For these purposes qualified plans would not include an Individual Retirement Account Keogh Plan or custodial account following retirement SCHEDULE OF FUNDS OFFERING CLASS F SHARES The Funds set forth on this Schedule each offer Class F Shares on the terms set forth in the Class F Shares Exhibit to the Multiple Class Plan in each case as indicated below The 12b1 fees indicated are the maximum amounts authorized based on the average daily net asset value Actual amounts accrued may be less CLASS F SHARES SUBJECT TO THE BASIC LOAD SCHEDULE Multiple Class Company Series 12b1 Fee Federated Municipal Securities Fund Inc None