|
RESOLVED, that the Funds
shall be covered under a joint fidelity bond issued by St. Paul Travelers
in the amount of $9 million; and
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||
|
FURTHER RESOLVED, that
the President or Vice President of each Fund is authorized and empowered
to enter into an agreement with the other Fund insureds to provide that in
the event recovery is received under the bond as a result of a loss
sustained by one or more of the insured Funds, that each Fund shall
receive an equitable and proportionate share of the recovery, such share
being at least equal to the amount it would have received had it provided
and maintained a single insured bond with the minimum coverage required by
paragraph (d) (1) of Rule 17g-1; and
|
||
| FURTHER RESOLVED, that the premium of $19,350 for said bond be allocated proportionately to each Fund taking all relevant factors into consideration including the extent to which the share of the premium allocated to each Fund under the bond is less than the premium which each Fund would have had to pay had it maintained a single insured bond; and | ||
|
FURTHER RESOLVED, that
the President of each Fund is authorized and directed to take all action
necessary or proper to carry into effect the foregoing resolutions, and
that David T. Henigson be, and he hereby is, designated as the officer who
shall make filings and give the notices on behalf of the Funds required by
Rule 17g-1.
|
INVESTMENT
COMPANY BLANKET BOND
St.
Paul Fire and Marine Insurance Company
St.
Paul, Minnesota 55102-1396
(A
Stock Insurance Company, herein called Underwriter)
|
DECLARATIONS
|
BOND
NO. 485PB0553
|
|
|
Item
1.
|
Name
of Insured (herein called Insured):
|
||
|
VALUE
LINE MUTUAL FUNDS
|
|||
|
Principal
Address:
|
|||
|
220
EAST 42ND STREET
|
|
||
|
NEW
YORK, NY 10017
|
|
Item
2.
|
Bond
Period from 12:01 a.m. on 03/15/08 to 12:01 a.m. on 03/15/09 the effective
date of the termination or cancellation of the bond, standard time at the
Principal Address as to each of said dates.
|
|
Item
3.
|
Limit
of Liability
|
|
Subject
to Sections 9, 10, and 12 hereof:
|
|
Limit
of Liability
|
Deductible
Amount
|
||
|
Insuring
Agreement A - FIDELITY
|
$9,000,000
|
$25,000
|
|
|
Insuring
Agreement B - AUDIT EXPENSE
|
$50,000
|
$10,000
|
|
|
Insuring
Agreement C - PREMISES
|
$9,000,000
|
$25,000
|
|
|
Insuring
Agreement D - TRANSIT
|
$9,000,000
|
$25,000
|
|
|
Insuring
Agreement E - FORGERY OR ALTERATION
|
$9,000,000
|
$25,000
|
|
|
Insuring
Agreement F - SECURITIES
|
$9,000,000
|
$25,000
|
|
|
Insuring
Agreement G - COUNTERFEIT CURRENCY
|
$9,000,000
|
$25,000
|
|
|
Insuring
Agreement H - STOP PAYMENT
|
$9,000,000
|
$25,000
|
|
|
Insuring
Agreement I - UNCOLLECTIBLE ITEMS OF DEPOSIT
|
$100,000
|
$25,000
|
|
OPTIONAL
COVERAGES ADDED BY RIDER:
|
||
|
COMPUTER
SYSTEMS
|
$9,000,000/$25,000
|
|
|
VOICE
INITIATED TRANSACTIONS
|
$9,000,000/$25,000
|
|
|
TELEFACSIMILE
|
$9,000,000/$25,000
|
|
|
UNAUTHORIZED
SIGNATURE
|
$9,000,000/$25,000
|
If "Not
Covered" is inserted above opposite any specified Insuring Agreement or
Coverage, such Insuring Agreement or Coverage and any other reference thereto in
this bond shall be deemed to be deleted therefrom.
|
Item
4.
|
Offices
or Premises Covered - Offices acquired or established subsequent to the
effective date of this bond are covered according to the terms of General
Agreement A. All the Insured's offices or premises in existence at the
time this bond becomes effective are covered under this bond except the
offices or premises located as
follows:
|
|
ICB001
Rev. 7/04
|
|
|
©
2004 The Travelers Companies, Inc.
|
Page 1
of 2
|
|
Item
5.
|
The
liability of the Underwriter is subject to the terms of the following
endorsements or riders attached hereto: Endorsements or Riders No. 1
through
|
|
ICB005
|
07-04
|
||
|
ICB010
|
07-04
|
||
|
ICB011
|
07-04
|
||
|
ICB012
|
07-04
|
||
|
ICB013
|
07-04
|
||
|
ICB014
|
07-04
|
|
ICB016
|
07-04
|
||
|
ICB026
|
07-04
|
||
|
ICB038
|
07-04
|
||
|
ICB057
|
07-04
|
|
Item
6.
|
The
Insured by the acceptance of this bond gives notice to the Underwriter
terminating or canceling prior bonds or policy(ies) No.(s) 403BD0341 such
termination or cancellation to be effective as of the time this bond
becomes effective.
|
IN
WITNESS WHEREOF, the Company has caused this bond to be signed by its President
and Secretary and countersigned by a duly authorized representative of the
Company.
|
Countersigned:
|
ST.
PAUL FIRE AND MARINE INSURANCE COMPANY
|
|
/s/
Ronald J. Lockton
|
||
|
Authorized
Representative
|
Countersigned
At
|
|
|
/s/Bruce
Backberg
|
/s/Brian
MacLean
|
|
|
Secretary
|
President
|
|
Countersignature
Date
|
|
ICB001
Rev. 7/04
|
|
|
©
2004 The Travelers Companies, Inc.
|
Page
2 of 2
|
FIDELITY
BOND
JOINT
INSUREDS AGREEMENT
THIS AGREEMENT is made as of the 15th
day of March, 2008 by and among each of the Value Line funds listed on Schedule
A to this Agreement (collectively, the “Insureds”).
The Insureds have acquired a joint
fidelity bond (the “Fidelity Bond
Policy”) issued by St. Paul Travelers (the “Insurance Company”)
in the amount of $9,000,000 (the “Bond
Amount”). The Fidelity Bond Policy is effective from March 15,
2008 to March 15, 2009 (the “Policy
Period”). Under the terms of the Fidelity Bond Policy, the
Insurance Company has agreed to cover the Insureds against larceny and
embezzlement of each officer and employee of the Insureds who may have access to
securities or funds of the Insureds, either directly or through authority to
draw upon such funds or to direct generally the disposition of such securities,
with certain exceptions, in accordance with the terms of the Fidelity Bond
Policy and the requirements of Rule 17g-1 under the Investment Company Act of
1940, as amended (the “1940
Act”).
The Bond Amount is at least equal to
the sum of the total amount of coverage which each Insured would have been
required as of December 31, 2007, to provide and maintain individually pursuant
to the schedule set forth under Rule 17g-1(d) of the 1940 Act had each such
Insured not been named under the Fidelity Bond Policy.
In consideration of the mutual
covenants and agreements contained herein, the Insureds agree that:
|
|
1.
|
Allocation of
Premium. Each Insured shall pay a pro
rata portion of the aggregate premiums to be borne by the Insured,
which portion shall be determined based on the relative gross assets of
each Insured as of a specified date as determined by an appropriate
officer of the Funds, in relation to the aggregate gross assets of all of
the Insureds at such date. From time to time, adjustments may
be made by mutual agreement of the Insureds to the portion of the premium
theretofore paid by an Insured, based on a subsequent change or changes in
the gross assets of one or more Fund
Insureds.
|
|
|
2.
|
Loss to One
Insured. If any proceeds are received under the Fidelity
Bond Policy as a result of a loss sustained by only one Insured, the
entire proceeds shall be allocated to the Insured incurring such
loss.
|
|
|
3.
|
Loss to More than One
Insured. If any proceeds are received under the Fidelity
Bond Policy as a result of any loss sustained by more than one Insured,
the Insureds shall receive a recovery allocated pro rata among the
Insureds based upon premium payments or as otherwise agreed to by the
Insureds in writing; provided, further, that
each Insured shall receive an amount at least equal to the amount which it
would have received had it provided and maintained a single insured bond
with the minimum coverage required by Rule 17g-1(d)(1) under the 1940
Act.
|
|
|
4.
|
Purpose and
Interpretation. The Insureds agree that the sole purpose
and intent of this Agreement is to provide for the allocation among them
of responsibility for payment of premiums and allocation of recoveries
under the Fidelity Bond Policy, and that the entitlement of each Insured
shall otherwise be determined by, and subject to, the terms of the
Fidelity Bond Policy.
|
|
|
5.
|
Severability. The
invalidity or unenforceability of any provision of this Agreement shall
not affect the validity or enforceability of any other provision of this
Agreement.
|
|
|
6.
|
Specific
Performance. In addition to any and all other remedies
that may be available at law in the event of any breach of this Agreement,
each party shall be entitled to specific performance of the agreements and
obligations of the other parties hereunder and to such other injunctive or
other equitable relief as may be granted by a court of competent
jurisdiction.
|
|
|
7.
|
Governing
Law. This Agreement shall be governed by and construed
in accordance with the internal laws of the State of New York (without
reference to the conflicts of law provisions
thereof).
|
|
|
8.
|
Notices. All
notices, requests, consents, and other communications under this Agreement
shall be in writing and shall be sent (i) by U.S. postal service pre-paid
registered or certified mail, return receipt requested and retained or
(ii) via a reputable nationwide overnight courier service guaranteeing
next business day delivery, in each case addressed to the intended
recipient at the address set forth below, or such other address as the
relevant party may designate by written notice to the other
parties:
|
|
For
any Insured:
|
John
W. Chandler
|
|
|
416
North Hemlock Lane
|
||
|
Williamstown,
MA 01267
|
| With a copy to: | ||
|
|
The
Value Line Funds
|
|
|
220
East 42nd
Street
|
||
|
New
York, NY 10017
|
||
|
Attention: Jean
B. Buttner
|
|
|
9.
|
Complete Agreement;
Amendments; Continuation. This Agreement constitutes the
entire agreement and understanding of the parties hereto with respect to
the subject matter hereof, and supersedes all prior agreements and
understandings relating to such subject matter. No amendment,
modification or termination of, or waiver under, any provision of this
Agreement shall be valid unless in writing and signed by each party, and
consented to by a majority of the trustees or directors of each
Insured.
|
|
|
10.
|
Counterparts;
Facsimile Signatures. This Agreement may be executed in
any number of counterparts, each of which shall be deemed to be an
original, and all of which together shall constitute one and the same
document. This Agreement may be executed by facsimile
signatures.
|
|
|
11.
|
Limitation of
Liability. The obligations of the Insureds under this
Agreement are not binding individually on the directors, trustees or
holders of shares of any Insured (or any series thereof) individually, but
bind only the assets of the applicable Insured (or such
series).
|
[End of
Text]
IN
WITNESS WHEREOF, the Insureds have caused this Fidelity Bond Joint Insureds
Agreement to be executed and delivered as of the day and year first above
written.
| EACH FUND INSURED | |||
|
|
By:
|
/s/ John W. Chandler | |
| Name: | John W. Chandler | ||
| Title: | Lead Independent Director | ||
Schedule
A
Value Line
Funds
The Value
Line Fund, Inc.
Value
Line Income and Growth Fund, Inc.
Value
Line Premier Growth Fund, Inc.
Value
Line Larger Companies Fund, Inc.
The Value
Line Cash Fund, Inc.
Value
Line U.S. Government Securities Fund, Inc.
Value
Line Centurion Fund, Inc.
The Value
Line Tax Exempt Fund, Inc. (National Bond)
Value
Line Convertible Fund, Inc.
Value
Line Aggressive Income Trust
Value
Line New York Tax Exempt Trust
Value
Line Strategic Asset Management Trust
Value
Line Emerging Opportunities Fund, Inc.
Value
Line Asset Allocation Fund, Inc.