<PAGE>
Exhibit 23(g)(2)
----------------
State Street Bank and Trust Company
1776 Heritage Drive
North Quincy, MA 02171
Re: LM Balanced Institutional Portfolio
Ladies and Gentlemen:
This is to advise you that Legg Mason Institutional Fund Advisors II, Inc.
(the "Fund") has established a new series of shares to be known as LM Balanced
Institutional Portfolio (the "Portfolio"). In accordance with the Additional
Funds provision of Section 17 of the Custodian Contract dated as of August 18,
1998, between the Fund and State Street Bank and Trust company, the Fund hereby
requests that you act as Custodian of the Portfolio under the terms of the
contract.
Please indicate your acceptance of the foregoing by executing two copies
of this Letter Agreement, returning on to the Fund and retaining one copy for
your records.
LEGG MASON INSTITUTIONAL FUND ADVISORS II, INC.
By:
-------------------------------
Name: Marie K. Karpinski
Title: Vice President
Agreed to this first day of December, 1999.
STATE STREET BANK AND TRUST COMPANY
By:
------------------------------
Name: Ronald E. Logue
Title: Vice Chairman
<PAGE>
State Street Bank and Trust Company
1776 Heritage Drive
North Quincy, MA 02171
Re: Batterymarch U.S. Small Capitalization Equity Portfolio
Ladies and Gentlemen:
This is to advise you that Legg Mason Institutional Fund Advisors II, Inc.
(the "Fund") has established a new series of shares to be known as Batterymarch
U.S. Small Capitalization Equity Portfolio (the "Portfolio"). In accordance
with the Additional Funds provision of Section 17 of the Custodian Contract
dated as of August 18, 1998, between the Fund and State Street Bank and Trust
company, the Fund hereby requests that you act as Custodian of the Portfolio
under the terms of the contract.
Please indicate your acceptance of the foregoing by executing two copies of
this Letter Agreement, returning on to the Fund and retaining one copy for your
records.
LEGG MASON INSTITUTIONAL FUND ADVISORS II, INC.
By:
-------------------------------
Name: Marie K. Karpinski
Title: Vice President
Agreed to this first day of December, 1999.
STATE STREET BANK AND TRUST COMPANY
By:
------------------------------
Name: Ronald E. Logue
Title: Vice Chairman
<PAGE>
State Street Bank and Trust Company
1776 Heritage Drive
North Quincy, MA 02171
Re: Batterymarch U.S. MidCapitalization Equity Portfolio
Ladies and Gentlemen:
This is to advise you that Legg Mason Institutional Fund Advisors II, Inc.
(the "Fund") has established a new series of shares to be known as Batterymarch
U.S. MidCapitalization Equity Portfolio (the "Portfolio"). In accordance with
the Additional Funds provision of Section 17 of the Custodian Contract dated as
of August 18, 1998, between the Fund and State Street Bank and Trust company,
the Fund hereby requests that you act as Custodian of the Portfolio under the
terms of the contract.
Please indicate your acceptance of the foregoing by executing two copies of
this Letter Agreement, returning on to the Fund and retaining one copy for your
records.
LEGG MASON INSTITUTIONAL FUND ADVISORS II, INC.
By:
-------------------------------
Name: Marie K. Karpinski
Title: Vice President
Agreed to this first day of December, 1999.
STATE STREET BANK AND TRUST COMPANY
By:
------------------------------
Name: Ronald E. Logue
Title: Vice Chairman
