<PAGE>
Exhibit h(9)
CitiFunds Trust III
21 Milk Street
Boston, Massachusetts 02109
August 24, 2000
Citi Fiduciary Trust Company
388 Greenwich Street
New York, New York 10013
Re: CitiFunds Trust III - Transfer Agency and Service Agreement
Ladies and Gentlemen:
This letter serves as notice that CitiFunds Cash Reserves and CitiFunds
U.S. Treasury Reserves (the "Series") are added to the list of series to which
Citi Fiduciary Trust Company ("Citi Fiduciary") renders services as transfer
agent pursuant to the terms of the Transfer Agency and Service Agreement dated
as of October 1, 1999 (the "Agreement") between each of the investment companies
listed on Schedule A thereto and Citi Fiduciary (formerly known as, "Smith
Barney Private Trust Company").
Please sign below to acknowledge your receipt of this notice adding the
Series as beneficiaries under the Agreement.
CITIFUNDS TRUST III
By: Philip Coolidge
--------------------------
Title: President
--------------------------
Acknowledgment:
CITI FIDUCIARY TRUST COMPANY
By: [Signature illegible]
-----------------------------------
Title: Director Transfer Agency Operations
-----------------------------------
