| (a)    | 0.240%                  on the                  first $1 billion of the Fund’s net assets,                                                                           |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | plus                  0.200%                  of net assets from $1 billion to $2 billion,                                                                                 |
|   | plus                  0.180%                  of net assets from $2 billion to $3 billion,                                                                                 |
|   | plus                  0.165%                  of net assets from $3 billion to $5 billion,                                                                                 |
|   | plus                  0.155%                  of net assets from $5 billion to $8 billion,                                                                                 |
|   | plus                  0.150%                  of net assets from $8 billion to $13 billion,                                                                                |
|   | plus                  0.145%                  of net assets from $13 billion to $17 billion,                                                                               |
|   | plus                  0.140%                  of net assets from $17 billion to $21 billion,                                                                               |
|   | plus                  0.135%                  of net assets from $21 billion to $27 billion,                                                                               |
|   | plus                  0.130%                  of net assets from $27 billion to $34 billion,                                                                               |
|   | plus                  0.125%                  of net assets from $34 billion to $44 billion,                                                                               |
|   | plus                  0.120%                  of net assets from $44 billion to $55 billion,                                                                               |
|   | plus                  0.117%                  of net assets from $55 billion to $71 billion,                                                                               |
|   | plus                  0.114%                  of net assets from $71 billion to $89 billion,                                                                               |
|   | plus                  0.112%                  of net assets in excess of $89 billion, plus                                                                                 |
|   |                                                                                                                                                                       |
|   |                                                                                                                                                                       |
| (b)    | 3%                  of the                  Fund’s first $100 million monthly gross income and 2.5% of the monthly                  gross income above $100 million. |

| CAPITAL                  INCOME BUILDER, INC.                                     | CAPITAL                  RESEARCH AND MANAGEMENT COMPANY                                      |
|-----------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------|
|                                                                              |                                                                                               |
| By                   /s/                  James B.                  Lovelace | By /s/                  Timothy                  D. Armour                                    |
| James                  B.                  Lovelace, Vice Chairman                | Timothy                  D.                  Armour, President                                     |
|                                                                              |                                                                                               |
|                                                                              |                                                                                               |
| By /s/                  Vincent                  P. Corti                    | By /s/                  Michael                  J. Downer                                    |
| Vincent                  P.                  Corti, Secretary                     | Michael                  J.                  Downer, Vice President and                  Secretary |