WITTER DEAN CORNERSTONE FUND II
COMMODITY FUTURES CUSTOMER AGREEMENT
<DOCUMENT>
<TYPE>EX-10.02
<SEQUENCE>4
<FILENAME>de595045-exh10_02.txt
<DESCRIPTION>COMMODITY FUTURES CUSTOMER AGREEMENT
<TEXT>
                                                                   EXHIBIT 10.02


                      COMMODITY FUTURES CUSTOMER AGREEMENT
                                     BETWEEN
                      DEAN WITTER CORNERSTONE FUND II L.P.
                                       AND
                        MORGAN STANLEY & CO. INCORPORATED

This Commodity Futures Customer Agreement ("Agreement"), dated as of May 1, 2000
between Morgan Stanley & Co. Incorporated ("Morgan Stanley"), Dean Witter
Cornerstone Fund II L.P.("Customer"), and acknowledged and agreed to Dean Witter
Reynolds Inc., the non-clearing commodity broker for the Customer ("DWR"), shall
govern the purchase and sale by Morgan Stanley of commodity futures contracts
and options thereon (collectively, "Contracts") for the account and risk of
Customer through one or more accounts carried by Morgan Stanley on behalf and in
the name of Customer (collectively, the "Account").

Applicable Law. The Account and all transactions and agreements in respect of
the Account shall be subject to all applicable Federal, state, exchange,
clearing house and self-regulatory agency rules, regulations and interpretations
and custom and usage of the trade. All such rules, regulations, interpretations,
custom and usage are hereinafter collectively referred to as "Applicable Law".

Customer's Representations and Warranties. Customer represents and warrants that
(a) Customer has full right, power and authority to enter into this Agreement,
and the person executing this Agreement on behalf of Customer is authorized to
do so; (b) this Agreement is binding on Customer and enforceable against
Customer in accordance with its terms; (c) Customer may lawfully establish and
open the Account for the purpose of effecting purchases and sales of Contracts
through Morgan Stanley; (d) transactions entered into pursuant to this Agreement
will not violate any applicable law (including any Applicable Law) to which
Customer is subject or any agreement to which Customer is subject or a party;
and (e) all information provided by Customer in the Account Application
preceding this Agreement (which Application and the information contained
therein hereby is incorporated into this Agreement) is true and correct and
Customer shall immediately (and in no event later than within one business day)
notify Morgan Stanley of any change in such information.


Payment and Interest Obligations.
--------------------------------

Compensation Payments to Morgan Stanley. Customer shall pay Morgan Stanley upon
demand (a) all floor brokerage charges, give-up fees, contract market, clearing
house, National Futures Association ("NFA") or clearing member fees or charges;
(b) any tax imposed on such transactions by any competent taxing authority; (c)
the amount of any trading losses in the Account; (d) any debit balance or
deficiency in the Account; and (e) any other amounts owed by Customer to Morgan
Stanley with respect to the Account or any transactions therein. DWR shall pay
Morgan Stanley such charges with respect to the execution and clearing of trades
for Customer as DWR and Morgan Stanley shall agree from time to time.

Payment of Interest. The Customer's assets deposited with Morgan Stanley will be
segregated or secured in accordance with the Commodity Exchange Act and
regulations of the Commodity Futures Trading Commission ("CFTC") and will be
invested in accord with Morgan Stanley's customary practice for investment of
its futures customer funds. All of Customer's funds will be available for margin
for the Customer's trading. Morgan Stanley shall pay to DWR at each month-end
interest on Customer's funds in its possession as agreed between Morgan Stanley
and DWR from time to time. The Customer understands that it will not receive any
interest income on its assets held by Morgan Stanley other than that paid by DWR
pursuant to the Customer's DWR Customer Agreement. DWR shall pay Morgan Stanley
interest on any debit balances in the Account at such rates as Morgan Stanley
and DWR shall agree from time to time.

Netting. The parties agree that all payment obligations of Customer to Morgan
Stanley under this Agreement and all payment obligations of Morgan Stanley to
Customer under this Agreement will be netted against each other to result in one
net payment amount.


Customer's Events of Default; Morgan Stanley's Remedies.
-------------------------------------------------------

Events of Default. As used herein, each of the following shall be deemed an
"Event of Default": (i) the commencement of a case under any Federal or state
bankruptcy, insolvency or reorganization law, or the filing of a petition for
the appointment of a receiver by or against Customer, an assignment made by
Customer for the benefit of creditors, an admission in writing by Customer that
it is insolvent or is unable to pay its debts when they mature, or the
suspension by the Customer of its usual business or any material portion
thereof; (ii) the issuance of any warrant or order of attachment against the
Account or the levy of a judgment against the Account; (iii) if Customer is an
employee benefit plan, the termination of Customer or the filing by Customer of
a notice of intent to terminate with a governmental agency or body, or the
receipt of a notice of intent to terminate Customer from a governmental agency
or body, or the inability of Customer to pay benefits under the relevant
employment benefit plan when due; (iv) the failure by Customer to deposit or
maintain margins, to pay required premiums, or to make payments required by
Section 3 hereof; or (v) the failure by Customer to perform, in any material
respect, its obligations hereunder.

Remedies. Upon the occurrence of an Event of Default or in the event Morgan
Stanley, in its sole and absolute discretion, considers it necessary for its
protection, Morgan Stanley shall have the right, in addition to any other remedy
available to Morgan Stanley at law or in equity, and in addition to any other
action Morgan Stanley may deem appropriate under the circumstances, to liquidate
any or all open Contracts held in or for the Account, sell any or all of the
securities or other property of Customer held by Morgan Stanley and to apply the
proceeds thereof to any amounts owed by Customer to Morgan Stanley, borrow or
buy any options, securities, Contracts or other property for the Account and
cancel any unfilled orders for the purchase or sale of Contracts for the
Account, or take such other or further actions Morgan Stanley, in its reasonable
discretion, deems necessary or appropriate for its protection, all without
demand for margin and without notice or advertisement. Any such action may be
made at the discretion of Morgan Stanley in any commercially reasonable manner.
In the event Morgan Stanley's position would not be jeopardized thereby, Morgan
Stanley will make reasonable efforts under the circumstances to notify Customer
prior to taking any such action. A prior demand or margin call of any kind from
Morgan Stanley or prior notice from Morgan Stanley shall not be considered a
waiver of Morgan Stanley's right to take any action without notice or demand. In
the event Morgan Stanley exercises any remedies available to it under this
Agreement, Customer shall reimburse, compensate and indemnify Morgan Stanley for
any and all costs, losses, penalties, fines, taxes and damages that Morgan
Stanley may incur, including reasonable attorneys' fees incurred in connection
with the exercise of its remedies and the recovery of any such costs, losses,
penalties, fines, taxes and damages.


Standard of Liability and Indemnification.
-----------------------------------------

Standard of Liability. Morgan Stanley and its stockholders, directors, officers,
employees, and its or their respective successors or assigns shall not be liable
to the Customer, its partners, or any of its or their respective successors or
assigns, except by reason of acts, or omissions due to, bad faith, misconduct,
or negligence, or for not having acted in good faith in the reasonable belief
that such acts or omissions were in, or not opposed to, the best interests of
the Customer, or by reason of any material breach of this Agreement by Morgan
Stanley. Without limiting the foregoing, Morgan Stanley shall have no
responsibility or liability to Customer hereunder (i) in connection with the
performance or non-performance by any contract market, clearing house, clearing
firm or other third party (including floor brokers not selected by Morgan
Stanley and banks) to Morgan Stanley of its obligations in respect of any
Contract or other property of Customer; (ii) as a result of any prediction,
recommendation or advice made or given by a representative of Morgan Stanley
whether or not made or given at the request of Customer; (iii) as a result of
Morgan Stanley's reliance on any instructions, notices and communications that
it believes to be that of an individual authorized to act on behalf of Customer;
(iv) as a result of any delay in the performance or non-performance of any of
Morgan Stanley's obligations hereunder directly or indirectly caused by the
occurrence of any contingency beyond the control of Morgan Stanley including,
but not limited to, the unscheduled closure of an exchange or contract market or
delays in the transmission of orders due to breakdowns or failures of
transmission or communication facilities, execution, and/or trading facilities
or other systems (including, without limitation, GLOBEX, ACCESS, or other
electronic trading systems, facilities or services), it being understood that
Morgan Stanley shall be excused from performance of its obligations hereunder
for such period of time as is reasonably necessary after such occurrence to
remedy the effects therefrom; (v) as a result of any action taken by Morgan
Stanley or its floor brokers to comply with Applicable Law; or (vi) for any acts
or omissions of those neither employed nor supervised by Morgan Stanley. In no
event will Morgan Stanley be liable to Customer for consequential, incidental or
special damages hereunder.

Indemnification by Customer. The Customer shall indemnify and hold harmless
Morgan Stanley and its stockholders, directors, officers, employees, and its or
their respective successors or assigns from and against any loss, liability,
damage, cost or expense (including attorneys' and accountants' fees and expenses
incurred in the defense of any demands, claims, or lawsuits) actually and
reasonably incurred arising from any act, omission or conduct undertaken by
Morgan Stanley on behalf of the Customer pursuant to this Agreement, including,
without limitation, any demands, claims or lawsuits initiated by a Limited
Partner (or assignee thereof); provided that a court of competent jurisdiction
upon entry of final judgment shall find (or, if no final judgment is entered, an
opinion is rendered to the Customer by independent counsel who shall be other
than counsel to the Customer or Morgan Stanley) to the effect that the conduct
that was the basis for such liability was not the result of bad faith
misconduct, or negligence, and was done in a good faith belief that it was in,
or not opposed to, the best interests of the Customer.

Indemnification by Morgan Stanley. Morgan Stanley shall indemnify and hold
harmless the Customer, its partners, and its or their respective successors or
assigns from and against any loss, liability, damage, cost or expense (including
attorneys' and accountants' fees and expenses incurred in the defense of any
demands, claims, or lawsuits) actually and reasonably incurred arising from any
act, omission or conduct undertaken by Morgan Stanley on behalf of the Customer
pursuant to this Agreement; provided that a court of competent jurisdiction upon
entry of final judgment shall find (or, if no final judgment is entered, by an
opinion rendered to the Customer by independent counsel who shall be other than
counsel to the Customer or Morgan Stanley) to the effect that the conduct that
was the basis for such liability was the result of bad faith, misconduct, or
negligence, or was not done in a good faith belief that it was in, or not
opposed to, the best interests of the Customer, or was by reason of any material
breach of this Agreement by Morgan Stanley.

Limitation on Indemnities. The indemnities provided in this Section 5 by
Customer to Morgan Stanley and its stockholders, directors, officers, employees,
and its or their respective successors and assigns shall be inapplicable in the
event of any liability arising out of, or based upon, any material breach of any
warranty, covenant, or agreement of Morgan Stanley contained in this Agreement
to the extent caused by such event. Likewise, the indemnities provided in this
Section 5 by Morgan Stanley to the Customer, its partners, and any of its or
their respective successors and assigns shall be inapplicable in the event of
any liability arising out of, or based upon, any material breach of any
warranty, covenant, or agreement of the Customer contained in this Agreement to
the extent caused by such event.

General Agreements. The parties agree that:

Morgan Stanley's Responsibility. Morgan Stanley is not acting as a fiduciary,
foundation manager, commodity pool operator, commodity trading advisor or
investment adviser in respect of any Account opened by Customer. Morgan Stanley
shall have no responsibility hereunder for compliance with any law or regulation
governing the conduct of fiduciaries, foundation managers, commodity pool
operators, commodity trading advisors or investment advisers.

Morgan Stanley agrees to furnish to the Customer as soon as practicable all of
the information from time to time in its possession which Customer may be
required to furnish to its limited partners pursuant to its limited partnership
agreement and as otherwise required by Applicable Law. Morgan Stanley shall
disclose such information regarding itself and its affiliates (including,
without limitation, financial statements) as may be required by the Customer for
SEC, CFTC and state blue sky disclosure purposes. Morgan Stanley agrees to
notify the applicable trading advisor for the Customer (each, a "Trading
Advisor") immediately upon discovery of any error committed by Morgan Stanley or
any of its agents with respect to a trade for the Customer's account which
Morgan Stanley believes was not executed or cleared in accordance with proper
instructions given by the Customer, its Trading Advisors or any other authorized
agent of Customer. Errors made by floor brokers appointed or selected by Morgan
Stanley shall constitute errors made by Morgan Stanley. However, Morgan Stanley
shall not be responsible for errors committed by the Trading Advisors.

Morgan Stanley agrees to report to DWR its own errors and the errors of any
Trading Advisor for the Account which Morgan Stanley becomes aware of, provided
that such reporting may be via telephone. Notwithstanding the foregoing, the
failure to comply with such reporting obligation does not increase Morgan
Stanley's liability for its own errors beyond that otherwise expressly set forth
in this Agreement, nor does it make Morgan Stanley in any way responsible for
errors committed by the Trading Advisors.

Morgan Stanley acknowledges that the other partnerships of which Demeter
Management Corporation (the general partner of Customer) is the general partner,
do not constitute affiliates of the Customer.

Advice. All advice communicated by Morgan Stanley with respect to any Account
opened by Customer hereunder is incidental to the conduct of Morgan Stanley's
business as a futures commission merchant and such advice will not serve as the
primary basis for any decision made by or on behalf of Customer in respect of
the Account, regardless of whether Customer relies on the advice of Morgan
Stanley in making any such decision. Customer acknowledges that Morgan Stanley
and its managing directors, officers, employees and affiliates may take or hold
positions in, or advise other customers concerning, Contracts that are the
subject of advice from Morgan Stanley to Customer. The positions and advice of
Morgan Stanley and its managing directors, officers, employees and affiliates
may be inconsistent with or contrary to positions of, and the advice given by,
Morgan Stanley to Customer.

Recording. Each of Morgan Stanley, the Customer, DWR and their respective
officers, agents and employees, in their sole and absolute discretion, may
record, on tape or otherwise, any telephone conversation between or among Morgan
Stanley, the Customer or DWR with respect to the Account and transactions
therein and each of Morgan Stanley, the Customer and DWR hereby agrees and
consents thereto.


Acceptance of Orders; Position Limits.
-------------------------------------

Morgan Stanley shall have the right to limit the size of open positions (net or
gross) of Customer with respect to the Account at any time and to refuse
acceptance of orders to establish new positions, whether such refusal or
limitation is required by, or based on position limits imposed under, Applicable
Law. Morgan Stanley shall immediately notify Customer of its rejection of any
order. Unless specified by Customer, Morgan Stanley may designate the exchange
or other markets (including, without limitation, GLOBEX or ACCESS) on which it
will attempt to execute orders.

Customer shall file or cause to be filed all applications or reports required
under Applicable Law with the CFTC or the relevant contract market or clearing
house, and shall provide Morgan Stanley with a copy of such applications or
reports and such other information as Morgan Stanley may reasonably request in
connection therewith.

Original and Variation Margin; Premiums; Other Contract Obligations. Customer
shall make, or cause to be made, all applicable original margin, intra-day
margin and premium payments, and perform all other obligations attendant to
transactions or positions in such Contracts, as may be required by Applicable
Law or by Morgan Stanley. Requests for margin deposits and/or premium payments
may, at Morgan Stanley's election, be communicated to Customer orally,
telephonically or in writing. Customer margin deposits and/or premium payments
shall be made by wire transfer to Morgan Stanley's Customer Segregated Account
and shall be in U.S. dollars unless Morgan Stanley and the Customer specifically
agree otherwise. All Contracts for the Account shall be margined at the
applicable exchange or clearing house minimum rates for speculative accounts.

Security Interest and Rights Respecting Collateral. Except to the extent
proscribed by Applicable Law not subject to waiver, all Contracts, cash,
securities, and/or any other property of Customer whatsoever (collectively, the
"Collateral") at any time held by Morgan Stanley or its affiliates, or carried
by others for the Account, hereby are pledged to Morgan Stanley and shall be
subject to a general lien and security interest in Morgan Stanley's favor to
secure any indebtedness or other amounts, obligations and/or liabilities at any
time owing from Customer to Morgan Stanley (collectively, the "Customer's
Liabilities"). Customer hereby grants Morgan Stanley the right to borrow,
pledge, repledge, hypothecate, rehypothecate, loan or invest any of the
Collateral held by Morgan Stanley, including utilizing the Collateral to
purchase United States Government Treasury obligations pursuant to repurchase
agreements or reverse repurchase agreements with any party, in each case without
notice to Customer and without any obligation to pay or to account to Customer
for any interest, income or benefit that may be derived therefrom. The rights of
Morgan Stanley set forth above shall be qualified by any applicable requirements
for segregation of customers' property under Applicable Law. Morgan Stanley
commits to Customer that Morgan Stanley will not issue a Notice of Exclusive
Control under the Control Agreement between Morgan Stanley and DWR unless Morgan
Stanley determines there is a default under this Agreement.

Reports and Objections. All confirmations, purchase and sale notices, correction
notices and account statements (collectively, "Statements") shall be submitted
to Customer and shall be conclusive and binding on Customer unless Customer
notifies Morgan Stanley of any objection thereto prior to the opening of trading
on the contract market on which such transaction occurred on the business day
following the day on which Customer receives such Statement; provided that, with
respect to monthly Statements, Customer may notify Morgan Stanley of any
objection thereto within five business days after receipt of such monthly
Statement, provided the objection could not have been raised at the time any
prior Statement was received by Customer as provided for above. Any such notice
of objection, if given orally to Morgan Stanley, shall immediately (and no later
than within one business day) be confirmed in writing by Customer.


Delivery Procedures; Options Allocation Procedure.
-------------------------------------------------

Customer will provide Morgan Stanley with instructions either to liquidate
Contracts previously established by Customer, make or take delivery under any
such Contracts, or exercise options entered into by Customer, within such time
limits as may be specified by Morgan Stanley. Morgan Stanley shall have no
responsibility to take any action on behalf of Customer or positions in the
Account unless and until Morgan Stanley receives oral or written instructions
reasonably acceptable to Morgan Stanley indicating the action Morgan Stanley is
to take. Funds sufficient to take delivery pursuant to such Contract or
deliverable grade commodities to make delivery pursuant to such Contract must be
delivered to Morgan Stanley at such time as Morgan Stanley may require in
connection with any delivery.

Short option Contracts may be subject to exercise at any time. Exercise notices
received by Morgan Stanley from the applicable contract market with respect to
option Contracts sold by Customer may be allocated to Customer pursuant to a
random allocation procedure, and Customer shall be bound by any such allocation
of exercise notices. In the event of any allocation to Customer, unless Morgan
Stanley has previously received instructions from Customer, Morgan Stanley's
sole responsibility shall be to use its best efforts to notify Customer of such
allocation.

If Customer fails to comply with any of the foregoing obligations, Morgan
Stanley may, in its sole and absolute discretion, liquidate any open positions,
make or receive delivery of any commodities or instruments, or exercise or allow
the expiration of any options, in such manner and on such terms as Morgan
Stanley, in its sole and absolute discretion, deems necessary or appropriate,
and Customer shall indemnify and hold Morgan Stanley harmless as a result of any
action taken or not taken by Morgan Stanley in connection therewith or pursuant
to Customer's instructions.

Financial and Other Information. Customer shall provide to Morgan Stanley such
financial information regarding Customer as Morgan Stanley may from time to time
reasonably request. Customer shall notify Morgan Stanley immediately (and no
later than within one business day) if the financial condition of Customer
changes materially and adversely from that shown in the most recent financial
information theretofore provided to Morgan Stanley. An investigation may be
conducted pertaining to Customer's credit standing and business.

Currency Exchange Risk. Customer shall bear all risk and cost in respect of the
conversion of currencies incident to transactions effected on behalf of Customer
pursuant hereto.

Termination. This Agreement may be terminated at any time by Customer or Morgan
Stanley upon thirty (30) days by written notice to the other. In the event of
such notice, Customer shall either close out open positions in the Account or
arrange for such open positions to be transferred to another futures commission
merchant. Upon satisfaction by Customer of all of Customer's Liabilities, Morgan
Stanley shall transfer to another futures commission merchant all Contracts, if
any, then held for the Account, and shall transfer to Customer or to another
futures commission merchant, as Customer may instruct, all cash, securities and
other property held in the Account, whereupon this Agreement shall terminate.
Notwithstanding the foregoing, in the event Morgan Stanley is required by a
regulatory authority to transfer the account to another futures commission
merchant or in the event that Morgan Stanley abandons the Futures Commission
Merchant ("FCM") business, then Morgan Stanley shall have the right to terminate
this Agreement by written notice effective the date contained therein, provided
that Morgan Stanley cooperates in the transfer of open positions to another FCM
and that the termination of the Agreement is not made effective earlier than the
completion of the transfer.


Miscellaneous.
-------------

Severability. If any provision of this Agreement is, or at any time becomes,
inconsistent with any present or future law, rule or regulation of any exchange
or other market, sovereign government or regulatory body thereof, and if any of
these authorities have jurisdiction over the subject matter of this Agreement,
the inconsistent provision shall be deemed superseded or modified to conform
with such law, rule or regulation but in all other respects, this Agreement
shall continue and remain in full force and effect.

Binding Effect. This Agreement shall be binding on and inure to the benefit of
the parties and their successors. Morgan Stanley shall have the right to
transfer or assign this Agreement (and thereby the Account) to any successor
entity in its sole and absolute discretion and without obtaining the consent of
Customer.

Entire Agreement. This Agreement contains the entire agreement between the
parties and supersedes any prior agreements between the parties as to the
subject matter hereof. No provision of this Agreement shall in any respect be
waived, altered, modified, or amended unless such waiver, alteration,
modification or amendment is signed by the party against whom such waiver,
alteration, modification or amendment is to be enforced.

Currency Denomination. Unless another currency is designated in the
confirmations reporting transactions entered into by Customer, all margin
deposits in connection with such transactions, and a debit or credit in the
Account, shall be stated in United States dollars, and margin requirements,
debits or credits expressed in another currency shall be converted into United
States dollars at a rate of exchange determined by Morgan Stanley, in its sole
and absolute discretion, on the basis of the then prevailing money market rates
of exchange for such foreign currency.

Instructions, Notices or Communications. Except as specifically otherwise
provided in this Agreement, all instructions, notices or other communications
may be oral or written. All oral instructions, unless custom and usage of trade
dictate otherwise, shall be promptly confirmed in writing. All written
instructions, notices or other communications shall be addressed as follows:

if to Morgan Stanley:

                     Morgan Stanley & Co. Incorporated
                     One Pierrepont Plaza, 8th Floor
                     Brooklyn, New York 11201
                     Attention: Commodity Operations Manager

if to Customer, at the address as indicated on the Commodity Account
Application.

Rights and Remedies Cumulative. All rights and remedies arising under this
Agreement as amended and modified from time to time are cumulative and not
exclusive of any rights or remedies which may be available at law or otherwise.

No Waiver. No failure on the part of Morgan Stanley to exercise, and no delay in
exercising, any contractual right will operate as a waiver thereof, nor will any
single or partial exercise by Morgan Stanley of any right preclude any other or
future exercise thereof or the exercise of any other partial right.

Governing Law. THE INTERPRETATION AND ENFORCEMENT OF THIS AGREEMENT AND THE
RIGHTS, OBLIGATIONS AND REMEDIES OF THE PARTIES SHALL BE GOVERNED BY AND
CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD
TO PRINCIPLES OF CHOICE OF LAW.

Consent to Jurisdiction. ANY LITIGATION BETWEEN MORGAN STANLEY AND CUSTOMER
RELATING TO THIS AGREEMENT OR TRANSACTIONS HEREUNDER SHALL TAKE PLACE IN THE
COURTS OF THE STATE OF NEW YORK LOCATED IN THE BOROUGH OF MANHATTAN OR IN THE
UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK. CUSTOMER
CONSENTS TO THE SERVICE OF PROCESS BY THE MAILING TO CUSTOMER OF COPIES OF SUCH
COURT FILING BY CERTIFIED MAIL TO THE ADDRESS OF CUSTOMER AS IT APPEARS ON THE
BOOKS AND RECORDS OF MORGAN STANLEY, SUCH SERVICE TO BE EFFECTIVE TEN DAYS AFTER
MAILING. CUSTOMER HEREBY WAIVES IRREVOCABLY ANY IMMUNITY TO WHICH IT MIGHT
OTHERWISE BE ENTITLED IN ANY ARBITRATION, ACTION AT LAW, SUIT IN EQUITY OR ANY
OTHER PROCEEDING ARISING OUT OF OR BASED ON THIS AGREEMENT OR ANY TRANSACTION IN
CONNECTION HEREWITH.

Waiver of Jury Trial. Customer hereby waives a trial by jury in any action
arising out of or relating to this Agreement or any transaction in connection
therewith.

Customer Acknowledgements.

CUSTOMER HEREBY ACKNOWLEDGES THAT IT HAS RECEIVED AND UNDERSTANDS THE FOLLOWING
DISCLOSURE STATEMENT PRESCRIBED BY THE CFTC AND FURNISHED HEREWITH (please
initial):

                        [_]   Risk Disclosure Statement for Futures Options
                              (Appendix A to CFTC Rule 1.55(c) transcribed in
                              full on pages 1-3 of Booklet 2 -- Risk Disclosure
                              Statements)

If Customer has indicated on the Commodity Futures Account Application that
orders placed for the Account represent bona fide hedging transactions, please
complete the following. You should note that CFTC Regulation ss.190.06 permits
you to specify whether, in the unlikely event of Morgan Stanley's bankruptcy,
you prefer the bankruptcy trustee to liquidate all positions in the Account.
Accordingly, Customer hereby elects as follows (please initial):

[_]   Liquidate                                 [_]   Not Liquidate

      If neither alternative is initialed, Customer will be deemed to have
      elected to have all positions liquidated. This election may be changed at
      any time by written notice.

IN WITNESS WHEREOF, Customer has executed this Agreement on the date indicated
below.


Dean Witter Cornerstone Fund II L.P.
("Customer")


                                    By: Demeter Management Corporation,
                                        General Partner


                                         /s/ Robert E. Murray
                                        ----------------------------------------
                                        (Signature)                    (Date)

                                        Robert E. Murray, President and Chairman
                                        ----------------------------------------
                                        (Name & Title - Please Print)


Morgan Stanley & Co. Incorporated



                                        /s/ W. Thomas Clark
                                        ----------------------------------------
                                        (Signature)                    (Date)

                                        W. Thomas Clark, Managing Director
                                        ----------------------------------------
                                        (Name & Title - Please Print)



Acknowledged and Agreed (as to Section 3(a) and (b))
Dean Witter Reynolds Inc.



                                        /s/ Robert E. Murray
                                        ----------------------------------------
                                        (Signature)                    (Date)

                                        Robert E. Murray, Senior Vice President
                                        ----------------------------------------
                                        (Name & Title - Please Print)

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