ADMINISTRATION AGREEMENT


AGREEMENT dated as of November 1, 2003, between COLUMBIA FUNDS TRUST III, a
Massachusetts business trust (the "Trust"), with respect to Columbia Global
Equity Fund (the "Fund"), and COLUMBIA MANAGEMENT ADVISORS, INC., an Oregon
corporation (the "Administrator").

In consideration of the promises and covenants herein, the parties agree as
follows:

     1.   Subject to the general  direction and control of the Board of Trustees
          of the Trust,  the  Administrator  shall  perform such  administrative
          services  as may  from  time to time be  reasonably  requested  by the
          Trust,  which shall include without  limitation:  (a) providing office
          space,  equipment and clerical personnel necessary for maintaining the
          organization  of  the  Fund  and  for  performing  the  administrative
          functions  herein set forth;  (b) arranging,  if desired by the Trust,
          for Directors, officers and employees of the Administrator to serve as
          Trustees,  officers or agents of the Fund if duly elected or appointed
          to such positions and subject to their  individual  consent and to any
          limitations  imposed by law; (c) preparing and, if applicable,  filing
          all documents required for compliance by the Fund with applicable laws
          and regulations,  including registration statements,  registration fee
          filings,  semi-annual  and  annual  reports  to  shareholders,   proxy
          statements and tax returns;  (d) preparation of agendas and supporting
          documents  for and  minutes of  meetings of  Trustees,  committees  of
          Trustees  and  shareholders;   (e)  coordinating  and  overseeing  the
          activities of the Fund's other third-party service providers;  and (f)
          maintaining  books  and  records  of the Fund  (exclusive  of  records
          required  by  Section  31(a) of the  1940  Act).  Notwithstanding  the
          foregoing,  the  Administrator  shall not be deemed to have assumed or
          have any responsibility with respect to functions specifically assumed
          by any transfer agent or custodian of the Fund.

     2.   The  Administrator  shall be free to render similar services to others
          so long as its services hereunder are not impaired thereby.

     3.   The Fund shall pay the Administrator  monthly a fee at the annual rate
          of 0.25% of the average daily net assets of the Fund.

     4.   This Agreement shall become effective as of the date of its execution,
          and may be terminated  without penalty by the Board of Trustees of the
          Trust or by the  Administrator,  in each case on sixty  days'  written
          notice to the other party.

     5.   This  Agreement  may be  amended  only  by a  writing  signed  by both
          parties.






     6.   In the absence of willful  misfeasance,  bad faith or gross negligence
          on the  part  of  the  Administrator,  or  reckless  disregard  of its
          obligations  and  duties  hereunder,  the  Administrator  shall not be
          subject to any liability to the Trust or Fund, to any  shareholder  of
          the Trust or the Fund or to any other  person,  firm or  organization,
          for any act or omission in the course of, or connected with, rendering
          services hereunder.

COLUMBIA FUNDS TRUST III
on behalf of Columbia Global Equity Fund


By:  /s/Joseph R. Palombo
      Joseph R. Palombo
      President

                       COLUMBIA MANAGEMENT ADVISORS, INC.


By:  /s/Joseph R. Palombo
      Joseph R. Palombo
      Executive Vice President and Chief Operating Officer


A copy of the document establishing the Trust is filed with the Secretary of The
Commonwealth of Massachusetts. This Agreement is executed by officers not as
individuals and is not binding upon any of the Trustees, officers or
shareholders of the Trust individually but only upon the assets of the Fund.