LIBERTY ALL-STAR GROWTH AND INCOME FUND
Supplement to the Prospectuses
Dated January 15, 1999
The Fund's Prospectuses for the Liberty All-Star Growth and Income Fund (the
"Fund"), are amended as follows:
Effective November 1, 1999, Wilke/Thompson Capital Management, Inc. will be
replaced by TCW Funds Management, Inc. ("TCW") to provide portfolio management
services. Mr. Glen E. Bickerstaff, Managing Director, U.S. Equities, will be
responsible for the management of the Fund's assets assigned to TCW. Prior to
joining TCW in 1998, Mr. Bickerstaff was a portfolio manager at Transamerica
Investment Services.
Pursuant to the portfolio management agreement, Liberty Asset Management
Company, the Fund's investment advisor, pays TCW a fee at the annual rate of
0.30% of the average daily net assets of that portion of the Fund's portfolio
assigned to TCW.
In addition to TCW, the Fund's current portfolio managers are Boston Partners
Asset Management, L.P., J. P. Morgan Investment Management Inc., OpCap Advisors
and Westwood Management Corp.
Effective September 30, 1999, PricewaterhouseCoopers LLP, 160 Federal Street,
Boston, MA 02110-2624, became the Fund's independent auditors, replacing KPMG
LLP.
Effective April 1, 1999, LAMCO Trust I changed its name to Liberty Funds Trust
IX.
The paragraph under the caption "Year 2000" is replaced in its entirety as
follows:
Like other investment companies, financial and business organizations and
individuals around the world, the Fund could be adversely affected if the
computer systems used by the advisor, other service providers and the companies
in which the Fund invests do not properly process and calculate date-related
information and data from and after January 1, 2000. This is commonly known as
the "Year 2000 Problem." The Fund's service providers are taking steps that they
believe are reasonably designed to address the Year 2000 Problem, including
communicating with vendors who furnish services, software and systems to the
Fund, to provide that date-related information and data can be properly
processed after January 1, 2000. Many mutual fund service providers and vendors,
including the Fund's service providers, are in the process of making Year 2000
modifications to their software and systems and believe that such modifications
will be completed on a timely basis prior to January 1, 2000. In addition, Year
2000 readiness is one of the factors considered by the advisor in its assessment
of companies in which the Fund invests to the extent that information is readily
available. However, no assurances can be given that the Fund will not be
adversely affected by these matters.
AL-36/0861-1099 (10/99) November 1, 1999
<PAGE>
LIBERTY ALL-STAR GROWTH AND INCOME FUND
Supplement to Statement of Additional Information
Dated January 15, 1999
The Statement of Additional Information for the Liberty All-Star Growth and
Income Fund (the "Fund"), is amended as follows:
Effective November 1, 1999, Wilke/Thompson Capital Management, Inc. will be
replaced by TCW Funds Management, Inc. ("TCW") to serve as one of the Fund's
Portfolio Managers.
TCW is located at 865 South Figueroa Street, Los Angeles, CA 90017. TCW is a
wholly-owned subsidiary of The TCW Group, Inc. ("TCW Group"). Established in
1971, TCW Group's direct and indirect subsidiaries, including TCW, provide a
variety of trust, investment management and investment advisory services.
Ownership of the TCW Group lies approximately 95% with its employees and 5% with
its directors. Robert A. Day, who is Chairman of the Board of Directors of TCW
Group, may be deemed to be a control person of TCW by virtue of the aggregate
ownership by Mr. Day and his family of more than 25% of the outstanding voting
stock of the TCW Group. As of September 30, 1999 TCW had over $55 billion in
assets under management.
Pursuant to the portfolio management agreement, Liberty Asset Management Company
("Advisor"), pays TCW a fee at the annual rate of 0.30% of the average daily net
assets of that portion of the Fund's portfolio assigned to TCW.
In addition to TCW, the Fund's current portfolio managers are Boston Partners
Asset Management, L.P., J. P. Morgan Investment Management Inc., OpCap Advisors
and Westwood Management Corp.
Effective September 30, 1999, PricewaterhouseCoopers LLP, 160 Federal Street,
Boston, MA 02110-2624, became the Fund's independent auditors, replacing KPMG
LLP.
Effective April 1, 1999, LAMCO Trust I changed its name to Liberty Funds Trust
IX.
The list of trustees and officers under sub-caption "Trustees and Officers" is
revised in its entirety as follows:
<TABLE>
<CAPTION>
Position
Name and Address Age with the Trust Principal Occupation During Past Five Years
- ---------------- --- -------------- -------------------------------------------
<S> <C> <C> <C>
Robert J. Birnbaum 71 Trustee Consultant (formerly Special Counsel, Dechert Price &
313 Bedford Road Rhoads from September, 1988 to December, 1993, President,
Ridgewood, NJ 07450 New York Stock Exchange from May, 1985 to June, 1988,
President, American Stock Exchange, Inc. from 1977 to
May, 1985).
John V. Carberry* 51 Chairman of the Senior Vice President of Liberty Financial Companies,
56 Woodcliff Road Board and Trustee Inc. (formerly Managing Director, Salomon Brothers
Wellesley Hills, MA 02481 (investment banking) from January, 1988 to January, 1998).
James E. Grinnell 69 Trustee Private Investor since November, 1988.
22 Harbor Avenue
Marblehead, MA 01945
Richard W. Lowry 62 Trustee Private Investor since August, 1987.
10701 Charleston Drive
Vero Beach, FL 32963
William E. Mayer* 58 Trustee Partner, Development Capital, LLC (venture capital)
500 Park Avenue, 5th Floor (formerly Dean, College of Business and Management,
New York, NY 10022 University of Maryland from October, 1992 to November,
1996; Dean, Simon Graduate School of Business,
University of Rochester from October, 1991 to July,
1992).
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Position
Name and Address Age with the Trust Principal Occupation During Past Five Years
- ---------------- --- -------------- -------------------------------------------
<S> <C> <C> <C>
John J. Neuhauser 55 Trustee Academic Vice President and Dean of Faculties Boston
84 College Road College since August, 1999 (formerly Dean, Boston College
Chestnut Hill, MA 02467-3838 School of Management from September, 1977 to September,
1999).
Christopher S. Carabell 36 Vice President Senior Vice President-Product Development and Marketing
Federal Reserve Plaza of the Advisor since January, 1999 (formerly Vice
600 Atlantic Avenue President-Investments, March, 1996 to January, 1999);
Boston, MA 02210 Associate Director, U.S. Equity Research, Rogers Casey &
Associates, January, 1995 to March, 1996; Director of
Investments, Boy Scouts of America, Inc., June, 1990 to
January, 1995.
J. Kevin Connaughton 34 Controller and Controller and Chief Accounting Officer of the Liberty
One Financial Center Chief Accounting Funds Group-Boston (Liberty Funds) since February, 1998;
Boston, MA 02111 Officer Vice President of Colonial Management Associates, Inc.
(Administrator) since February, 1998 (formerly Senior
Tax Manager, Coopers & Lybrand, LLP from April, 1996 to
January, 1998; Vice President, 440 Financial Group/First
Data Investor Services Group from March, 1994 to April,
1996).
Mark T. Haley 35 Vice President Vice President-Investments of the Advisor since January,
Federal Reserve Plaza 1999 (formerly Director of Investment Analysis from
600 Atlantic Avenue December, 1996 to December, 1998; Investment Analyst from
Boston, MA 02210 January, 1994 to November, 1996).
Timothy J. Jacoby 46 Treasurer and Treasurer and Chief Financial Officer of the Liberty
One Financial Center Chief Financial Funds since October, 1996 (formerly Controller and Chief
Boston, MA 02111 Officer Accounting Officer from October, 1997 to February, 1998);
Senior Vice President of the Administrator since
September, 1996; Vice President, Chief Financial Officer
and Treasurer since December, 1998 of Liberty Funds
Group LLC (LFG) (formerly Vice President, Chief Financial
Officer and Treasurer from July, 1997 to December, 1998 of
The Colonial Group (TCG)); Senior Vice President of SR&F
since August, 1998 (formerly Senior Vice President,
Fidelity Accounting and Custody Services from September, 1993
September, 1996).
Nancy L. Conlin 45 Secretary Secretary of the Liberty Funds since April, 1998
One Financial Center (formerly Assistant Secretary from July, 1994 to April,
Boston, MA 02111 1998); Director, Senior Vice President, General Counsel,
Clerk and Secretary of the Administrator since April,
1998 (formerly Vice President, Counsel, Assistant
Secretary and Assistant Clerk from July, 1994 to April,
1998); Vice President, General Counsel and Secretary of
LFG since December, 1998 (formerly Vice President,
General Counsel and Clerk of TCG from April, 1998 to
December, 1998 (formerly Assistant Clerk from July, 1994
to April, 1998).
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Position
Name and Address Age with the Trust Principal Occupation During Past Five Years
- ---------------- --- -------------- --------------------------------------------
<S> <C> <C> <C>
Joseph R. Palombo 46 Vice President Vice President of the Liberty Funds since April, 1999;
One Financial Center Executive Vice President and Director of the
Boston, MA 02111 Administrator since April, 1999; Executive Vice President
and Chief Administrative Officer of LFG since April, 1999
(formerly Chief Operating Officer, Putnam Mutual Funds
from 1994 to 1998).
William R. Parmentier, Jr. 45 President, Chief President, Chief Executive Officer and Chief Investment
Federal Reserve Plaza Executive Office Officer of the Advisor (April, 1995 to present); Chief
600 Atlantic Avenue and Chief Investment Officer of Grumman Corporation, from 1979 to
Boston, MA 02210 Investment 1994.
Officer
</TABLE>
* A Trustee who is an "interested person" (as defined in the Act) of the
Trust or the Advisor.
AL-39/098I-1099 November 1, 1999
