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INSTITUTIONAL CLASSES OF
AIM CHARTER FUND
AIM CONSTELLATION FUND
AIM WEINGARTEN FUND
(SERIES PORTFOLIOS OF AIM EQUITY FUNDS)
Supplement dated December 14, 2000
to the Statement of Additional Information dated June 21, 2000,
as supplemented June 30, 2000, July 5, 2000 and November 7, 2000
Effective September 30, 2000, Charles T. Bauer retired from his positions as an
officer and trustee of the Trust and Robert H. Graham succeeded Mr. Bauer as
Chairman of the Board.
This supplement supercedes and replaces in its entirety the supplement dated
June 30, 2000, July 5, 2000 and November 7, 2000.
The following information is added to the table appearing under the heading
"MANAGEMENT - Trustees and Officers" on page 24 of the Statement of Additional
Information:
<TABLE>
<CAPTION>
POSITIONS
HELD WITH PRINCIPAL OCCUPATION DURING AT
"NAME, ADDRESS AND AGE REGISTRANT LEAST THE PAST 5 YEARS
---------------------- ---------- ------------------------------
<S> <C> <C>
ALBERT R. DOWDEN (59) Trustee Chairman of the Board of Directors, The
1815 Central Park Drive Cortland Trust (investment company) and
P.O. Box 774000-PMB #222 DHJ Media, Inc.; and Director, Magellan
Steamboat Springs, CO 80477 Insurance Company. Formerly, Director,
President and Chief Executive Officer,
Volvo Group North America, Inc.; Senior
Vice President, AB Volvo; and Director,
The Hertz Corporation, Genmar Corporation
(boat manufacturer), National Media
Corporation and Annuity and Life Re
(Holdings), Ltd."
</TABLE>
Effective November 28, 2000, A I M Distributors, Inc. ("AIM Distributors"), P.O.
Box 4739, Houston Texas 77210-4739, will act as the exclusive distributor of
shares of the Institutional Class. AIM Distributors will provide all services
that were previously provided by FMC which includes the payment of promotional
expenses, including the incremental costs of printing prospectuses and
statements of additional information, annual reports and other periodic reports
for distribution to persons who are not shareholders of the Institutional
Classes of the Funds and the costs of preparing and distributing any other
supplemental sales literature. AIM Distributors may, from time to time, at its
expense, pay a bonus or other consideration or incentive to dealers or banks who
sell a minimum dollar amount of the shares of the Institutional Class of a Fund
during a specific period of time. A complete description of all services that
will be provided appears under the caption "The Distributor" on page 33 in the
Statement of Additional Information.
The following paragraph replaces in its entirety the tenth full paragraph
appearing under the heading "INVESTMENT ADVISORY AND OTHER SERVICES" on page 30
of the Statement of Additional Information:
"AIM has voluntarily agreed, effective July 1, 2000, to waive
advisory fees payable by Charter, Constellation and Weingarten in an
amount equal to 0.025% for each $5 billion
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increment in net assets over $5 billion, up to a maximum waiver of
0.175% on net assets in excess of $35 billion, so that the effective
fee schedules are as follows:
CHARTER AND CONSTELLATION
<TABLE>
<CAPTION>
NET ASSETS ANNUAL RATE
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<S> <C>
First $30 million 1.00%
Over $30 million to and including $150 million 0.75%
Over $150 million to and including $5 billion 0.625%
Over $5 billion to and including $10 billion 0.60%
Over $10 billion to and including $15 billion 0.575%
Over $15 billion to and including $20 billion 0.55%
Over $20 billion to and including $25 billion 0.525%
Over $25 billion to and including $30 billion 0.50%
Over $30 billion to and including $35 billion 0.475%
Over $35 billion 0.45%
</TABLE>
WEINGARTEN
<TABLE>
<CAPTION>
NET ASSETS ANNUAL RATE
---------- -----------
<S> <C>
First $30 million 1.00%
Over $30 million to and including $350 million 0.75%
Over $350 million to and including $5 billion 0.625%
Over $5 billion to and including $10 billion 0.60%
Over $10 billion to and including $15 billion 0.575%
Over $15 billion to and including $20 billion 0.55%
Over $20 billion to and including $25 billion 0.525%
Over $25 billion to and including $30 billion 0.50%
Over $30 billion to and including $35 billion 0.475%
Over $35 billion 0.45%
</TABLE>
In addition, pursuant to a prior fee waiver arrangement, AIM waived
through June 30, 2000 a portion of its advisory fees payable by
Charter, Constellation and Weingarten at net asset levels higher than
those currently incorporated in the advisory fee schedule. Accordingly,
with respect to each of Charter and Constellation, AIM received a fee
calculated at an annual rate of 1.0% of the first $30 million of such
Fund's average daily net assets, plus 0.75% of such Fund's average
daily net assets in excess of $30 million to and including $150
million, plus 0.625% of such Fund's average daily net assets in excess
of $150 million to and including $2 billion, plus 0.60% of the Fund's
average daily net assets in excess of $2 billion. With respect to
Weingarten, AIM received a fee calculated at an annual rate of 1.0% of
the first $30 million of the Fund's average daily net assets, plus
0.75% of the Fund's average daily net assets in excess of $30 million
to and including $350 million, plus 0.625% of the Fund's average daily
net assets in excess of $350 million to and including $2 billion, plus
0.60% of the Fund's average daily net assets in excess of $2 billion to
and including $3 billion, plus 0.575% of the Fund's average daily net
assets in excess of $3 billion to and including $4 billion, plus 0.55%
of the Fund's average daily net assets in excess of $4 billion. As
compensation for its services, AIM pays 50% of the advisory fees it
receives pursuant to the Master Advisory Agreement with respect to
Charter, Constellation and Weingarten to AIM Capital."
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