SPARTAN(registered trademark) NEW JERSEY MUNICIPAL HIGH YIELD PORTFOLIO
SUPPLEMENT TO THE STATEMENT OF ADDITIONAL INFORMATION
DATED JANUARY 14, 1994
The following tables replace those found in the section entitled
"Performance" beginning on page 11.
1994 TAX RATES AND TAX-EQUIVALENT YIELDS
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
Taxable Income* Marginal Federal Combined New Jersey and
Income Tax New Jersey Federal Effective
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C>
Single Return Joint Return Bracket Marginal Rate Tax Bracket **
</TABLE>
-- $38,001-$50,000 28% 2.375% 29.71%
-- $50,001-$70,000 28% 3.325% 30.39%
$22,751-$35,000 -- 28% 3.750% 30.70%
$35,001-$40,000 $70,001-$80,000 28% 4.750% 31.42%
$40,001-$55,100 $80,001-$91,850 28% 6.175% 32.45%
$55,101-$75,000 $91,851-$140,000 31% 6.175% 35.26%
$75,001-$115,000 -- 31% 6.650% 35.59%
-- $140,001-$150,000 36% 6.175% 39.95%
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
$115,001-$250,000 $150,001-$250,000 36% 6.650% 40.26%
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
$250,001 & $250,001 & above 39.6% 6.650% 43.62%
above
</TABLE>
* Net amount subject to federal income tax after deductions and
exemptions. Assumes ordinary income only; does not include the effect of
preferential rate on long-term capital gains.
** Excludes the impact of the phaseout of personal exemptions,
limitations on itemized deductions, and other credits, exclusions, and
adjustments which may increase a taxpayer's marginal tax rate. An increase
in a shareholder's marginal tax rate would increase that shareholder's
tax-equivalent yield.
Having determined your effective tax bracket above, use the tax table
below to determine the tax-equivalent yield for a given tax-free yield.
If your combined effective federal and state personal income tax rate in
1994 is:
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
29.71% 30.39% 30.70% 31.42% 32.45% 35.26% 35.59% 39.95% 40.26% 43.62%
</TABLE>
<TABLE>
<CAPTION>
<S> <C>
To match these
tax-free rates: Your taxable investment would have to earn the following yield:
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
2.0% 2.85% 2.87% 2.89% 2.92% 2.96% 3.09% 3.11% 3.33% 3.35% 3.55%
3.0% 4.27% 4.31% 4.33% 4.37% 4.44% 4.63% 4.66% 5.00% 5.02% 5.32%
4.0% 5.69% 5.75% 5.77% 5.83% 5.92% 6.18% 6.21% 6.66% 6.70% 7.09%
5.0% 7.11% 7.18% 7.22% 7.29% 7.40% 7.72% 7.76% 8.33% 8.37% 8.87%
6.0% 8.54% 8.62% 8.66% 8.75% 8.88% 9.27% 9.32% 9.99% 10.04% 10.64%
7.0% 9.96% 10.06% 10.10% 10.21% 10.36% 10.81% 10.87% 11.66% 11.72% 12.42%
</TABLE>
NJTB-94-1 March 28, 1994
