PRICE T ROWE INTERNATIONAL FUNDS INC
497K3B, 2000-07-20
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                                                                    July 1, 2000
 FUND PROFILE
T. ROWE PRICE
Emerging Markets Bond Fund

 A worldwide income fund seeking high income and capital growth through
 investment in emerging market bonds.
This profile summarizes key information about the fund that is included in the
fund's prospectus. The fund's prospectus includes additional information about
the fund, including a more detailed description of the risks associated with
investing in the fund that you may want to consider before you invest. You may
obtain the prospectus and other information about the fund at no cost by calling
1-800-638-5660, or by visiting our Web site at www.troweprice.com.
TROWEPRICELOGO
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FUND PROFILE
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 What is the fund's objective?

   The fund seeks to provide high income and capital appreciation.


 What is the fund's principal investment strategy?

   The fund will normally invest at least 65% (and potentially all) of its total
   assets in the government or corporate debt securities of emerging nations.
   Fund holdings may include the lowest-rated bonds, including those in default.

   There are no maturity restrictions, and the fund's weighted average maturity
   normally ranges between five and 10 years but may vary substantially because
   of market conditions. Under normal circumstances, most of the fund's total
   assets are expected to be denominated in U.S. dollars, and the fund will not
   usually attempt to cushion the impact of foreign currency fluctuations on the
   dollar. Security selection relies heavily on research, which analyzes
   political and economic trends as well as creditworthiness. The fund tends to
   favor bonds it expects will be upgraded.

   Investment decisions are based on fundamental market factors, such as yield
   and credit quality differences among bonds as well as demand and supply
   trends and currency values. The fund generally invests in countries where the
   combination of fixed-income returns and currency exchange rates appears
   attractive, or, if the currency trend is unfavorable, where Price-Fleming
   believes the currency risk can be minimized through hedging. The fund sells
   holdings for a variety of reasons, such as to adjust a portfolio's average
   maturity or quality, to shift assets into higher-yielding securities, or to
   alter geographic or currency exposure.

   Further information about the fund's investments, including a review of
   market conditions and fund strategies and their impact on performance, is
   available in the annual and semiannual shareholder reports. To obtain free
   copies of either of these documents, call 1-800-638-5660.


 What are the main risks of investing in the fund?

   The fund is subject to the usual risks of fixed-income investing as well as
   the special risks of investing in emerging markets.

  . Interest rate risk  This refers to the decline in bond prices that usually
   accompanies a rise in interest rates. Longer-maturity bonds typically suffer
   greater declines than those with shorter maturities.

  . Credit risk  This is the chance that any fund holding could have its credit
   rating downgraded, or that a bond issuer will default (the failure of an
   issuer to make timely payments of interest or principal), potentially
   reducing the fund's income level and share price. The bonds in the fund's
   portfolio have significant credit risk.
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FUND PROFILE
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  . Emerging market risk  Investments in emerging markets are subject to abrupt
   and severe price declines. The economic and political structures of
   developing nations, in most cases, do not compare favorably with the U.S. or
   other developed countries in terms of wealth and stability, and their
   financial markets often lack liquidity. These economies are less well
   developed and can be overly reliant on particular industries and more
   vulnerable to the ebb and flow of international trade and capital, trade
   barriers, and other protectionist or retaliatory measures. Some countries
   have legacies of hyperinflation and currency devaluations versus the dollar
   (which adversely affects returns to U.S. investors). Significant devaluations
   have occurred in recent years in Russia, Brazil, and other Asian and Latin
   American nations. Governments of some emerging market countries have
   defaulted on their bonds and investors in this sector must be prepared for
   similar events in the future.

  . Nondiversified risk  Because it is nondiversified, the fund can invest more
   of its assets in a smaller number of issuers than diversified funds. This
   could result in greater potential losses than funds investing in a broader
   variety of issues.

  . Currency risk  This is the risk of a decline in the value of a foreign
   currency versus the U.S. dollar, which reduces the dollar value of securities
   denominated in that currency. The overall impact on the fund's holdings can
   be significant and long-lasting, depending on the currencies represented in
   the portfolio, how each one appreciates or depreciates in relation to the
   U.S. dollar, and whether currency positions are hedged. Bonds held in the
   fund are often denominated in U.S. dollars to improve their marketability,
   but this does not protect them from substantial price declines in the face of
   political and economic turmoil. In addition, many emerging market currencies
   cannot be effectively hedged. Currency trends are unpredictable, and to the
   extent the fund purchases and sells currencies, it will also be subject to
   the risk that its trading strategies, including efforts at hedging, will not
   succeed. Furthermore, hedging costs can be significant and reduce fund net
   asset value.

  . Derivatives risk  To the extent the fund uses these instruments, it may be
   exposed to additional volatility and potential losses.

   As with any mutual fund, there can be no guarantee the fund will achieve its
   objective.

  . The fund's share price may decline, so when you sell your shares, you may
   lose money. An investment in the fund is not a deposit of a bank and is not
   insured or guaranteed by the Federal Deposit Insurance Corporation or any
   other government agency.
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FUND PROFILE
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 How can I tell if the fund is appropriate for me?

   Consider your investment goals, your time horizon for achieving them, and
   your tolerance for the inherent risk of investing in foreign debt securities.
   If you are willing to accept the special risks associated with emerging
   market investing and the general risks of investing in bonds to achieve
   current income and potential capital growth, this fund could be appropriate
   for you.

   The fund can be used in both regular and tax-deferred accounts, such as IRAs.

  . The fund should not represent your complete investment program or be used
   for short-term trading purposes.


 How has the fund performed in the past?

   The bar chart showing calendar year returns and the average annual total
   return table indicate risk by illustrating how much returns can differ from
   one year to the next and over time. Fund past performance is no guarantee of
   future returns.

   The fund can also experience short-term performance swings, as shown by the
   best and worst calendar quarter returns during the years depicted in the
   chart.

LOGO

<TABLE>
<CAPTION>
          Calendar Year Total Returns
   "95"     "96"     "97"     "98"       "99"
 ----------------------------------------------
 <S>      <C>      <C>      <C>       <C>
  25.81    36.77    16.83    -23.09     22.97
 ----------------------------------------------
</TABLE>


          Quarter ended              Total return

 Best quarter                            6/30/95 17.56%
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FUND PROFILE
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 Worst quarter                           9/30/98 -30.20%

<TABLE>
 Table 1  Average Annual Total Returns
<CAPTION>
                                            Periods ended 06/30/2000
                                                           Since inception
                                       1 year   5 years     (12/30/1994)
 --------------------------------------------------------------------------
 <S>                                   <C>      <C>       <C>
  Emerging Markets Bond Fund           23.05%    13.28%        13.96%

  J.P. Morgan Emerging Markets Bond
  Index Plus                           23.16     16.31         16.61
  Lipper Emerging Markets Debt Funds   20.74     13.89         13.43
  Average
 --------------------------------------------------------------------------
</TABLE>


 These figures include changes in principal value, reinvested dividends, and
 capital gain distributions, if any.


 What fees or expenses will I pay?

   The fund is 100% no load. There are no fees or charges to buy or sell fund
   shares, reinvest dividends, or exchange into other T. Rowe Price funds. There
   are no 12b-1 fees.


<TABLE>
 Table 2  Fees and Expenses of the Fund
<CAPTION>
                                               Annual fund operating expenses
                                        (expenses that are deducted from fund assets)
 -------------------------------------------------------------------------------------
 <S>                                   <C>
  Management fee                                           0.77%/a/

  Other expenses                                           0.48%

  Total annual fund operating
  expenses                                                 1.25%/a/

  Fee waiver/reimbursement                                   --

  Net expenses                                             1.25%
 -------------------------------------------------------------------------------------
</TABLE>


 /a/Price-Fleming is contractually obligated to waive its fees and bear any
   expenses to the extent such fees or expenses would cause the fund's ratio of
   expenses to average net assets to exceed the indicated percentage limitation.
   Fees waived or expenses paid or assumed are subject to reimbursement to
   Price-Fleming by the fund through the indicated reimbursement date, but no
   reimbursement will be made if it would result in the fund's expense ratio
   exceeding its specified limit. A summary of the fund's expense limitation and
   the periods for which it is effective is set forth below:

<TABLE>
<CAPTION>
      <C>                <C>                       <C>                 <S>
      Limitation Period  Expense Ratio Limitation  Reimbursement Date
      1/1/99-
      12/31/00           1.25%                     12/31/02
</TABLE>


   Previously, the fund operated under a 1.25% limitation that expired December
   31, 1998. Fees waived or expenses assumed under this agreement are subject to
   reimbursement to Price-Fleming by the fund whenever the fund's expense ratio
   is below 1.25%. However, no reimbursement will be made after December 31,
   2000, or if it would result in the expense ratio exceeding 1.25%.

   Example.  The following table gives you a rough idea of how expense ratios
   may translate into dollars and helps you to compare the cost of investing in
   this fund with that of other funds. Although your actual costs may be higher
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FUND PROFILE
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   or lower, the table shows how much you would pay if operating expenses remain
   the same, the expense limitation currently in place is not renewed, you
   invest $10,000, earn a 5% annual return, and hold the investment for the
   following periods:

<TABLE>
<CAPTION>
   1 year       3 years      5 years       10 years
 -----------------------------------------------------
 <S>          <C>          <C>          <C>
    $127         $397         $686          $1,511
 -----------------------------------------------------
</TABLE>



 Who manages the fund?


   The fund is managed by Rowe Price-Fleming International, Inc., a joint
   venture between T. Rowe Price Associates, Inc. ("T. Rowe Price") and the
        London-based Robert Fleming Holdings, Ltd. ("Flemings").  Flemings
   includes Robert Fleming and Jardine Fleming. Established in 1979,
   Price-Fleming manages investments for individual and institutional accounts,
   including 12 no-load mutual funds sold directly to the public.  On April 11,
   2000, T. Rowe Price entered into an agreement with Flemings and certain of
   its subsidiaries (collectively "Fleming Companies") to purchase the Fleming
   Companies' 50% interest in Price-Fleming.  As a result of this purchase,
   shareholders will be asked to approve a new investment management agreement
   for the fund.

   The fund has an Investment Advisory Group with day-to-day responsibility for
   managing the funds. The advisory group consists of Peter Askew, who joined
   Price-Fleming in 1988 and has been managing multicurrency fixed-income
   portfolios since 1976; Michael Conelius, who joined T. Rowe Price in 1988 and
   Price-Fleming in 1995, and has been managing investments since 1992; and
   Christopher Rothery, who joined Price-Fleming in 1994 and has been managing
   multicurrency fixed-income portfolios since 1988.


 Note: The following questions and answers about buying and selling shares and
 services do not apply to employer-sponsored retirement plans. If you are a
 participant in one of these plans, please call your plan's toll-free number for
 additional information.


 How can I purchase shares?

   Fill out the New Account Form and return it with your check in the postpaid
   envelope. The minimum initial purchase is $2,500 ($1,000 for IRAs and gifts
   or transfers to minors). The minimum subsequent investment is $100 ($50 for
   IRAs, gifts or transfers to minors, or Automatic Asset Builder). You can also
   open an account by bank wire, by exchanging from another T. Rowe Price fund,
   or by transferring assets from another financial institution.
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FUND PROFILE
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 How can I sell shares?

   You may redeem or sell any portion of your account on any business day.
   Simply write to us or call. You can also access your account at any time via
   Tele*Access /(R)/ or our Web site. We offer convenient exchange among our
   entire family of domestic and international funds. Restrictions may apply in
   special circumstances, and some redemption requests need a signature
   guarantee. A $5 fee is charged for wire redemptions under $5,000.


 When will I receive income and capital gain distributions?

   The fund distributes income monthly and net capital gains, if any, at
   year-end. For regular accounts, income and short-term gains are taxable at
   ordinary income rates, and long-term gains are taxable at the capital gains
   rate. Distributions are reinvested automatically in additional shares unless
   you choose another option, such as receiving a check. Distributions paid to
   IRAs and employer-sponsored retirement plans are automatically reinvested.


 What services are available?

   A wide range, including but not limited to:

  . retirement plans for individuals and large and small businesses;

  . automated information and transaction services by telephone or computer;

  . electronic transfers between fund and bank accounts;

  . automatic investing and automatic exchange;

  . brokerage services; and

  . asset manager accounts.
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FUND PROFILE
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FUND PROFILE
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T. Rowe Price Associates, Inc.
100 East Pratt Street
Baltimore, MD 21202
www.troweprice.com
LOGO
 RPS F06-035
 T. Rowe Price Investment Services, Inc., Distributor
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