COLONIAL U.S. GOVERNMENT FUND
Supplement to Prospectus dated
December 29, 1994
On August 18, 1995, the Trustees approved
modifications to the wording of the Fund's
investment objective. The Fund's present
objective is to seek as high a level of
current income as is consistent with
prudent risk by investing exclusively in
U.S. government securities. Effective
October 31, 1995, the Fund's investment
objective will be to seek as high a level
of current income and total return as is
consistent with prudent risk by investing
exclusively in U.S. government securities.
The investment policies of the Fund will
not change.
The fourth paragraph under the caption How
the Fund is managed has been revised in its
entirety as follows:
Leslie W. Finnemore, Vice President of the
Adviser, has managed the Fund since its
inception and various other Colonial taxable
income funds since 1987. Michael Bissonnette,
Vice President of the Adviser, has co-managed
the Fund since July 1995. Mr. Bissonnette was
a Mortgage Trader of the Adviser from August
1993 until January 1995 and an Associate
Portfolio Manager in the Government/Mortgage
Group of the Adviser from January 1995 until
July 1995. Prior to joining the Adviser,
Mr. Bissonnette was an Actuarial Consultant
and Mortgage Trader at ITT Hartford Insurance
until 1993.
UG-187B-0895 August 30, 1995
