CENTENNIAL TAX EXEMPT TRUST
Supplement dated January 1, 1999 to the
Prospectus dated October 30, 1998
The Prospectus is changed as follows:
1. The second paragraph in the section entitled "Fees and Expenses" on page A-2
of the Prospectus is deleted and replaced with:
The annual rates applicable to Government Trust are as follows: 0.500% of
the first $250 million of net assets; 0.475% of the next $250 million of net
assets; 0.450% of the next $250 million of net assets; 0.425% of the next $250
million of net assets; and 0.400% of the next $250 million of net assets; 0.375%
of the next $250 million of net assets and 0.350% of net asset in excess of $1.5
billion. The annual rates applicable to Tax Exempt Trust are as follows: 0.500%
of the first $250 million of net assets; 0.475% of the next $250 million of net
assets; 0.450% of the next $250 million of net assets; 0.425% of the next $250
million of net assets; 0.400% of the next $250 million of net assets; 0.375% of
the next $250 million of net assets; 0.350% of the next $500 million of net
assets and 0.325% of net assets in excess of $2 billion. Furthermore, under Tax
Exempt Trust's Agreement, when the value of Tax Exempt Trust's net assets is
less than $1.5 billion, the annual fee payable to the Manager shall be reduced
by $100,000 based on average net assets computed daily and paid monthly at the
annual rates, but in no event shall the annual fee be less than $0. See the
Statement of Additional Information for an explanation of the Manager's
reimbursement arrangement for the Trusts set forth in their Agreements.
"Investment Management Services" in the Appendix to the Statement of Additional
Information contains more complete information about the Agreements, including a
discussion of expense arrangements, and a description of the exculpation
provisions and portfolio transactions.
January 1, 1999 PS0160.004
