SUPPLEMENT TO
THE SPARTAN(registered trademark)
GOVERNMENT INCOME FUND JUNE 26, 1998 PROSPECTUS
The following information replaces similar information found under the
heading "FMR and Its Affiliates" in the "Charter" section beginning on
page 9.
Thomas Silvia is Vice President and manager of Spartan Government
Income, which he has managed since December 1998. He also manages
other Fidelity funds. Mr. Silvia joined Fidelity as a senior mortgage
trader in 1993. Previously, he was a quantitative analyst with
Donaldson, Lufkin & Jenrette in New York from 1990 to 1993.
SUPPLEMENT TO
THE SPARTAN(registered trademark) SHORT-INTERMEDIATE GOVERNMENT FUND
JUNE 26, 1998 PROSPECTUS
The following information replaces similar information found under the
heading "FMR and Its Affiliates" in the "Charter" section beginning on
page 9.
Andrew Dudley is Vice President and manager of Spartan
Short-Intermediate Government, which he has managed since December
1998. He also manages other Fidelity funds. Prior to joining Fidelity
in 1996, Mr. Dudley was a portfolio manager for Putnam Investments
from 1991 to 1996.
The following information replaces similar information found in the
"Who May Want to Invest" section beginning on page 3.
PROPOSED REORGANIZATION. The Board of Trustees of Spartan
Short-Intermediate Government Fund has unanimously approved an
Agreement and Plan of Reorganization ("Agreement") between Spartan
Short-Intermediate Government Fund and Fidelity Intermediate
Government Income Fund (formerly Spartan Limited Maturity Government
Fund), a fund of Fidelity Income Fund.
The Agreement provides for the transfer of all of the assets and the
assumption of all of the liabilities of Spartan Short-Intermediate
Government Income Fund solely in exchange for the number of shares of
Fidelity Intermediate Government Income Fund equal in value to the
relative net asset value of the outstanding shares of Spartan
Short-Intermediate Government Fund. Following such exchange, Spartan
Short-Intermediate Government Fund will distribute the Fidelity
Intermediate Government Income Fund shares to its shareholders pro
rata, in liquidation of Spartan Short-Intermediate Government Fund as
provided in the Agreement (the transactions contemplated by the
Agreement referred to as the "Reorganization"). The Reorganization can
be consummated only if, among other things, it is approved by a
majority vote of shareholders. A Special Meeting (the "Meeting") of
the Shareholders of Spartan Short-Intermediate Government Fund will be
held on April 14, 1999, and approval of the Agreement will be voted on
at that time. In connection with the Meeting, Spartan
Short-Intermediate Government Fund will be filing with the Securities
and Exchange Commission and delivering to its shareholders of record a
Proxy Statement describing the Reorganization and a Prospectus for
Fidelity Intermediate Government Income Fund.
If the Agreement is approved at the Meeting and certain conditions
required by the Agreement are satisfied, the Reorganization is
expected to become effective on or about April 22, 1999. If
shareholder approval of the Agreement is delayed due to failure to
meet a quorum or otherwise, the Reorganization will become effective,
if approved, as soon as practicable thereafter.
In the event Spartan Short-Intermediate Government Fund shareholders
fail to approve the Agreement, Spartan Short-Intermediate Government
Fund will continue to engage in business as a registered investment
company and the Board of Trustees will consider other proposals for
the reorganization or liquidation of Spartan Short-Intermediate
Government Fund.
Effective the close of business on June 26, 1998, the fund's shares
are no longer available to new accounts. Shareholders of the fund on
that date may continue to purchase shares in accounts existing on that
date. Investors who did not own shares of the fund on June 26, 1998,
generally will not be allowed to purchase shares of the fund except
that new accounts may be established: 1) by participants in most group
employer retirement plans (and their successor plans) in which the
fund had been established as an investment option by June 26, 1998,
and 2) for accounts managed on a discretionary basis by certain
registered investment advisors that have discretionary assets of at
least $500 million invested in mutual funds and have included the fund
in their discretionary account program since June 26, 1998. These
restrictions generally will apply to investments made directly with
Fidelity and investments made through intermediaries. Investors may be
required to demonstrate eligibility to purchase shares of the fund
before an investment is accepted.
