FEDERATED INCOME TRUST
SUPPLEMENT TO PROSPECTUSES DATED MARCH 31, 1998
At a Special Meeting of Shareholders to be held on June 28, 1999,
shareholders will be asked to vote on the changes described below. If approved
by shareholders, these changes will take effect as of July 1, 1999. Shareholders
will be notified if any of these changes are not approved. Please keep this
supplement for your records.
Shareholders will be asked to consider the following proposals:
(1) To elect seven Trustees.
(2) To ratify the selection of the Trust's independent auditors.
(3) To make changes to the Trust's fundamental investment policies:
(a) To amend the Trust's fundamental investment policy regarding borrowing
money and issuing senior securities;
(b) To amend the Trust's fundamental investment policy regarding lending
by the Trust;
(c) To amend, and to make non-fundamental, the Trust's fundamental
investment policy regarding buying securities on margin;
(d) To amend, and to make non-fundamental, the Trust's fundamental
investment policy regarding pledging assets;
(e) To amend, and to make non-fundamental, the Trust's fundamental
investment policy regarding investing in other investment companies;
(f) To amend, and to make non-fundamental, the Trust's fundamental
investment policy regarding investments in U.S. government securities;
(g) To amend, and to make non-fundamental, the Trust's fundamental
investment policy regarding investments in collateralized mortgage
obligations and mortgage-related securities;
(h) To make non-fundamental the Trust's fundamental investment policy
regarding dollar roll transactions;
(i) To make non-fundamental the Trust's fundamental investment policy
regarding investing in repurchase agreements;
(j) To make non-fundamental the Trust's fundamental investment policy
regarding engaging in when-issued and delayed delivery transactions;
and
(k) To make non-fundamental the Trust's fundamental investment policy
regarding lending portfolio securities.
(4) To eliminate certain of the Trust's fundamental investment policies:
(a) To remove the Trust's fundamental investment policy regarding selling
securities short; and
(b) To remove the Trust's fundamental investment policy on engaging in
portfolio transactions.
(5) To approve an amendment and restatement to the Trust's Declaration of
Trust:
(a) To require the approval of a majority of the outstanding voting
securities in the event of the sale and conveyance of the assets of
the Trust to another trust or corporation;
(b) To permit the Board of Trustees to liquidate the assets of the Trust
without seeking shareholder approval; and
(c) To permit the Board of Trustees to change the name of the Trust
without seeking shareholder approval.
To transact such other business as may properly come before the meeting or
any adjournment thereof.
April 30, 1999
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Federated Investors
Federated Securities Corp., Distributor
Federated Investors, Inc.
Federated Investors Tower
1001 Liberty Avenue
Pittsburgh, PA 15222-3779
Cusip 314199100
Cusip 314199209
G02647-01 (4/99)
