FRANKLIN CUSTODIAN FUNDS INC
497, 1999-06-11
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FCFSA-2

                        SUPPLEMENT DATED JUNE 15, 1999
                 TO THE STATEMENT OF ADDITIONAL INFORMATION OF

                        FRANKLIN CUSTODIAN FUNDS, INC.
                (DYNATECH SERIES, GROWTH SERIES, INCOME SERIES,
            UTILITIES SERIES AND U.S. GOVERNMENT SECURITIES SERIES)
                            dated February 1, 1999

The Statement of Additional Information is amended as follows:

I. The address on the front page is changed to P.O. Box 997151  Sacramento,  CA
95899-9983.

II. The first  paragraph  under the section  "Management  and Other  Services -
Shareholder servicing and transfer agent" is replaced with the following:

 Franklin/Templeton  Investor Services, Inc. (Investor Services) is the funds'
 shareholder  servicing  agent  and  acts as the  funds'  transfer  agent  and
 dividend-paying  agent.  Investor  Services is located at 777 Mariners Island
 Blvd.,  San Mateo,  CA 94404.  Please  send all  correspondence  to  Investor
 Services to P.O. Box 997151, Sacramento, CA 95899-9983.

III.  The  following  category  is added to the  section  "Waivers  for certain
investors," found under "Buying and Selling Shares - Initial sales charges":

 o Any  investor  who is currently a Class Z  shareholder  of Franklin  Mutual
 Series Fund Inc.  (Mutual  Series),  or who is a former Mutual Series Class Z
 shareholder  who had an  account  in any Mutual  Series  fund on October  31,
 1996,  or who sold his or her shares of Mutual Series Class Z within the past
 365 days

IV. The  following  category  is added to the  section  "CDSC  waivers,"  found
under "Buying and Selling Shares - Contingent deferred sales charge (CDSC)":

 o  Redemptions  of Class A shares by  investors  who  purchased $1 million or
 more  without  an initial  sales  charge if the  securities  dealer of record
 waived its commission in connection with the purchase

               Please keep this supplement for future reference.






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