OPPENHEIMER U.S. GOVERNMENT TRUST
Supplement dated January 9, 1998 to the
Prospectus dated December 19, 1997
The Prospectus is changed as follows:
1. The first sentence of the first paragraph under "Mortgage-Backed Securities"
on page 13 is replaced with the following:
o Mortgage-Backed Securities. The Fund may invest in collateralized
mortgage obligations ("CMOs") that are issued or guaranteed by the U.S.
Government or its agencies or instrumentalities, or that are collateralized by a
portfolio of mortgages or mortgage-related securities guaranteed by such an
agency or instrumentality, or that are issued by private issuers. Private-issuer
CMO's are not issued or guaranteed by the U.S. Government or its agencies and
are therefore also subject to credit risks. Credit risk relates to the ability
of the issuer of a debt security to make interest or principal payments on the
security as they become due. Securities issued or guaranteed by the U.S.
Government are subject to little, if any, credit risk because they are backed by
the "full faith and credit of the U.S. Government," which in general terms means
that the U.S. Treasury stands behind the obligation to pay interest and
principal.
2. The first sentence of the second paragraph under "Mortgage-Backed Securities"
on page 13 is replaced with the following:
The Fund may invest in "stripped" mortgage-backed securities or CMOs or
other such securities issued by agencies or instrumentalities of the U.S.
Government or by private issuers.
January 9, 1998 PS0220.010
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