Supplement, dated September 21, 1995, to the Prospectus dated May 1, 1995 of
Seligman Communications and Information Fund, Inc. (the "Fund").
Today the Fund's Board of Directors unanimously approved and
recommended to shareholders for approval at a special meeting of shareholders to
be held on December 12, 1995, proposed amendments to the Management Agreement
between the Fund and J. & W. Seligman & Co. Incorporated (the "Manager"). The
proposed amendments would revise the fee schedule in the Management Agreement as
follows: pursuant to a new schedule of management fees which would apply,
subject to shareholder approval, effective January 1, 1996, the Fund would pay a
management fee equal to an annual rate of 0.90% on the first $3.0 billion of the
average daily net assets of the Fund; 0.85% of the average daily net assets on
the next $3.0 billion and 0.75% of the average daily net assets of the Fund in
excess of $6.0 billion. The current practice of computing management fees daily
and paying them monthly will remain unchanged.
In addition, the Board of Directors also approved and recommended for
approval by shareholders corresponding changes to the Subadvisory Agreement
between the Manager and Seligman Henderson Co., the Fund's Subadviser with
respect to certain assets. The subadvisory fee is paid by the Manager and thus
does not affect the total management fee payable by the Fund.
The following replaces the "Annual Fund Operating Expense" table and the
"Example" located on page 2 of the Fund's prospectus:
<TABLE>
<CAPTION>
Annual Fund Operating Expenses for 1994 Class A Class D
(as a percentage of average net assets)
<S> <C> <C>
Management Fees.............................................................. .90% .90%
12b-1 Fees................................................................... .21% 1.00%
Other Expenses............................................................... .69% .75%
---- ----
Total Fund Operating Expenses................................................ 1.80% 2.65%
===== =====
<CAPTION>
Example 1 year 3 years 5 years 10 years
------ ------- ------- --------
You would pay the following expenses on a $1,000 investment, assuming
(1) 5% annual return and (2) redemption at the end of each time period:
<S> <C> <C> <C> <C>
Class A......................................................................... $65 $101 $140 $249
Class D......................................................................... $37+ $82 $141 $298
</TABLE>
This example should not be considered a representation of past or future
expenses. Actual expenses may be greater or less than those shown and the 5%
annual return used in this example is a hypothetical rate.
+ Assuming (i) 5% annual return and (ii) no redemption at the end of year
one, the expenses on a $1,000 investment would be $27.
The current fee arrangements with the Manager and the Subadviser are
described in the Prospectus under the section entitled, "Management Services."
