SBSF Funds, Inc. d/b/a Key Mutual Funds
Supplement Dated December 11, 1996
to the Statements of Additional Information ("SAI")
SAIs Dated June 12, 1996: SAIs Dated July 12, 1996:
Key Stock Index Fund SBSF Fund
Key International Index Fund SBSF Convertible Securities Fund
SBSF Capital Growth Fund
Key Money Market Mutual Fund
The following information is added to the section entitled "Purchase,
Redemption and Pricing" in the above-referenced SAIs:
"The Company has elected, effective November 26, 1996, pursuant to Rule
18f-1 under the 1940 Act, to commit to redeem shares of each Fund
solely in cash up to the lesser of $250,000 or 1% of the net asset
value of a Fund during any 90-day period for any one shareholder. Any
portion of a redemption not paid in cash may be in securities or other
property. Shareholders receiving securities or other property upon
redemption may realize a gain or loss for tax purposes and may incur
additional costs (e.g., brokerage costs) as well as the inconveniences
associated with disposing of such securities or other property."
Please keep this Supplement with your SAI. Investors wishing to obtain more
information, please call the Transfer Agent without charge at 800-KEY-FUND.
