AMERICAN CENTURY GOVERNMENT INCOME TRUST
497K3B, 1999-04-28
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[front cover]

AMERICAN CENTURY

Fund Profile

[american century logo(reg. sm)]
AMERICAN
CENTURY

Intermediate-Term Treasury Fund

This profile  summarizes key information  about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
   the fund, including a more detailed  description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

[three photos of bubble blowing woman and child,
business men, woman at computer]

                                                                  APRIL 25, 1999
                                                                  INVESTOR CLASS

 You may obtain the Prospectus and other  information  about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.


INTERMEDIATE-TERM TREASURY FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Intermediate-Term  Treasury seeks the highest level of current income exempt
    from state income tax while maintaining safety of capital.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy intermediate-term  U.S. Treasury securities guaranteed
    by the direct full faith and credit pledge of the U.S. government.

    The fund managers also may buy  intermediate-term  securities  issued by the
    U.S.  government,  its agencies and  instrumentalities.  The U.S. government
    provides  varying  levels  of  financial   support  to  these  agencies  and
    instrumentalities.  The fund  managers  may  invest up to 35% of the  fund's
    total assets in these securities.

    The fund managers may purchase  securities in a number of different  ways to
    seek higher rates of return.  For example,  by using when-issued and forward
    commitment  transactions,  the fund  managers  may  purchase  securities  in
    advance to generate additional income.

    The weighted  average  maturity of the fund is expected to be between  three
    and 10 years.

    Additional  information about  Intermediate-Term  Treasury's  investments is
    available in its annual and  semiannual  reports.  In these reports you will
    find a discussion of the market  conditions and investment  strategies  that
    significantly  affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * When  interest  rates  change,  the fund's  share value will be  affected.
    Generally,  when interest  rates rise,  the fund's share value will decline.
    The opposite is true when interest rates decline. This interest rate risk is
    higher  for  Intermediate-Term  Treasury  than for funds  that have  shorter
    weighted average maturities, such as money market and short-term bond funds.

    * As with  all  funds,  at any  given  time  the  value  of your  shares  of
    Intermediate-Term  Treasury  may be worth  more or less  than the  price you
    paid.  If you sell  your  shares  when the  value is less than the price you
    paid, you will lose money.

    * An investment in the fund is not a bank deposit,  and it is not insured or
    guaranteed by the Federal Deposit Insurance  Corporation (FDIC) or any other
    government agency.

    In summary,  Intermediate-Term  Treasury is intended for  investors who seek
    the  highest  level of current  income  exempt  from state  income tax while
    maintaining  safety of  capital  and who are  willing  to  accept  the risks
    associated with the fund's investment strategy.

    FUND PERFORMANCE

    The following bar chart shows the actual  performance  of  Intermediate-Term
    Treasury's Investor Class shares for each of the last 10 calendar years. The
    bar chart  indicates the  volatility of the fund's  historical  returns from
    year to year. The bar chart and the  performance  information  below are not
    intended to indicate how the fund will perform in the future.

[bar chart]
    Calendar Year-By-Year Returns (1)
         1998         8.94%
         1997         8.38%
         1996         4.08%
         1995        13.70%
         1994        -2.34%
         1993         7.91%
         1992         6.55%
         1991        13.75%
         1990         9.20%
         1989        11.93%

        (1) As of March 31, 1999, the end of the most recent  calendar  quarter,
            Intermediate-Term Treasury's year-to-date return was -1.23%.


Intermediate-Term Treasury                    American Century Investments


    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                              Highest                 Lowest
    ---------------------------------------------------------------------------
    Intermediate-Term
      Treasury                6.67% (2Q 1989)         -2.04% (1Q 1994)

    The following  table shows the average annual return of the fund's  Investor
    Class shares for the periods  indicated.  The Salomon Brothers 3- to 10-Year
    Treasury  Index,  an unmanaged  index that reflects no operating  costs,  is
    included as a benchmark for performance comparisons. For current performance
    information, including yields, please call us or access our Web site.

                          1 YEAR      5 YEARS     10 YEARS     LIFE OF FUND(1)
    ---------------------------------------------------------------------------
     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED MARCH 31, 1999)
    ---------------------------------------------------------------------------
     Intermediate-Term
       Treasury           6.09%        6.59%      7.88%        8.66%
     Salomon Brothers
       3- to 10-Year
       Treasury Index     7.10%        7.26%      8.41%        9.67%(2)

        (1) The inception date for Intermediate-Term Treasury is May 16, 1980.

        (2) Benchmark from May 31, 1980.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century fund

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.

    ---------------------------------------------------------------------------
     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
    ---------------------------------------------------------------------------
      Management Fee                                0.51%(1)
      Distribution and Service (12b-1) Fees         None
      Other Expenses(2)                             0.00%
      Total Annual Fund Operating Expenses          0.51%


     (1) Based on expenses  incurred  during the fund's most recent fiscal year.
         The fund has a stepped fee schedule.  As a result,  the  management fee
         rate generally decreases as fund assets increase.

     (2) Other  expenses,  which  include  the fees and  expenses  of the fund's
         independent directors,  their legal counsel, interest and extraordinary
         expenses, were less than 0.005% for the most recent fiscal year.

           EXAMPLE

             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above
             . . . your cost of investing in the fund would be:

         1 year            3 years           5 years            10 years
    ---------------------------------------------------------------------------
         $52               $164              $285               $640

             Of course, actual costs may be higher or lower. Use this example to
             compare the costs of investing in other funds.

5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment  Management,  Inc. provides  investment advisory
    and  management  services  for the  fund.  American  Century  uses  teams of
    portfolio  managers,  assistant  portfolio  managers  and  analysts  working
    together to manage its mutual  funds.  The  portfolio  manager who leads the
    team that manages Intermediate-Term Treasury is identified as follows:

    ROBERT GAHAGAN,  Vice President and Portfolio Manager,  has been a member of
    the team that manages  Intermediate-Term  Treasury  since  January  1998. He
    joined American Century in 1983. He has a bachelor's degree in economics and
    an MBA from the University of Missouri, Kansas City.

6. HOW DO I BUY FUND SHARES?

    *  Complete and return the enclosed application

    *  Call us and exchange shares from another American Century fund

    *  Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional IRAs
    and Roth IRAs). If your redemption activity causes the value of your account
    to  fall  below  this   account   minimum,   your  shares  may  be  redeemed
    involuntarily.


Fund Profile                                     Intermediate-Term Treasury


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any  business day by writing
    or  calling  us.  You also may  exchange  your  shares in  Intermediate-Term
    Treasury  for shares in nearly 70 other  mutual  funds  offered by  American
    Century.  Depending  on the options  you select when you open your  account,
    some restrictions may apply. For your protection,  some redemption  requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Intermediate-Term  Treasury pays  distributions of substantially  all of its
    income monthly.  Distributions  may be taxable as ordinary  income,  capital
    gains or a  combination  of the two.  Capital  gains are taxed at  different
    rates depending on the length of time the fund held the securities that were
    sold. Distributions are reinvested automatically in additional shares unless
    you choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier for you to manage
    your account, such as

    * telephone transactions 
    * wire and electronic funds transfers 
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information  about these choices in our Investor Services
    Guide,  which you may  request  by  calling  us,  accessing  our Web site or
    visiting one of our Investor Centers.

    Information   contained  in  our  Investor   Services   Guide   pertains  to
    shareholders  who invest directly with American  Century rather than through
    an employer-sponsored retirement plan or financial intermediary.

    If  you  own  or  are   considering   purchasing   fund  shares  through  an
    employer-sponsored  retirement plan or financial intermediary,  your ability
    to purchase  shares of the fund,  exchange them for shares of other American
    Century  funds,  and  redeem  them will  depend on the terms of your plan or
    financial  intermediary.  If  you  have  questions  about  investing  in  an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

- --------------------------------------------------------------------------------
[american century logo(reg. sm)]
AMERICAN
CENTURY

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353

Visit our Web site at WWW.AMERICANCENTURY.COM  [link to web site with arrow]

SH-PRF-16124   9904                                   Funds Distributor, Inc.
<PAGE>
[front cover]

AMERICAN CENTURY

Fund Profile

[american century logo(reg. sm)]
AMERICAN
CENTURY

Long-Term Treasury Fund

This profile  summarizes key information  about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
   the fund, including a more detailed  description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

[three photos of bubble blowing woman and child,
business men, woman at computer]

                                                                  APRIL 25, 1999
                                                                  INVESTOR CLASS

 You may obtain the Prospectus and other  information  about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.


LONG-TERM TREASURY FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Long-Term  Treasury  seeks the highest  level of current  income exempt from
    state income tax.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy long-term U.S. Treasury  securities  guaranteed by the
    direct full faith and credit pledge of the U.S. government.

    The fund managers also may buy  intermediate-term  securities  issued by the
    U.S.  government,  its agencies and  instrumentalities.  The U.S. government
    provides  varying  levels  of  financial   support  to  these  agencies  and
    instrumentalities.  The fund  managers  may  invest up to 35% of the  fund's
    total assets in agency securities.

    The fund managers may purchase  securities in a number of different  ways to
    seek higher rates of return.  For example,  by using when-issued and forward
    commitment  transactions,  the fund  managers  may  purchase  securities  in
    advance to generate additional income.

    The weighted  average  maturity of the fund is expected to be between 20 and
    30 years.

    Additional  information about Long-Term Treasury's  investments is available
    in its annual  and  semiannual  reports.  In these  reports  you will find a
    discussion  of  the  market   conditions  and  investment   strategies  that
    significantly  affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * When  interest  rates  change,  the fund's  share value will be  affected.
    Generally,  when interest  rates rise,  the fund's share value will decline.
    The opposite is true when interest rates decline. This interest rate risk is
    higher for  Long-Term  Treasury  than for funds that have  shorter  weighted
    average maturities,  such as money market,  short-term and intermediate-term
    bond funds.

    * As with all funds, at any given time the value of your shares of Long-Term
    Treasury may be worth more or less than the price you paid. If you sell your
    shares when the value is less than the price you paid, you will lose money.

    * An investment in the fund is not a bank deposit,  and it is not insured or
    guaranteed by the Federal Deposit Insurance  Corporation (FDIC) or any other
    government agency.

    In  summary,  Long-Term  Treasury  is intended  for  investors  who seek the
    highest  level of current  income  exempt from state  income tax and who are
    willing to accept the risks associated with the fund's investment strategy.

    FUND PERFORMANCE

    The following bar chart shows the actual performance of Long-Term Treasury's
    Investor  Class shares for each calendar year since the fund's  inception on
    September 8, 1992.  The bar chart  indicates  the  volatility  of the fund's
    historical  returns  from year to year.  The bar  chart and the  performance
    information  below are not intended to indicate how the fund will perform in
    the future.

[bar chart]
    Calendar Year-By-Year Returns (1)
         1998         12.76%
         1997         14.76%
         1996         -1.36%
         1995         29.25%
         1994         -9.25%
         1993         17.64

         (1) As of March 31, 1999, the end of the most recent calendar  quarter,
             Long-Term Treasury's year-to-date return was -4.18%.


Long-Term Treasury                            American Century Investments


    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                              Highest                 Lowest
    ---------------------------------------------------------------------------
    Long-Term Treasury        10.48% (2Q 1995)        -7.00% (1Q 1996)

    The following  table shows the average annual return of the fund's  Investor
    Class   shares   for  the   periods   indicated.   The   Salomon   Long-Term
    Treasury/Agency  Index, an unmanaged index that reflects no operating costs,
    is  included  as  a  benchmark  for  performance  comparisons.  For  current
    performance information,  including yields, please call us or access our Web
    site.

                                   1 YEAR        5 YEARS      LIFE OF FUND(1)
    ---------------------------------------------------------------------------
     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED MARCH 31, 1999)
    ---------------------------------------------------------------------------
      Long-Term Treasury           6.33%         9.03%        8.30%
      Salomon Long-Term
        Treasury & Agency Index    6.92%         9.80%        9.27%(2)

        (1) The inception date for Long-Term Treasury is September 8, 1992.

        (2) Benchmark from September 30, 1992.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century fund

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.

    ---------------------------------------------------------------------------
     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
    ---------------------------------------------------------------------------
       Management Fee                                         0.51%(1)
       Distribution and Service (12b-1) Fees                  None
       Other Expenses(2)                                      0.01%
       Total Annual Fund Operating Expenses                   0.52%


       (1) Based on expenses  incurred during the fund's not recent fiscal year.
           The  fund  has a  stepped  fee  schedule.  As a  result,  the  fund's
           management fee rate generally decreases as fund assets increase.

       (2) Other   expenses   include  the  fees  and  expenses  of  the  fund's
           independent trustees, their legal counsel, interest and extraordinary
           expenses.

           EXAMPLE

             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above
             . . . your cost of investing in the fund would be:

          1 year            3 years          5 years            10 years
    ---------------------------------------------------------------------------
          $53               $167             $291               $653

             Of course, actual costs may be higher or lower. Use this example to
             compare the costs of investing in other funds.

5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment  Management,  Inc. provides  investment advisory
    and  management  services  for the  fund.  American  Century  uses  teams of
    portfolio  managers,  assistant  portfolio  managers  and  analysts  working
    together to manage its mutual  funds.  The  portfolio  manager who leads the
    team that manages Long-Term Treasury is identified as follows:

    DAVID  SCHROEDER,  Vice President and Senior Portfolio  Manager,  has been a
    member of the team that manages Long-Term  Treasury since September 1992. He
    joined  American  Century  in 1990.  He has a bachelor  of arts from  Pomona
    College.

6. HOW DO I BUY FUND SHARES?

    *  Complete and return the enclosed application

    *  Call us and exchange shares from another American Century fund

    *  Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional IRAs
    and Roth IRAs). If your redemption activity causes the value of your account
    to  fall  below  this   account   minimum,   your  shares  may  be  redeemed
    involuntarily.


Fund Profile                                             Long-Term Treasury


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any  business day by writing
    or calling us. You also may exchange  your shares in Long-Term  Treasury for
    shares  in  nearly  70 other  mutual  funds  offered  by  American  Century.
    Depending  on the  options  you  select  when you open  your  account,  some
    restrictions  may  apply.  For your  protection,  some  redemption  requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Long-Term  Treasury pays  distributions of  substantially  all of its income
    monthly. Distributions may be taxable as ordinary income, capital gains or a
    combination of the two. Capital gains are taxed at different rates depending
    on the  length  of time  the  fund  held  the  securities  that  were  sold.
    Distributions  are reinvested  automatically in additional shares unless you
    choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier  for you to manage
    your account, such as

    * telephone transactions 
    * wire and electronic funds transfers 
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information  about these choices in our Investor Services
    Guide,  which you may  request  by  calling  us,  accessing  our Web site or
    visiting one of our Investor Centers.

    Information   contained  in  our  Investor   Services   Guide   pertains  to
    shareholders  who invest directly with American  Century rather than through
    an employer-sponsored retirement plan or financial intermediary.

    If  you  own  or  are   considering   purchasing   fund  shares  through  an
    employer-sponsored  retirement plan or financial intermediary,  your ability
    to purchase  shares of the fund,  exchange them for shares of other American
    Century  funds,  and  redeem  them will  depend on the terms of your plan or
    financial  intermediary.  If  you  have  questions  about  investing  in  an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

- --------------------------------------------------------------------------------
[american century logo(reg. sm)]
AMERICAN
CENTURY

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353

Visit our Web site at WWW.AMERICANCENTURY.COM  [link to web site with arrow]

SH-PRF-16125   9904                                   Funds Distributor, Inc.
<PAGE>
[front cover]

AMERICAN CENTURY

Fund Profile

[american century logo(reg. sm)]
AMERICAN
CENTURY

Short-Term Government Fund

This profile  summarizes key information  about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
   the fund, including a more detailed  description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

[three photos of bubble blowing woman and child,
business men, woman at computer]

                                                                  APRIL 25, 1999
                                                                  INVESTOR CLASS

 You may obtain the Prospectus and other  information  about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.


SHORT-TERM GOVERNMENT FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Short-Term  Government seeks high current income while maintaining safety of
    principal.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund managers buy short-term  securities issued by the U.S.  government,
    its agencies and instrumentalities,  including  mortgage-backed  securities.
    The U.S.  government  provides varying levels of financial  support to these
    agencies and  instrumentalities.  The fund managers also may buy  short-term
    U.S.  Treasury  securities  guaranteed  by the direct  full faith and credit
    pledge of the U.S. government.

    The fund managers may purchase  securities in a number of different  ways to
    seek higher rates of return.  For example,  by using when-issued and forward
    commitment  transactions,  the fund  managers  may  purchase  securities  in
    advance to generate additional income.

    The weighted  average  maturity of the fund is expected to be three years or
    less.

    Additional   information  about  Short-Term   Government's   investments  is
    available in its annual and  semiannual  reports.  In these reports you will
    find a discussion of the market  conditions and investment  strategies  that
    significantly  affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * When  interest  rates  change,  the fund's  share value will be  affected.
    Generally,  when interest  rates rise,  the fund's share value will decline.
    The opposite is true when interest rates decline. This interest rate risk is
    higher for Short-Term  Government than for funds that have shorter  weighted
    average maturities, such as money market funds.

    *  Short-Term  Government  invests  in  mortgage-backed   securities.   When
    homeowners refinance their mortgages to take advantage of declining interest
    rates, their existing mortgages are prepaid.  The mortgages,  which back the
    securities  purchased  by  Short-Term  Government,  may be  prepaid  in this
    fashion.  Because of this "prepayment  risk," the fund may benefit less from
    declining interest rates than other short-term funds.

    * As with  all  funds,  at any  given  time  the  value  of your  shares  of
    Short-Term  Government may be worth more or less than the price you paid. If
    you sell your  shares  when the  value is less than the price you paid,  you
    will lose money.

    * An investment in the fund is not a bank deposit,  and it is not insured or
    guaranteed by the Federal Deposit Insurance  Corporation (FDIC) or any other
    government agency.

    In summary,  Short-Term  Government  is intended for investors who seek high
    current income that is consistent  with  investment in securities  issued by
    the U.S. government and its agencies and who are willing to accept the risks
    associated with the fund's investment strategy.

    FUND PERFORMANCE

    The  following  bar  chart  shows  the  actual   performance  of  Short-Term
    Government's  Investor Class shares for each of the last 10 calendar  years.
    The bar chart indicates the volatility of the fund's historical returns from
    year to year. The bar chart and the  performance  information  below are not
    intended to indicate how the fund will perform in the future.

[bar chart]
    Calendar Year-By-Year Returns (1)
         1998         6.04%
         1997         6.02%
         1996         4.11%
         1995        10.51%
         1994        -0.49%
         1993         4.17%
         1992         4.39%
         1991        11.64%
         1990         7.53%
         1989         9.99%

         (1) As of March 31, 1999, the end of the most recent calendar  quarter,
             Short-Term Government's year-to-date return was 0.49%.


Short-Term Government                         American Century Investments


    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                                Highest                 Lowest
    ---------------------------------------------------------------------------
    Short-Term Government       5.13% (2Q 1989)         -1.03% (1Q 1994)

    The following  table shows the average annual return of the fund's  Investor
    Class shares for the periods  indicated.  The Salomon  Brothers 1- to 3-Year
    Treasury/Agency  Index, an unmanaged index that reflects no operating costs,
    is  included  as  a  benchmark  for  performance  comparisons.  For  current
    performance information,  including yields, please call us or access our Web
    site.

                             1 YEAR    5 YEARS    10 YEARS    LIFE OF FUND(1)
    ---------------------------------------------------------------------------
     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED MARCH 31, 1999)
    ---------------------------------------------------------------------------
      Short-Term
        Government           5.39%     5.50%      6.28%       7.08%
      Salomon Brothers
        1- to 3-Year
        Treasury/Agency
        Index                6.10%     6.18%      7.27%       8.16%(2)

        (1) The inception date for Short-Term Government is December 15, 1982.

        (2) Benchmark from December 31, 1982.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century fund

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.

    ---------------------------------------------------------------------------
     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
    ---------------------------------------------------------------------------
       Management Fee                              0.59%(1)
       Distribution and Service (12b-1) Fees       None
       Other Expenses(1)                           0.00%
       Total Annual Fund Operating Expenses        0.59%

      (1) Based on expenses  incurred during the fund's most recent fiscal year.
          The  fund  has  a  stepped  fee  schedule.  As a  result,  the  fund's
          management fee rate generally decreases as fund assets increase.

      (2) Other  expenses,  which  include  the fees and  expenses of the fund's
          independent directors, their legal counsel, interest and extraordinary
          expenses, were less than 0.005% for the most recent fiscal year.

           EXAMPLE

             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above
             . . . your cost of investing in the fund would be:

            1 year            3 years          5 years            10 years
    ---------------------------------------------------------------------------
            $60               $189             $329               $738

             Of course, actual costs may be higher or lower. Use this example to
             compare the costs of investing in other funds.

5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment  Management,  Inc. provides  investment advisory
    and  management  services  for the  fund.  American  Century  uses  teams of
    portfolio  managers,  assistant  portfolio  managers  and  analysts  working
    together to manage its mutual  funds.  The  portfolio  manager who leads the
    team that manages Short-Term Government is identified as follows:

    NEWLIN RANKIN,  Senior Portfolio Manager, has been a member of the team that
    manages Short-Term Government since January 1995. He joined American Century
    in 1994.  He has a  bachelor's  degree  in  decision  science  and an MBA in
    international finance from the University of San Francisco.

6. HOW DO I BUY FUND SHARES?

    *  Complete and return the enclosed application

    *  Call us and exchange shares from another American Century fund

    *  Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional IRAs
    and Roth IRAs). If your redemption activity causes the value of your account
    to  fall  below  this   account   minimum,   your  shares  may  be  redeemed
    involuntarily.


Fund Profile                                          Short-Term Government


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any  business day by writing
    or calling us. You also may exchange  your shares in  Short-Term  Government
    for shares in nearly 70 other  mutual  funds  offered by  American  Century.
    Depending  on the  options  you  select  when you open  your  account,  some
    restrictions  may  apply.  For your  protection,  some  redemption  requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Short-Term  Government pays distributions of substantially all of its income
    monthly.  Distributions may be taxable as ordinary income, capital gains, or
    a  combination  of the two.  Capital  gains  are  taxed at  different  rates
    depending on the length of time the fund held the securities that were sold.
    Distributions  are reinvested  automatically in additional shares unless you
    choose another option.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier  for you to manage
    your account, such as

    * telephone transactions 
    * wire and electronic funds transfers 
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information  about these choices in our Investor Services
    Guide,  which you may  request  by  calling  us,  accessing  our Web site or
    visiting one of our Investor Centers.

    Information   contained  in  our  Investor   Services   Guide   pertains  to
    shareholders  who invest directly with American  Century rather than through
    an employer-sponsored retirement plan or financial intermediary.

    If  you  own  or  are   considering   purchasing   fund  shares  through  an
    employer-sponsored  retirement plan or financial intermediary,  your ability
    to purchase  shares of the fund,  exchange them for shares of other American
    Century  funds,  and  redeem  them will  depend on the terms of your plan or
    financial  intermediary.  If  you  have  questions  about  investing  in  an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

- --------------------------------------------------------------------------------
[american century logo(reg. sm)]
AMERICAN
CENTURY

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353

Visit our Web site at WWW.AMERICANCENTURY.COM  [link to web site with arrow]

SH-PRF-16126   9904                                   Funds Distributor, Inc.
<PAGE>
[front cover]

AMERICAN CENTURY

Fund Profile

[american century logo(reg. sm)]
AMERICAN
CENTURY

Inflation-Adjusted Treasury Fund

This profile  summarizes key information  about the fund that is included in the
  fund's Prospectus. The fund's Prospectus includes additional information about
    the fund, including a more detailed description of the risks associated with
         investing in the fund, that you may want to consider before you invest.

[three photos of bubble blowing woman and child,
business men, woman at computer]

                                                                  APRIL 25, 1999
                                                                  INVESTOR CLASS

 You may obtain the Prospectus and other  information  about the fund at no cost
  by calling us at 1-800-345-2021, accessing our Web site or visiting one of our
   Investor Centers. See the back cover for additional telephone numbers and our
                                                                        address.


INFLATION-ADJUSTED TREASURY FUND

1. WHAT IS THE FUND'S INVESTMENT OBJECTIVE?

    Inflation-Adjusted Treasury seeks total return consistent with investment in
    U.S. Treasury inflation-adjusted securities.

2. WHAT IS THE FUND'S INVESTMENT STRATEGY?

    The fund manager buys  inflation-indexed U.S. Treasury securities guaranteed
    primarily by the direct full faith and credit pledge of the U.S. government.
    These  inflation-indexed  securities  are  designed  to  protect  the future
    purchasing power of the money invested in them.

    The  fund  manager  also  may buy  U.S.  Treasury  securities  that  are not
    inflation-indexed.

    The fund manager may purchase  securities  in a number of different  ways to
    seek higher rates of return.  For example,  by using when-issued and forward
    commitment transactions, the fund manager may purchase securities in advance
    to generate additional income.

    Additional  information about  Inflation-Adjusted  Treasury's investments is
    available in its annual and  semiannual  reports.  In these reports you will
    find a discussion of the market  conditions and investment  strategies  that
    significantly  affected the fund's performance during the most recent fiscal
    period. You may get these reports at no cost by calling us.

3. WHAT ARE THE SIGNIFICANT RISKS OF INVESTING IN THE FUND?

    * Inflation-adjusted securities are sold based upon an assumption about real
    interest rates.  "Real" interest rates are the market rate of interest minus
    the anticipated  rate of inflation.  When interest rates change,  the fund's
    share value will be  affected.  Generally,  when  interest  rates rise,  the
    fund's share value will decline.  The opposite is true when  interest  rates
    decline.  This real  interest  rate risk is  higher  for  Inflation-Adjusted
    Treasury than for funds that do not invest in inflation-indexed securities.

    * As with  all  funds,  at any  given  time  the  value  of your  shares  of
    Inflation-Adjusted  Treasury  may be worth  more or less  than the price you
    paid.  If you sell  your  shares  when the  value is less than the price you
    paid, you will lose money.

    * An investment in the fund is not a bank deposit,  and it is not insured or
    guaranteed by the Federal Deposit Insurance  Corporation (FDIC) or any other
    government agency.

    In summary,  Inflation-Adjusted  Treasury is intended for investors who seek
    total  return  that  is  consistent   with   investment  in  U.S.   Treasury
    inflation-indexed  securities  and who  are  willing  to  accept  the  risks
    associated with the fund's investment strategy.

    FUND PERFORMANCE

    The following bar chart shows the actual  performance of  Inflation-Adjusted
    Treasury's  Investor  Class shares for each  calendar  year since the fund's
    inception on February 10, 1997.  The bar chart  indicates the  volatility of
    the  fund's  historical  returns  from  year to year.  The bar chart and the
    performance information below are not intended to indicate how the fund will
    perform in the future.

[bar chart]
    Calendar Year-By-Year Returns (1)
         1998         3.45%

         (1) As of March 31, 1999, the end of the most recent calendar  quarter,
             Inflation-Adjusted Treasury's year-to-date return was 0.31%

    The highest and lowest quarterly returns for the period reflected in the bar
    chart are:

                                  Highest               Lowest
    ---------------------------------------------------------------------------
    Inflation-Adjusted Treasury   2.27% (3Q 1998)       -0.37 (4Q 1998)

    The following  table shows the average annual return of the fund's  Investor
    Class shares for the periods indicated.  The Salomon Brothers Treasury Index
    and the Salomon Brothers U.S.  Inflation-Linked  Index are unmanaged indices
    that  reflect  no  operating  costs  and are  included  as a  benchmark  for
    performance  comparisons.  For current  performance  information,  including
    yields, please call us or access our Web site.


Inflation-Adjusted Treasury                   American Century Investments


                                          1 YEAR            LIFE OF FUND(1)
    ---------------------------------------------------------------------------
     AVERAGE ANNUAL TOTAL RETURNS (PERIOD ENDED MARCH 31, 1999)
    ---------------------------------------------------------------------------
     Inflation-Adjusted Treasury          3.37%             2.23%
     Salomon Brothers U.S.
       Inflation-Linked Index             4.10%             3.17%(2)
     Salomon Brothers Treasury Index      7.09%            11.74%(3)

        (1) The inception date for  Inflation-Adjusted  Treasury is February 10,
            1997.

        (2) Benchmark from February 28, 1997.

        (3) Benchmark from February 28, 1997.

4. WHAT ARE THE FUND'S FEES AND EXPENSES?

    There are no sales loads, fees or other charges

    * to buy fund shares directly from American Century

    * to reinvest dividends in additional shares

    * to exchange into the Investor Class shares of other American Century fund

    * to redeem your shares

    The following table describes the fees and expenses that you will pay if you
    buy and hold shares of the fund.

    ---------------------------------------------------------------------------
     ANNUAL FUND OPERATING EXPENSES
     (EXPENSES THAT ARE DEDUCTED FROM FUND ASSETS)
    ---------------------------------------------------------------------------
         Management Fee                                  0.51%(1)
         Distribution and Service (12b-1) Fees           None
         Other Expenses(2)                               0.13%
         Total Annual Fund Operating Expenses            0.64%

        (1) Based on expenses  incurred  during the fund's  most  recent  fiscal
            year. The fund has a stepped fee schedule.  As a result,  the fund's
            management fee rate generally decreases as fund assets increase.

        (2) Other  expenses   include  the  fees  and  expenses  of  the  fund's
            independent   trustees,   their   legal   counsel,    interest   and
            extraordinary expenses.

           EXAMPLE

             Assuming you . . .
             * invest $10,000 in the fund
             * redeem all of your shares at the end of the periods shown below
             * earn a 5% return each year
             * incur the same operating expenses as shown above
             . . . your cost of investing in the fund would be:

         1 year            3 years          5 years            10 years
    ---------------------------------------------------------------------------
         $65               $205             $357               $798

             Of course, actual costs may be higher or lower. Use this example to
             compare the costs of investing in other funds.

5. WHO ARE THE FUND'S INVESTMENT ADVISOR AND PORTFOLIO MANAGERS?

    American Century Investment  Management,  Inc. provides  investment advisory
    and  management  services  for the  fund.  American  Century  uses  teams of
    portfolio  managers,  assistant  portfolio  managers  and  analysts  working
    together to manage its mutual  funds.  The  portfolio  manager who leads the
    team that manages Inflation-Adjusted Treasury is identified as follows:

    DAVID  SCHROEDER,  Vice President and Senior Portfolio  Manager,  has been a
    member  of the team  that  manages  Inflation-Adjusted  Treasury  since  its
    inception in February  1997.  He joined  American  Century in 1990. He has a
    bachelor of arts from Pomona College.

6. HOW DO I BUY FUND SHARES?

    *  Complete and return the enclosed application

    *  Call us and exchange shares from another American Century fund

    *  Call us and send your investment by bank wire transfer

    Your initial investment must be at least $2,500 ($1,000 for traditional IRAs
    and Roth IRAs). If your redemption activity causes the value of your account
    to  fall  below  this   account   minimum,   your  shares  may  be  redeemed
    involuntarily.


Fund Profile                                    Inflation-Adjusted Treasury


7. HOW DO I SELL FUND SHARES?

    You may sell all or part of your fund shares on any  business day by writing
    or  calling  us. You also may  exchange  your  shares in  Inflation-Adjusted
    Treasury  for shares in nearly 70 other  mutual  funds  offered by  American
    Century.  Depending  on the options  you select when you open your  account,
    some restrictions may apply. For your protection,  some redemption  requests
    require a signature guarantee.

8. HOW ARE FUND DISTRIBUTIONS MADE AND TAXED?

    Inflation-Adjusted  Treasury pays  distributions of substantially all of its
    income, including "imputed income," monthly. Distributions may be taxable as
    ordinary  income,  capital gains or a combination of the two.  Capital gains
    are taxed at different  rates  depending on the length of time the fund held
    the securities that were sold. Distributions are reinvested automatically in
    additional shares unless you choose another option.

    Distributions will generally be exempt from most state income taxes. Consult
    your tax advisor to see if the fund's income is exempt in your state.

9. WHAT SERVICES ARE AVAILABLE?

    American Century offers several ways to make it easier  for you to manage
    your account, such as

    * telephone transactions 
    * wire and electronic funds transfers 
    * 24-hour Automated Information Line transactions
    * 24-hour online Internet account access and transactions

    You will find more information  about these choices in our Investor Services
    Guide,  which you may  request  by  calling  us,  accessing  our Web site or
    visiting one of our Investor Centers.

    Information   contained  in  our  Investor   Services   Guide   pertains  to
    shareholders  who invest directly with American  Century rather than through
    an employer-sponsored retirement plan or financial intermediary.

    If  you  own  or  are   considering   purchasing   fund  shares  through  an
    employer-sponsored  retirement plan or financial intermediary,  your ability
    to purchase  shares of the fund,  exchange them for shares of other American
    Century  funds  and  redeem  them  will  depend on the terms of your plan or
    financial  intermediary.  If  you  have  questions  about  investing  in  an
    employer-sponsored retirement plan or through a financial intermediary, call
    a Service Representative at 1-800-345-3533.

- --------------------------------------------------------------------------------
[american century logo(reg. sm)]
AMERICAN
CENTURY

AMERICAN CENTURY INVESTMENTS
P.O. BOX 419200
KANSAS CITY, MISSOURI 64141-6200

INVESTOR RELATIONS
1-800-345-2021 or 816-531-5575

AUTOMATED INFORMATION LINE
1-800-345-8765

FAX
816-340-7962

TELECOMMUNICATIONS DEVICE FOR THE DEAF
1-800-634-4113 or 816-444-3485

BUSINESS, NOT-FOR-PROFIT AND
EMPLOYER-SPONSORED RETIREMENT PLANS
1-800-345-353

Visit our Web site at WWW.AMERICANCENTURY.COM  [link to web site with arrow]

SH-PRF-16127   9904                                   Funds Distributor, Inc.


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