Rule 497(e)
Reg. No. 33-12
File No. 811-4401
PRINCIPAL PRESERVATION PORTFOLIOS, INC.
SELECT VALUE PORTFOLIO
SUPPLEMENT DATED FEBRUARY 28, 2000 TO PROSPECTUS DATED MAY 1, 1999
CHANGE IN PORTFOLIO MANAGER
Skyline Asset Management, L.P. has notified Principal Preservation that it
is resigning from its position as sub-advisor to the Select Value Portfolio.
Following consultation among management of Principal Preservation, B.C. Ziegler
and Company (the advisor to the Select Value Portfolio) and Skyline, the parties
determined that the resignation should take effect following the close of
business on February 29, 2000. Beginning on March 1, 2000, B.C. Ziegler will
assume responsibility for the portfolio management of the Select Value Portfolio
under the terms of the existing investment advisory agreement between it and
Principal Preservation.
Mr. Leon Dodge will manage the assets of the Select Value Portfolio. Mr.
Dodge, a Chartered Financial Analyst, is a Vice President and Portfolio Manager
at Ziegler Asset Management and a Portfolio Manager for B.C. Ziegler. Prior to
joining Ziegler Asset Management, Mr. Dodge served as a Senior Research Analyst
for GS2 Securities, Inc., a position he held since 1993. Mr. Dodge, who earned
an MBA degree in finance from the University of Wisconsin - Whitewater, has also
served in various portfolio manager capacities for both M&I Investment
Management and First Wisconsin Bank (n/k/a Firstar Bank).
This change in portfolio manager will not affect the investment objective
of the Select Value Portfolio, and Mr. Dodge anticipates using an investment
strategy and program consistent with the strategy and program used by Skyline,
as disclosed in the current Prospectus. The advisory fee presently paid by the
Select Value Portfolio also will remain the same.
