Nations Fund Trust
Nations Fund, Inc.
Supplement dated February 12, 1997
to Prospectuses dated July 31, 1996
The prospectuses for the Primary A, Primary B, Investor A, Investor B,
Investor C, Investor N and Daily Shares for all Funds of Nations Fund Trust and
Nations Fund, Inc. (collectively, the "Funds") are hereby supplemented
by:
1. Adding the following paragraph regarding The Bank of New York as
the Funds' sub-custodian under the heading "How The Funds Are
Managed":
The Bank of New York ("BONY") has entered into an
agreement with each of the Funds and NationsBank of Texas, N.A.,
whereby BONY will serve as sub-custodian ("Sub-Custodian") for
the assets of each Fund except Nations International Equity Fund,
for which BONY is already serving as Custodian.
2. Adding the following paragraphs regarding fees to be received by
NationsBank of Texas, N.A. and The Bank of New York for serving
as the Funds' custodian and sub-custodian, respectively, under
the heading "How The Funds Are Managed":
In return for providing custodial services to all Funds
with the exception of the aforementioned Fund, NationsBank of
Texas is entitled to receive, in addition to out of pocket
expenses, fees at the rate of (i) $300,000 per annum, to be paid
monthly in payments of $25,000 for custodian services for up to
and including 50 Funds; and (ii) $6,000 per annum, to be paid in
equal monthly payments, for custodian services for each additional
Fund above 50 Funds.
BONY is located at 90 Washington Street, New York, New
York 10286. In return for providing sub-custodial services, BONY
shall receive, in addition to out of pocket expenses, fees at the
rate of (i) 3/4 of one basis point per annum on the aggregate net
assets of all Nations' Non-Money Market Funds up to $10 billion;
and (ii) 1/2 of one basis point on the excess.