Supplement dated November 30, 1997 to the Prospectus, as supplemented to date,of
COMPOSITE BOND & STOCK FUND, INC.,
COMPOSITE GROWTH & INCOME FUND,
and
COMPOSITE NORTHWEST FUND, INC.
(dated February 28, 1997)
The Prospectus referred to above is amended and supplemented as follows:
On September 23, 1997, each Fund's Board of Directors approved an amendment
to each Fund's fundamental investment restrictions to permit each Fund to invest
in restricted securities if the securities are eligible for resale pursuant to
Rule 144A under the Securities Act of 1933, as amended.
Each Fund's Board also approved an amended Investment Management Agreement
for each Fund with Composite Research & Management Co. which would eliminate the
obligation to reimburse Composite Northwest Fund, Inc. for certain expenses in
excess of specified amounts.
Each Fund's Board also approved an amendment of the Class A Distribution
Plan of each Fund to change that Plan from a "reimbursement" type plan to a
"compensation" type plan. Under the new Plan, the Distributor would be paid a
fixed fee rather than a variable fee based on the distribution expenses. In
either case the fee is limited to 0.25% of the Fund's average daily net assets
attributable to Class A shares.
All of the foregoing matters are subject to shareholder approval. Special
shareholder meetings have been called for December 23, 1997. If approved by
shareholders, the foregoing changes to the Investment Management Agreements,
Class A Distribution Plans, and fundamental investment restrictions would become
effective at the end of December 1997, or shortly thereafter.
For further information about the foregoing or to request the Proxy
Statement of the Composite Funds for the special shareholder meetings, please
call 1-800-453-8072.
PLEASE RETAIN THIS SUPPLEMENT FOR FUTURE REFERENCE
Composite Bond & Stock Fund, Inc.
Composite Growth & Income Fund
Composite Northwest Fund, Inc.
601 West Main Avenue, Suite 300
Spokane, Washington 99201-0613
