FEDERATED EQUITY INCOME FUND, INC.
(formerly, Liberty Equity Income Fund, Inc.)
Class A Shares
Class B Shares
Class C Shares
Class F Shares
(formerly, Fortress Shares)
SUPPLEMENT TO PROSPECTUSES DATED MAY 31, 1996.
On page 26 of the Class A Shares, Class B Shares, and Class C Shares
prospectus, page 19 of the Class A Shares prospectus, and page 18 of the
Class F Shares prospectus, respectively, please delete the biography of
Christopher H. Wiles in its entirety and replace with the following:
`Linda A. Duessel has been the Fund's portfolio manager since
February 1997. Ms. Duessel joined Federated Investors in 1991 and has
been a Vice President of the Fund's investment adviser since 1995.
Ms. Duessel was an Assistant Vice President of the Fund's investment
adviser from 1991 until 1995. Ms. Duessel is a Chartered Financial
Analyst and received her M.S. in Industrial Administration from
Carnegie Mellon University.''
March 7, 1997
FEDERATED INVESTORS
Federated Investors Tower
Pittsburgh, PA 15222-3779
Federated Securities Corp. is the distributor of the Fund
and is a subsidiary of Federated Investors.
Cusip 313915100
Cusip 313915209
Cusip 313915308
Cusip 313915407
CMR702066
G01528-04 (2-97)
