LIBERTY-STEIN ROE FUNDS INCOME TRUST
LIBERTY-STEIN ROE FUNDS INVESTMENT TRUST
LIBERTY-STEIN ROE FUNDS MUNICIPAL TRUST
LIBERTY-STEIN ROE FUNDS TRUST
LIBERTY FLOATING RATE FUND
Plan pursuant to Rule 18f-3(d) under the
Investment Company Act of 1940
Effective August 3, 1999
Each Series (each a "Stein Roe Fund") of Liberty-Stein Roe Funds Income Trust,
Liberty-Stein Roe Funds Investment Trust, Liberty-Stein Roe Funds Trust and
Liberty-Stein Roe Funds Municipal Trust, (each a "Trust") as set forth in
Schedule I and Liberty Floating Rate Fund ("Floating Rate Fund") may from time
to time issue one or more of the following classes of shares as authorized by
the Board of Trustees and as provided for herein: Class A shares, Class B
shares, Class C shares and Class Z shares. Each class is subject to such
investment minimums and other conditions of eligibility as set forth in the
Stein Roe Funds or Floating Rate Fund's prospectus and statement of additional
information as from time to time in effect. The differences in expenses among
these classes of shares and the conversion and exchange features of each class
of shares, are set forth below. These differences are subject to change, to the
extent permitted by law and by the Declaration of Trust and By-laws of the
Trusts and the Floating Rate Fund, by action of the Board of Trustees.
CLASS A SHARES
Class A shares of the Stein Roe Funds and Floating Rate Fund are offered at net
asset value ("NAV") plus the initial sales charges described in the Stein Roe
Funds and Floating Rate Fund's prospectus and statement of additional
information as from time to time in effect. Initial sales charges may not exceed
6.50%, and may be reduced or waived as permitted by Rule 22d-1 under the
Investment Company Act of 1940 ( the "1940 Act") and as described in the Stein
Roe Funds and Floating Rate Fund's prospectus and statement of additional
information from time to time in effect. Purchases of $1 million to $5 million
of Class A shares that are redeemed within 18 months from purchase are subject
to a contingent deferred sales charge ("CDSC") of 0.50% of either the purchase
price or the NAV of the shares redeemed, whichever is less. Purchases in excess
of $5 million of Class A shares that are redeemed within 18 months from purchase
are subject to a CDSC of 0.50% only on assets redeemed below the $5 million
level. The CDSC may be reduced or waived as permitted by Rule 6c-10 under the
1940 Act and as described in the Stein Roe Funds and Floating Rate Fund's
prospectus and statement of additional information as from time to time in
effect.
Class A shares pay distribution and service fees pursuant to a plan adopted
pursuant to Rule 12b-1 under the 1940 Act ("12b-1 Plan") as described in the
Stein Roe Funds and Floating Rate Fund's prospectus and statement of additional
information in effect from time to time. Such fees may be in amounts up to but
may not exceed, respectively, 0.10% and 0.25% per annum of the average daily net
assets attributable to such class. Class A shares pay service fees equaling a
portion of the transfer agency fee attributable to that class as described in
the Floating Rate Fund's prospectus and statement of additional information in
effect from time to time. Total transfer agency fees, including such service
component, may not exceed 0.30% of average annual net assets attributable to the
class.
Class A shares of the Stein Roe Funds and Floating Rate Fund may be exchanged,
at the holder's option, for Class A shares of most other funds ("Liberty Funds")
distributed by Liberty Funds Distributor, Inc. ("LFD") or its successor without
the payment of a sales charge, except that if shares of any Stein Roe Fund,
Floating Rate Fund, Advisor Fund or non-money market Liberty Fund are exchanged
within five months after purchase for shares of another Stein Roe Fund, Floating
Rate Fund, Advisor Fund or Liberty Fund with a higher sales charge, then the
difference in sales charges must be paid on the exchange.
In addition, Class A shares of Stein Roe Funds or Floating Rate Fund may be
exchanged, at the holder's option, for Class A shares of any other Liberty Fund
offering Class A shares, without the payment of a CDSC. The holding period for
determining the CDSC will include the holding period of the shares exchanged. If
the Class A shares received in the exchange are subsequently redeemed, the
amount of the CDSC, if any, will be determined by the schedule of the Liberty
Fund in which the original investment was made.
CLASS B SHARES
Class B shares are offered at NAV, without an initial sales charge. Class B
shares that are redeemed within the period of time after purchase (not more than
8 years) specified in each Stein Roe Funds or Floating Rate Fund's prospectus
and statement of additional information as from time to time in effect are
subject to a CDSC of up to 3% of either the purchase price or the NAV of the
shares redeemed, whichever is less; such percentage may be lower for certain
Funds and declines the longer the shares are held, all as described in the Stein
Roe Funds or Floating Rate Fund's prospectus and statement of additional
information as from time to time in effect. Class B shares purchased with
reinvested distributions are not subject to a CDSC. The CDSC is subject to
reduction or waiver in certain circumstances, as permitted by Rule 6c-10 under
the 1940 Act and as described in the Stein Roe Funds or Floating Rate Fund's
prospectus and statement of additional information as from time to time in
effect.
Class B shares pay distribution and service fees pursuant to a 12b-1 Plan as
described in Stein Roe Funds or Floating Rate Fund's prospectus and statement of
additional information in effect from time to time. Such fees may be in amounts
up to but may not exceed, respectively, 0.75% and 0.25% per annum of the average
daily net assets attributable to such class.
Class B shares pay service fees equaling a portion of the transfer agency fee
attributable to that class as described in the Stein Roe Funds or Floating Rate
Fund's prospectus and statement of additional information in effect from time to
time. Total transfer agency fees, including such service component, may not
exceed 0.30% of average annual net assets attributable to the class.
Class B shares automatically convert to Class A shares of the same Stein Roe
Fund or Floating Rate Fund eight years after purchase, except that Class B
shares purchased through the reinvestment of dividends and other distributions
on Class B shares convert to Class A shares proportionally to the amount of
Class B shares otherwise being converted.
Class B shares of Stein Roe Funds and Floating Rate Fund may be exchanged, at
the holder's option, for Class B shares of any other Liberty Fund offering Class
B shares, without the payment of a CDSC. The holding period for determining the
CDSC and the conversion to Class A shares will include the holding period of the
shares exchanged. If the Class B shares received in the exchange are
subsequently redeemed, the amount of the CDSC, if any, will be determined by the
schedule of the Liberty Fund in which the original investment was made.
CLASS C SHARES
Class C shares are offered at NAV without an initial sales charge. Class C
shares that are redeemed within up to three years from purchase may be subject
to a CDSC of 1% of either the purchase price or the NAV of the shares redeemed,
whichever is less. Class C shares purchased with reinvested dividends are not
subject to a CDSC. The CDSC may be reduced or waived in certain circumstances as
permitted by Rule 6c-10 under the 1940 Act and as described in the Stein Roe
Funds or Floating Rate Fund's prospectus and statement of additional information
as from time to time in effect.
Class C shares pay distribution and service fees pursuant to a 12b-1 Plan as
described in the Stein Roe Funds or Floating Rate Fund's prospectus and
statement of additional information in effect from time to time. Such fees may
be in amounts up to but may not exceed, respectively, 0.75% and 0.25% per annum
of the average daily net assets attributable to such class.
Class C shares pay service fees equaling a portion of the transfer agency fee
attributable to that class as described in the Stein Roe Funds or Floating Rate
Fund's prospectus and statement of additional information in effect from time to
time. Total transfer agency fees, including such service component, may not
exceed 0.30% of average annual net assets attributable to the class.
Class C shares of Stein Roe Funds or Floating Rate Fund may be exchanged, at the
holder's option, for Class C shares of any other Liberty Fund offering Class C
shares, without the payment of a CDSC. The holding period for determining the
CDSC will include the holding period of the shares exchanged. If the Class C
shares received in the exchange are subsequently redeemed, the amount of the
CDSC, if any, will be determined by the schedule of the Liberty Fund in which
the original investment was made. Only one exchange of any Liberty Fund, Class C
shares may be made in any three month period. For this purpose, an exchange into
a Liberty Fund and a prior or subsequent exchange out of a Liberty Fund
constitutes an "exchange."
CLASS S SHARES
Class S shares are offered at NAV, without an initial sales charge, 12b-1 fee or
CDSC. Class S shares of Stein Roe Funds may be exchanged for any other Stein Roe
Class S shares or for shares of any Stein Roe no-load fund.
Class S shares pay service fees equaling a portion of the transfer agency fee
attributable to that class as described in the Stein Roe Funds or Floating Rate
Fund's prospectus and statement of additional information in effect from time to
time. Total transfer agency fees may not exceed 0.30% of average annual net
assets attributable to the class.
CLASS Z SHARES
Class Z shares are offered at NAV, without an initial sales charge, 12b-1 fee or
CDSC. Class Z shares of a Liberty Fund may be exchanged for the Class A or Class
Z shares of another Fund unless such exchange is limited by a Fund's prospectus.
Class Z shares pay service fees equaling a portion of the transfer agency fee
attributable to that class as described in the Stein Roe Funds or Floating Rate
Fund's prospectus and statement of additional information in effect from time to
time. Total transfer agency fees may not exceed 0.30% of average annual net
assets attributable to the class.
Schedule I
Liberty-Stein Roe Funds Investment Trust Stein Roe International Fund Stein Roe
Growth & Income Fund Stein Roe Balanced Fund Stein Roe Growth Stock Fund
Stein Roe Disciplined Stock Fund Stein Roe Young Investor Fund Stein Roe
Growth Investor Fund Stein Roe Capital Opportunities Fund Stein Roe Midcap
Growth Fund Stein Roe Small Company Growth Fund Stein Roe Asia Pacific Fund
Stein Roe Large Company Focus Fund Stein Roe Global Thematic Equity Fund
Stein Roe European Thematic Equity Fund
Liberty-Stein Roe Funds Income Trust
Stein Roe Income Fund
Stein Roe Intermediate Bond Fund
Stein Roe High Yield Fund
Stein Roe Cash Reserves Fund
Liberty-Stein Roe Municipal Trust
Stein Roe Intermediate Municipals Fund
Stein Roe Managed Municipals Fund
Stein Roe High-Yield Municipals Fund
Stein Roe Municipal Money Market Fund
Liberty-Stein Roe Funds Trust
Stein Roe Institutional Client High Yield Fund
January 2, 2001