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AMERICAN AADVANTAGE FUNDS
Institutional Class
Supplement dated April 8, 1996
to the Prospectus dated March 1, 1996
1) At a meeting of shareholders of the Balanced Fund, the Growth and
Income Fund and the International Equity Fund, Brandywine Asset
Management, Inc. ("Brandywine"), and Boatmen's Trust Company ("Boatmen's")
were approved as advisers to the Balanced Fund and the Growth and Income
Fund and Rowe Price-Fleming International, Inc. ("Fleming") was approved
as an adviser to the International Equity Fund. AMR Investment Services,
Inc. (the "Manager") does not currently intend to allocate assets to
Boatmen's or Fleming. Effective April 1, 1996, the Manager will allocate
the assets of the Balanced Fund and the Growth and Income Fund managed by
Capital Guardian Trust Company to Brandywine and the other advisers to
those Funds.
2) The fee schedule for Brandywine on page 32 has been revised as
follows:
AMR Investment Services, Inc. (the "Manager") pays
Brandywine for the first $500 million of assets under its
discretionary management, an annualized fee equal to
.225% of assets in the Balanced Portfolio and .25% of
assets in the Growth and Income Portfolio; .225% of the
next $100 million on all assets and .20% on all excess
assets.
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AMERICAN AADVANTAGE FUNDS
PlanAhead Class
Supplement dated April 8, 1996
to the Prospectus dated March 1, 1996
1) At a meeting of shareholders of the Balanced Fund, the Growth and
Income Fund and the International Equity Fund, Brandywine Asset
Management, Inc. ("Brandywine"), and Boatmen's Trust Company ("Boatmen's")
were approved as advisers to the Balanced Fund and the Growth and Income
Fund and Rowe Price-Fleming International, Inc. ("Fleming") was approved
as an adviser to the International Equity Fund. AMR Investment Services,
Inc. (the "Manager") does not currently intend to allocate assets to
Boatmen's or Fleming. Effective April 1, 1996, the Manager will allocate
the assets of the Balanced Fund and the Growth and Income Fund managed by
Capital Guardian Trust Company to Brandywine and the other advisers to
those Funds.
2) The fee schedule for Brandywine on page 33 has been revised as
follows:
AMR Investment Services, Inc. (the "Manager") pays
Brandywine for the first $500 million of assets under its
discretionary management, an annualized fee equal to
.225% of assets in the Balanced Portfolio and .25% of
assets in the Growth and Income Portfolio; .225% of the
next $100 million on all assets and .20% on all excess
assets.
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AMERICAN AADVANTAGE FUNDS
AMR Class
Supplement dated April 8, 1996
to the Prospectus dated March 1, 1996
1) At a meeting of shareholders of the Balanced Fund, the Growth and
Income Fund and International Equity Fund, Brandywine Asset Management,
Inc., ("Brandywine") and Boatmen's Trust Company ("Boatmen's") were
approved as advisers to the Balanced Fund and the Growth and Income Fund
and Rowe Price-Fleming International, Inc. ("Fleming") was approved as an
adviser to the International Equity Fund. AMR Investment Services, Inc.
(the "Manager") does not currently intend to allocate assets to Boatmen's
or Fleming. Effective April 1, 1996, the Manager will allocate the assets
of the Balanced Fund and the Growth and Income Fund managed by Capital
Guardian Trust Company to Brandywine and the other advisers to those
Funds.
2) The fee schedule for Brandywine on page 26 has been revised as
follows:
AMR Investment Services, Inc. (the "Manager") pays
Brandywine for the first $500 million of assets under its
discretionary management, an annualized fee equal to
.225% of assets in the Balanced Portfolio and .25% of
assets in the Growth and Income Portfolio; .225% of the
next $100 million on all assets and .20% on all excess
assets.
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