FEDERATED SHORT-TERM U.S. GOVERNMENT TRUST
SUPPLEMENT TO PROSPECTUS DATED FEBRUARY 28, 1998
At a meeting to be held on March 22, 1999, shareholders of the Trust will
be asked to vote on the changes described below. If approved by shareholders,
these changes will take effect as of April 1, 1999, except Proposal 5, which
will occur on or after April, 23, 1999. Shareholders will be notified if any of
these changes are not approved.
Please keep this supplement for your records.
Shareholders will be asked to consider proposals:
(1) To elect seven Trustees.
(2) To ratify the selection of the Trust's independent auditors.
(3) To make non-fundamental the Trust's fundamental investment policy regarding
acquiring voting securities.
(4) To approve an amendment and restatement to the Trust's Declaration of Trust
to require the approval of a "1940 Act" majority of shareholders in the
event of the sale and conveyance of the assets of the Trust to another
trust or corporation.
(5) To approve a proposed Agreement and Plan of Reorganization between the
Trust and Money Market Obligations Trust, on behalf of its series,
Federated Short-Term U.S. Government Trust (the "New Fund"), whereby the
New Fund would acquire all of the assets of the Trust in exchange for
shares of the New Fund to be distributed PRO RATA by the Trust to its
shareholders in complete liquidation and termination of the Trust.
January 21, 1999
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Federated Investors
Federated Securities Corp., Distributor
Federated Investors, Inc.
Federated Investors Tower
1001 Liberty Avenue
Pittsburgh, PA 15222-3779
www.federatedinvestors.com
Cusip 313905101
G02546-02 (1/99)
