LEGG MASON INCOME TRUST, INC.:
Legg Mason U.S. Government Intermediate-Term Portfolio
Legg Mason Investment Grade Income Portfolio
Legg Mason High Yield Portfolio
Legg Mason U.S. Government Money Market Portfolio
Primary Shares
Supplement to the Prospectus dated May 1, 1997
Prior to August 22, 1997, the High Yield Portfolio was permitted to
invest up to 25% of its total assets in private placements, securities traded
pursuant to Rule 144A under the Securities Act of 1933, and securities which,
though not registered at the time of their initial sale, were issued with
registration rights. At its August 8, 1997 meeting, the Corporation's Board
of Directors voted to remove Rule 144A securities from this 25% limitation.
Accordingly, the fourth paragraph on page 9 of the Prospectus is amended to
read as follows:
The Fund may invest up to 25% of its total assets in private placements
and securities which, though not registered at the time of their initial sale,
are issued with registration rights. The Fund may also invest in securities
traded pursuant to Rule 144A under the Securities Act of 1933. Rule 144A
permits large institutions to trade certain securities even though they are
not registered under that Act. Some of these securities may be deemed by the
Adviser to be liquid. The Fund will not invest more than 5% of its total
assets in any one issuer, except for issues of the U.S. Government, its
agencies and instrumentalities or repurchase agreements collateralized by such
securities; however, up to 25% of the Fund's total assets may be invested in
securities issued by Canadian provinces or by Crown Corporations whose
obligations are guaranteed by either the Canadian federal government or a
provincial government. No more than 25% of the Fund's total assets may be
invested in issuers having their principal business activity in the same
industry.
August 22, 1997
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NAVIGATOR TAXABLE INCOME FUNDS
Navigator U.S. Government Intermediate-Term Portfolio
Navigator Investment Grade Income Portfolio
Navigator High Yield Portfolio
Supplement to the Prospectus dated May 1, 1997
Prior to August 22, 1997, the High Yield Portfolio was permitted to
invest up to 25% of its total assets in private placements, securities traded
pursuant to Rule 144A under the Securities Act of 1933, and securities which,
though not registered at the time of their initial sale, were issued with
registration rights. At its August 8, 1997 meeting, the Corporation's Board
of Directors voted to remove Rule 144A securities from this 25% limitation.
Accordingly, the third paragraph on page 8 of the Prospectus is amended to
read as follows:
The Fund may invest up to 25% of its total assets in private placements
and securities which, though not registered at the time of their initial sale,
are issued with registration rights. The Fund may also invest in securities
traded pursuant to Rule 144A under the Securities Act of 1933. Rule 144A
permits large institutions to trade certain securities even though they are
not registered under that Act. Some of these securities may be deemed by the
Adviser to be liquid. The Fund will not invest more than 5% of its total
assets in any one issuer, except for issues of the U.S. Government, its
agencies and instrumentalities or repurchase agreements collateralized by such
securities; however, up to 25% of the Fund's total assets may be invested in
securities issued by Canadian provinces or by Crown Corporations whose
obligations are guaranteed by either the Canadian federal government or a
provincial government. No more than 25% of the Fund's total assets may be
invested in issuers having their principal business activity in the same
industry.
August 22, 1997
