<PAGE>
VALUE LINE NEW YORK TAX EXEMPT TRUST
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SUPPLEMENT DATED JUNE 15, 2000,
TO PROSPECTUS DATED JULY 1, 1999
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At a shareholder's meeting held on June 15, 2000, the
shareholders approved the adoption of a Service and
Distribution Plan, effective July 1, 2000, under rule
12b-1 of the Investment Company Act of 1940 (the "Plan").
Under the Plan, the Trust is charged a fee at the annual
rate of 0.25% of the Trust's average daily net assets with
the proceeds used to finance the activities of Value Line
Securities, Inc., the Trust's distributor. The Plan
provides that the distributor may make payments to
securities dealers, banks, financial institutions and
other organizations which provide distribution and
administrative services with respect to the distribution
of the Trust's shares. Such services may include, among
other things, answering investor inquiries regarding the
Trust; processing new shareholder account applications and
redemption transactions; responding to shareholder
inquiries; and such other services as the Trust may
request to the extent permitted by applicable statute,
rule or regulation. The Plan also provides that the
Adviser may make such payments out of its advisory fee,
its past profits or any other source available to it. The
fees payable to the distributor under the Plan are payable
without regard to actual expenses incurred.
<PAGE>
FEE TABLE
This table describes the fees and expenses that you pay in
connection with an investment in the Trust and replaces
the information on page 4 of the Prospectus.
ANNUAL TRUST OPERATING EXPENSES (EXPENSES THAT ARE
DEDUCTED FROM THE TRUST'S ASSETS)
<TABLE>
<CAPTION>
<S> <C>
---------------------------------------------------------------
MANAGEMENT FEES 0.60%
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DISTRIBUTION AND SERVICE (12b-1) FEES* 0.25%
---------------------------------------------------------------
OTHER EXPENSES 0.45%
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TOTAL ANNUAL FUND OPERATING EXPENSES 1.30%
---------------------------------------------------------------
</TABLE>
<TABLE>
<C> <S>
* Effective July 1, 2000. Because these fees are paid out of
the Trust's assets on an ongoing basis, over time these fees
will increase the cost of your investment and may cost you
more than if you paid other types of sales charges.
</TABLE>
EXAMPLE
This example is intended to help you compare the cost of
investing in the Trust to the cost of investing in other
mutual funds. We show the cumulative amount of Trust
expenses on a hypothetical investment of $10,000 with an
annual 5% return over the time shown assuming that the
Trust's operating expenses remain the same. The expenses
indicated for each period would be the same whether you
sold your shares at the end of each period or continued to
hold them. This is an example only, and your actual costs
may be greater or less than those shown here. Based on
these assumptions, your cost would be:
<TABLE>
<CAPTION>
1 YEAR 3 YEARS 5 YEARS 10 YEARS
<S> <C> <C> <C> <C>
-----------------------------------------------------------------------------
VALUE LINE NEW YORK TAX
EXEMPT TRUST $132 $412 $713 $1,568
-----------------------------------------------------------------------------
</TABLE>
<PAGE>
VALUE LINE NEW YORK TAX EXEMPT TRUST
--------------------------------------------------------------------------------
SUPPLEMENT DATED JUNE 15, 2000,
TO STATEMENT OF ADDITIONAL INFORMATION
DATED JULY 1, 1999
------------------------------------------------------------------------
At a shareholder's meeting held on June 15, 2000, the
shareholders elected the following additional trustees:
<TABLE>
<S> <C>
Frances T. Newton Computer Programming
4921 Buckingham Drive Professional, Duke Power Company
Charlotte, NC 28209
Age 58
Francis C. Oakley Professor of History, Williams
54 Scott Hill Road College, 1961 to present,
Williamstown, MA 01267 President, 1985-1993, and
Age 68 President Emeritus since 1994;
Director, Berkshire Life
Insurance Company
Marion N. Ruth Real Estate Executive.
5 Outrider Road President, Ruth Realty (real
Rolling Hills, CA 90274 estate broker)
Age 65
</TABLE>
