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THE PARKSTONE GROUP OF FUNDS
Growth Funds Income Funds
Parkstone Equity Fund Parkstone Bond Funds
Parkstone Small Capitalization Fund Parkstone Intermediate Government
Parkstone International Discovery Fund Obligations Fund
Parkstone U.S. Government Income Fund
Growth and Income Funds
Parkstone Balanced Fund Tax-Free Income Funds
Parkstone High Income Equity Fund Parkstone Municipal Bond Fund
Parkstone Michigan Municipal Bond Fund
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Supplement dated May 3, 1996
to Prospectuses dated October 13, 1995
1. Investors are advised that the address for Gulfstream Global Investors,
Ltd., The Sub-Investment Adviser of the Parkstone International Discovery Fund
and the Parkstone Balanced Fund, has changed. Gulfstream's new address is 100
Crescent Court, Suite 550, Dallas, Texas 75201.
2. Investor A Shares
The first paragraph of the section of the Investment A Shares Prospectus
entitled "REDUCED SALES CHARGES-Sales Charge Waivers," on page 58, has been
revised to read as follows:
The Distributor may waive sales charges for the purchase of Investor A
Shares of a Fund by or on behalf of (1) employees and retired employees
(including spouses, children and parents of employees and retired employees) of
First of America Bank Corporation, BISYS and any affiliates thereof, (2)
Trustees of the Group, (3) directors and retired directors (including spouses
and children of directors and retired directors) of First of America Bank
Corporation and any affiliate thereof, (4) employees (and their spouses and
children under the age of 21) of any broker-dealer with which the Distributor
enters into an agreement to sell shares of the Funds, (5) orders placed on
behalf of other investment companies distributed by the Distributor and (6)
qualified orders placed by broker-dealers, investment advisors or financial
planners who place trades for their own accounts or the accounts of their
clients and who charge a management, consulting or other fee for their
services; and clients of such broker-dealers, investment advisers or financial
planners who place trades for their own accounts if the accounts are linked to
the master account of such broker-dealer, investment adviser or financial
planner on the books and records of the broker or agent. Investors may be
charged a fee if they effect transactions in Investor A Shares through a
broker or agent. In addition, the Distributor may waive sales charges for the
purchase of a Fund's Investor A Shares with the proceeds from the recent
redemption of shares of a non-money market mutual fund (including the Investor
A Shares of the other non-money market Funds of the Group, but excluding the
Investor B and Investor C Shares of such Funds). The purchase must be made
within 60 days of the redemption, and the Distributor must be notified in
writing by the investor, or by his financial institution, at the time the
purchase is made. A copy of the investor's account statement showing such
redemption must accompany such notice.
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3. Investor C Shares
Investors are advised that, currently, Investor C Shares of the Funds
are available for purchase only by: (i) employee benefit plans qualified under
Section 401 of the Internal Revenue Code, subject to certain requirements with
respect to the number of employees or amount of purchase which may be
established by the Distributor, and (ii) retail investors that purchase
Investor C Shares through a broker or dealer that has entered into a sales
agreement with the Funds' Distributor. Consequently, the Investor C Shares
Prospectus is hereby amended to add the following sentence to the end of the
first paragraph on Page 1 and at the beginning of the first full paragraph under
the heading "HOW TO BUY INVESTOR C SHARES," on Page 54:
Investor C Shares are currently offered only to: (i) employee plans
qualified under Section 401 of the Internal Revenue Code, subject to the
requirements established by the Distributor, and (ii) retail investors
that purchase Investor C Shares through a broker or dealer that has
entered into a sales agreement with the Distributor.
On Page 56 of the Investor C Shares Prospectus, in the first sentence
under the heading "SALES CHARGES," the references to "4.00%" and "four years"
are changed to "1.00%" and "one year," respectively. In addition, the following
is added as the second sentence under the heading "SALES CHARGES":
For an indefinite period of time, which may be discontinued upon notice
by the Distributor in a supplement to this Prospectus, Investor C Shares
are available for investment without the imposition of a contingent
deferred sales charge upon redemption.
INVESTORS SHOULD RETAIN THIS SUPPLEMENT
WITH THEIR PROSPECTUS FOR FUTURE REFERENCE
