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EXHIBIT (A)(3)(IV)
ANNOUNCING . . .
VAN KAMPEN PRIME RATE INCOME TRUST
COMMENCEMENT OF TENDER OFFER
It is the policy of the Board of Trustees of the Van Kampen Prime Rate
Income Trust to consider on a quarterly basis whether to make a Tender Offer for
common shares of the Trust. We are pleased to announce that the Board has
authorized the Trust's forty-third consecutive quarterly Tender Offer commencing
on June 16, 2000, for the purpose of providing liquidity to its shareholders.
The commencement of the Tender Offer is announced in today's Wall Street
Journal. Shareholders of the Trust may elect to have the cash proceeds from the
Tender Offer invested in Class B Shares of eligible open-end investment
companies advised by either Van Kampen Investment Advisory Corp. or Van Kampen
Asset Management Inc. and distributed by Van Kampen Funds Inc., subject to
certain limitations. Please note that the Class B Shares acquired pursuant to
this election are subject to a contingent deferred sales charge schedule equal
to the Early Withdrawal Charge schedule of the Trust.
The Trust is offering to purchase up to 100,569,693 of its common shares at
a price equal to the net asset value per common share of the Trust as of 5:00
P.M., Eastern Standard Time on July 14, 2000, the expiration date of the Tender
Offer, unless extended. The Tender Offer and the withdrawal rights expire at
12:00 Midnight Eastern Standard Time on July 14, 2000, unless the Tender Offer
is extended. An "Early Withdrawal Charge" will be imposed on most common shares
accepted for payment that have been held for less than five years.
Terms and conditions of the tender offer are contained in the Trust's Offer
to Purchase dated June 16, 2000, and the related Letter of Transmittal. Copies
are available upon request by calling Van Kampen's Investor Services Department
at (800) 421-5666.
Shareholders may tender by completing and returning the Letter of
Transmittal by July 14, 2000. Alternatively, Selling Firms may tender account
positions with a wire order redemption via NSCC Fund/SERV or by calling Van
Kampen's Brokerage Operations Support Services at (800) 421-3863, on July 14,
2000 (trade date of the Tender Offer).
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FUND NAME NUMBER SYMBOL CUSIP TENDER START TENDER END
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<S> <C> <C> <C> <C> <C>
VK Prime Rate Income Trust 59 VKPRX 920914108 06/16/00 07/14/00
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PLEASE DIRECT YOUR QUESTIONS TO THE FOLLOWING AREAS:
MAIN OFFICE OPERATIONS: BROKERAGE OPERATIONS SUPPORT SERVICES (BOSS) AT (800)
421-3863.
REGISTERED REPRESENTATIVES: INVESTOR SERVICES DEPARTMENT AT (800) 421-5666.
This material is prepared for internal or broker/dealer use only. It may
not be reproduced or shown to members of the public or used in written form as
sales literature. Such use would be in violation of the NASD code of conduct.
This material is subject to change, please consult the prospectus.
