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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-fourth consecutive quarterly Tender Offer
commencing on September 15, 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 95,753,390 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 Time on October 13, 2000, the expiration date of the Tender Offer,
unless extended. The Tender Offer and the withdrawal rights expire at 12:00
Midnight Eastern Time on October 13, 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 September 15, 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 October 13, 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 October 13,
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 09/15/00 10/13/00
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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.
