OPPENHEIMER FLORIDA TAX-EXEMPT FUND
Supplement dated January 20, 1994
to the Prospectus dated October 1, 1993
1. The Supplement dated October 1, 1993 to the Prospectus is no longer
in effect.
2. The Prospectus is amended as follows:
A. The section entitled "Fund Expenses" on pages 3-4 of the
Prospectus is amended as follows:
The introductory paragraph of this section and the table showing
"Annual Fund Operating Expenses" and the two paragraphs following that
table are replaced by the following:
The following table sets forth the fees that an investor in the Fund
might pay and the expenses expected to be paid by the Fund during its
fiscal year ending December 31, 1994.
Annual Fund Operating Expenses
(as a percentage of average net assets)
Class A Class B
Shares Shares
Management Fees (after expense assumption) 0% 0%
12b-1 (Distribution and/or Service
Plan) Fees. . . . . . . . . . . . . . . .10% .85%
Other Expenses (estimated). . . . . . . . 0% 0%
Total Fund Operating Expenses (after ------- -------
expense assumption) (estimated) .10% .85%
The purpose of the foregoing table is to assist an investor in
understanding the various costs and expenses that an investor in the Fund
will bear directly (shareholder transaction expenses) or indirectly
(annual fund operating expenses). The sales charge rate shown for Class
A shares is the current maximum rate applicable to purchases of Class A
shares of the Fund. Investors in Class A shares may be entitled to
reduced sales charges based on the amount purchased or the value of
shares already owned and may be subject to a contingent deferred sales
charge in limited circumstances (see "How to Buy Shares - Class A
Contingent Deferred Sales Charge"). Because the Fund is new, and this
Prospectus does not include financial statements showing actual Fund
expenses, the "Annual Fund Operating Expenses" in the table are based on
estimates of amounts payable by the Fund in its current fiscal year.
Those amounts reflect a modification, effective as of October 1, 1993, in
the voluntary expense assumption by the Fund's investment adviser,
Oppenheimer Management Corporation (the "Manager"). Without such expense
assumption by the Manager, the estimated management fees for Class A
shares and Class B shares would each be 0.60% of average net assets, the
estimated 12b-1 fees for Class A shares and Class B shares would be 0.15%
and 0.90%, respectively, of average annual net assets, and the estimated
"Total Fund Operating Expenses" for Class A shares and Class B shares
would be 1.35% and 2.10%, respectively. The expense assumption is
described in "Investment Management Services" in the Additional Statement
and may be modified or withdrawn by the Manager at any time. The "Other
Expenses" in the table previously were based on estimates of amounts
payable during the Fund's then-current fiscal year ending December 31,
1993, with the expense assumption undertaking as originally described in
the Prospectus. "Other Expenses" includes estimates of such expenses as
custodial and transfer agent fees, and audit, legal and other business
operating expenses, but excludes estimates of extraordinary expenses. For
further details, see "Dual Class Methodology" in the Additional Statement.
The following example applies the above-stated estimated expenses and
the current maximum sales charge to a hypothetical $1,000 investment in
shares of the Fund over the time periods shown below, assuming a 5% annual
rate of return on the investment. The amounts shown below are the
cumulative costs of such hypothetical $1,000 investment for the periods
shown and, except as indicated in lines 3 and 4, assume that the shares
are redeemed at the end of each stated period.
1 year 3 years
1. Class A shares $48 $51
2. Class B shares $59 $57
3. Class A shares, assuming
no redemption $48 $51
4. Class B shares, assuming
no redemption $9 $27
B. The first sentence of the first paragraph of the section entitled "The
Fund and Its Investment Policies" is replaced with the following:
The Fund was organized on June 10, 1993 and is one of two
investment portfolios or "series" of Oppenheimer Multi-State
Tax-Exempt Trust (formerly, "Oppenheimer Pennsylvania Tax-
Exempt Fund") (the "Trust"), an open-end, non-diversified
management investment company organized in 1989 as a
Massachusetts business trust.
C. The last two sentences of the first paragraph set forth under
"Dividends and Distributions" in the section entitled "Performance,
Dividend and Tax Information" are replaced with the following:
During the Fund's fiscal year ended December 31, 1993, the
Manager had undertaken to assume the Fund's expenses to the
extent required to enable the Fund to pay dividends on each
Class A share at a targeted level of $.636 per fiscal year. As
a result of this undertaking, the Fund's net asset value was
higher during that period than it otherwise would have been.
See "Investment Management Services" in the Additional
Statement for further information. There can be no assurance
as to the payment of any dividends or the realization of any
capital gains and the practice of maintaining a targeted
dividend level and the amount thereof may be changed by the
Board at any time without prior notice to shareholders.
January 20, 1994 PS795
<PAGE>
OPPENHEIMER FLORIDA TAX-EXEMPT FUND
Supplement dated January 20, 1994
to the Statement of Additional Information dated October 1, 1993
The Statement of Additional Information is amended as follows:
1. The subsection "Major Shareholders" of "Trustees and Officers" in the
Statement of Additional Information is replaced with the following:
Major Shareholders. As of the close of business on January 18,
1994, no person owned of record or was known by the Trust or
the Fund to own beneficially 5% or more of its respective
outstanding shares except, with respect to the Fund, Michael
Leeds, 20220 Boca West Drive, Boca Raton, Florida 33434, who
owned of record 34,214.152 Class A shares of the Fund (5.46% of
the Class A shares outstanding as of the close of business on
January 18, 1994).
2. The third paragraph of "Investment Management Services" in the
Statement of Additional Information is replaced with the following:
The Agreement contains no provision whereby the Fund's
expenses are limited by an assumption of those expenses by the
Manager. However, the Prospectus originally stated that,
independently of the Agreement, the Manager had voluntarily
agreed to assume any expenses of the Fund in a fiscal year that
exceed .70% of the Fund's average annual net assets in that
year. Effective as of October 1, 1993, the Manager modified
that undertaking and voluntarily agreed to assume the expenses
of the Fund to the extent required to enable the Fund to pay
dividends per Class A share at the rate of $.636 per fiscal
year. The payment of the management fee will be reduced
monthly to the extent necessary so that there will not be any
accrued but unpaid liability under this expense assumption
undertaking. The Manager reserves the right to modify or
terminate this voluntary expense assumption undertaking at any
time. Any assumption of the Fund's expenses under this
undertaking would lower the Fund's overall expense ratio and
increase its total return during any period in which expenses
are assumed.
January 20, 1994 795SUPP
