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stroke
GOVERNMENT OBLIGATIONS FUND
(A PORTFOLIO OF MONEY MARKET OBLIGATIONS TRUST)
Supplement to Prospectus dated September 30, 1993
Effective July 5, 1994, Government Obligations Fund, a portfolio
of Money Market Obligations Trust, added a new class of shares
called "Institutional Service Shares." Accordingly, the
existing shares of Government Obligations Fund are designated as
"Institutional Shares." All references in this prospectus to
Government Obligations Fund are to the Institutional Shares
class of the portfolio. In this regard, please make the
following changes to the prospectus:
1.On page 1, please delete the section entitled "Summary of Fund Expenses" and
replace with the following:
"Summary of Fund Expenses
Institutional Shares
Shareholder Transaction Expenses
Maximum Sales Load Imposed on Purchases (as a percentage of
offering price) None
Maximum Sales Load Imposed on Reinvested Dividends
(as a percentage of offering price) None
Contingent Deferred Sales Charge (as a percentage of original
purchase
price or redemption proceeds, as applicable) None
Redemption Fee (as a percentage of amount redeemed, if
applicable) None
Exchange Fee None
Annual Institutional Shares Operating Expenses
(As a percentage of average net assets)
Management Fee (after waiver) (1) 0.09%
12b-1 Fee None
Other Expenses 0.11%
Total Institutional Shares Operating Expenses (2) 0.20%
(1)The management fee has been reduced to reflect the voluntary waiver of a
portion of the management fee. The adviser can terminate this voluntary
waiver at any time at its sole discretion. The maximum manageme
nt fee is 0.20%.
(2)The Total Institutional Shares Operating Expenses are estimated to be 0.31%
absent the anticipated voluntary waiver of a portion of the management
fee.
The purpose of this table is to assist an investor in
understanding the various costs and expenses that a shareholder
of Institutional Shares of the Fund will bear, either directly
or indirectly. For more complete descriptions of the various
costs and expenses, see "Money Market Obligations Trust
Information." Wire-transferred redemptions of less than $5,000
may be subject to additional fees.
EXAMPLE 1 year3 years5 years10 years
You would pay the following expenses on
a $1,000 investment assuming (1) 5% annual
return and (2) redemption at the end of each
time period. As noted in the table above, the Fund
charges no redemption fees.
.................................... $2 $6 $11 $26
The above example should not be considered a representation of
past or future expenses. Actual expenses may be greater or less
than those shown.
The information set forth in the foregoing table and example
relates only to Institutional Shares of the Fund. The Fund also
offers another class of shares call Institutional Service
Shares. Institutional Shares and Institutional Service Shares
are subject to certain of the same expenses; however,
Institutional Service Shares are subject to a 12b-1 fee. See
"Other Classes of Shares."
2.On page 3, please make the following changes to the section entitled "General
Information" and replace with the following:
(a) Delete the first three (3) paragraphs and first
sentence of the fourth paragraph and replace with
the following:
"The Trust was established as a Massachusetts
business trust under a Declaration of Trust
dated October 3, 1988. The Declaration of Trust
permits the Trust to offer separate series of
shares of beneficial interest representing
interests in separate portfolios of securities.
The shares in any one portfolio may be offered in
separate classes. With respect to this Fund, as
of the date of this prospectus, the Trustees have
established two classes of shares known as
Institutional Service Shares and Institutional
Shares. This prospectus relates only to
Institutional Shares ("Shares") of the Fund,
which are designed primarily for financial
institutions as a convenient means of
accumulating an interest in a professionally
managed, diversified portfolio investing in short-
term money market securities. A minimum initial
investment of $25,000 is required."
(b) Delete the second sentence of the fourth
paragraph and replace with the following:
"Eligibility for investment in the Fund is
contingent upon an investor accumulating and
maintaining a minimum aggregate investment of
$200,000,000 in Federated funds within a twelve-
month period."
3.On page 7, please make the following changes to the section entitled
"Administration of the Fund" and replace with the following:
(a) Delete the section entitled "Administrative
Services." and replace with the following:
"Administrative Services. Federated
Administrative Services, a subsidiary of
Federated Investors, provides administrative
personnel and services (including certain legal
and financial reporting services) necessary to
operate the Fund. Federated Administrative
Services provides these at an annual rate which
relates to the average aggregate daily net assets
of all funds advised by subsidiaries of Federated
Investors ("Federated Funds") as specified below:
Maximum Average Aggregate Daily Net Assets
Administrative Fee of the Federated Funds
0.15 of 1% on the first $250 million
0.125 of 1% on the next $250 million
0.10 of 1% on the next $250 million
0.075 of 1% on assets in excess of $750 million
The administrative fee received during any fiscal
year shall be at least $125,000 per portfolio and
$30,000 per each additional class of shares.
Federated Administrative Services may choose
voluntarily to waive a portion of its fee."
(b) Revise the section entitled "Custodian, Transfer
Agent, and Dividend Disbursing Agent." by dividing
it into two (2) separate sections as follows:
"Custodian. State Street Bank and Trust Company,
Boston, Massachusetts is custodian for the
securities and cash of the Fund.
Transfer Agent and Dividend Disbursing Agent.
Federated Services Company, Boston,
Massachusetts is transfer agent for the shares
of, and dividend disbursing agent for the Fund."
4.On page 7, following the section entitled "Independent Public Accountants.",
please add the following:
"Expenses of the Fund and Institutional Shares
Holders of Shares pay their allocable portion of Fund
and Trust expenses.
The Trust expenses for which holders of Shares pay
their allocable portion include, but are not limited
to: the cost of organizing the Trust and continuing
its existence; registering the Trust with federal and
state securities authorities; Trustees' fees;
auditors' fees; the cost of meetings of Trustees;
legal fees of the Trust; association membership dues;
and such non-recurring and extraordinary items as may
arise.
The Fund expenses for which holders of Shares pay
their allocable portion include, but are not limited
to: registering the Fund and Shares of the Fund;
investment advisory services; taxes and commissions;
custodian fees; insurance premiums; auditors' fees;
and such non-recurring and extraordinary items as may
arise.
At present, no expenses are allocated to Institutional
Shares as a class. However, the Board of Trustees
reserves the right to allocate certain other expenses
to holders of Shares as it deems appropriate "Class
Expenses." In any case, Class Expenses would be
limited to: transfer agent fees as identified by the
transfer agent as attributable to holders of Shares;
printing and postage expenses related to preparing and
distributing materials such as shareholder reports,
prospectuses and proxies to current shareholders;
registration fees paid to the Securities and Exchange
Commission and registration fees paid to state
securities commissions; expenses related to
administrative personnel and services as required to
support holders of Shares; legal fees relating solely
to Shares; and Trustees' fees incurred as a result of
issues relating solely to Shares."
5.On page 7, please delete the fourth sentence of the section entitled "By
Wire." and replace with the following:
"Federal funds should be wired as follows: State
Street Bank and Trust Company, Boston, Massachusetts;
Attention: EDGEWIRE; For Credit to: Government
Obligations Fund - Institutional Shares: Fund Number
(this number can be found on the account statement or
by contacting the Fund); Group Number or Order Number;
Nominee or Institution Name; and ABA Number
011000028."
6.On page 8, please delete the first sentence of the section entitled "By Mail."
and replace with the following:
"To purchase by mail, send a check made payable to
Government Obligations Fund - Institutional Shares to:
Government Obligations Fund, P.O. Box 8602, Boston,
Massachusetts 02266-8602."
7.On page 8, please delete the second sentence of the section entitled "Minimum
Investment Required" and replace with the following:
"Eligibility for investment in the Fund is contingent
upon an investor accumulating and maintaining a
minimum aggregate investment of $200,000,000 in
Federated funds within a twelve-month period."
8.On page 9, please delete the second paragraph of the section entitled
"Telephone Redemption" and replace with the following:
"A daily dividend will be paid on shares redeemed if the
redemption request is received after 3:00 p.m. (Boston
time). However, the proceeds are not wired until the
following business day. Redemption requests received
before 3:00 p.m. (Boston time) will be wired the same day
but will not be entitled to that day's dividends."
9.On page 9, please change the section entitled "Written Requests" to "By
Mail", delete the first paragraph and replace with the following:
"Shares may be redeemed by sending a written request
to: Government Obligations Fund, P.O. Box 8602,
Boston, Massachusetts 02266-8602. The written request
should state: Government Obligations Fund -
Institutional Shares; shareholder's name; the account
number; and the share or dollar amount requested.
Sign the request exactly as the shares are registered.
Shareholders should call the Fund for assistance in
redeeming by mail."
10.On page 12, following the section entitled "Pennsylvania Corporate and
Personal Property Taxes", please add the following:
"Other Classes of Shares
Institutional Service Shares are sold at net asset
value to accounts for which financial institutions act
in an agency or fiduciary capacity. Investments in
Institutional Service Shares are subject to a minimum
initial investment of $25,000. Institutional Service
Shares are sold pursuant to a 12b-1 Plan.
Financial institutions providing distribution or
administrative services may receive different
compensation depending upon which class of shares of
the Fund is sold. The amount of dividends payable to
shareholders of Institutional Shares will exceed that
payable to the shareholders of Institutional Service
Shares by the difference between class expenses and
any 12b-1 Plan expenses borne by Institutional Service
Shares. The stated advisory fee is the same for both
classes of shares."
11.On page 12, please add the following as the fourth paragraph of the section
entitled "Performance Information":
"Performance figures will be calculated separately for
each class of shares. Because each class of shares is
subject to different expenses, the performance of
Institutional Shares will exceed the yield and
effective yield of Institutional Service Shares for
the same period."
July 12 , 1994
FEDERATED SECURITIES CORP.
Distributor
60934N104
G00428-02 (7/94)
PRIME OBLIGATIONS FUND
(A PORTFOLIO OF MONEY MARKET OBLIGATIONS TRUST)
Supplement to Prospectus dated September 30, 1993
Effective July 5, 1994, Prime Obligations Fund, a portfolio of
Money Market Obligations Trust, added a new class of shares
called "Institutional Service Shares." Accordingly, the
existing shares of Prime Obligations Fund are designated as
"Institutional Shares." All references in this prospectus to
Prime Obligations Fund are to the Institutional Shares class of
the portfolio. In this regard, please make the following
changes to the prospectus:
1.On page 1, please delete the section entitled "Summary of Fund Expenses" and
replace with the following:
"Summary of Fund Expenses
Institutional Shares
Shareholder Transaction Expenses
Maximum Sales Load Imposed on Purchases (as a percentage of
offering price) None
Maximum Sales Load Imposed on Reinvested Dividends
(as a percentage of offering price) None
Contingent Deferred Sales Charge (as a percentage of original
purchase
price or redemption proceeds, as applicable) None
Redemption Fee (as a percentage of amount redeemed, if
applicable) None
Exchange Fee None
Annual Institutional Shares Operating Expenses
(As a percentage of average net assets)
Management Fee (after waiver) (1) 0.11%
12b-1 Fee None
Other Expenses 0.09
Total Institutional Shares Operating Expenses (2) 0.20%
(1)The management fee has been reduced to reflect the voluntary waiver of a
portion of the management fee. The adviser can terminate this voluntary
waiver at any time at its sole discretion. The maximum manageme
nt fee is 0.20%.
(2)The Total Institutional Shares Operating Expenses would have been 0.29%
absent the anticipated voluntary waiver of a portion of the management fee.
The purpose of this table is to assist an investor in
understanding the various costs and expenses that a shareholder
of Institutional Shares of the Fund will bear, either directly
or indirectly. For more complete descriptions of the various
costs and expenses, see "Money Market Obligations Trust
Information." Wire-transferred redemptions of less than $5,000
may be subject to additional fees.
EXAMPLE 1 year 3 years 5 years 10 years
You would pay the following expenses on
a $1,000 investment assuming (1) 5% annual
return and (2) redemption at the end of each
time period. As noted in the table above, the Fund
charges no redemption fees.
.................................... $2 $6 $11 $26
The above example should not be considered a representation of
past or future expenses. Actual expenses may be greater or less
than those shown.
The information set forth in the foregoing table and example
relates only to Institutional Shares of the Fund. The Fund also
offers another class of shares call Institutional Service
Shares. Institutional Shares and Institutional Service Shares
are subject to certain of the same expenses; however,
Institutional Service Shares are subject to a 12b-1 fee. See
"Other Classes of Shares."
2.On page 3, please make the following changes to the section entitled "General
Information" and replace with the following:
(a) Delete the first three (3) paragraphs and the
first sentence of the fourth paragraph and replace
with the following:
"The Trust was established as a Massachusetts
business trust under a Declaration of Trust
dated October 3, 1988. The Declaration of Trust
permits the Trust to offer separate series of
shares of beneficial interest representing
interests in separate portfolios of securities.
The shares in any one portfolio may be offered in
separate classes. With respect to this Fund, as
of the date of this prospectus, the Trustees have
established two classes of shares known as
Institutional Service Shares and Institutional
Shares. This prospectus relates only to
Institutional Shares ("Shares") of the Fund,
which are designed primarily for financial
institutions as a convenient means of
accumulating an interest in a professionally
managed, diversified portfolio investing in short-
term money market securities. A minimum initial
investment of $25,000 is required."
(b) Delete the second sentence of the fourth
paragraph and replace with the following:
"Eligibility for investment in the Fund is
contingent upon an investor accumulating and
maintaining a minimum aggregate investment of
$200,000,000 in Federated funds within a twelve-
month period."
3.On page 9, please make the following changes to the section entitled
"Administration of the Fund" and replace with the following:
(a) Delete the section entitled "Administrative
Services." and replace with the following:
Administrative Services. Federated
Administrative Services, a subsidiary of
Federated Investors, provides administrative
personnel and services (including certain legal
and financial reporting services) necessary to
operate the Fund. Federated Administrative
Services provides these at an annual rate which
relates to the average aggregate daily net assets
of all funds advised by subsidiaries of Federated
Investors ("Federated Funds") as specified below:
Maximum Average Aggregate Daily Net Assets
Administrative Fee of the Federated Funds
0.15 of 1% on the first $250 million
0.125 of 1% on the next $250 million
0.10 of 1% on the next $250 million
0.075 of 1% on assets in excess of $750 million
The administrative fee received during any fiscal
year shall be at least $125,000 per portfolio and
$30,000 per each additional class of shares.
Federated Administrative Services may choose
voluntarily to waive a portion of its fee."
(b) Revise the section entitled "Custodian, Transfer
Agent, and Dividend Disbursing Agent." by dividing
it into two (2) separate sections as follows:
(b) Revise the section entitled "Custodian,
Transfer Agent, and Dividend Disbursing Agent."
by dividing it into two (2) separate sections as
follows:
"Custodian. State Street Bank and Trust Company,
Boston, Massachusetts is custodian for the
securities and cash of the Fund.
Transfer Agent and Dividend Disbursing Agent.
Federated Services Company, Boston,
Massachusetts is transfer agent for the shares
of, and dividend disbursing agent for the Fund."
4.On page 9, following the section entitled "Independent Public Accountants.",
please add the following:
"Expenses of the Fund and Institutional Shares
Holders of Shares pay their allocable portion of Fund
and Trust expenses.
The Trust expenses for which holders of Shares pay
their allocable portion include, but are not limited
to: the cost of organizing the Trust and continuing
its existence; registering the Trust with federal and
state securities authorities; Trustees' fees;
auditors' fees; the cost of meetings of Trustees;
legal fees of the Trust; association membership dues;
and such non-recurring and extraordinary items as may
arise.
The Fund expenses for which holders of Shares pay
their allocable portion include, but are not limited
to: registering the Fund and Shares of the Fund;
investment advisory services; taxes and commissions;
custodian fees; insurance premiums; auditors' fees;
and such non-recurring and extraordinary items as may
arise.
At present, no expenses are allocated to Institutional
Shares as a class. However, the Board of Trustees
reserves the right to allocate certain other expenses
to holders of Shares as it deems appropriate "Class
Expenses." In any case, Class Expenses would be
limited to: transfer agent fees as identified by the
transfer agent as attributable to holders of Shares;
printing and postage expenses related to preparing and
distributing materials such as shareholder reports,
prospectuses and proxies to current shareholders;
registration fees paid to the Securities and Exchange
Commission and registration fees paid to state
securities commissions; expenses related to
administrative personnel and services as required to
support holders of Shares; legal fees relating solely
to Shares; and Trustees' fees incurred as a result of
issues relating solely to Shares."
5.On page 9, please delete the fourth sentence of the section entitled "By
Wire." and replace with the following:
"Federal funds should be wired as follows: State
Street Bank and Trust Company, Boston, Massachusetts;
Attention: EDGEWIRE; For Credit to: Prime
Obligations Fund - Institutional Shares: Fund Number
(this number can be found on the account statement or
by contacting the Fund); Group Number or Order Number;
Nominee or Institution Name; and ABA Number
011000028."
6.On page 10, please delete the first sentence of the section entitled "By
Mail." and replace with the following:
"To purchase by mail, send a check made payable to
Prime Obligations Fund - Institutional Shares to:
Prime Obligations Fund, P.O. Box 8602, Boston,
Massachusetts 02266-8602."
7.On page 10, please delete the second sentence of the section entitled
"Minimum Investment Required" and replace with the following:
"Eligibility for investment in the Fund is contingent
upon an investor accumulating and maintaining a
minimum aggregate investment of $200,000,000 in
Federated funds within a twelve-month period."
8.On page 11, please delete the second paragraph of the section entitled
"Telephone Redemption" and replace with the following:
"A daily dividend will be paid on shares redeemed if the
redemption request is received after 3:00 p.m. (Boston
time). However, the proceeds are not wired until the
following business day. Redemption requests received
before 3:00 p.m. (Boston time) will be wired the same day
but will not be entitled to that day's dividends."
9.On page 12, please change the section entitled "Written Requests" to "By
Mail", delete the first paragraph and replace with the following:
"Shares may be redeemed by sending a written request
to: Prime Obligations Fund, P.O. Box 8602, Boston,
Massachusetts 02266-8602. The written request should
state: Prime Obligations Fund - Institutional Shares;
shareholder's name; the account number; and the share
or dollar amount requested. Sign the request exactly
as the shares are registered. Shareholders should
call the Fund for assistance in redeeming by mail."
10.On page 14, following the section entitled "Pennsylvania Corporate and
Personal Property Taxes", please add the following:
"Other Classes of Shares
Institutional Service Shares are sold at net asset
value to accounts for which financial institutions act
in an agency or fiduciary capacity. Investments in
Institutional Service Shares are subject to a minimum
initial investment of $25,000. Institutional Service
Shares are sold pursuant to a 12b-1 Plan.
Financial institutions providing distribution or
administrative services may receive different
compensation depending upon which class of shares of
the Fund is sold. The amount of dividends payable to
shareholders of Institutional Shares will exceed that
payable to the shareholders of Institutional Service
Shares by the difference between class expenses and
any 12b-1 Plan expenses borne by Institutional Service
Shares. The stated advisory fee is the same for both
classes of shares."
11.On page 14, please add the following as the fourth paragraph of the
section entitled "Performance Information":
"Performance figures will be calculated separately for
each class of shares. Because each class of shares is
subject to different expenses, the performance of
Institutional Shares will exceed the yield and
effective yield of Institutional Service Shares for
the same period."
July 12 , 1994
FEDERATED SECURITIES CORP.
Distributor
60934N203
G00428-01 (7/94)
TAX-FREE OBLIGATIONS FUND
(A PORTFOLIO OF MONEY MARKET OBLIGATIONS TRUST)
Supplement to Prospectus dated September 30, 1993
Effective July 5, 1994, Tax-Free Obligations Fund, a portfolio
of Money Market Obligations Trust, added a new class of shares
called "Institutional Service Shares." Accordingly, the
existing shares of Tax-Free Obligations Fund are designated as
"Institutional Shares." All references in this prospectus to
Tax-Free Obligations Fund are to the Institutional Shares class
of the portfolio. In this regard, please make the following
changes to the prospectus:
1.On page 1, please delete the section entitled "Summary of Fund Expenses"
and replace with the following:
"Summary of Fund Expenses
Institutional Shares
Shareholder Transaction Expenses
Maximum Sales Load Imposed on Purchases (as a percentage of
offering price) None
Maximum Sales Load Imposed on Reinvested Dividends
(as a percentage of offering price) None
Contingent Deferred Sales Charge (as a percentage of original
purchase
price or redemption proceeds, as applicable) None
Redemption Fee (as a percentage of amount redeemed, if
applicable) None
Exchange Fee None
Annual Institutional Shares Operating Expenses
(As a percentage of average net assets)
Management Fee (after waiver) (1) 0.06%
12b-1 Fee None
Other Expenses 0.14%
Total Institutional Shares Operating Expenses (2) 0.20%
(1)The management fee has been reduced to reflect the voluntary waiver of
a portion of the management fee. The adviser can terminate this voluntary
waiver at any time at its sole discretion. The maximum manageme
nt fee is 0.20%.
(2)The Total Institutional Shares Operating Expenses would have been 0.34%
absent the anticipated voluntary waiver of a portion of the management fee.
The purpose of this table is to assist an investor in
understanding the various costs and expenses that a shareholder
of Institutional Shares of the Fund will bear, either directly
or indirectly. For more complete descriptions of the various
costs and expenses, see "Money Market Obligations Trust
Information." Wire-transferred redemptions of less than $5,000
may be subject to additional fees.
EXAMPLE 1 year 3 years 5 years 10 years
You would pay the following expenses on
a $1,000 investment assuming (1) 5% annual
return and (2) redemption at the end of each
time period. As noted in the table above, the Fund
charges no redemption fees.
.................................... $2 $6 $11 $26
The above example should not be considered a representation of
past or future expenses. Actual expenses may be greater or less
than those shown.
The information set forth in the foregoing table and example
relates only to Institutional Shares of the Fund. The Fund also
offers another class of shares call Institutional Service
Shares. Institutional Shares and Institutional Service Shares
are subject to certain of the same expenses; however,
Institutional Service Shares are subject to a 12b-1 fee. See
"Other Classes of Shares."
2.On page 3, please make the following changes to the section entitled
"General Information" and replace with the following:
(a) Delete the first three (3) paragraphs and first
sentence of the fourth paragraph and replace with
the following:
"The Trust was established as a Massachusetts
business trust under a Declaration of Trust
dated October 3, 1988. The Declaration of Trust
permits the Trust to offer separate series of
shares of beneficial interest representing
interests in separate portfolios of securities.
The shares in any one portfolio may be offered in
separate classes. With respect to this Fund, as
of the date of this prospectus, the Trustees have
established two classes of shares known as
Institutional Service Shares and Institutional
Shares. This prospectus relates only to
Institutional Shares ("Shares") of the Fund,
which are designed primarily for financial
institutions as a convenient means of
accumulating an interest in a professionally
managed, diversified portfolio investing in short-
term money market securities. A minimum initial
investment of $25,000 is required."
(b) Delete the second sentence of the fourth
paragraph and replace with the following:
"Eligibility for investment in the Fund is
contingent upon an investor accumulating and
maintaining a minimum aggregate investment of
$200,000,000 in Federated funds within a twelve-
month period."
3.On page 9, please make the following changes to the section entitled
"Administration of the Fund" and replace with the following:
(a) Delete the section entitled "Administrative
Services." and replace with the following:
"Administrative Services. Federated
Administrative Services, a subsidiary of
Federated Investors, provides administrative
personnel and services (including certain legal
and financial reporting services) necessary to
operate the Fund. Federated Administrative
Services provides these at an annual rate which
relates to the average aggregate daily net assets
of all funds advised by subsidiaries of Federated
Investors ("Federated Funds") as specified below:
Maximum Average Aggregate Daily Net Assets
Administrative Fee of the Federated Funds
0.15 of 1% on the first $250 million
0.125 of 1% on the next $250 million
0.10 of 1% on the next $250 million
0.075 of 1% on assets in excess of $750 million
The administrative fee received during any fiscal
year shall be at least $125,000 per portfolio and
$30,000 per each additional class of shares.
Federated Administrative Services may choose
voluntarily to waive a portion of its fee."
(b) Revise the section entitled "Custodian, Transfer
Agent, and Dividend Disbursing Agent." by dividing
it into two (2) separate sections as follows:
"Custodian. State Street Bank and Trust Company,
Boston, Massachusetts is custodian for the
securities and cash of the Fund.
Transfer Agent and Dividend Disbursing Agent.
Ferated Services Company, Boston, Massachusetts
is transfer agent for the shares of, and dividend
disbursing agent for the Fund."
4.On page 9, following the section entitled "Independent Public Accountants.",
please add the following:
"Expenses of the Fund and Institutional Shares
Holders of Shares pay their allocable portion of Fund
and Trust expenses.
The Trust expenses for which holders of Shares pay
their allocable portion include, but are not limited
to: the cost of organizing the Trust and continuing
its existence; registering the Trust with federal and
state securities authorities; Trustees' fees;
auditors' fees; the cost of meetings of Trustees;
legal fees of the Trust; association membership dues;
and such non-recurring and extraordinary items as may
arise.
The Fund expenses for which holders of Shares pay
their allocable portion include, but are not limited
to: registering the Fund and Shares of the Fund;
investment advisory services; taxes and commissions;
custodian fees; insurance premiums; auditors' fees;
and such non-recurring and extraordinary items as may
arise.
At present, no expenses are allocated to Institutional
Shares as a class. However, the Board of Trustees
reserves the right to allocate certain other expenses
to holders of Shares as it deems appropriate "Class
Expenses." In any case, Class Expenses would be
limited to: transfer agent fees as identified by the
transfer agent as attributable to holders of Shares;
printing and postage expenses related to preparing and
distributing materials such as shareholder reports,
prospectuses and proxies to current shareholders;
registration fees paid to the Securities and Exchange
Commission and registration fees paid to state
securities commissions; expenses related to
administrative personnel and services as required to
support holders of Shares; legal fees relating solely
to Shares; and Trustees' fees incurred as a result of
issues relating solely to Shares."
5.On page 9, please delete the fourth sentence of the section entitled "By
Wire." and replace with the following:
"Federal funds should be wired as follows: State
Street Bank and Trust Company, Boston, Massachusetts;
Attention: EDGEWIRE; For Credit to: Tax-Free
Obligations Fund - Institutional Shares: Fund Number
(this number can be found on the account statement or
by contacting the Fund); Group Number or Order Number;
Nominee or Institution Name; and ABA Number
011000028."
6.On page 10, please delete the first sentence of the section entitled "By
Mail." and replace with the following:
"To purchase by mail, send a check made payable to Tax-
Free Obligations Fund - Institutional Shares to: Tax-
Free Obligations Fund, P.O. Box 8602, Boston,
Massachusetts 02266-8602."
7.On page 10, please delete the second sentence of the section entitled
"Minimum Investment Required" and replace with the following:
"Eligibility for investment in the Fund is contingent upon
an investor accumulating and maintaining a minimum
aggregate investment of $200,000,000 in Federated funds
within a twelve-month period."
8.On page 11, please delete the second paragraph of the section entitled
"Telephone Redemption" and replace with the following:
"A daily dividend will be paid on shares redeemed if the
redemption request is received after 3:00 p.m. (Boston
time). However, the proceeds are not wired until the
following business day. Redemption requests before 3:00
p.m. (Boston time) will be wired the same day but will not
be entitled to that day's dividends."
9.On page 12, please change the section entitled "Written Requests" to "By
Mail", delete the first paragraph and replace with the following:
"Shares may be redeemed by sending a written request
to: Tax-Free Obligations Fund, P.O. Box 8602, Boston,
Massachusetts 02266-8602. The written request should
state: Tax-Free Obligations Fund - Institutional
Shares; shareholder's name; the account number; and
the share or dollar amount requested. Sign the
request exactly as the shares are registered.
Shareholders should call the Fund for assistance in
redeeming by mail."
10.On page 15, following the section entitled "Pennsylvania Corporate and
Personal Property Taxes", please add the following:
"Other Classes of Shares
Institutional Service Shares are sold at net asset
value to accounts for which financial institutions act
in an agency or fiduciary capacity. Investments in
Institutional Service Shares are subject to a minimum
initial investment of $25,000. Institutional Service
Shares are sold pursuant to a 12b-1 Plan.
Financial institutions providing distribution or
administrative services may receive different
compensation depending upon which class of shares of
the Fund is sold. The amount of dividends payable to
shareholders of Institutional Shares will exceed that
payable to the shareholders of Institutional Service
Shares by the difference between class expenses and
any 12b-1 Plan expenses borne by Institutional Service
Shares. The stated advisory fee is the same for both
classes of shares."
11.On page 15, please add the following as the fourth paragraph of the section
entitled "Performance Information":
"Performance figures will be calculated separately for
each class of shares. Because each class of shares is
subject to different expenses, the performance of
Institutional Shares will exceed the yield and
effective yield of Institutional Service Shares for
the same period."
July 12, 1994
FEDERATED SECURITIES CORP.
Distributor
60934N401
G00428-03 (7/94)
TREASURY OBLIGATIONS FUND
(A PORTFOLIO OF MONEY MARKET OBLIGATIONS TRUST)
Supplement to Prospectus dated September 30, 1993
Effective July 5, 1994, Treasury Obligations Fund, a portfolio
of Money Market Obligations Trust, added a new class of shares
called "Institutional Service Shares." Accordingly, the
existing shares of Treasury Obligations Fund are designated as
"Institutional Shares." All references in this prospectus to
Treasury Obligations Fund are to the Institutional Shares class
of the portfolio. In this regard, please make the following
changes to the prospectus:
1.On page 1, please delete the section entitled "Summary of Fund Expenses"
and replace with the following:
"Summary of Fund Expenses
Institutional Shares
Shareholder Transaction Expenses
Maximum Sales Load Imposed on Purchases (as a percentage of
offering price) None
Maximum Sales Load Imposed on Reinvested Dividends
(as a percentage of offering price) None
Contingent Deferred Sales Charge (as a percentage of original
purchase price or redemption proceeds, as applicable) None
Exchange Fee None
Annual Institutional Shares Operating Expenses
(As a percentage of average net assets)
Management Fee (after waiver) (1) 0.13%
12b-1 Fee None
Other Expenses 0.07%
Total Institutional Shares Operating Expenses (2) 0.20%
(1)The management fee has been reduced to reflect the voluntary waiver of a
portion of the management fee. The adviser can terminate this voluntary
waiver at any time at its sole discretion. The maximum manageme
nt fee is 0.20%.
(2)The Total Institutional Shares Operating Expenses would have been 0.27%
absent the voluntary waiver of a portion of the management fee.
The purpose of this table is to assist an investor in
understanding the various costs and expenses that a shareholder
of Institutional Shares of the Fund will bear, either directly
or indirectly. For more complete descriptions of the various
costs and expenses, see "Money Market Obligations Trust
Information." Wire-transferred redemptions of less than $5,000
may be subject to additional fees.
EXAMPLE 1 year 3 years 5 years 10 years
You would pay the following expenses on
a $1,000 investment assuming (1) 5% annual
return and (2) redemption at the end of each
time period. As noted in the table above, the Fund
charges no redemption fees.
.................................... $2 $6 $11 $26
The above example should not be considered a representation of
past or future expenses. Actual expenses may be greater or less
than those shown.
The information set forth in the foregoing table and example
relates only to Institutional Shares of the Fund. The Fund also
offers another class of shares call Institutional Service
Shares. Institutional Shares and Institutional Service Shares
are subject to certain of the same expenses; however,
Institutional Service Shares are subject to a 12b-1 fee. See
"Other Classes of Shares."
2.On page 3, please make the following changes to the section entitled
"General Information" and replace with the following:
(a) Delete the first three (3) paragraphs and first
sentence of the fourth paragraph and replace with
the following:
"The Trust was established as a Massachusetts
business trust under a Declaration of Trust
dated October 3, 1988. The Declaration of Trust
permits the Trust to offer separate series of
shares of beneficial interest representing
interests in separate portfolios of securities.
The shares in any one portfolio may be offered in
separate classes. With respect to this Fund, as
of the date of this prospectus, the Trustees have
established two classes of shares known as
Institutional Service Shares and Institutional
Shares. This prospectus relates only to
Institutional Shares ("Shares") of the Fund,
which are designed primarily for financial
institutions as a convenient means of
accumulating an interest in a professionally
managed, diversified portfolio investing in short-
term money market securities. A minimum initial
investment of $25,000 is required."
(b) Delete the second sentence of the fourth
paragraph and replace with the following:
"Eligibility for investment in the Fund is
contingent upon an investor accumulating and
maintaining a minimum aggregate investment of
$200,000,000 in Federated funds within a twelve-
month period."
3.On page 6, please make the following changes to the section entitled
"Administration of the Fund" and replace with the following:
(a) Delete the section entitled "Administrative
Services." and replace with the following:
"Administrative Services. Federated
Administrative Services, a subsidiary of
Federated Investors, provides administrative
personnel and services (including certain legal
and financial reporting services) necessary to
operate the Fund. Federated Administrative
Services provides these at an annual rate which
relates to the average aggregate daily net assets
of all funds advised by subsidiaries of Federated
Investors ("Federated Funds") as specified below:
Maximum Average Aggregate Daily Net Assets
Administrative Fee of the Federated Funds
0.15 of 1% on the first $250 million
0.125 of 1% on the next $250 million
0.10 of 1% on the next $250 million
0.075 of 1% on assets in excess of $750 million
The administrative fee received during any fiscal
year shall be at least $125,000 per portfolio and
$30,000 per each additional class of shares.
Federated Administrative Services may choose
voluntarily to waive a portion of its fee."
(b) Revise the section entitled "Custodian, Transfer
Agent, and Dividend Disbursing Agent." by dividing
it into two (2) separate sections as follows:
"Custodian. State Street Bank and Trust Company,
Boston, Massachusetts is custodian for the
securities and cash of the Fund.
Transfer Agent and Dividend Disbursing Agent.
Federated Services Company, Boston,
Massachusetts is transfer agent for the shares
of, and dividend disbursing agent for the Fund."
4.On page 6, following the section entitled "Independent Public Accountants.",
please add the following:
"Expenses of the Fund and Institutional Shares
Holders of Shares pay their allocable portion of Fund
and Trust expenses.
The Trust expenses for which holders of Shares pay
their allocable portion include, but are not limited
to: the cost of organizing the Trust and continuing
its existence; registering the Trust with federal and
state securities authorities; Trustees' fees;
auditors' fees; the cost of meetings of Trustees;
legal fees of the Trust; association membership dues;
and such non-recurring and extraordinary items as may
arise.
The Fund expenses for which holders of Shares pay
their allocable portion include, but are not limited
to: registering the Fund and Shares of the Fund;
investment advisory services; taxes and commissions;
custodian fees; insurance premiums; auditors' fees;
and such non-recurring and extraordinary items as may
arise.
At present, no expenses are allocated to Institutional
Shares as a class. However, the Board of Trustees
reserves the right to allocate certain other expenses
to holders of Shares as it deems appropriate "Class
Expenses." In any case, Class Expenses would be
limited to: transfer agent fees as identified by the
transfer agent as attributable to holders of Shares;
printing and postage expenses related to preparing and
distributing materials such as shareholder reports,
prospectuses and proxies to current shareholders;
registration fees paid to the Securities and Exchange
Commission and registration fees paid to state
securities commissions; expenses related to
administrative personnel and services as required to
support holders of Shares; legal fees relating solely
to Shares; and Trustees' fees incurred as a result of
issues relating solely to Shares."
5.On page 6, please delete the fourth sentence of the section entitled "By
Wire." and replace with the following:
"Federal funds should be wired as follows: State
Street Bank and Trust Company, Boston, Massachusetts;
Attention: EDGEWIRE; For Credit to: Treasury
Obligations Fund - Institutional Shares: Fund Number
(this number can be found on the account statement or
by contacting the Fund); Group Number or Order Number;
Nominee or Institution Name; and ABA Number
011000028."
6.On page 7, please delete the first sentence of the section entitled "By
Mail." and replace with the following:
"To purchase by mail, send a check made payable to
Treasury Obligations Fund - Institutional Shares to:
Treasury Obligations Fund, P.O. Box 8602, Boston,
Massachusetts 02266-8602."
7.On page 7, please delete the second sentence of the section entitled
"Minimum Investment Required" and replace with the following:
"Eligibility for investment in the Fund is contingent
upon an investor accumulating and maintaining a
minimum aggregate investment of $200,000,000 in
Federated funds within a twelve-month period."
8.On page 8, please delete the second paragraph of the section entitled
"Telephone Redemption" and replace with the following:
"A daily dividend will be paid on shares redeemed if the
redemption request is received after 3:00 p.m. (Boston
time). However, the proceeds are not wired until the
following business day. Redemption requests received
before 3:00 p.m. (Boston time) will be wired the same day
but will not be entitled to that day's dividends."
9.On page 9, please change the section entitled "Written Requests" to "By
Mail", delete the first paragraph and replace with the following:
"Shares may be redeemed by sending a written request
to: Treasury Obligations Fund, P.O. Box 8602, Boston,
Massachusetts 02266-8602. The written request should
state: Treasury Obligations Fund - Institutional
Shares; shareholder's name; the account number; and
the share of dollar amount requested. Sign the
request exactly as the shares are registered.
Shareholders should call the Fund for assistance in
redeeming by mail."
10.On page 11, following the section entitled "Pennsylvania Corporate and
Personal Property Taxes", please add the following:
"Other Classes of Shares
Institutional Service Shares are sold at net asset
value to accounts for which financial institutions act
in an agency or fiduciary capacity. Investments in
Institutional Service Shares are subject to a minimum
initial investment of $25,000. Institutional Service
Shares are sold pursuant to a 12b-1 Plan.
Financial institutions providing distribution or
administrative services may receive different
compensation depending upon which class of shares of
the Fund is sold. The amount of dividends payable to
shareholders of Institutional Shares will exceed that
payable to the shareholders of Institutional Service
Shares by the difference between class expenses and
any 12b-1 Plan expenses borne by Institutional Service
Shares. The stated advisory fee is the same for both
classes of shares."
11.On page 11, please add the following as the fourth paragraph of the
section entitled "Performance Information":
"Performance figures will be calculated separately for
each class of shares. Because each class of shares is
subject to different expenses, the performance of
Institutional Shares will exceed the yield and
effective yield of Institutional Service Shares for
the same period."
July 12, 1994
FEDERATED SECURITIES CORP.
Distributor
60934N500
G00428-04 (7/94)
