PROSPECTUS SUPPLEMENT
DATED JUNE 10, 1997
Templeton Foreign Smaller Companies Fund - Class I
Templeton Foreign Smaller Companies Fund - Advisor Class
dated January 1, 1997
The discussion under "WHO MANAGES THE FUND? - MANAGEMENT TEAM" is amended by
replacing it with the following text:
MANAGEMENT TEAM. The team responsible for the day-to-day management of the
Fund's portfolio since June 1997 is: Simon Rudolph and Peter A. Nori.
Simon Rudolph
Vice President of TICI
Mr. Rudolph is a Chartered Accountant and holds a Bachelor of Arts degree in
economic history from Durham University in England. Mr. Rudolph has been a
securities analyst since 1986. Before joining the Franklin Templeton
organization in 1997, he was an executive director with Morgan Stanley.
Peter A. Nori
Vice President of TICI
Mr. Nori is a Chartered Financial Analyst and holds both a Master of Business
Administration degree and a Bachelor of Science degree in finance from the
University of San Francisco. After completing the Franklin management
training program, Mr. Nori joined portfolio research in 1990 as an equity
analyst and co-portfolio manager of the Franklin Convertible Securities
Fund. In 1994, Mr. Nori joined the Templeton organization as a research
analyst specializing in small-cap companies and currently is also the
portfolio manager of Templeton American Trust, Inc.
