SUPPLEMENT TO FIDELITY'S NEW JERSEY MUNICIPAL FUNDS
JANUARY 25, 1999
STATEMENT OF ADDITIONAL INFORMATION
THE FOLLOWING REPLACES SIMILAR INFORMATION FOUND UNDER THE HEADING
"INVESTMENT LIMITATIONS OF SPARTAN NEW JERSEY MUNICIPAL MONEY MARKET
FUND" IN THE "INVESTMENT POLICIES AND LIMITATIONS" SECTION BEGINNING
ON PAGE 2.
(ii) The fund may borrow money only (a) from a bank or from a
registered investment company or portfolio for which FMR or an
affiliate serves as investment adviser or (b) by engaging in reverse
repurchase agreements with any party (reverse repurchase agreements
are treated as borrowings for purposes of fundamental investment
limitation (5)).
THE FOLLOWING REPLACES SIMILAR INFORMATION FOUND UNDER THE HEADING
"INVESTMENT LIMITATIONS OF FIDELITY NEW JERSEY MUNICIPAL MONEY MARKET
FUND" IN THE "INVESTMENT POLICIES AND LIMITATIONS" SECTION BEGINNING
ON PAGE 2.
(ii) The fund may borrow money only (a) from a bank or from a
registered investment company or portfolio for which FMR or an
affiliate serves as investment adviser or (b) by engaging in reverse
repurchase agreements with any party (reverse repurchase agreements
are treated as borrowings for purposes of fundamental investment
limitation (5)).
THE FOLLOWING REPLACES SIMILAR INFORMATION FOUND UNDER THE HEADING
"INVESTMENT LIMITATIONS OF SPARTAN NEW JERSEY MUNICIPAL INCOME FUND"
IN THE "INVESTMENT POLICIES AND LIMITATIONS" SECTION BEGINNING ON PAGE
2.
(iv) The fund may borrow money only (a) from a bank or from a
registered investment company or portfolio for which FMR or an
affiliate serves as investment adviser or (b) by engaging in reverse
repurchase agreements with any party (reverse repurchase agreements
are treated as borrowings for purposes of fundamental investment
limitation (2)).
THE FOLLOWING REPLACES SIMILAR INFORMATION FOUND IN THE "PERFORMANCE"
SECTION BEGINNING ON PAGE 19.
HISTORICAL BOND FUND RESULTS. The following table shows the fund's
yield, tax-equivalent yield and return for the fiscal periods ended
November 30, 1998.
The tax-equivalent yields for Spartan New Jersey Municipal Money
Market, New Jersey Municipal Money Market and Spartan New Jersey
Municipal Income are based on a combined federal and state income tax
rate of 40.08% and reflect that, as of November 30, 1998, 6.95%, 9.36%
and 0.00%, respectively, of the funds' income was subject to state
taxes. Note that each fund may invest in securities whose income is
subject to the federal alternative minimum tax.
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Average Annual Returns
Seven-Day Yield Tax- Equivalent Yield One Year Five Years Life of Fund*
Spartan NJ Muni Money Market 2.84% 4.72% 3.06% 3.15% 3.38%
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Cumulative Returns
One Year Five Years Life of Fund*
Spartan NJ Muni Money Market 3.06% 16.75% 33.09%
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* From May 1, 1990 (commencement of operations).
Note: If FMR had not reimbursed certain fund expenses during these
periods, the fund's returns would have been lower.
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Average Annual Returns Cumulative Returns
Seven-Day Yield Tax- Equivalent Yield One Year Five Years Ten Years One Year
NJ Muni Money Market 2.72% 4.51% 2.93% 2.88% 3.55% 2.93%
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Cumulative Returns
Five Years Ten Years
NJ Muni Money Market 15.25% 41.76%
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Note: If FMR had not reimbursed certain fund expenses during these
periods, the fund's returns would have been lower.
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Average Annual Returns
Thirty-Day Yield Tax- Equivalent Yield One Year Five Years Ten Years
Spartan NJ Muni Income 4.02% 6.71% 6.96% 5.74% 7.95%
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Cumulative Returns
One Year Five Years Ten Years
Spartan NJ Muni Income 6.96% 32.20% 114.83%
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Note: If FMR had not reimbursed certain fund expenses during these
periods, the fund's returns would have been lower.
THE FOLLOWING INFORMATION REPLACES SIMILAR INFORMATION FOUND IN THE
"TRANSFER AND SERVICE AGENT AGREEMENTS" SECTION BEGINNING ON PAGE 33.
TRANSFER AND SERVICE AGENT AGREEMENTS
Each fund has entered into a transfer agent agreement with
Citibank, N.A., which is located at 111 Wall Street, New York, New
York. Under the terms of the agreements, Citibank, N.A. provides
transfer agency, dividend disbursing, and shareholder services for
each fund. Citibank, N.A. in turn has entered into sub-transfer agent
agreements with FSC , an affiliate of FMR. Under the terms of
the sub-agreements, FSC performs all processing activities
associated with providing these services for each fund and receives
all related transfer agency fees paid to Citibank, N.A.
THE FOLLOWING INFORMATION REPLACES SIMILAR INFORMATION FOUND IN THE
EIGHTH PARAGRAPH IN THE "TRANSFER AND SERVICE AGENT AGREEMENTS"
SECTION ON PAGE 33.
In addition, Citibank, N.A. receives the pro rata portion of the
transfer agency fees applicable to shareholder accounts in a qualified
state tuition program (QSTP), as defined under the Small Business Job
Protection Act of 1996, managed by FMR or an affiliate and each
Fidelity Freedom Fund, a fund of funds managed by an FMR affiliate,
according to the percentage of the QSTP's or Freedom Fund's assets
that is invested in a fund.
THE FOLLOWING INFORMATION REPLACES SIMILAR INFORMATION FOUND IN THE
TENTH PARAGRAPH IN THE "TRANSFER AND SERVICE AGENT AGREEMENTS" SECTION
ON PAGE 34.
Each fund has also entered into a service agent agreement with
Citibank, N.A. Under the terms of the agreements, Citibank, N.A.
provides pricing and bookkeeping services for each fund. Citibank,
N.A. in turn has entered into sub-service agent agreements with FSC.
Under the terms of the sub-agreements, FSC performs all processing
activities associated with providing these services, including
calculating the NAV and dividends for each fund and maintaining each
fund's portfolio and general accounting records, and receives all
related pricing and bookkeeping fees paid to Citibank, N.A.
THE FOLLOWING INFORMATION REPLACES SIMILAR INFORMATION FOUND IN THE
"DESCRIPTION OF THE TRUSTS" SECTION BEGINNING ON PAGE 34.
CUSTODIAN. Citibank, N.A., 111 Wall Street, New York, New
York, is custodian of the assets of the funds. The custodian is
responsible for the safekeeping of a fund's assets and the appointment
of any subcustodian banks and clearing agencies.
THE FOLLOWING INFORMATION REPLACES SIMILAR INFORMATION FOUND IN THE
"TRUSTEES AND OFFICERS" SECTION BEGINNING ON PAGE 25.
*EDWARD C. JOHNSON 3d (68), Trustee and President, is Chairman,
Chief Executive Officer and a Director of FMR Corp.; a Director and
Chairman of the Board and of the Executive Committee of FMR; Chairman
and a Director of Fidelity Investments Money Management, Inc. (1998),
Fidelity Management & Research (U.K.) Inc., and Fidelity Management &
Research (Far East) Inc. Abigail Johnson, Member of the Advisory Board
of Fidelity Court Street Trust and Fidelity Court Street Trust II, is
Mr. Johnson's daughter.
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COMPENSATION TABLE
Trustees and Members of the Aggregate Compensation from Aggregate Compensation from Aggregate Compensation from
Advisory Board Spartan NJ Muni Money MarketB Fidelity NJ Muni Money MarketB Spartan NJ Muni IncomeB
Edward C. Johnson 3d** $ 0 $ 0 $ 0
Abigail P. Johnson** $ 0 $ 0 $ 0
J. Gary Burkhead** $ 0 $ 0 $ 0
Ralph F. Cox $ 188 $ 191 $ 134
Phyllis Burke Davis $ 187 $ 190 $ 133
Robert M. Gates $ 189 $ 193 $ 135
E. Bradley Jones $ 188 $ 191 $ 134
Donald J. Kirk $ 191 $ 195 $ 137
Peter S. Lynch** $ 0 $ 0 $ 0
William O. McCoy $ 189 $ 193 $ 135
Gerald C. McDonough $ 233 $ 237 $ 166
Marvin L. Mann $ 186 $ 190 $ 133
Robert C. Pozen** $ 0 $ 0 $ 0
Thomas R. Williams $ 189 $ 193 $ 135
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Trustees and Members of the Total Compensation from the
Advisory Board Fund Complex*,A
Edward C. Johnson 3d** $ 0
Abigail P. Johnson** $ 0
J. Gary Burkhead** $ 0
Ralph F. Cox $ 223,500
Phyllis Burke Davis $ 220,500
Robert M. Gates $ 223,500
E. Bradley Jones $ 222,000
Donald J. Kirk $ 226,500
Peter S. Lynch** $ 0
William O. McCoy $ 223,500
Gerald C. McDonough $ 273,500
Marvin L. Mann $ 220,500
Robert C. Pozen** $ 0
Thomas R. Williams $223,500
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* Information is for the calendar year ended December 31, 1998 for
237 funds in the complex.
** Interested Trustees of the funds, Ms. Johnson and Mr.
Burkhead are compensated by FMR.
A Compensation figures include cash, amounts required to be
deferred, and may include amounts deferred at the election of
Trustees. For the calendar year ended December 31, 1998, the Trustees
accrued required deferred compensation from the funds as follows:
Ralph F. Cox, $75,000; Phyllis Burke Davis, $75,000; Robert M. Gates,
$75,000; E. Bradley Jones, $75,000; Donald J. Kirk, $75,000; William
O. McCoy, $75,000; Gerald C. McDonough, $87,500; Marvin L. Mann,
$75,000; and Thomas R. Williams, $75,000. Certain of the
non-interested Trustees elected voluntarily to defer a portion of
their compensation as follows: Ralph F. Cox, $55,039; William O.
McCoy, $55,039; Marvin L. Mann, $55,039 and Thomas R. Williams,
$63,433.
B Compensation figures include cash.
THE FOLLOWING INFORMATION SUPPLEMENTS THE INFORMATION FOUND IN THE
"TRUSTEES AND OFFICERS" SECTION BEGINNING ON PAGE 25.
ABIGAIL P. JOHNSON (37), Member of the Advisory Board of Fidelity
Court Street Trust and Fidelity Court Street Trust II (1999), is Vice
President of certain Equity Funds (1997), and is a Director of FMR
Corp. (1994). Before assuming her current responsibilities, Ms.
Johnson managed a number of Fidelity funds. Edward C. Johnson 3d,
Trustee and President of Funds, is Ms. Johnson's father.
