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FIRST FUNDS
INTERMEDIATE BOND PORTFOLIO
Supplement Dated December 1, 1998
The following information supplements and should be read in conjunction
with the information provided in the Portfolio's Prospectus dated October 26,
1998.
Effective December 1, 1998, the maximum sales load on purchases of Class II
shares has been reduced from 3.75% to 2.50%.
Based on this change, the following data shall be inserted in lieu of the
column for Class II in the table under the section, "SUMMARY OF PORTFOLIO
EXPENSES - A. EXPENSE SUMMARY":
SHAREHOLDER TRANSACTION EXPENSES: CLASS II
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Maximum Sales Load on Purchases
(as a percentage of offering price) 2.50%
Sales Load Imposed on Reinvested
Distributions None
Deferred Sales Load
(as a percentage of original purchase
price or redemption proceeds, as
applicable) None
Redemption Fees None
Exchange Fee None
ANNUAL PORTFOLIO OPERATING EXPENSES:
(as a percentage of average net assets)
Management Fees** .00%
12b-1 Fees** .00%
Other Expenses** .65%
-----
Total Portfolio Operating Expenses** .65%
The following data shall be inserted in lieu of the column for Class II in
the table under the section, "SUMMARY OF PORTFOLIO EXPENSES B. Example":
Class II
--------
1 year $31
3 years $45
The following table shall be inserted in lieu of the table under the
section, "HOW ARE INVESTMENTS, EXCHANGES AND REDEMPTIONS MADE? - Class II -
Public Offering Price":
<TABLE>
<CAPTION> REALLOWANCE TO SERVICE
TOTAL SALES LOAD FOR CLASS II SHARES ORGANIZATIONS
------------------------------------ ------------------------
AS A % OF OFFERING AS A % OF AS A % OF OFFERING PRICE
AMOUNT OF TRANSACTION PRICE PER SHARE NAV PER SHARE
<S> <C> <C> <C>
Less than $100,000 2.50 2.56 2.25
$100,000 - $249,999 2.00 2.04 1.75
$250,000 - $499,999 1.75 1.78 1.50
$500,000 - $999,999 1.25 1.27 1.00
$1,000,000 and over 0.50 0.50 0.40
</TABLE>
