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AIM TAX-EXEMPT FUNDS
AIM TAX-EXEMPT CASH FUND
AIM TAX-FREE INTERMEDIATE FUND
AIM TAX-EXEMPT BOND FUND OF CONNECTICUT
AIM HIGH INCOME MUNICIPAL FUND
Supplement dated September 29, 2000 to
the Statement of Additional Information dated July 28, 2000,
as supplemented August 4, 2000
This supplement supersedes and replaces in its entirety the supplement dated
August 4, 2000.
The following replaces in its entirety the fourth paragraph appearing under the
heading "INVESTMENT STRATEGIES AND RISKS -- MUNICIPAL SECURITIES" on page 12 of
the Statement of Additional Information:
"Also included in "municipal securities" are municipal lease
obligations, which may take the form of a lease, an installment
purchase or a conditional sales contract. Municipal lease obligations
are issued by state and local governments and authorities to acquire
land, equipment and facilities such as state and municipal vehicles,
telecommunications and computer equipment, and other capital assets.
Interest payments on qualifying municipal leases are exempt from
federal income taxes. AIM HIGH INCOME MUNICIPAL FUND and AIM
TAX-EXEMPT BOND FUND OF CONNECTICUT may purchase these obligations
directly, or they may purchase participation interests in such
obligations. Municipal leases are generally subject to greater risks
than general obligation or revenue bonds. State laws set forth
requirements that states or municipalities must meet in order to issue
municipal obligations, and such obligations may contain a covenant by
the issuer to budget for, appropriate, and make payments due under the
obligation. However, certain municipal lease obligations may contain
"non-appropriation" clauses which provide that the issuer is not
obligated to make payments on the obligation in future years unless
funds have been appropriated for this purpose each year. Accordingly,
such obligations are subject to "non-appropriation" risk. While
municipal leases are secured by the underlying capital asset, it may
be difficult to dispose of such assets in the event of
non-appropriation or other default. All direct investments by the
Funds in municipal lease obligations shall be deemed illiquid and
shall be valued according to each Fund's Procedures for Valuing
Securities current at the time of such valuation."
The following replaces in its entirely the table appearing under the heading
"MANAGEMENT -- TRUSTEES AND OFFICERS" on page 28, 29 and 30 of the Statement of
Additional Information:
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POSITION HELD PRINCIPAL OCCUPATION DURING
"NAME, ADDRESS AND AGE WITH REGISTRANT AT LEAST THE PAST 5 YEARS
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*CHARLES T. BAUER (81) Trustee and Director and Chairman A I M Management
Chairman Group Inc., A I M Advisors, Inc., A I M
Capital Management, Inc., A I M Distributors,
Inc. A I M Fund Services, Inc., and Fund
Management Company; and Executive Vice Chairman
and Director, AMVESCAP PLC.
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* A trustee who is an "interested person" of AIM and the Trust as
defined in the 1940 Act. Mr. Bauer has notified the Board that he
intends to retire from his position as an officer and trustee of
the Funds effective September 30, 2000. The Board does not
presently intend to fill the vacancy that will result from Mr.
Bauer's retirement. Effective September 30, 2000, Mr. Graham will
succeed Mr. Bauer as Chairman of the Board.
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POSITION HELD PRINCIPAL OCCUPATION DURING
NAME, ADDRESS AND AGE WITH REGISTRANT AT LEAST THE PAST 5 YEARS
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BRUCE L. CROCKETT (56) Trustee Director, ACE Limited (insurance company).
906 Frome Lane Formerly, Director, President and Chief
McLean, VA 22102 Executive Officer, COMSAT Corporation and
Chairman, Board of Governors of INTELSAT
(international communications company).
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OWEN DALY II (75) Trustee Formerly, Director, Cortland Trust Inc.
Six Blythewood Road (investment company), CF & I Steel Corp.,
Baltimore, MD 21210 Monumental Life Insurance Company and
Monumental General Insurance Company; and
Chairman of the Board of Equitable
Bancorporation.
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EDWARD K. DUNN, JR. (65) Trustee Chairman of the Board of Directors, Mercantile
2 Hopkins Plaza, Mortgage Corp. Formerly, Vice Chairman of the
8th Floor, Suite 805 Board of Directors, President and Chief
Baltimore, MD 21201 Operating Officer, Mercantile - Safe Deposit &
Trust Co.; and President, Mercantile Bankshares.
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JACK FIELDS (48) Trustee Chief Executive Officer, Texana Global Inc.
34 New Jersey Avenue, S.E. (foreign trading company) and Twenty First
Washington, D.C. 20003 Century Group, Inc. (governmental affairs
company). Formerly, Member of the U.S. House
of Representatives.
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**CARL FRISCHLING (63) Trustee Partner, Kramer Levin Naftalis & Frankel LLP
919 Third Avenue (law firm).
New York, NY 10022
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*ROBERT H. GRAHAM (53) Trustee and Director, President and Chief Executive
President Officer, A I M Management Group Inc.; Director
and President, A I M Advisors, Inc.; Director
and Senior Vice President, A I M Capital
Management, Inc., A I M Distributors, Inc.,
A I M Fund Services, Inc. and Fund Management
Company; and Director and Chief Executive
Officer, Managed Products, AMVESCAP PLC.
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PREMA MATHAI-DAVIS (49) Trustee Formerly, Chief Executive Officer, YWCA of
170 East 83rd Street the USA.
New York, NY 10028
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* A trustee who is an "interested person" of AIM and the Trust as
defined in the 1940 Act. Mr. Bauer has notified the Board that he
intends to retire from his position as an officer and trustee of
the Funds effective September 30, 2000. The Board does not
presently intend to fill the vacancy that will result from Mr.
Bauer's retirement. Effective September 30, 2000, Mr. Graham will
succeed Mr. Bauer as Chairman of the Board.
** A trustee who is an "interested person" of the Trust as defined in
the 1940 Act.
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POSITION HELD PRINCIPAL OCCUPATION DURING
NAME, ADDRESS AND AGE WITH REGISTRANT AT LEAST THE PAST 5 YEARS
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LEWIS F. PENNOCK (57) Trustee Partner, Pennock & Cooper (law firm).
6363 Woodway, Suite 825
Houston, TX 77057
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LOUIS S. SKLAR (60) Trustee Executive Vice President, Development and
The Williams Tower, 50th Floor Operations, Hines Interests Limited Partnership
2800 Post Oak Blvd. (real estate development).
Houston, TX 77056
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GARY T. CRUM (52) Senior Vice Director and President, A I M Capital
President Management, Inc.; Director and Executive Vice
President, A I M Management Group Inc.;
Director and Senior Vice President,
A I M Advisors, Inc.; and Director, A I M
Distributors, Inc. and AMVESCAP PLC.
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CAROL F. RELIHAN (45) Senior Vice Director, Senior Vice President, General
President and Counsel and Secretary, A I M Advisors, Inc.;
Secretary Senior Vice President, General Counsel and
Secretary, A I M Management Group Inc.;
Director, Vice President and General Counsel,
Fund Management Company; Vice President, and
General Counsel, A I M Fund Services, Inc. and
Vice President, A I M Capital Management, Inc.
and A I M Distributors, Inc.
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DANA R. SUTTON (41) Vice President and Vice President and Fund Controller,
Treasurer A I M Advisors, Inc.; and Assistant Vice
President and Assistant Treasurer, Fund
Management Company.
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STUART W. COCO (45) Vice President Senior Vice President, A I M Capital
Management, Inc. and Vice President,
A I M Advisors, Inc.
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MELVILLE B. COX (56) Vice President Vice President and Chief Compliance Officer,
A I M Advisors, Inc., A I M Capital Management,
Inc., A I M Distributors, Inc., A I M Fund
Services, Inc. and Fund Management Company.
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KAREN DUNN KELLEY (40) Vice President Senior Vice President, A I M Capital
Management, Inc. and Vice President,
A I M Advisors, Inc."
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