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SHORT-TERM INVESTMENTS CO.
MSTC CASH RESERVES CLASS
OF THE
LIQUID ASSETS PORTFOLIO
Supplement dated October 1, 1998
to the Prospectus dated December 17, 1997,
as supplemented May 29, 1998
Effective October 1, 1998, the MSTC Cash Reserves Class changed its
name to the Resource Class (the "Class").
Also effective October 1, 1998, the paragraph under the heading
"Investors in the Class" on page 2 of the prospectus should be deleted in its
entirety and replaced with the following:
"The Class has been notified that Chase Manhattan Bank's acquisition of
the Morgan Stanley global custody businesses, Morgan Stanley Trust
Company ("MSTC") and Morgan Stanley Bank Luxembourg, S.A., has been
approved by all necessary regulatory agencies and will be completed on
Thursday, October, 1, 1998 (the "Chase Transaction"). The Class was
originally designed to be a convenient and economical vehicle in which
MSTC, acting for itself or in a custodial or other similar capacity,
could invest short-term cash reserves. As a result of the Chase
Transaction, the Class is now being revised to include a broader range
of investors. Effective October 1, 1998, the Class is designed to be a
convenient vehicle in which institutional customers of banks, certain
broker-dealers and other financial institutions can invest in a
diversified open-end money market fund."
Also effective October 1, 1998, the paragraph under the heading
"Suitability for Investors" on page 5 of the prospectus should be deleted in
its entirety and replaced with the following:
"The shares of the Class are intended for use primarily by
institutional customers of banks, certain broker-dealers and other
financial institutions who seek a convenient vehicle in which to invest
in an open-end diversified money market fund. It is expected that the
shares of the Class may be particularly suitable for corporate cash
managers, municipalities or other public entities. Prospective
investors should determine if an investment in the Class is consistent
with the objectives of an account and with applicable state and federal
laws and regulations."
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MSTC CASH RESERVES CLASS
OF THE
LIQUID ASSETS PORTFOLIO
OF
SHORT-TERM INVESTMENTS CO.
Supplement dated October 1, 1998 to the
Statement of Additional Information dated December 17, 1997
Effective October 1, 1998, the MSTC Cash Reserves Class changed its
name to the Resource Class.
The following information should be inserted within the discussion
under the heading "Directors and Officers":
"PREMA MATHAI-DAVIS (48) Director Chief Executive Officer,
350 Fifth Avenue, Suite 301 YWCA of the U.S.A.;
New York, NY 10118 Commissioner, New York
City Department
for the Aging; and
Member of the Board of
Directors, Metropolitan
Transportation Authority of
New York State.
EDWARD K. DUNN, JR. (63) Director Chairman of the Board of
2 Hopkins Plaza, 20th Floor Directors, Mercantile
Baltimore, MD 21201 Mortgage Corp; Formerly,
Vice Chairman of the Board
of Directors and President,
Mercantile - Safe Deposit
& Trust Co.; and President,
Mercantile Bankshares.
Mr. Kroeger resigned as a Director of the Company on June 11, 1998 and on that
date became a consultant to the Company."