OPPENHEIMER INTERNATIONAL BOND FUND
Supplement Dated August 1, 1996 to the
Prospectus dated December 5, 1995
The Prospectus is changed as follows:
1. The section captioned "Annual Fund Operating Expenses" on
pages 3 and 4 is deleted and replaced with the following:
Annual Fund Operating Expenses are paid out of the Fund's
assets and represent the Fund's expenses in operating its
business. For example, the Fund pays management fees to its
investment adviser, OppenheimerFunds, Inc. (which is referred to
in this Prospectus as the "Manager"). The rates of the
Manager's fees are set forth in "How the Fund is Managed,"
below. The Fund has other regular expenses for services, such
as transfer agent fees, custodial fees paid to the bank that
holds its portfolio securities, audit fees and legal expenses.
Those expenses are detailed in the Fund's Financial Statements
in the Statement of Additional Information.
Annual Fund Operating Expenses as a
Percentage of Average Net Assets (Restated)
Class A Class B Class C
Shares Shares Shares
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Management Fees 0.75% 0.75% 0.75%
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12b-1 Distribution 0.25% 1.00% 1.00%
Plan Fees
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Other Expenses 0.59% 0.46% 0.51%
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Total Fund 1.59% 2.21% 2.26%
Operating Expenses
The numbers in the table above are based on the Fund's
expenses in its last fiscal year ended September 30, 1995.
These amounts are shown as an annualized percentage of the
average net assets of each class of the Fund's shares for that
period, and have been restated to reflect termination by the
Manager of a voluntary expense assumption. The 12b-1
Distribution Plan Fees for Class A shares are service fees (the
maximum fee is 0.25% of average annual net assets of that
class), and for Class B and Class C shares, are the service fee
(the maximum service fee is 0.25% of average annual net assets
of the class) and the asset-based sales charge of 0.75%. These
Plans are discussed in greater detail in "How to Buy Shares."
The actual expenses for each class of shares in future years
may be more or less than the figures in the table, depending on
a number of factors, including the actual value of the Fund's
assets represented by each class of shares.
2. The section captioned "Examples" on pages 4 and 5 is deleted
and replaced with the following:
Examples. To try to show the effect of these expenses on an
investment over time, we have created the hypothetical examples
shown below. Assume that you make a $1,000 investment in each
class of shares of the Fund, and that the Fund's annual return
is 5%, and that its operating expenses for each class are the
ones shown in the Annual Fund Operating Expenses table above.
If you were to redeem your shares at the end of each period
shown below, your investment would incur the following expenses
by the end of 1, 3, 5 and 10 years:
1 year 3 years 5 years 10 years*
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Class A Shares $63 $95 $130 $227
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Class B Shares $72 $99 $138 $224
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Class C Shares $33 $71 $121 $260
If you did not redeem your investment, it would incur the
following expenses:
Class A Shares $63 $95 $130 $227
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Class B Shares $22 $69 $118 $224
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Class C Shares $22 $71 $121 $260
*The Class B expenses in years 7 through 10 are based on the
Class A expenses shown above, because the Fund automatically
converts Class B shares into Class A shares after 6 years.
Because of the asset-based sales charge and the contingent
deferred sales charge on Class B and Class C shares, long-term
Class B and Class C shareholders could pay the economic
equivalent of more than the maximum front-end sales charge
allowed under applicable regulations. For Class B shareholders,
the automatic conversion of Class B shares to Class A shares is
designed to minimize the likelihood that this will occur.
Please refer to "How to Buy Shares - Buying Class B Shares" for
more information.
These examples show the effect of expenses on an investment,
but are not meant to state or predict actual or expected costs
or investment returns of the Fund, all of which will be more or
less than those shown.
August 1, 1996 PS0880.006