497 1 gofstkp6.txt GOF STKP6 SUPPLEMENT DATED OCTOBER 1, 2002 TO THE CURRENTLY EFFECTIVE PROSPECTUSES OF EACH OF THE LISTED FUNDS FRANKLIN CALIFORNIA TAX-FREE INCOME FUND, INC. FRANKLIN CALIFORNIA TAX-FREE TRUST Franklin California Insured Tax-Free Income Fund Franklin California Intermediate-Term Tax-Free Income Fund Franklin California Tax-Exempt Money Fund FRANKLIN CAPITAL GROWTH FUND FRANKLIN CUSTODIAN FUNDS, INC. DynaTech Series Growth Series Income Series Utilities Series U.S. Government Securities Fund FRANKLIN FEDERAL MONEY FUND FRANKLIN FEDERAL TAX-FREE INCOME FUND FRANKLIN FLOATING RATE TRUST FRANKLIN GLOBAL TRUST Franklin Global Aggressive Growth Fund Franklin Global Growth Fund FRANKLIN GOLD AND PRECIOUS METALS FUND FRANKLIN HIGH INCOME TRUST Franklin's AGE High Income Fund FRANKLIN INVESTORS SECURITIES TRUST Franklin Adjustable U.S. Government Securities Fund Franklin Convertible Securities Fund Franklin Equity Income Fund Franklin Floating Rate Daily Access Fund Franklin Short-Intermediate U.S. Government Securities Fund Franklin Total Return Fund FRANKLIN MANAGED TRUST Franklin Rising Dividends Fund FRANKLIN MONEY FUND FRANKLIN MUNICIPAL SECURITIES TRUST Franklin California High Yield Municipal Fund Franklin Tennessee Municipal Bond Fund FRANKLIN MUTUAL SERIES FUND INC. Mutual Beacon Fund Mutual Discovery Fund Mutual European Fund Mutual Financial Services Fund Mutual Qualified Fund Mutual Shares Fund FRANKLIN NEW YORK TAX-FREE INCOME FUND FRANKLIN NEW YORK TAX-FREE TRUST Franklin New York Insured Tax-Free Income Fund Franklin New York Tax-Exempt Money Fund Franklin New York Intermediate-Term Tax-Free Income Fund FRANKLIN REAL ESTATE SECURITIES TRUST Franklin Real Estate Securities Fund FRANKLIN STRATEGIC MORTGAGE PORTFOLIO FRANKLIN STRATEGIC SERIES Franklin Aggressive Growth Fund Franklin Biotechnology Discovery Fund Franklin Blue Chip Fund Franklin Flex Cap Growth Fund Franklin Global Communications Fund Franklin Global Health Care Fund Franklin Large Cap Growth Fund Franklin Natural Resources Fund Franklin Small-Mid Cap Growth Fund Franklin Small Cap Growth Fund II Franklin Strategic Income Fund Franklin Technology Fund Franklin U.S. Long-Short Fund FRANKLIN TAX-EXEMPT MONEY FUND FRANKLIN TAX-FREE TRUST Franklin Alabama Tax-Free Income Fund Franklin Arizona Tax-Free Income Fund Franklin Colorado Tax-Free Income Fund Franklin Connecticut Tax-Free Income Fund Franklin Double Tax-Free Income Fund Franklin Federal Intermediate-Term Tax-Free Income Fund Franklin Florida Insured Tax-Free Income Fund Franklin Florida Tax-Free Income Fund Franklin Georgia Tax-Free Income Fund Franklin High Yield Tax-Free Income Fund Franklin Insured Tax-Free Income Fund Franklin Kentucky Tax-Free Income Fund Franklin Louisiana Tax-Free Income Fund Franklin Maryland Tax-Free Income Fund Franklin Massachusetts Insured Tax-Free Income Fund Franklin Michigan Insured Tax-Free Income Fund Franklin Minnesota Insured Tax-Free Income Fund Franklin Missouri Tax-Free Income Fund Franklin New Jersey Tax-Free Income Fund Franklin North Carolina Tax-Free Income Fund Franklin Ohio Insured Tax-Free Income Fund Franklin Oregon Tax-Free Income Fund Franklin Pennsylvania Tax-Free Income Fund Franklin Texas Tax-Free Income Fund Franklin Virginia Tax-Free Income Fund FRANKLIN TEMPLETON FUND ALLOCATOR SERIES Franklin Templeton Conservative Target Fund Franklin Templeton Moderate Target Fund Franklin Templeton Growth Target Fund FRANKLIN TEMPLETON GLOBAL TRUST Franklin Templeton Hard Currency Fund FRANKLIN TEMPLETON INTERNATIONAL TRUST Templeton Foreign Smaller Companies Fund Templeton Global Long-Short Fund Templeton Pacific Growth Fund FRANKLIN TEMPLETON MONEY FUND TRUST Franklin Templeton Money Fund FRANKLIN VALUE INVESTORS TRUST Franklin Balance Sheet Investment Fund Franklin Large Cap Value Fund Franklin MicroCap Value Fund Franklin Small Cap Value Fund TEMPLETON DEVELOPING MARKETS TRUST TEMPLETON FUNDS, INC. Templeton Foreign Fund Templeton World Fund TEMPLETON GLOBAL INVESTMENT TRUST Templeton International (Ex EM) Fund Templeton Latin America Fund TEMPLETON GLOBAL OPPORTUNITIES TRUST TEMPLETON GLOBAL SMALLER COMPANIES FUND, INC. TEMPLETON GROWTH FUND, INC. TEMPLETON INCOME TRUST Templeton Global Bond Fund A. ONLINE SERVICES Franklin Templeton is adding new features to the online services available for most Fund accounts. These new features should be available on our website in December 2002. The sections under YOUR ACCOUNT are amended as follows: BUYING SHARES -------------------- [Insert graphic of a paper with lines and someone writing] I. Adding the following as a second paragraph to column three of the section BY PHONE/ONLINE/1: If you have online access, you will be able to add bank account information that we can use to process additional purchases into your Franklin Templeton account. INVESTOR SERVICES ------------------------- [Insert graphic of person with a headset] II. Replacing the second sentence of AUTOMATIC INVESTMENT PLAN/1 with the following: To sign up, visit us online at franklintempleton.com or complete the appropriate section of your account application and mail it to Investor Services. III. Replacing the first paragraph of the section TELEPHONE/ONLINE PRIVILEGES with the following: TELEPHONE/ONLINE PRIVILEGES You will automatically receive telephone/online privileges when you open your account, allowing you to obtain or view your account information, and conduct a number of transactions by phone or online, including: buy, sell, or exchange shares of most funds; use electronic funds transfer to buy or sell shares of most funds; add or change your bank account information (online only); change your address; add or change account services (including distribution options, systematic withdrawal plans, automatic investment plans and ordering money fund checks). IV. Replacing the last sentence of SYSTEMATIC WITHDRAWAL PLAN/2 with the following: To sign up, visit us online at franklintempleton.com or complete the appropriate section of your application. SELLING SHARES ---------------------- [Insert graphic of a certificate] V. Replacing the second sentence of paragraph two in column two of the section BY ELECTRONIC FUNDS TRANSFER (ACH): If we do not have this information, you will need to provide the banking instructions online at franklintempleton.com or send written instructions with your bank's name and address, a voided check or savings account deposit slip, and a signature guarantee if the bank and Fund accounts do not have at least one common owner. ACCOUNT POLICIES ------------------------ [Insert graphic of paper and pen] VI. Replacing the third and fifth bullet points of the section JOINT ACCOUNT RISK WITH TELEPHONE/ONLINE PRIVILEGES with the following: o Add/change the bank account to which Fund share redemption proceeds may be sent, which bank account may not be owned by you; o Add/change the bank account that may be debited for Fund share purchases, which new account may be owned by you. VII. Adding the following language to the contact information included at the end of the sections BUYING SHARES and SELLING SHARES: or visit us online 24 hours a day, 7 days a week, at franklintempleton.com 1. Not applicable to Franklin Templeton Money Fund. 2. Not applicable to Franklin Floating Rate Trust. B. DEALER COMPENSATION The section under DEALER COMPENSATION is amended as follows: California Tax-Free Income Fund, Inc., Federal Tax-Free Income Fund, Alabama Tax-Free Income Fund, Arizona Tax-Free Income Fund, Colorado Tax-Free Income Fund, Connecticut Tax-Free Income Fund, Florida Insured Tax-Free Income Fund, Florida Tax-Free Income Fund, Georgia Tax-Free Income Fund, High Yield Tax-Free Income Fund, Insured Tax-Free Income Fund, Kentucky Tax-Free Income Fund, Louisiana Tax-Free Income Fund, Maryland Tax-Free Income Fund, Massachusetts Insured Tax-Free Income Fund, Michigan Insured Tax-Free Income Fund, Minnesota Insured Tax-Free Income Fund, Missouri Tax-Free Income Fund, New Jersey Tax-Free Income Fund, North Carolina Tax-Free Income Fund, Ohio Insured Tax-Free Income Fund, Oregon Tax-Free Income Fund, Pennsylvania Tax-Free Income Fund, Double Tax-Free Income Fund, Texas Tax-Free Income Fund, Virginia Tax-Free Income Fund and Franklin Strategic Income Fund Footnote 4 to the compensation table under the section "Dealer Compensation" is replaced with the following: 4. Dealers may be eligible to receive up to 0.15% at the time of purchase and may be eligible to receive 0.65% starting in the 13th month. During the first 12 months, the full 12b-1 fee will be paid to Distributors to partially offset commission and the prepaid service fee paid at the time of purchase. NEW YORK INSURED TAX-FREE INCOME FUND Footnote 3 to the compensation table under the section "Dealer Compensation" is replaced with the following: 3. Dealers may be eligible to receive up to 0.15% at the time of purchase and may be eligible to receive 0.65% starting in the 13th month. During the first 12 months, the full 12b-1 fee will be paid to Distributors to partially offset commission and the prepaid service fee paid at the time of purchase. Please keep this supplement for future reference