LIBERTY HIGH YIELD SECURITIES FUND, LIBERTY STRATEGIC INCOME FUND,
LIBERTY TAX-MANAGED GROWTH FUND, LIBERTY TAX-MANAGED VALUE FUND, LIBERTY
TAX-MANAGED GROWTH FUND II, LIBERTY TAX-MANAGED AGGRESSIVE GROWTH FUND, LIBERTY
NEWPORT JAPAN OPPORTUNITIES FUND, LIBERTY INTERMEDIATE GOVERNMENT FUND, LIBERTY
NEWPORT GREATER CHINA FUND, LIBERTY MONEY MARKET FUND, LIBERTY SELECT VALUE
FUND, LIBERTY NEWPORT INTERNATIONAL EQUITY FUND, THE LIBERTY FUND, LIBERTY
FEDERAL SECURITIES FUND, LIBERTY CONTRARIAN SMALL-CAP FUND, LIBERTY CONTRARIAN
INCOME FUND, LIBERTY UTILITIES FUND, LIBERTY MUNICIPAL MONEY MARKET FUND,
LIBERTY SMALL-CAP VALUE FUND, LIBERTY GROWTH & INCOME FUND, LIBERTY NEWPORT
ASIA PACIFIC FUND, LIBERTY NEWPORT TIGER FUND, LIBERTY NEWPORT EUROPE FUND,
LIBERTY FLOATING RATE ADVANTAGE FUND, LIBERTY INCOME FUND, LIBERTY INTERMEDIATE
BOND FUND, LIBERTY MANAGED MUNICIPALS FUND, LIBERTY HIGH YIELD MUNICIPAL FUND,
LIBERTY FLOATING RATE FUND, LIBERTY GROWTH STOCK FUND, LIBERTY YOUNG INVESTOR
FUND, LIBERTY MIDCAP GROWTH FUND, LIBERTY GLOBAL THEMATIC EQUITY FUND
             AND LIBERTY EUROPEAN THEMATIC EQUITY FUND
                       (collectively, the "Funds")

               Supplement to Statements of Additional Information

The Funds' statements of additional information are amended to set forth the
eligibility requirements for the purchase of Class Z shares as follows:

Only Eligible Investors may purchase Class Z shares, directly or by exchange.
The Eligible Investors described below are subject to different minimum initial
investment requirements. Eligible Investors and their applicable investment
minimums are as follows:

$1,000 minimum initial investment

o        Any shareholder (as well as any family member or person listed on an
         account registration for any account of the shareholder) of a fund
         distributed by Liberty Funds Distributor, Inc. (LFD) (i) who holds
         Class Z shares; (ii) who holds Class A shares that were obtained by
         exchanging with Class Z shares; or (iii) who purchased certain no-load
         shares of funds merged with funds distributed by LFD;

o        Any trustee or director (or family member) of any fund distributed by
         LFD; and

o        Any employee (or family member) of FleetBoston Financial Corporation
         or its subsidiaries.

$100,000 minimum initial investment

o        Clients of broker-dealers or registered investment advisors that both
         recommend the purchase of fund shares and charge clients an asset-based
         fee; and

o        Any insurance company, trust company, bank, endowment, investment
         company or foundation purchasing shares for its own account.

No minimum initial investment

o        Any client of Fleet National Bank (Fleet) or a subsidiary (for shares
         purchased through an asset management, trust, retirement plan
         administration or similar arrangement with Fleet or the subsidiary);

o        A retirement plan (or the custodian for such plan) with aggregate plan
         assets of at least $5 million at the time of purchase and which
         purchases shares directly from LFD or through a third-party
         broker-dealer;

o        Investors purchasing through Columbia Management Group state tuition
         plans organized under Section 529 of the Internal Revenue Code; and

o        Any person investing all or part of the proceeds of a distribution,
         rollover or transfer of assets into a Liberty Individual Retirement
         Account, from any deferred compensation plan which was a shareholder of
         any of the funds of Liberty Acorn Trust on September 29, 2000, in which
         the investor was a participant and through which the investor invested
         in one or more of the funds of Liberty Acorn Trust immediately prior to
         the distribution, transfer or rollover.

                                                             September 26, 2002