SUPPLEMENT TO THE STATEMENTS OF ADDITIONAL INFORMATION ("SAI")
                                       OF
                            EVERGREEN BALANCED FUNDS
                        EVERGREEN DOMESTIC EQUITY FUNDS I
                       EVERGREEN DOMESTIC EQUITY FUNDS II
                 EVERGREEN INTERMEDIATE AND LONG TERM BOND FUNDS
                          EVERGREEN MONEY MARKET FUNDS
                     EVERGREEN NATIONAL MUNICIPAL BOND FUNDS
                EVERGREEN SHORT AND INTERMEDIATE TERM BOND FUNDS
                  EVERGREEN SOUTHERN STATE MUNICIPAL BOND FUNDS
                      EVERGREEN STATE MUNICIPAL BOND FUNDS
                           (collectively, the "Funds")


     Effective  March 1, 2004, the third paragraph of the section of each Fund's
SAI entitled  "PURCHASE AND  REDEMPTION OF SHARES" is revised in its entirety as
follows:

Class A Shares

     No front-end  sales charges are imposed on Class A shares  purchased by (a)
institutional investors, which may include bank trust departments and registered
investment advisors; (b) investment advisors,  consultants or financial planners
who place trades for their own accounts or the accounts of their clients and who
charge such clients a management, consulting, advisory or other fee; (c) clients
of  investment  advisors or  financial  planners  who place trades for their own
accounts if the  accounts  are linked to the master  account of such  investment
advisors or financial  planners on the books of the  broker-dealer  through whom
shares are purchased;  (d) institutional  clients of  broker-dealers,  including
retirement  and  deferred  compensation  plans and the trusts used to fund these
plans, which place trades through an omnibus account maintained with the Fund by
the broker-dealer;  (e) shareholders of record on October 12, 1990 in any series
of Evergreen  Investment  Trust in  existence  on that date,  and the members of
their  immediate  families;  and (f) current and retired  employees  of Wachovia
Corporation (Wachovia),  and its affiliates, EDI and any broker-dealer with whom
EDI has entered into an agreement to sell shares of the Fund, and members of the
immediate families of such employees. These provisions are generally intended to
provide additional  job-related incentives to persons who serve the Fund or work
for companies  associated  with the Fund and selected  dealers and agents of the
Fund. Since these persons are in a position to have a basic understanding of the
nature of an investment company as well as a general  familiarity with the Fund,
sales  to  these  persons,  as  compared  to sales  in the  normal  channels  of
distribution,   require  substantially  less  sales  effort.  Similarly,   these
provisions extend the privilege of purchasing shares at net asset value (NAV) to
certain  classes of  institutional  investors who,  because of their  investment
sophistication,  can be expected to require significantly less than normal sales
effort on the part of the Fund and EDI. In addition,  the  provisions  allow the
Fund to be competitive in the mutual fund industry, where similar allowances are
common.

     In addition,  Class A shares may be purchased or offered at NAV for certain
investors  of  acquired  funds who  remain  investors  in the  Evergreen  funds,
including,  former Investor share class  shareholders  of Undiscovered  Managers
Funds,  former  shareholders of funds managed by Grantham,  Mayo, Van Otterloo &
Co. and former shareholders of America's Utility Fund.


February 18, 2004                                                  568413 (2/04)