Supplement to currently effective Statement of Additional Information
                         for each of the listed funds:



Scudder Balanced Fund

Scudder  California Tax Free Fund 
Scudder  California Tax Free Money Fund 
Scudder  Cash  Investment  Trust 
Scudder  Classic  Growth Fund 
Scudder  Development  Fund
Scudder  Emerging  Markets  Growth Fund  
Scudder  Emerging  Markets  Income Fund
Scudder  Global Bond Fund 
Scudder  Global  Discovery  Fund  
Scudder  Global Fund
Scudder  GNMA Fund  
Scudder  Gold Fund  
Scudder  Government  Money Market  Series
Scudder  Greater  Europe Growth Fund 
Scudder  Growth and Income Fund 
Scudder  High Yield Bond Fund  
Scudder  High Yield Tax Free Fund  
Scudder  Income Fund 
Scudder  International Bond Fund 
Scudder  International Fund 
Scudder  International Growth and Income Fund 
Scudder  Large  Company  Growth Fund 
Scudder  Large Company Value Fund 
Scudder  Latin America Fund
Scudder  Limited Term Tax Free Fund
Scudder  Managed Municipal Bonds
Scudder  Massachusetts Limited Term Tax Free Fund  
Scudder  Massachusetts Tax Free Fund  
Scudder  Medium Term Tax Free Fund 
Scudder  Micro Cap Fund  
Scudder  Money Market  Series  
Scudder  New York Tax Free Fund  
Scudder  New York Tax Free Money Fund  
Scudder  Ohio Tax Free Fund  
Scudder  Pacific  Opportunities  Fund 
Scudder Pathway Series:
    Balanced Portfolio
    Conservative Portfolio
    Growth Portfolio
    International Portfolio
Scudder  Pennsylvania  Tax Free Fund 
Scudder  Short Term Bond Fund 
Scudde   Small Company  Value Fund  
Scudder  Tax Free Money Fund  
Scudder  Tax Free Money  Market Series  
Scudder  U.S.  Treasury Money Fund 
Scudder  Value Fund 
Scudder  Zero Coupon 2000 Fund 
Scudder  21st Century Growth Fund



Pursuant to an Agreement between Scudder,  Stevens & Clark, Inc. ("Scudder") and
AMA  Solutions,  Inc., a subsidiary  of the American  Medical  Association  (the
"AMA"),  dated May 9, 1997,  Scudder has  agreed,  subject to  applicable  state
regulations,  to pay AMA Solutions,  Inc.  royalties in an amount equal to 5% of
the  management  fee received by Scudder with respect to assets  invested by AMA
members in Scudder funds in connection  with the AMA  InvestmentLinkSM  Program.
Scudder will also pay AMA Solutions,  Inc. a general  monthly fee,  currently in
the  amount of $833.  The AMA and AMA  Solutions,  Inc.  are not  engaged in the
business  of  providing  investment  advice  and  neither  is  registered  as an
investment  adviser or broker/dealer  under federal  securities laws. Any person
who  participates  in the AMA  InvestmentLink(SM) Program  will be a customer of
Scudder (or of a subsidiary thereof) and not the AMA or AMA Solutions,  Inc. AMA
InvestmentLink(SM) is a service mark of AMA Solutions, Inc.


July 18, 1997