COLUMBIA FUNDS TRUST I                       COLUMBIA FUNDS TRUST VI
Columbia High Yield Opportunity Fund         Columbia Growth & Income Fund
Columbia Strategic Income Fund               Columbia Small Cap Value Fund
Columbia Tax-Managed Growth Fund             Columbia Newport Asia Pacific Fund
Columbia Tax-Managed Growth Fund II
Columbia Tax-Managed Value Fund              COLUMBIA FUNDS TRUST VII
Columbia Tax-Managed Aggressive Growth Fund  Columbia Newport Tiger Fund
                                             Columbia Europe Fund
COLUMBIA FUNDS TRUST II
Columbia Newport Greater China Fund          COLUMBIA FUNDS TRUST VIII
Columbia Money Market Fund                   Columbia Income Fund
                                             Columbia Intermediate Bond Fund
COLUMBIA FUNDS TRUST III
Columbia Global Equity Fund                  COLUMBIA FUNDS TRUST IX
Columbia Contrarian Income Fund              Columbia High Yield Municipal Fund
Columbia Intermediate Government Income Fund Columbia Managed Municipals Fund
Columbia Quality Plus Bond Fund
Columbia Corporate Bond Fund                 COLUMBIA FLOATING RATE ADVANTAGE
Columbia Federal Securities Fund             FUND

COLUMBIA FUNDS TRUST IV                      COLUMBIA FLOATING RATE FUND
Columbia Tax-Exempt Fund
Columbia Tax-Exempt Insured Fund             COLUMBIA INSTITUTIONAL FLOATING
Columbia Utilities Fund                      RATE INCOME FUND
Columbia Municipal Money Market Fund

COLUMBIA FUNDS TRUST V
Columbia California Tax-Exempt Fund
Columbia Connecticut Tax-Exempt Fund
Columbia Massachusetts Tax-Exempt Fund
Columbia New York Tax-Exempt Fund
Columbia Large Company Index Fund
Columbia U.S. Treasury Index Fund
Columbia Small Company Index Fund
Columbia Intermediate Tax-Exempt Bond Fund
Columbia Massachusetts Intermediate Municipal Bond Fund
Columbia Connecticut Intermediate Municipal Bond Fund
Columbia New Jersey Intermediate Municipal Bond Fund
Columbia New York Intermediate Municipal Bond Fund
Columbia Rhode Island Intermediate Municipal Bond Fund
Columbia Florida Intermediate Municipal Bond Fund
Columbia Pennsylvania Intermediate Municipal Bond Fund

The Funds listed above are referred to each as a "Fund" and  collectively as the
"Funds" and the Trusts listed above are referred to collectively as "Trusts."

                           SUPPLEMENT TO PROSPECTUSES
                (REPLACING SUPPLEMENT DATED JANUARY 15, 2004)


Legal  Proceedings.  Columbia  Management  Advisors,  Inc.  ("CMA"),  the Funds'
advisor, and Columbia Funds Distributor,  Inc. ("CFDI"),  the distributor of the
Funds' shares, and certain of their affiliates  (collectively,  "Columbia") have
received information requests and subpoenas from various regulatory authorities,
including  the  Securities  and  Exchange  Commission  ("SEC")  and the New York
Attorney  General,  in connection with their  investigations of late trading and
market timing in mutual  funds.  Columbia has informed the Funds that it has not
uncovered  any  instances  where CMA or CFDI  were  knowingly  involved  in late
trading of mutual fund  shares.  Columbia  has  identified  a limited  number of
investors who had informal arrangements for trading fund shares between 1998 and
2003.  A majority of the  transactions  in  connection  with these  arrangements
occurred in one  international  fund and two domestic funds. The majority of the
trading  under these  arrangements  was made by three  entities.  A  substantial
majority of the trading had ended by October  2002.  None of these  arrangements
exists  today.  Information  relating  to those  trading  arrangements  has been
supplied to the New York  Attorney  General and to the SEC and other  regulatory
authorities.  To the extent that any Fund whose  shares  were  involved in those
trading activities was harmed by them,  Columbia has undertaken to reimburse the
Fund.

On February  24,  2004,  the SEC filed a civil  complaint  in the United  States
District Court for the District of Massachusetts  against CMA and CFDI, alleging
that they have violated certain  provisions of the federal securities laws. Also
on February 24, 2004, the New York Attorney  General filed a civil  complaint in
New York Supreme  Court,  County of New York against CMA and CFDI  alleging that
CMA and CFDI violated certain New York anti-fraud statutes.  Both complaints are
based on arrangements  between 1998 and 2003 with nine investors for the trading
of mutual fund shares.  In their  respective  complaints,  the New York Attorney
General and the SEC are seeking disgorgement of profits,  restitution,  monetary
penalties  and  permanent  injunctions,  including,  in the case of the  SEC,  a
permanent injunction from serving or acting as investment advisor or distributor
of any registered fund.

CMA and CFDI are engaged in discussions with the SEC staff in an effort to reach
a satisfactory  resolution of these matters. As a result of these matters or any
adverse  publicity  or other  developments  resulting  from  them,  there may be
increased  redemptions  or reduced  sales of Fund shares,  which could  increase
transactions costs or operating expenses, or other consequences for the Funds.



                                                               February 26, 2004