N-SAR EXHIBIT 77E

Pending Litigation. During 2009, a number of complaints have been filed in
federal courts against the Manager, the Distributor, and certain funds in the
Oppenheimer family of funds (the "Defendant Funds") advised by the Manager and
distributed by the Distributor - excluding the Fund. The complaints naming the
Defendant Funds also name certain officers, trustees and former trustees of the
respective Defendant Funds. The plaintiffs seek class action status on behalf of
purchasers of shares of the respective Defendant Fund during a particular time
period. The complaints against the Defendant Funds raise claims under federal
securities laws alleging that, among other things, the disclosure documents of
the respective Defendant Fund contained misrepresentations and omissions, that
such Defendant Fund's investment policies were not followed, and that such
Defendant Fund and the other defendants violated federal securities laws and
regulations. The plaintiffs seek unspecified damages, equitable relief and an
award of attorneys' fees and litigation expenses. Additionally, a complaint has
been brought in state court against the Manager, the Distributor and another
subsidiary of the Manager (but not the Fund), on behalf of the Oregon College
Savings Plan Trust. The complaint alleges breach of contract, breach of
fiduciary duty, negligence and violation of state securities laws, and seeks
compensatory damages, equitable relief and an award of attorneys' fees and
litigation expenses.

         Other complaints have been filed in 2008 and 2009 in state and federal
courts, by investors who made investments through an affiliate of the Manager,
against the Manager and certain of its affiliates. Those complaints relate to
the alleged investment fraud perpetrated by Bernard Madoff and his firm
("Madoff") and allege a variety of claims including breach of fiduciary duty,
fraud, negligent misrepresentation, unjust enrichment, and violation of federal
and state securities laws and regulations, among others. They seek unspecified
damages, equitable relief, and an award of attorneys' fees and litigation
expenses. None of the suits have named the Distributor, any of the Oppenheimer
mutual funds or any of their independent Trustees or Directors. None of the
Oppenheimer funds invested in any funds or accounts managed by Madoff.

         The Manager believes that the lawsuits described above are without
legal merit and intends to defend them vigorously. The Defendant Funds' Boards
of Trustees have also engaged counsel to defend the suits vigorously on behalf
of those Funds, their boards and the Trustees named in those suits. The Manager
believes that it is premature to render any opinion as to the likelihood of an
outcome unfavorable to it and that no estimate can be made with any degree of
certainty as to the amount or range of any potential loss. The Manager also
believes that these suits should not impair the ability of the Manager or the
Distributor to perform their respective duties to the Fund.