497 1 mfsp1.txt MULTIFUND Prospectus Supplement 223577 3/05 dated March 28, 2005 to: ------------------------------------------------------------------------------ PUTNAM GROWTH FUNDS Putnam Discovery Growth Fund Putnam Growth Opportunities Fund Putnam Health Sciences Trust Putnam International New Opportunities Fund Putnam New Opportunities Fund Putnam OTC & Emerging Growth Fund Putnam Small Cap Growth Fund Putnam Vista Fund Putnam Voyager Fund PUTNAM BLEND FUNDS Putnam Capital Appreciation Fund Putnam Capital Opportunities Fund Putnam Europe Equity Fund Putnam Global Equity Fund Putnam Global Natural Resources Fund Putnam International Capital Opportunities Fund Putnam International Equity Fund Putnam Investors Fund Putnam Research Fund Putnam Tax Smart Equity Fund [REGISTRATION MARK] Putnam Utilities Growth and Income Fund PUTNAM VALUE FUNDS Putnam Convertible Income-Growth Trust The George Putnam Fund of Boston The Putnam Fund for Growth and Income Putnam International Growth and Income Fund Putnam Mid Cap Value Fund Putnam New Value Fund Putnam Small Cap Value Fund PUTNAM TAXABLE INCOME FUNDS Putnam American Government Income Fund Putnam Diversified Income Trust Putnam Floating Rate Income Fund Putnam Global Income Trust Putnam High Yield Trust Putnam Income Fund Putnam U.S. Government Income Trust PUTNAM TAX-FREE INCOME FUNDS Putnam AMT-Free Insured Municipal Fund Putnam Tax Exempt Income Fund Putnam Tax-Free High Yield Fund Putnam State Tax-Free Income Funds: Putnam Arizona Tax Exempt Income Fund Putnam California Tax Exempt Income Fund Putnam Florida Tax Exempt Income Fund Putnam Massachusetts Tax Exempt Income Fund Putnam Michigan Tax Exempt Income Fund Putnam Minnesota Tax Exempt Income Fund Putnam New Jersey Tax Exempt Income Fund Putnam Ohio Tax Exempt Income Fund Putnam Pennsylvania Tax Exempt Income Fund PUTNAM ASSET ALLOCATION FUNDS Putnam Asset Allocation: Balanced Portfolio Putnam Asset Allocation: Conservative Portfolio Putnam Asset Allocation: Growth Portfolio PUTNAM RETIREMENTREADY [REGISTRATION MARK] FUNDS Putnam RetirementReady 2045 Fund Putnam RetirementReady 2040 Fund Putnam RetirementReady 2035 Fund Putnam RetirementReady 2030 Fund Putnam RetirementReady 2025 Fund Putnam RetirementReady 2020 Fund Putnam RetirementReady 2015 Fund Putnam RetirementReady 2010 Fund Putnam RetirementReady Maturity Fund The retail prospectuses of the funds listed above are supplemented as follows: Effective April 1, 2005, the maximum sales charge for class A shares of the Putnam taxable income funds and tax-free income funds listed above (other than Putnam Floating Rate Income Fund) is reduced to 3.75% (from 4.50%). References to the maximum sales charge for class A shares in the sections "Fund summary - Fees and expenses" and "How do I buy fund shares?" are revised accordingly, and information for class A shares in the table of initial sales charges in the section "How do I buy fund shares?" is replaced with the information below. The table of average annual total returns and the example in the section "Fund summary" have not been restated to reflect the reduction in the maximum sales charge for class A shares of these funds. FOR ALL TAXABLE INCOME FUNDS AND TAX-FREE INCOME FUNDS listed above other than Putnam Floating Rate Income Fund ------------------------------------------------------------------------------ Class A sales charge as a percentage of*: ------------------------------------------------------------------------------ Amount of purchase at offering Net amount price ($) invested Offering Price** ------------------------------------------------------------------------------ Under 50,000 3.90% 3.75% 50,000 but under 100,000 3.90 3.75 100,000 but under 250,000 3.09 3.00 250,000 but under 500,000 2.30 2.25 500,000 but under 1,000,000 2.04 2.00 1,000,000 and above NONE NONE ------------------------------------------------------------------------------ * Because of rounding in the calculation of offering price and the number of shares purchased, actual sales charges you pay may be more or less than these percentages. ** Offering price includes sales charge. ------------------ Effective April 1, 2005, the maximum sales charge for class M shares of the Putnam equity funds listed above is reduced to 3.25% (from 3.50%), and the sales charges on class M shares of Putnam equity and fixed-income funds at different investment levels are adjusted as shown below. References to the maximum sales charge for class M shares in the sections "Fund summary - Fees and expenses" and "How do I buy fund shares?" are revised accordingly, and information for class M shares in the table of initial sales charges in the section "How do I buy fund shares?" is replaced with the information below. The table of average annual total returns and the example in the section "Fund summary" have not been restated to reflect the reduction in the maximum sales charge for class M shares of Putnam equity funds. FOR ALL FUNDS listed above other than Putnam Floating Rate Income Fund ------------------------------------------------------------------------------ Class M sales charge as a percentage of*: ------------------------------------------------------------------------------ Amount of purchase at offering Net amount price ($) invested Offering Price** ------------------------------------------------------------------------------ Under 50,000 3.36% 3.25% 50,000 but under 100,000 2.30 2.25 100,000 but under 250,000 1.27 1.25 250,000 but under 500,000 1.01 1.00 500,000 but under 1,000,000 1.01 1.00 1,000,000 and above NONE NONE ------------------------------------------------------------------------------ * Because of rounding in the calculation of offering price and the number of shares purchased, actual sales charges you pay may be more or less than these percentages. ** Offering price includes sales charge. ------------------ FOR PUTNAM FLOATING RATE INCOME FUND ------------------------------------------------------------------------------ Class M sales charge as a percentage of*: ------------------------------------------------------------------------------ Amount of purchase at offering Net amount price ($) invested Offering Price** ------------------------------------------------------------------------------ Under 100,000 2.04% 2.00% 100,000 but under 250,000 1.27 1.25 250,000 but under 500,000 1.01 1.00 500,000 but under 1,000,000 1.01 1.00 1,000,000 and above NONE NONE ------------------------------------------------------------------------------ * Because of rounding in the calculation of offering price and the number of shares purchased, actual sales charges you pay may be more or less than these percentages. ** Offering price includes sales charge. ------------------ In addition, effective April 1, 2005 the following text is added under the heading "Which class of shares is best for me? -- Class M shares" in the prospectus of each fund offering class M shares: * Orders for class M shares of one or more Putnam funds, other than class M shares sold to qualified employee-benefit plans, will be refused when the total value of the purchase, plus existing account balances that are eligible to be linked under a right of accumulation for purchases of class M shares (as described below), is $1,000,000 or more. Investors considering cumulative purchases of $1,000,000 or more should consider whether class A shares would be more advantageous and consult their financial advisor. ------------------ In addition, for all tax-free income funds listed above other than Putnam Tax-Free High Yield Fund, the following text is added as a new fourth sentence to the "Distribution (12b-1) plans" paragraph in the section "How do I buy fund shares?": For class A shares the annual payment rate will equal the weighted average of (i) 0.20% on the net assets of the fund attributable to Class A shares purchased and paid for prior to April 1, 2005 and (ii) 0.25% on all other net assets of the fund attributable to Class A shares.