March 21, 2016
We have proposed reorganizing each of The Tax-Exempt Fund of Maryland® (TEFMD) and The Tax-Exempt Fund of Virginia® (TEFVA) by merging the two funds with and into The Tax-Exempt Bond Fund of America® (TEBF).
Introduced into the American Funds family in 1979, The Tax-Exempt Bond Fund of America seeks to provide investors a high level of current income exempt from federal income tax, consistent with the preservation of capital. TEBF has the flexibility to invest anywhere in the United States, and is one of a few general municipal bond funds that do not invest in bonds subject to the federal alternative minimum tax.
In late April, TEFMD and TEFVA shareholders will receive a combined proxy statement and prospectus regarding the proposed reorganizations, as well as related materials. These materials will provide further information regarding TEBF and the proposed reorganizations and will request shareholder votes on the reorganizations and other related matters.
Therefore, if both mergers are approved by shareholders and effected on June 17, as is currently planned, no new purchases of Maryland or Virginia fund shares will be accepted as of June 13.
Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.
This material is intended for use by financial professionals or in conjunction with the advice of a financial professional.
Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing.