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Detailed Fund Information

The Tax-Exempt Bond Fund of America® (tax-exempt bond fund)

Class F-2 shares

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Daily Prices

Updated April 24, 2014, 3:15PM Pacific time

Net Asset Value (NAV) $12.81
NAV Change $0.01

(All prices are subject to revision.)

Historical Prices & Distributions

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Ticker Symbols & Fund Numbers

Fund Number 619
Ticker/Quotron Symbol TEAFX
CUSIP Number 876902 60 2

Fund Description

Fund Objective The fund's investment objective is to provide a high level of current income exempt from federal income tax, consistent with the preservation of capital.
Distinguishing Characteristics Emphasizes quality-oriented municipal securities and has the flexibility to invest anywhere in the United States, providing the opportunity to spread risks and enhance returns over time. The fund is one of few general municipal bond funds that does not invest in bonds subject to the alternative minimum tax.
Types of Investments Primarily invests in state, municipal and public authority bonds and notes. The fund will normally invest at least 80% of its assets in, or derive at least 80% of its income from, tax-exempt securities, and invest at least 65% of its assets in tax-exempt securities rated in the three highest categories.
Maturity Typically, the fund will be invested substantially in securities with maturities in excess of three years.
Portfolio Restrictions May invest up to 10% of its assets in debt securities rated BB+ or below and Ba1 or below (or unrated, but determined by the fund’s investment adviser to be of equivalent quality). Will not invest in securities subject to the alternative minimum tax.

Fund Facts

Minimum Initial Investment $250
Shareholder Accounts (aggregated for all share classes; updated monthly) 205,537
Regular Dividends Paid Monthly
Capital Gains Paid
Fund Inception October 3, 1979
Fiscal Year-End July

The months indicated for dividends and capital gains paid represent the anticipated current year ex-dividend date schedule for all share classes.

Returns & Expenses

Figures shown are past results and are not predictive of results in future periods. Current and future results may be lower or higher than those shown. Results shown at net asset value have all distributions reinvested. If a sales charge had been deducted, the results would have been lower. Share price and return will vary, so investors may lose money. Investing for short periods makes losses more likely. Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value. Definitions and other important legal information about these prices and returns are shown below.

Rates of Return*

  Average Annual Total Returns
1 yr 3 yrs 5 yrs 10 yrs Fund Lifetime
March 31, 2014 (most recent month-end)
NAV 0.23% 6.64% 6.61% 4.25% 6.89%
March 31, 2014 (most recent quarter-end)
NAV 0.23% 6.64% 6.61% 4.25% 6.89%

Expense Ratios

The Tax-Exempt Bond Fund of America 0.42%
Lipper General & Insured Municipal Debt Funds Average 0.56%

12-Month Distribution Rates

As of March 31, 2014 (updated monthly)

NAV 3.61%

Annualized 30-Day SEC Yield

As of March 31, 2014 (updated monthly)

At net asset value 2.76%

Holdings

Portfolio Summary

% of net assets as of March 31, 2014 (updated quarterly)

Cash & equivalents 8.5%
Municipal Securities 91.5%

Quality Summary

% of net assets as of March 31, 2014 (updated quarterly)

AAA/Aaa 8.0%
AA/Aa 30.6%
A 29.5%
BBB/Baa 13.4%
BB/Ba 2.8%
B 2.6%
CCC & Below 0.0%
Unrated 4.6%
Cash & equivalents 8.5%

as of March 31, 2014 (updated quarterly)

Average Life (years) 6.5
Average Duration (years) 6.7

Bond ratings, which typically range from AAA/Aaa (highest) to D (lowest), are assigned by credit rating agencies such as Standard & Poor’s, Moody’s and/or Fitch, as an indication of an issuer’s creditworthiness. If agency ratings differ, the security will be considered to have received the highest of those ratings, consistent with the fund’s investment policies. Securities in the Unrated category have not been rated by a rating agency; however, the investment adviser performs its own credit analysis and assigns comparable ratings that are used for compliance with fund investment policies.

Portfolio Holdings

(updated quarterly, upon availability)

Asset Mix

as of March 31, 2014 (updated monthly)

U.S. Bonds 91.5%
Cash & Equivalents 8.5%

Assets and Portfolio Turnover (for fiscal years)

Fiscal Year Fund Assets (billions) Portfolio Turnover
2013 $9.5 16%
2012 $9.7 14%
2011 $8.5 12%
2010 $9.9 16%
2009 $8.9 18%

Assets shown are for combined share classes.

Portfolio Managers

Number of years with American Funds or affiliates
Brenda S. Ellerin 22
Neil L. Langberg 37
Karl J. Zeile 14

(as of the prospectus dated October 1, 2013)

The portfolio managers shown are reflected in the fund’s most recent prospectus.

Important Legal Information

Income may be subject to state or local income taxes. Certain other income, as well as capital gain distributions, may be taxable. Lower rated bonds are subject to greater fluctuations in value and risk of loss of income and principal than higher rated bonds.

The return of principal in bond funds is not guaranteed. Bond funds have the same interest rate, inflation and credit risks that are associated with the underlying bonds owned by the fund.

* Investment results assume all distributions are reinvested and reflect applicable fees and expenses. Class F-2 shares were first offered on August 1, 2008. Class F-2 share results prior to the date of first sale are hypothetical based on Class A share results without a sales charge, adjusted for typical estimated expenses. View dates of first sale and specific expense adjustment information for Class F-2 shares.

  When applicable, investment results reflect fee waivers and/or expense reimbursements, without which results would have been lower. Read details about how waivers and/or reimbursements affect the results for each fund.

Source for Lipper expense ratio comparison: Lipper, based on institutional load funds, excluding funds of funds, for the most recent fiscal year-ends available as of March 31, 2014. Expenses are as of the fund’s prospectus. The expense ratios do not reflect sales charges or fees charged by financial intermediaries.

The SEC yield reflects the rate at which the fund is earning income on its current portfolio of securities, while the distribution rate reflects the fund's past dividends paid to shareholders. Accordingly, the fund's SEC yield and distribution rate may differ.


Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the fund prospectuses, summary prospectuses and CollegeAmerica Program Description, which can be obtained from a financial professional and should be read carefully before investing. CollegeAmerica is distributed by American Funds Distributors® and sold through unaffiliated intermediaries.