Note that the December issue of our Money Fund Intelligence newsletter will be sent to subscribers this morning, along with Crane Data's November 30, 2011, performance data.... A statement from the manager of the $1.2 billion Pacific Capital Money Market Fund complex says, "We are writing to inform you that effective December 5, 2011, Cash Assets Trust, which has been in operation since 1984, will terminate the operations of each of its three series: Pacific Capital Cash Assets Trust, Pacific Capital Tax-Free Cash Assets Trust, and Pacific Capital U.S. Government Securities Cash Assets Trust. As you will note from the Supplement, dated October 5, 2011, to the Prospectus and Summary Prospectuses (on the reverse side), the management of the Funds has concluded that it is no longer practical for the Funds to continue operations and the Board of Trustees of the Trust has approved the liquidation of the Funds. The Funds, accordingly, will not accept any new investments on or after Monday, December 5th."

It explains, "For quite some time, both the Trust's Adviser (the Asset Management Group of Bank of Hawaii) and Administrator (Aquila Investment Management LLC) have subsidized the Funds by waiving their respective fees, and as necessary, reimbursing various operating expenses, in order to produce a non-negative yield for investors. With short-term interest rates at historical lows, it has become challenging for money market funds to retain assets and remain profitable. The U.S. Federal Reserve expects to keep interest rates at these low levels for at least another two years based on expectations for slow economic growth in the U.S. These uncertain prospects for a return to higher short-term rates make it difficult to justify continued operation of the Funds."

It adds, "Your account will be automatically redeemed and the proceeds, including accrued dividends and capital gains, if any, will be sent to your address of record on December 8, 2011 (the liquidation date). You may wish to consult with your financial advisor regarding the implications of this closure and disposition of your proceeds. Should you have any questions regarding the liquidation of the Funds, please do not hesitate to contact a fund representative at 800-437-1020. If you have a question regarding your account, please contact the Transfer and Shareholder Servicing Agent at 800-437-1000. We have very much valued you as a shareholder in Cash Assets Trust and appreciate the confidence you have shown in the Aquila Group of Funds which also includes seven tax-free municipal bond funds, a high yield corporate bond fund, and a growth-oriented equity fund, one or more of which may be appropriate for you to consider as part of your overall portfolio of investments."

A previous "Supplement to the Prospectus and the Summary Prospectuses, dated July 31, 2011, says, "After consultation with management of the Trust, the Board of Trustees has authorized the liquidation of each of Pacific Capital Cash Assets Trust, Pacific Capital Tax-Free Cash Assets Trust, and Pacific Capital U.S. Government Securities Cash Assets Trust. It is anticipated that each Fund will be liquidated on or about December 8, 2011. The Funds will not accept new investments on or after December 5, 2011. As the Liquidation Date approaches, the Funds' Investment Adviser is expected to increase the portion of each Fund's assets held in cash and similar investments and reduce maturities of non-cash investments, in seeking to maintain adequate liquidity and a stable net asset value of $1.00 per share until the Liquidation Date. Each Fund will cease to pursue its investment objective as the Liquidation Date approaches."

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