American Century Offers Online-Account-Opening Option; American Century Enables Customers to Open New Accounts Over the Internet With E-Signatures.

Business Editors

KANSAS CITY, Mo.--(BUSINESS WIRE)--Oct. 2, 2000

As the long-awaited e-signatures legislation took effect last weekend, American Century Investments began offering investors the ability to open certain types of accounts online via www.americancentury.com.

The move by the Kansas City-based firm makes American Century one of the first mutual fund companies to provide investors with the service.

The new "e-sign" law, which went into effect Oct. 1, affords the same legal status for e-signatures as handwritten signatures on legal agreements and commercial transactions. An example of an e-signature is when a consumer forms a binding contract by electronically accepting an "agree" prompt with a mouse click or a keystroke.

"With the addition of e-signatures to American Century's online services, we are continuing our dedication to providing investors with convenience and control," said David McCalley, American Century's vice president of electronic commerce. "Customers should be able to interact with us in whichever way they choose: online, by mail, in person, by phone, and through third-party investment advisors."

Investors wishing to open accounts online must have an e-mail address, a physical address (non-post office box) and the ability to meet the fund's minimum. Safeguards to prevent abuse of this new account-opening method include requiring users to supply unique personal information and to use a funding bank account that is registered to the same person opening the American Century account.

American Century research shows that investors increasingly are using the Internet for business transactions and are looking to the Internet to provide convenience. In the company's 1999 Investor Internet Adoption Study, Web usage among mutual fund investors stood at 62 percent, a three-fold increase from 1996, the first year of the study.

American Century has a decades-long reputation for sponsoring new ideas and adopting innovative technologies that benefit our investors. Founder James E. Stowers, Jr. was a pioneer in using computers for stock selection in the 1970s. Since the company's initial foray onto the Internet in 1994, American Century has been a leader in providing Web-based services to mutual fund investors. In 1996 American Century was one of the first mutual fund companies to begin to capture the Internet's power by offering its investors online transactions. Just this spring, American Century launched Fund Advisor, making it among the first mutual fund companies to offer an impartial online advice tool.

American Century is a mutual fund, brokerage and investment services company serving nearly two million individual and institutional investors. It was recently selected as one of FORTUNE Magazine's 100 Best Companies to Work for in America. Through its broad selection of 75 mutual funds, the Kansas City, Mo.-based company manages about $115 billion in assets. For more information on company products and services, visit its Web site: www.americancentury.com.

To request a prospectus for an American Century fund, call 1-800/345-2021. The prospectus contains important information, including charges and expenses, and should be read carefully before investing or sending money.