Amex To Trade Options on Additional Vanguard VIPERs.

VALLEY FORGE, Pa. -- The American Stock Exchange (Amex) is now trading options on 20 Vanguard(R) VIPERs(R). VIPERs are exchange-traded shares of Vanguard's low-cost index funds, offering exposure to large-, mid- and small-capitalization stocks, as well as to discrete market sectors. Vanguard is the only company whose index funds offer both traditional mutual fund shares and exchange-traded shares.

Options on Vanguard Total Stock Market VIPERs (VTI) have been trading on the Amex since June 2001. The following VIPERs now also have options availability on the Amex:

--Vanguard Large-Cap VIPERs (VV)

--Vanguard Growth VIPERs (VUG)

--Vanguard Value VIPERs (VTV)

--Vanguard Extended Market VIPERs (VXF)

--Vanguard Mid-Cap VIPERs (VO)

--Vanguard Small-Cap VIPERs (VB)

--Vanguard Small-Cap Growth VIPERs (VBK)

--Vanguard Small-Cap Value VIPERs (VBR)

--Vanguard Consumer Discretionary VIPERs (VCR)

--Vanguard Consumer Staples VIPERs (VDC)

--Vanguard Energy VIPERs (VDE)

--Vanguard Financials VIPERs (VFH)

--Vanguard Health Care VIPERs (VHT)

--Vanguard Industrials VIPERs (VIS)

--Vanguard Information Technology VIPERs (VGT)

--Vanguard Materials VIPERs (VAW)

--Vanguard REIT VIPERs (VNQ)

--Vanguard Telecommunication Services VIPERs (VOX)

--Vanguard Utilities VIPERs (VPU)

Vanguard launched its first exchange-traded share class in May 2001 with the introduction of Total Stock Market VIPERs, and has since expanded its VIPER(R) family to 23 offerings covering domestic and international markets. Vanguard manages more than $350 billion in index fund assets, including some $9 billion in VIPERs.

The American Stock Exchange(R) (Amex(R)) is the only primary exchange that offers trading across a full range of equities, options, and exchange-traded funds (ETFs), including structured products and HOLDRS. In addition to its role as a national equities market, the Amex is the pioneer of the ETF, responsible for bringing the first domestic product to market in 1993. The Amex continues to lead the industry, currently listing 165 ETFs. The Amex is also one of the largest options exchanges in the United States, trading on broad-based and sector indexes as well as domestic and foreign stocks.

The Vanguard Group, headquartered in Valley Forge, Pennsylvania, is the nation's second-largest mutual fund firm and a leading provider of company-sponsored retirement plan services. Vanguard manages approximately $880 billion in U.S. mutual fund assets, including more than $260 billion in employer-sponsored retirement plans. Vanguard offers 130 funds to U.S. investors and more than 40 additional funds in foreign markets.

For more information on Vanguard funds, visit www.vanguard.com, or call 800-662-7447, to obtain a prospectus. Visit our website, call 866-499-VIPER, or contact your broker to obtain a product description and prospectus for Vanguard VIPER Shares. Investment objectives, risks, charges, expenses, and other important information are contained in these documents; read and consider them carefully before investing.

VIPER Shares are not redeemable with an Applicant Fund other than in Creation Unit aggregations. Instead, investors must buy or sell VIPER Shares in the secondary market with the assistance of a stock broker. In doing so, the investor will incur brokerage commissions and may pay more than net asset value when buying and receive less than net asset value when selling.

Options involve risk and are not suitable for all investors. Prior to buying or selling an option, a person must receive a copy of Characteristics and Risks of Standardized Options. Copies of this document may be obtained from your broker, from any exchange on which options are traded or by contacting The Options Clearing Corporation, One North Wacker Dr., Suite 500, Chicago, IL 60606 (1-800-678-4667). The document contains information on options issued by The Options Clearing Corporation. The document discusses exchange-traded options issued by The Options Clearing Corporation and is intended for educational purposes. No statement in the document should be construed as a recommendation to buy or sell a security or to provide investment advice. If you need further assistance, please feel free to call the Options Industry Council Helpline. They will be able to provide you with balanced options education and tools to assist you with your VIPERs options questions and trading. The Options Industry Council Helpline phone number is 888-Options and their website is www.888options.com.

All VIPERs are subject to risk, including possible loss of principal.

All Vanguard asset figures are as of July 31, 2005, unless otherwise noted.

Vanguard, VIPERs and VIPER are trademarks of The Vanguard Group, Inc. All other marks are the exclusive property of their respective owners.

U.S. Pat. No. 6,879,964 B2. Vanguard Marketing Corporation Distributor.