November 5, 1996 RE: Supplemental Proxy Material Dear Shareholder: The Fund's Shareholder Meeting scheduled for October 30, 1996 has been adjourned to December 3, 1996 at 9 a.m. The attached information should be substituted for that contained in the Fund's Proxy Statement dated August 22, 1996. Due to an error in transcription, the Fund's Proxy Statement was not complete. We are sorry for any inconvenience that this may have caused you. Enclosed is another proxy card for your use. In the event you have not voted, please return the enclosed proxy card in the envelope provided or call 1-800-733-8481, ext. 401. Sincerely, /s/ Richard A. Redeker Richard A. Redeker President ERRATA SHEET Total Outstanding Shares The total outstanding shares of the Fund are 434,807,707. Exhibit E - 5% Shareholder Report. As of August 9, 1996, the only beneficial owners, directly or indirectly, of 5% or more of the outstanding Shares of the Fund were: Name Shares - ------------------------------------------------------ -------------------- Prudential Timber Fund III 22,152,082 (5.0%) Attn: Frederick W. Blum The Prudential Center P.O. Box 990407 Boston, MA 02199-0407 Pruco Incorporated 44,299,345 (10.1%) The Prudential Insurance Company of America Attn: Rita Lombardi 213 Washington St., Stop 093 Newark, NJ 07102-2917 Prudential Healthcare Plan of California Inc. 103,765,154 (23.8%) Attn: Jennifer Sirotta GRP F-5800 Canoga Avenue WHW2 Woodland Hills, CA 91367-6503 Prusupply Capital Assets Inc. 25,985,178 (5.9%) Attn: Accounting Department c/o George Van Houten 3 Gateway Center, 10th Floor Newark, NY 07102-4000