10 Basis Point Fees Can't Be Raised Without Shareholder Vote;
VIP Index 500 Portfolio Added to Low-Fee Lineup

BOSTON, March 1, 2005 - Fidelity Investments today announced that it has rewritten the contracts of five diversified domestic equity index funds to contractually bind the funds to total expenses each of 10 basis points, or 0.10 percent. The action means the fees of these funds cannot be raised without a vote of the funds' shareholders.

The five funds include several whose fees were voluntarily reduced and capped at 10 basis points in August 2004 -- Fidelity Spartan 500 Index Fund, Fidelity Spartan U.S. Equity Index Fund, Fidelity Spartan Total Market Index Fund, and Fidelity Spartan Extended Market Index Fund. In addition, Fidelity has taken the same action on VIP Index 500 Portfolio - contractually binding the fund's expenses at 10 basis points. Finally, a similar contractual arrangement binds the expenses of Spartan International Index Fund at 0.20 percent, or 20 basis points. However, expenses of the fund will continue to be voluntarily capped at 10 basis points.

"Fidelity is firmly committed -- in no uncertain terms -- to providing investors with high-quality index funds that are not only among the lowest cost in the market, but also contractually bound to stay that way," said Jeff Carney, president, Fidelity Personal Investments.

"When we voluntarily capped expenses of these funds at 10 basis points last year, we stated that we had no plans to lift the voluntary caps and that we viewed the action as a long-term initiative," said Carney. "Despite questions raised by our competitors as to our commitment to low index fund fees, investors responded enthusiastically and since then have entrusted Fidelity with more than $2 billion in new index fund assets. Now, with today's move, investors in these funds can be assured that the only way their 10 basis point expenses will increase is if they vote to raise them."

Today's action is the latest in a series of efforts on the part of Fidelity to provide its individual investors with the highest quality financial products and services at the most competitive prices. Over the past two years, the company has made third-party independent research, as well as access to industry-leading analyst recommendations and performance data, available to customers on Fidelity.com at no extra charge; simplified and disclosed retail fixed-income concessions ranging from $1 to $5 per bond along with a 50 percent online trading discount, retail pricing caps and free online trading of treasuries at auction; eliminated the $50 annual brokerage fee for new and existing IRA customers; eliminated front-end charges on dozens of mutual funds making Fidelity's entire product line of funds sold directly to investors load free; and launched a new information center on Fidelity.com dedicated to exchange-traded funds (ETFs) that offers a variety of information, guidance tools research and trading access to 150 different ETFs.

Additionally, contractually binding the expenses of VIP 500 Index Portfolio at 10 basis points brings Fidelity's commitment to exceptionally low-cost index funds to the universe of annuities and insurance products. VIP Index 500 Portfolio formerly had expenses of 0.28 percent, and is available through insurance products issued by Fidelity Investments Life Insurance Company as well as other leading annuity providers and insurers that have relationships with Fidelity Investments Institutional Services Company, Inc.

Fidelity offers investors a total of nine index funds with more than $47 billion in assets as of December 31, 2004.

"For more than a half century, we have provided investors with the finest in actively managed equity funds," said Carney. "Active management remains our heritage and our core business. At the same time, as witnessed by our recent brokerage product offerings and enhancements, we've long recognized that investors want a broad range of investment choices, and index funds are an important part of our mutual fund product line. Over the past 15 years, since we launched our first index fund, we've grown into one of the largest providers of index funds in the country."

Fidelity Investments is one of the world's largest providers of financial services, with custodied assets of $2.1 trillion, including managed assets of $1.1 trillion as of December 31, 2004. Fidelity offers investment management, retirement planning, brokerage, human resources and benefits outsourcing services to more than 19 million individuals and institutions as well as through 5,500 financial intermediaries. The firm is the largest mutual fund company in the United States, the No. 1 provider of workplace retirement savings plans, one of the largest mutual fund supermarkets and a leading online brokerage firm. For more information about Fidelity Investments, visit www.fidelity.com.

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Please carefully consider the fund's investment objectives, risks, charges and expenses before investing. For this and other information, call or write to Fidelity or visit fidelity.com for a free prospectus. Read it carefully before you invest or send money.

Fidelity Distributors Corporation, 82 Devonshire Street, Boston, MA 02109