2016 Interest on Direct U.S. Government Securities

In most states, mutual fund dividends from interest on direct U.S. government securities are exempt from state and local taxes. To determine this amount for each of your funds, multiply the "% of dividends from U.S. government securities" (shown below in Column 1) by the amount for that fund in Box 1a of your Form 1099-DIV.

Check the specific requirements for your state. For example, some states only allow exemptions on dividends for those funds holding a minimum percentage, usually 50%, of government securities at the end of each quarter. We indicate in Column 3, below, whether any of your investments meet this requirement.

State Intangible Property Tax

If you pay state intangible property tax on the value of your fund, you may be able to exclude a portion of such value attributable to the fund's investments in U.S. government securities. To determine this amount, multiply the "% of fund held in U.S. government securities on December 31, 2016" (shown below in Column 2) by the total value of your shares at year end. Consult your tax advisor or your state tax office for more information.

Interest on Direct U.S. Government Securities Tables
T. Rowe Price Domestic Stock Funds
  Column 1 Column 2 Column 3
  % of Dividends from U.S. Government Securities % of Funds Held in U.S. Government Securities on December 31, 2016 U.S. Government Securities are at Least 50% of Holdings at each Quarter End
Balanced 5.01% 7.24% No
Blue Chip Growth 0.04% 0.10% No
Capital Appreciation 0.99% 6.50% No
Capital Opportunity 0.06% 0.76% No
Diversified Mid-Cap Growth 0.04% 0.52% No
Dividend Growth 0.47% 4.31% No
Equity Income 0.12% 1.84% No
Equity Index 500 0.05% 0.19% No
Extended Equity Market Index 0.56% 4.74% No
Financial Services 0.22% 4.42% No
Growth & Income 0.51% 3.86% No
Growth Stock 0.28% 0.72% No
Health Sciences 0.12% No
Media & Telecommunications 0.66% 4.07% No
Mid-Cap Growth 3.08% No
Mid-Cap Value 0.31% 4.97% No
New America Growth 0.11% 1.34% No
New Era 0.12% 0.90% No
New Horizons 3.59% No
Personal Strategy Balanced 2.79% 4.98% No
Personal Strategy Growth 1.65% 3.57% No
Personal Strategy Income 4.48% 12.14% No
QM U.S. Small & Mid-Cap Core Equity 0.14% 2.82% No
QM U.S. Small-Cap Growth Equity1 0.53% No
QM U.S. Value Equity 0.07% 3.14% No
Real Assets 0.29% 2.03% No
Real Estate 0.55% 3.34% No
Science & Technology 7.01% No
Small-Cap Stock 0.24% 2.98% No
Small-Cap Value 0.26% 1.35% No
Tax-Efficient Equity 0.05% 0.17% No
Total Equity Market Index 0.30% 2.81% No
U.S. Large-Cap Core 0.56% 3.93% No
Value 0.07% 1.25% No
T. Rowe Price Taxable Bond Funds
  Column 1 Column 2 Column 3
  % of Dividends from U.S. Government Securities % of Funds Held in U.S. Government Securities on December 31, 2016 U.S. Government Securities are at Least 50% of Holdings at each Quarter End
Cash Reserves2 17.35% 15.51% No
Corporate Income 2.35% 5.20% No
Credit Opportunities 0.31% 9.85% No
Floating Rate 0.41% 11.44% No
GNMA 0.54% 1.59% No
Government Money3 50.98% 64.95% No
High Yield 0.15% 3.07% No
Inflation Protected Bond 75.18% 94.26% Yes
Limited Duration Inflation Focused Bond 67.04% 86.62% Yes
New Income 9.35% 16.41% No
Short-Term Bond 2.89% 7.45% No
Total Return 16.10% 15.48% No
Ultra Short-Term Bond 4.75% 8.87% No
U.S. Bond Enhanced Index 16.71% 24.50% No
U.S. Treasury Intermediate 89.20% 93.56% Yes
U.S. Treasury Long-Term 87.91% 94.25% Yes
U.S. Treasury Money 71.43% 59.47% Yes
T. Rowe Price Tax-Free Bond Funds
  Column 1 Column 2 Column 3
  % of Dividends from U.S. Government Securities % of Funds Held in U.S. Government Securities on December 31, 2016 U.S. Government Securities are at Least 50% of Holdings at each Quarter End
California Tax-Free Bond No
California Tax-Free Money N/A No
Georgia Tax-Free Bond No
Intermediate Tax-Free High Yield No
Maryland Short-Term Tax-Free Bond N/A No
Maryland Tax-Free Bond N/A No
Maryland Tax-Free Money N/A No
New Jersey Tax-Free Bond N/A No
New York Tax-Free Bond No
New York Tax-Free Money N/A No
Summit Municipal Income No
Summit Municipal Intermediate No
Summit Municipal Money Market N/A No
Tax-Exempt Money N/A No
Tax-Free High Yield No
Tax-Free Income No
Tax-Free Short-Intermediate N/A No
Virginia Tax-Free Bond N/A No
T. Rowe Price International/Global Stock and Bond Funds
  Column 1 Column 2 Column 3
  % of Dividends from U.S. Government Securities % of Funds Held in U.S. Government Securities on December 31, 2016 U.S. Government Securities are at Least 50% of Holdings at each Quarter End
International/Global Stock Funds
Africa & Middle East 0.04% No
Asia Opportunities 0.07% 1.00% No
Emerging Europe 0.08% No
Emerging Markets Stock 0.13% 2.03% No
Emerging Markets Value Stock 0.08% 2.53% No
European Stock 0.09% 2.67% No
Global Allocation 5.19% 12.50% No
Global Consumer 0.13% 5.99% No
Global Growth Stock 0.01% 0.14% No
Global Industrials 0.23% 1.88% No
Global Real Estate 0.24% 1.62% No
Global Stock 0.12% 0.63% No
Global Technology 0.51% No
International Concentrated Equity 0.28% 3.23% No
International Discovery 0.38% 4.87% No
International Equity Index 0.02% 0.61% No
International Value Equity4 0.21% 3.76% No
International Stock 0.16% 2.03% No
Japan 0.06% 1.05% No
Latin America 0.13% 1.09% No
New Asia 0.14% 1.94% No
Overseas Stock 0.18% 1.99% No
QM Global Equity 0.04% 0.33% No
International/Global Bond Funds
Emerging Markets Bond 0.13% 3.53% No
Emerging Markets Corporate Bond 0.11% 0.03% No
Emerging Markets Local Currency Bond N/A 4.43% No
Global High Income Bond 0.11% 3.57% No
Global Multi-Sector Bond 3.84% 7.80% No
Global Unconstrained Bond 0.38% 3.77% No
International Bond N/A 2.59% No
T. Rowe Price Retirement, Spectrum, and Target Funds
  Column 1 Column 2 Column 3
  % of Dividends from U.S. Government Securities % of Funds Held in U.S. Government Securities on December 31, 2016 U.S. Government Securities are at Least 50% of Holdings at each Quarter End
Retirement 2005 9.80% 21.40% No
Retirement 2010 8.35% 18.89% No
Retirement 2015 6.89% 14.99% No
Retirement 2020 5.09% 10.31% No
Retirement 2025 3.85% 7.37% No
Retirement 2030 2.78% 5.11% No
Retirement 2035 1.70% 3.42% No
Retirement 2040 1.36% 2.93% No
Retirement 2045 1.18% 2.77% No
Retirement 2050 1.23% 2.76% No
Retirement 2055 1.13% 2.81% No
Retirement 2060 0.97% 2.89% No
Retirement Balanced 14.33% 29.72% No
Retirement I 2005 - I Class 11.11% 21.04% No
Retirement I 2010 - I Class 9.35% 18.90% No
Retirement I 2015 - I Class 7.45% 15.02% No
Retirement I 2020 - I Class 4.81% 10.21% No
Retirement I 2025 - I Class 3.26% 7.41% No
Retirement I 2030 - I Class 2.01% 5.08% No
Retirement I 2035 - I Class 1.04% 3.55% No
Retirement I 2040 - I Class 0.79% 3.00% No
Retirement I 2045 - I Class 0.73% 2.92% No
Retirement I 2050 - I Class 0.70% 2.86% No
Retirement I 2055 - I Class 0.73% 2.91% No
Retirement I 2060 - I Class 0.71% 2.62% No
Retirement Balanced I - I Class 16.57% 28.17% No
Spectrum Growth 0.16% 1.90% No
Spectrum Income 4.15% 10.85% No
Spectrum International 0.15% 2.54% No
Target20055 10.21% 23.32% No
Target 20105 10.48% 23.16% No
Target 20155 10.21% 22.70% No
Target 20205 10.21% 20.43% No
Target 20255 8.72% 16.74% No
Target 20305 5.68% 11.14% No
Target 20355 3.52% 6.73% No
Target 20405 2.27% 4.36% No
Target 20455 1.83% 3.83% No
Target 20505 1.44% 3.34% No
Target 20555 1.23% 2.97% No
Target 20605 1.13% 2.86% No

1 Formerly T. Rowe Price Diversified Small-Cap Growth

2 Formerly T. Rowe Price Summit Cash Reserves

3 Formerly T. Rowe Price Prime Reserve

4 Formerly T. Rowe Price International Growth & Income

5 Formerly T. Rowe Price Target Retirement

Percentages are the same for all fund classes (Investor, Advisor, R, and I classes and Portfolio and Portfolio—II classes). For more information, please visit our website for financial intermediaries at www.troweprice.com/fi/distributions.

N/A indicates that a fund did not pay a dividend or short-term capital gain, or pass through foreign tax paid.

A dash indicates that the fund paid a dividend or short-term capital gain, but the income was not from government securities.