BIV Vanguard Intermediate Term Bond

Supplement to the Statement of Additional Information

TRUSTEE ADDED TO VANGUARD FUNDS' BOARDS OF TRUSTEES

The boards of trustees of the Vanguard funds have added Emerson U. Fullwood as a trustee, effective January 1, 2008. The trustees set broad policies for the funds; select investment advisors; monitor fund operations, performance, and costs; nominate and select new trustees; and elect fund officers.

Mr. Fullwood's principal occupations and outside directorships during the past five years include: Executive Chief Staff and Marketing Officer for North America of Xerox Corporation (photocopiers and printers) since 2004; Corporate Vice President of Xerox Corporation since 1996; Director of SPX Corporation (multi-industry manufacturing company) since 1998; Director of United Way of Rochester since 1995; and Director of the Boy Scouts of America since 2000.

(C)2008 The Vanguard Group, Inc. All rights reserved. Vanguard Marketing Corporation, Distributor. SAI012008

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