Amana Income Fund (AMANX)

Total Return (Before Taxes) for the years ended December 31
		Best Quarter	Q4 2003	16.4%
		Worst Quarter	Q3 2002	-16.5%
Annual Average Total Returns as of December 31,2006		1 Year	5 Years	10 Years
Return before taxes		21.20%	12.17%	9.70%
Return after taxes on distributions		20.83%	11.81%	8.73%
Return after taxes on distributions and sale of Fund shares		14.23%	10.45%	7.73%
S&P 500 Index¹		15.84%	6.19%	8.42%
¹Standard & Poor’s 500 Index is a widely recognized index of 500 common stock prices, which reflects no deduction for fees, expenses or taxes. Note: 2007 year-to-date return is 10.95% (December 30, 2006 through quarter ending June 30, 2007).

Amana Growth Fund (AMAGX)

Total Return (Before Taxes) for the years ended December 31
		Best Quarter	Q4 1999	62.7%
		Worst Quarter	Q3 2002	-18.7%
Annual Average Total Returns as of December 31,2006		1 Year	5 Years	10 Years
Return before taxes		15.41%	11.34%	13.13%
Return after taxes on distributions		15.41%	11.34%	12.97%
Return after taxes on distributions and sale of Fund shares		10.02%	9.92%	11.75%
S&P 500 Index¹		18.48%	11.45%	9.52%
¹The Russell 2000 Index ® is a widely recognized index of common stock prices of 2000 mid- and smaller-market capitalization companies, which reflects no deduction for fees, expenses or taxes. Note: 2007 year-to-date return is 10.21% (December 30, 2006 through quarter ending June 30, 2007).

After-tax returns are calculated using the historical highest individual federal marginal income tax rates but do not reflect the impact of any state or local taxes. Actual after-tax returns depend on an investor’s tax situation and likely differ from those shown. After-tax illustrations are not relevant to retirement plan, corporate, trust or other investors taxed at special rates. In loss periods, the average after-tax total return may be higher than average annual total return because of an assumed credit against other income.

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Fees and Expenses

This table describes the fees and expenses that Growth Fund and Income Fund shareowners may pay. There are no shareowner fees (fees paid directly from an investment). The Funds impose no sales charge (load) on purchases or reinvested dividends, or any deferred sales charge (load) upon redemption. There are no exchange fees or account fees. There are no fees charged to retirement plan accounts.

To discourage speculation and market timing, a 2% penalty will be assessed on shares redeemed within 30 calendar days of purchase. If requested, a $15 fee will be assessed on redemption checks for overnight courier service. There is also a $25 fee for any outgoing bank wires ($35 for international wires).

The following table illustrates operating expenses of the Funds for the fiscal year ending May 31, 2007:

Expenses Example
The example below is intended to help investors compare the cost of investing in an Amana Fund with the cost of investing in other mutual funds.

The example assumes an investor invests $10,000 in a Fund for the time periods indicated and then redeems at the end of those periods. The example also assumes that the investment has a 5% return each year and that the Fund’s operating expenses remain the same. Although actual costs may be higher or lower, based on these assumptions an investor’s cumulative expenses would be:

Investment Information

Shareowners receive a financial report showing the investment returns, portfolios, income and expenses of each Fund every six months. A copy of the audited financial statements of the Funds for the period ending May 31, 2007, in the Funds’ Annual Report is available upon request. Investors may obtain current share prices daily in some newspapers, by calling 888/73-AMANA, on electronic quotation systems (symbols: AMANX [Income Fund] and AMAGX [Growth Fund]), and on the Internet at www.amanafunds.com. This Prospectus, financial reports, performance information, proxy voting records and other useful information is also available at www.amanafunds.com. Portfolio holdings are provided each month-end on the Internet (see the Statement of Additional Information for a description of portfolio disclosure policies).

Investment Objectives

The primary objective of the Growth Fund is long-term capital growth, consistent with Islamic principles. The objectives of the Income Fund are current income and preservation of capital, consistent with Islamic principles; current income is its primary objective.

There can be no guarantee that the particular investment objectives of either Fund will be realized.

Investment Strategies

Amana Mutual Funds Trust is designed to provide investment alternatives that are consistent with Islamic principles. Generally, Islamic principles require that investors share in profit and loss, that they receive no usury or interest, and that they do not invest in a business that is prohibited by Islamic principles. Some of the businesses not permitted are liquor, wine, casinos, pornography, insurance, gambling, pork processing, and interest-based banks or finance associations.

The Funds do not make any investments that pay interest. In accordance with Islamic principles, the Funds shall not purchase bonds, debentures, or other interest-paying obligations of indebtedness.

These criteria limit investment selection and income-earning opportunities more than is customary for other mutual funds.

The Adviser, Saturna Capital Corporation, selects investments. To ensure that investments meet the requirements of the Islamic faith, the Adviser follows guidelines established by the Fiqh Council of North America, a non-profit organization serving the Muslim community.

The policy of the Income Fund is to invest at least 80% of its assets in income-producing equity securities, such as dividend-paying

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common stocks. Some assets may be held as cash to cover short-term needs, such as redemptions, and for temporary defensive purposes.

Under normal circumstances, it is the policy of the Growth Fund to invest at least 80% of assets in common stocks. The Adviser selects investments primarily on past earnings and revenue growth rates and the expectation of increases in earnings and share price.

Both Funds favor companies trading for less than the Adviser’s assessment of intrinsic value, which typically means companies with relatively low price/earning multiples, strong balance sheets and proven businesses. To the extent the Funds invest in foreign securities, they invest only in foreign securities available for trading and settlement in the United States, primarily in American Depositary Receipts.

Both Funds seek to minimize potential current income taxes paid by shareowners, where the basic strategies to be favored are (1) infrequent trading, (2) offset capital gains with losses and (3) sell highest-cost tax-lots first.

During uncertain market or economic conditions, a Fund may adopt a temporary, defensive position. The Funds cannot invest in interest-paying instruments frequently used by other mutual funds for this purpose. When markets are unattractive, the Adviser chooses between continuing to follow the Funds’ investment policy or converting securities to cash for temporary, defensive purposes. This choice is based on the Adviser’s evaluation of market conditions and the Funds’ portfolio holdings. While cash assets do not contribute to the Income Fund’s primary objective of current income (or the Growth Fund’s objective of long-term capital growth), they do assist its secondary objective of preservation of capital.

Risks

Investing in securities entails both market risks and risk of price variation in individual securities. Common stock investments involve greater risk, and commensurately greater opportunity for reward, than some other investments, such as investments in short-term bonds and money market instruments.

Islamic principles restrict the Funds’ ability to invest in certain stocks and market sectors, such as financial companies and fixed-income securities. This may limit opportunities and possibly increase the risk of loss during market declines.

By diversifying its investments, each Fund reduces the risk of owning only a few securities. The Growth Fund typically invests in smaller and less seasoned companies than the Income Fund, which may lead to greater variability in Growth Fund’s returns. Growth stocks, which can be priced on future expectations rather than current results, may decline substantially when expectations are not met or general market conditions weaken. The Growth Fund is suitable for investors seeking higher returns and willing to accept greater fluctuations in value (risk) than Income Fund investors.

Investing in foreign securities involves risks not typically associated directly with investing in U.S. securities. These risks include fluctuations in exchange rates of foreign currencies; less public information with respect to issuers of securities; less governmental supervision of exchanges, issuers and brokers; and lack of uniform accounting, auditing, and financial reporting standards. There is also a risk of adverse political, social or diplomatic developments that affect investment in foreign countries.

Investment Adviser

Saturna Capital Corporation, 1300 N. State Street, Bellingham, Washington 98225, is the Trust’s investment Adviser and administrator. The Adviser’s wholly-owned subsidiary, Saturna Brokerage Services, Inc., is the Trust’s distributor. Founded in 1989, Saturna Capital Corporation is also the adviser to Saturna Investment Trust and to separately managed accounts. The Adviser had $895 million in assets under management as of June 30, 2007. For the 12 months ended May 31, 2007, each Fund paid the Adviser an advisory fee of 0.95% of average daily net assets. Beginning with the date of this Prospectus, Saturna Capital has contractually undertaken to reduce the advisory fee to: 0.95% on the first $500 million of a Fund’s average daily net assets, 0.85% on the next $500 million, and 0.75% on assets over $1 billion. This undertaking may not be rescinded without approval of the Funds’ Board of Trustees. A discussion regarding the basis for the board of trustees renewing the advisory contracts is available in the Funds’ Semi-Annual Report every November.

Mr. Nicholas Kaiser, MBA, CFA, is president and controlling shareowner of Saturna Capital Corporation. Since 1990, Mr. Kaiser has been the person primarily responsible for the day-to-day management of both Amana Funds. Mr. Kaiser has managed equity mutual funds since 1976. See the Statement of Additional Information for discussion of his compensation, other accounts managed and ownership of Amana Funds.

Pricing of Fund Shares

Each Fund computes its price per share each business day by dividing the value of all of its securities and other assets, less liabilities, by the number of shares outstanding. The Funds compute their daily prices using market prices as of the close of trading on the New York Stock Exchange (generally 4 p.m. New York time). The Funds’ shares are not priced on the days when New York Stock Exchange trading is closed (weekends and national holidays). The price applicable to purchases or redemptions of shares of each Fund is the price next computed after receipt of a purchase or redemption order. If a market price is not readily available, a fair value price is used under procedures adopted by the Trustees. Using fair value to price securities may result in a value that is different from a security’s most recent closing price and from the prices used by other mutual funds to calculate their net asset values.

How To Buy Shares

IMPORTANT INFORMATION ABOUT PROCEDURES FOR OPENING A NEW ACCOUNT: To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account. What this means for you: When you open an account, we will ask for your name, address, date of birth, and other information that will allow us to identify you. For most accounts, we will ask for a photocopy of your driver’s license or other identifying documents.

You may open an account and purchase shares by sending a completed application and a photocopy of a government issued identity document and a check for $250 or more ($100 under a group or retirement plan) to the Fund of your choice. The Funds do not accept initial orders unaccompanied by payment nor by telephone. The price applicable to purchases and redemptions of Fund shares is the price next computed after receipt of a purchase or redemption order by the Fund’s transfer agent (Saturna Capital). There are no sales charges or loads. The Funds may reject purchases for any reason, such as excessive trading or anti-money laundering

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regulations which limit acceptance of third-party checks and money orders.

Shareowners may purchase additional shares at any time in minimum amounts of $25. Once an account is open, purchases can be made by check, by electronic funds transfer, or by wire. With your authorization, purchase orders can be entered on line at www.amanafunds.com.

Shareowners may authorize the use of electronic funds transfer (via the Automated Clearing House system [“ACH”]) to purchase or redeem shares by completing the appropriate section of the application. The authorization must be received at least two weeks before ACH can be used. To use ACH to purchase or redeem shares, simply call Saturna Capital. Investors also may wire money to purchase shares, though the wiring bank typically charges a fee for this service. Be sure Saturna Capital is notified when wiring money.

Each time shares are purchased or redeemed, a confirmation is mailed and/or emailed showing the details of the transaction as well as the current number and value of shares held. Share balances are computed in full and fractional shares, expressed to three decimal places.

The Funds offer several optional plans and services, including free Individual Retirement Accounts. Other free services offered by the Funds include an automatic investment plan, a systematic withdrawal plan, internet access to account information, Health Savings Accounts, Education Savings Accounts, zakah (Islamic charitable obligation) computation, and the right to exchange your shares without charge for any other no-load mutual fund for which Saturna Capital is the investment adviser. Free materials describing these plans and applications may be obtained from Saturna Capital by visiting www.saturna.com or by calling toll free 800/SATURNA.

How to Redeem Shares

Shareowners may redeem all or part of their investment on any business day of the Funds. The Funds pay redemptions in US dollars, and the amount per share received is the price next determined after receipt of a redemption request. The amount received depends on the value of the investments of that Fund at that day and may be more or less than the cost of the shares being redeemed.

The Funds normally pay proceeds of redemptions within three days after a proper instruction is received. To allow time for clearing of funds used to purchase shares being redeemed, redemption of those shares may be restricted for up to 14 calendar days.

There are several methods you may choose to redeem shares:

Written request

Write:
Amana Mutual Funds
Box N
Bellingham WA 98227-0596

Or Fax: 360 / 734-0755

You may redeem shares by a written request and choose one of the following options for the proceeds:

• Redemption check (no minimum).
• Federal funds wire ($5000 minimum). A wire fee of $25 will be charged to your account ($35 for international wires). International wires may require additional information such as payee description and the purpose of the wire.

Note: Signatures on written requests may, such as payments directed to a third party, need to be guaranteed by a national bank, trust company or by a member of a national securities exchange.

Telephone request

Call: 800 / 728-8762 or 360 / 734-9900

Unless you notify us to the contrary in advance, you may redeem shares by a telephone request and choose one of the following options for the proceeds:

• Redemption check (no minimum) sent to registered owner(s). Note: Redemption checks sent to other than registered owners may require a written request.
• ACH transfer ($100 minimum) with proceeds transferred to your bank account as designated by the ACH authorization on your application. The transfer agent must receive the ACH authorization at least two weeks before ACH transfer can be used.
• Exchange (in at least the minimum established by the Fund being purchased) for shares of any other Fund for which Saturna Capital is adviser. If the exchange is your initial investment into this Fund, the new account will automatically have the same registration as your original account.

For telephone requests, the Funds will endeavor to confirm that instructions are genuine and may be liable for losses if they do not. The caller must provide:

• the name of the person making the request,
• the name and address of the registered owner(s),
• the account number,
• the amount to be withdrawn, and
• the method for payment of the proceeds.

The transfer agent may also require a form of personal identification. Neither the transfer agent nor the Funds will be responsible for the results of transactions they reasonably believe genuine.

Check writing

Shareowners may also redeem by writing checks for amounts of $500 or more. Upon request, a Fund provides a small book of blank checks for a $10 fee, which may then be used to write checks to any payee. Checks are redeemed at the share price next determined after receipt by the transfer agent. To use this feature, request the Check Writing Privilege on the Application. Although you may use checks sent to you by the Funds for any payment, for legal reasons we cannot honor any other kind of check. If you use any other type of check, it will be returned unpaid.

Frequent Trading Policy

The Trustees have adopted certain policies and procedures with respect to frequent trading of Fund shares. The Funds are intended for long-term investment and do not permit rapid trading of their shares. Rapid trading may lead to higher portfolio turnover which can increase costs to shareowners and negatively impact performance. Shares held less than 30 calendar days will be assessed a 2% early redemption fee (payable to the Fund). Reinvestments may be restricted for up to six months after a redemption if a Fund detects what it considers to be short-term or rapid trading.

As a shareowner of a Fund, you are subject to this policy whether you own shares directly or through a broker, bank, retirement plan or other intermediary.

Shares may also be purchased and sold through broker-dealers, banks and retirement plan administrators having agreements with

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the Funds according to those agreements. These intermediaries may charge investors, and/or require the adviser/distributor to the Funds to share revenues, for their services.

The Funds often receive orders through financial intermediaries who trade Fund shares through omnibus accounts (i.e., a single account in which the transactions of individual shareowners are combined). When possible, the Funds obtain contractual agreements with intermediaries to enforce the Funds’ redemption policies, and rely on intermediaries to have reasonable procedures in place to detect and prevent market timing of Fund shares. The Funds cannot always identify all intermediaries, or detect or prevent excessive trading that may be facilitated by these intermediaries or by the use of omnibus accounts. Some intermediaries trade shares of several funds and cannot always enforce a particular fund’s policies.

Investors should be aware that intermediaries might have policies different than the Funds regarding trading and redemptions, and these may be in addition to or in place of the Funds’ policies. For more information about these restrictions and policies, please contact your broker, retirement plan administrator or other intermediary.

The Funds will periodically review trading activity of omnibus accounts and look for activity that may indicate potential frequent trading or market timing. If the Funds detect suspicious trading activity, they will seek the assistance of the intermediary to investigate that trading activity and take appropriate action, including prohibiting additional purchase of Fund shares by an intermediary’s client.

Exemptions

The Funds may exempt certain transactions from the 2% redemption fee. These exemptions include:

• Emergency situations (such as death or disability)
• Retirement plan situations (such as required minimum distributions)
• Reinvestment of dividends or distributions
• Involuntary distributions (such as those required by employer decisions such as termination or plan restructuring)
• Systematic withdrawal plans

The Funds’ Statement of Additional Information contains further details about exemptions.

Distributions

Each Fund intends to distribute its net investment income and net realized capital gains, if any, to its shareowners. Distributions from net capital gains are paid at the end of December and May; income dividends are paid in December and May for the Income Fund and in December for the Growth Fund. As a result of its investment strategies, the Growth Fund does not expect to pay income dividends.

Both dividends and capital gain distributions are automatically reinvested in additional full and fractional shares of the Fund owned. At your option, you may receive dividends or capital gain distributions in cash. Cash dividends returned to us are automatically reinvested in additional shares of the distributing Fund. You are notified of each dividend and capital gain distribution when paid.

Tax Information

Distributions are subject to income tax, whether they are paid in cash or reinvested in additional Fund shares, depending on the type of distribution, the type of your account, and your city, state, and country of tax residence. Income dividends paid by the Funds will normally be eligible for the 15% “qualified dividend income” tax rate (reduced to 5% in 2007 and 0% in 2008 for investors in the 10% and 15% income tax brackets, respectively).

Any redemption, including exchanges and checks written by shareowners, constitutes a sale for U.S. income tax purposes, and investors may realize a capital gain or loss on redemptions.

After the end of each calendar year, shareowners receive a complete annual statement, which should be retained for tax accounting. Saturna Capital keeps each account’s entire investment transaction history, and helps shareowners maintain the tax records needed to determine reportable capital gains and losses as well as dividend income.

Each January, the Funds’ transfer agent reports to each shareowner (consolidated by U.S. taxpayer identification number) and to the IRS the amount of each redemption transaction of the shareowner and the amount of dividends and capital gains distributions he or she received, for the preceding calendar year. Capital gains a Fund distributes may be taxed at different rates, depending on the length of time the Fund held its investments on which the gains were realized.

To avoid being subject to federal backup withholding tax on dividends and other distributions, you must furnish your correct Social Security or other tax payer identification number.

Shareowners who are not U.S. taxpayers may be subject to a foreign withholding tax on income dividends (other than “interest-related dividends” and “short-term capital gain dividends”). Capital gain distributions paid by the Funds generally are not subject to foreign withholding.

Distribution Plan

The Funds have distribution plans under Rule 12b-1 that allow each Fund to pay distribution and other fees for the sale of shares and services provided to shareowners. Under the plan, each Fund may pay up to 0.25% annually of its average daily net assets. Because these fees are paid out of a Fund’s assets on an on-going basis, over time these fees will increase the cost of your investment and may cost you more than paying other types of sales charges.

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Financial Highlights

These tables are to help you understand each Fund’s financial performance. The top section reflects financial results for a single Fund share. The total returns represent the rate that an investor earned (or lost) on an investment in each Fund, assuming reinvestment of all dividends and other distributions and without regard to income taxes. Tait, Weller & Baker, LLP, the independent registered public accounting firm for the Funds, audited this information. Their report and each Fund’s financial statements are in the Trust’s annual report (available free upon request from Saturna Capital).

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Account Type and Name (select only one, except for Joint Ownership)

Residence Address

Investment Selection (Minimum $250 per Fund; please write separate checks payable to each Fund selected.)

Be sure to fill out and sign the reverse side of this application.

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Internet Services

Please send transaction confirmations and shareowner reports to me via email:
[ ] Instead of paper mailings (save paper & postage) [ ] In addition to paper mailings

Please contact Saturna to establish a PIN for internet access to your account.

Telephone Redemption Privileges
You automatically have telephone redemption by check and telephone exchange privileges unless you strike this line. Each Fund endeavors to confirm that instructions are genuine and it may be liable for losses if it does not. (Procedures may include requiring a form of personal identification. The Fund also provides written confirmation of transactions.)

ACH Telephone Transfer Privilege Please attach a voided check.
[ ] To transfer funds by ACH at no charge to or from my (our) bank account, I (we) authorize electronic fund transfers through the Automated Clearing House (ACH) for my (our) designated US bank account.

Automatic Investment Plan Please attach a voided check.
Invest $ ______ into [ ] Income Fund and/or $ ______ into [ ] Growth Fund on the ____ day of each month (the 15th unless another date is chosen) by ACH transfer from my (our) US bank account. This plan may be canceled at any time.

Check Writing Privilege ($500 per check minimum)
($10 charge per checkbook, $25 charge per checkbook outside the US)

I (We) request the Custodian to honor checks drawn by me (us) on my (our) [ ] Income Fund and/or [ ] Growth Fund account subject to acceptance by the Trust, with payment to be made by redeeming sufficient shares in my (our) account. None of the custodian bank, Saturna Capital Corporation nor Amana Mutual Funds Trust shall incur any liability to me (us) for honoring such checks, for redeeming shares to pay such checks, or for returning checks which are not accepted. Although you may use checks sent to you by the Funds for any payment, for legal reasons we cannot honor any other kind check. If you use any other type of check, it will be returned unpaid.

[ ] Single Signature Authority (for checkbook only) -- Joint Accounts Only: (Checks for joint accounts require both signatures unless this box is marked to authorize checks with a single signature.) By our signatures below, we agree to permit check redemptions upon the single signature of a joint owner. The signature of one joint owner is on behalf of himself and as attorney in fact on behalf of each other joint owner by appointment. We hereby agree with each other, with the Trust and with Saturna Capital Corporation that all moneys now or hereafter invested in our account are and shall be owned as Joint Tenants with Right of Survivorship, and not as Tenants in Common.

Identification (attach clear photocopy)

(Graphic omitted)

(You may also establish identity with a copy of passport or other government document)

(You may also establish identity with a copy of passport or other government document)

Signatures

The undersigned warrant(s) that I (we) have full authority to make this Application, am (are) of legal age, and have received and read a current Prospectus and agree to be bound by its terms. Unless this sentence is struck, I (we) certify, under penalties of perjury, that I (we) am (are) not subject to backup withholding under the provisions of section 3406(a)(1)(C) of the Internal Revenue Code. This application is not effective until it is received and accepted by the Trust.

(Graphic omitted)

Return completed application to: Saturna Capital / Amana Mutual Funds
P.O. Box N
Bellingham, WA 98227-0596

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