<PAGE>
PAGE 1
FINANCIAL PLANNING
IDS Tax-Exempt Bond Fund
1993 annual report
(prospectus enclosed)
(Icon of) shield with Greek column
The goal of IDS Tax-Exempt bond Fund, Inc. is to earn as much
current income exempt from federal income taxes as possible with
only modest risk to the shareholder's investment by investing
primarily in investment grade bonds and other debt securities.
IDS
An American Express company
AMERICAN
EXPRESS
Distributed by IDS Financial Services Inc.
<PAGE>
PAGE 2
(icon of) shield with Greek column
Double-barreled benefit
Most of the public facilities that we take for granted -- schools,
water and sewer systems, highways, government buildings -- are, in
effect, largely funded by loans from citizens. These loans take
the form of state and local government bonds (called "municipals")
which are bought by investors, including Tax-Exempt Bond Fund. The
government gets the funding it needs, while the bond-buyers,
including fund shareholders, get ongoing interest income. But
there's another, bigger benefit with municipals: Investors pay no
federal taxes on the income they generate and potentially no state
taxes.
<PAGE>
PAGE 3
Contents
(Icon of) One book inside of another and their both being opened
together.
The purpose of this annual report is to tell investors how the fund
performed.
The prospectus which is bound into the middle of this annual
report, describes the fund in detail.
1993 annual report
From the president 4
From the portfolio manager 4
Ten largest holdings 6
Making the most of your fund 7
Long-term performance 8
Independent auditors' report 9
Financial statements 10
Notes to financial statements 13
Investments in securities 18
IDS mutual funds 27
Federal income tax information 30
1993 prospectus
The fund in brief
Goal 3p
Types of fund investments 3p
Manager and distributor 3p
Portfolio manager 3p
Sales charge and fund expenses
Sales charge 4p
Operating expenses 4p
Performance
Financial highlights 5p
Total returns 6p
Yield 7p
Key terms 8p
How to buy, exchange or sell shares
How to buy shares 9p
How to exchange shares 11p
How to sell shares 11p
Reductions of the sales charge 15p
Waivers of the sales charge 16p
Special shareholder services
Services 17p
Quick telephone reference 17p
Distributions and taxes
Dividend and capital gain distributions 18p
Reinvestments 18p
Taxes 19p<PAGE>
PAGE 4
Investment policies
Facts about investments and their risks 22p
Valuing assets 24p
How the fund is organized
Shares 25p
Voting rights 25p
Shareholder meeting 25p
Directors and officers 25p
Investment manager and transfer agent 27p
Distributor 28p
About IDS
General information 29p
Appendix
1994 Federal tax information 30p
<PAGE>
PAGE 5
To our shareholders
(Photo of) William Pearce, President of the fund
(Photo of) Terry Seierstad, Portfolio manager
From the president
As you read this report, you'll find it very different from those
you've received from us in the past. We've made substantial
changes in the design and organization to make the information
easier to find and understand.
The annual report and prospectus are combined into a single into a
single document, and each provides information important to you.
The annual report gives you the fund's performance information and
a snapshot of its investments. A good place to begin is with the
portfolio manager's letter, which describes the events and
investment strategies that most influenced the fund's performance
during the year. The prospectus includes essential data such as
the fund's investment policies and service information.
In redesigning our reports, we asked IDS financial planners and
some of you for suggestions and recommendations. We believe you'll
find the results of our work worthwhile.
William R. Pearce
From the portfolio manager
A restructuring of the portfolio, combined with a favorable
environment for bonds, produced attractive results for shareholders
of IDS Tax-Exempt Bond Fund during the fiscal year ended Nov. 30,
1993.
We expected the year to be characterized by moderate economic
growth and a relatively low rate of inflation and fairly stable
interest rates. That forecast proved to be largely accurate. We
began the year with the goal of modifying the portfolio to take
advantage of declining long-term interest rates. Consequently, we
sold some intermediate-maturity bonds with less yield in favor of
bonds with longer maturities and greater yield, and reduced the
cash level of the fund.
We also added some bonds with lower credit ratings (although still
of investment-grade quality), because they offer higher yields;
however, risk to an individual shareholders' investment principal
is minimized by the overall high credit quality of the portfolio.
Finally, we continued throughout the period to focus on a value
approach to investing, meaning that we looked for buying
opportunities among bargain-priced bonds and selling opportunities
among fully priced bonds.
Bond market strong
The fiscal year started off on a very positive note for bonds, as
optimism that the new administration and Congress would make
progress on the federal budget deficit drove long-term interest
rates lower and bond prices higher. The market rally continued
for most of the first half of the fiscal year before settling into<PAGE>
PAGE 6
a "trading range" -- that is, no sustained moves up or down. In
late summer, interest rates eased downward again, sparking periodic
rallies.
This interest-rate trend benefited the fund by providing price
appreciation on the portfolio's holdings. (As interest rates
decline, bond prices go up.) The fund also profited from the
longer-maturity bonds that were added earlier in the year and which
appreciate the most during rate declines.
In mid-October, however, interest rates began to rise somewhat,
based primarily on feats that the economy was beginning to grow
much faster and that would tighten credit (which increases interest
rates) to keep inflation in check.
Overall, the municipal bond market performed well throughout the
year, despite a large supply issues. The municipal bond market, as
a whole, under-performed the Treasury market during the fiscal
year, but we expect the stage is set for 1994 to be an especially
good period for municipals.
Fundamentals still positive
Despite the recent market setback, we continue to believe that
long-term interest rates are headed downward for a variety of
reasons, chief among them the fact that America's population is
aging. And, generally speaking, as people get older they tend to
do less spending, but more saving and more investing. Ultimately,
this means a slowly growing economy and less likelihood of rising
rates -- a positive for bonds.
For the current year, we think municipal bonds will be particularly
productive, primarily because the supply will be reduced and the
recent increase in income tax rates should make their tax-free
income even more attractive to investors, thereby boosting demand
for the bonds. Such a trend in the supply/demand situation usually
is positive for investors. Given that outlook, we plan to continue
our strategy of positioning the portfolio with longer-maturity
bonds so that we can achieve a competitive yield and capitalize on
any decline in long-term interest rates.
Terry Seierstad
(Note: Under federal law, some notes issued in the tax-free market
are subject to the alternative minimum tax. To eliminate any
federal income tax consequences for investors, we will continue to
refrain from purchasing these securities.)
<PAGE>
PAGE 7
12-month performance
(All figures per share)
Net asset value (NAV)
Nov. 30, 1993 $4.19
Nov. 30, 1992 $3.98
Increase $0.21
Distributions
Dec. 1, 1992-Nov. 30, 1993
From income $0.21
From capital gains $0.02
Total distrutions $0.24
Total return* =11.7%
*If you purchased shares in the fund during this period, your
return also would have been affected by the sales charge, as
described in the prospectus.
<PAGE>
PAGE 8
<TABLE>
<CAPTION>
IDS Tax-Exempt Bond Fund, Inc.
Your fund's ten largest holdings
______________________________________________________________________________________________________________
Percent Value
(of fund's net assets)(as of Nov. 30, 1993)
_____________________________________________________________________________________
<S> <C> <C>
Milwaukee Wisconsin Metropolitan Sewerage District
General Obligation Capital Purpose Bonds Series 1992
6.25% 2005 2.22% $28,727,660
Eastern North Carolina Municipal Power Agency System
Refunding Revenue Bonds Series 1993B
6.25% 2012 2.17 28,058,960
San Antonio Texas Water Refunding Revenue Bonds
(Pie chart shown) 6.40% 2007 2.11 27,264,750
The ten
holdings Delaware County Pennsylvania Industrial Development
listed here Authority Pollution Control Refunding Revenue Bonds
make up Philadephia Electric Company
19.01% of 7.375% 2021 2.04 26,291,355
the fund's
net assets Illinois Public Building Commission of Chicago Building
Revenue Bonds Board of Education of Chicago Series 1990A
6.50% 2018 2.01 25,977,370
Valdez Alaska Marine Terminal Refunding Revenue Bonds
SOhio Pipeline Series 1985
7.125% 2025 1.73 22,331,200
New York Battery Park City Authority Senior
Refunding Revenue Bonds Series 1993A
5.25% 2017 1.71 22,032,972
Georgia Municipal Electric Authority
Special Obligation Bonds Project #1
4th Crossover Series X
6.50% 2020 1.70 21,975,764
Massachusetts Municipal Wholesale Electric
Power Supply System Revenue Bonds Series 1992B
6.75% 2017 1.67 21,551,400
Illinois Metropolitan Pier & Exposition Authority
McCormick Place Expansion Bonds Series 1992A
6.50% 2027 1.65 21,338,473
</TABLE>
PAGE 9
Making the most of your fund
Average annual total return
(as of Nov. 30, 1993)
1 year 5 years 10 years
+6.08% +8.22% +9.81%
Your investment and return value fluctuate so that your shares,
when redeemed, may to worth more or less than the original cost.
Figures reflect the deduction of the maximum 5% sales charge. This
was a period of widely fluctuating security prices. Past
performance is no guarantee of future results.
Build your assets systematically
To keep your assets growing steadily, one of the best ways to use
the fund is by dollar-cost averaging -- a time-tested strategy that
can make market fluctuations work for you. To dollar-cost average,
simply invest a fixed amount of money regularly. You'll
automatically buy more shares when the fund's share price is low,
fewer shares when it is high.
This does not ensure a profit or avoid a loss if the market
declines. But, if you can continue to invest regularly through
changing market conditions, it can be an effective way to
accumulate shares to meet your long-term goals.
How dollar-cost averaging works
Month Amount Per-share Number of shares purchased
invested market price
Jan $100 $20 5.00
Feb 100 18 5.56
Mar 100 17 5.88
Apr 100 15 6.67
May 100 16 6.25
June 100 18 5.56
July 100 17 5.88
Aug 100 19 5.26
Sept 100 21 4.76
Oct 100 20 5.00
(footnotes to table) By investing an equal number of dollars each
month...
(arrow in table pointing to April) you automatically buy more
shares when the per share market price is low
(arrow in table pointing to August) and fewer shares when the per
share market price is high.
You have paid an average price of only $17.91 per share over the 10
months, while the average market price actually was $18.10.<PAGE>
PAGE 10
Your fund's long-term performance
Three ways to benefit from a mutual fund:
o your shares increase in value when the fund's investments do
well
o you receive capital gains when the gains on investments sold
by the fund exceed losses
o you receive income when the fund's stock dividends, interest
and short-term gains exceed its expenses.
All three make up your total return. And you potentially can
increase your investment if, like most investors, you reinvest your
dividends and capital gain distributions to buy additional shares
of the fund or another fund.
How your $10,000 has grown in IDS Tax-Exempt Bond Fund
x $25,497
Tax-Exempt Bond Fund
Average annual total return
$20,000 (as of Nov. 30, 1993)
1 year 5 years 10 years
+ 6.08% +8.22% +9.81%
x Lehman Muni Index
x $9,500
'84 '85 '86 '87 '88 '89 '90 '91 '92 '93
Assumes: o Holding period from 11/30/83 to 11/30/93. o Returns do
not reflect taxes payable on distributions. o Also see
"Performance" in the fund's current prospectus. o Reinvestment of
all income and capital gain distributions for the fund, with a
value of $13,833.
Lehman Brothers Municipal Bond Index is made up of a representative
list of general obligation, revenue, insured and pre-funded bonds.
The index is frequently used as a general measure of tax-exempt
bond market performance. However, the securities used to create
the index may not be representative of the bonds held in IDS Tax-
Exempt Bond Fund.
On the chart above you can see how the fund's total return compared
to a widely cited performance measure, Lehman Brothers Municipal
Bond Index. In comparing Tax-Exempt Bond Fund to the index, you
should take into account the fact that the fund's performance
reflects the maximum sales charge of 5%, while such charges are not
reflected in the performance of the index. If you were actually to
buy either individual bonds or bond mutual funds, any sales charges
that you pay would reduce your total return as well.
Your investment and return value fluctuate so that your shares,
when redeemed, may be worth more or less than the original cost.
This was a period of widely fluctuating security prices. Past
performance is no guarantee of future results.<PAGE>
PAGE 11
Independent auditors' report
The board of directors and shareholders
IDS Tax-Exempt Bond Fund, Inc.
We have audited the accompanying statement of assets
and liabilities, including the schedule of investments
in securities, of IDS Tax-Exempt Bond Fund, Inc. as
of November 30, 1993, and the related statement of
operations for the year then ended and the statements
of changes in net assets for each of the years in the
two-year period ended November 30, 1993, and the
financial highlights for each of the years in the
two-year period ended November 30, 1993, the eleven
months ended November 30, 1991, and for each of the
years in the seven-year period ended December 31, 1990.
These financial statements and the financial highlights
are the responsibility of fund management. Our
responsibility is to express an opinion on these
financial statements and the financial highlights based
on our audits.
We conducted our audits in accordance with generally
accepted auditing standards. Those standards require
that we plan and perform the audit to obtain
reasonable assurance about whether the financial
statements and the financial highlights are free of
material misstatement. An audit includes examining, on
a test basis, evidence supporting the amounts and
disclosures in the financial statements. Investment
securities held in custody are confirmed to us by the
custodian. As to securities purchased and sold but not
received or delivered, and securities on loan, we
request confirmations from brokers, and where replies
are not received, we carry out other appropriate
auditing procedures. An audit also includes assessing
the accounting principles used and significant
estimates made by management, as well as evaluating
the overall financial statement presentation. We
believe that our audits provide a reasonable basis for
our opinion.
In our opinion, the financial statements referred to
above present fairly, in all material respects, the
financial position of IDS Tax-Exempt Bond Fund,
Inc. at November 30, 1993, and the results of its
operations for the year then ended and the changes in
its net assets for each of the years in the two-year
period ended November 30, 1993, and the financial
highlights for the periods stated in the first
paragraph above, in conformity with generally accepted
accounting principles.
KPMG Peat Marwick
Minneapolis, Minnesota
January 7, 1994
<PAGE>
PAGE 12
<TABLE>
<CAPTION>
Financial statements
Statement of assets and liabilities
IDS Tax-Exempt Bond Fund, Inc.
Nov. 30, 1993
_____________________________________________________________________________________________________________
Assets
_____________________________________________________________________________________________________________
<S> <C>
Investments in securities, at value (Note 1)
(identified cost $1,173,944,718) $1,278,758,362
Cash in bank on demand deposit 1,039,680
Accrued interest receivable 23,190,809
Receivable for investment securities sold 21,274,311
_____________________________________________________________________________________________________________
Total assets 1,324,263,162
_____________________________________________________________________________________________________________
Liabilities
_____________________________________________________________________________________________________________
Dividends payable to shareholders 1,402,784
Payable for investment securities purchased 30,532,757
Accrued investment management and services fee 602,034
Accrued distribution fee 20,531
Accrued transfer agency fee 50,671
Other accrued expenses 276,437
_____________________________________________________________________________________________________________
Total liabilities 32,885,214
_____________________________________________________________________________________________________________
Net assets applicable to outstanding capital stock $1,291,377,948
_____________________________________________________________________________________________________________
Represented by
_____________________________________________________________________________________________________________
Capital stock -- authorized 10,000,000,000 shares of $.01 par value;
outstanding 308,353,929 shares $ 3,083,539
Additional paid-in capital 1,165,570,971
Excess of distributions over net investment income (1,167)
Accumulated net realized gain on investments (Note 1) 17,910,961
Unrealized appreciation of investments 104,813,644
_____________________________________________________________________________________________________________
Total -- representing net assets applicable to outstanding capital stock $1,291,377,948
_____________________________________________________________________________________________________________
Net asset value per share of outstanding capital stock $ 4.19
_____________________________________________________________________________________________________________
See accompanying notes to financial statements.
/TABLE
<PAGE>
PAGE 13
<TABLE>
<CAPTION>
Financial statements
Statement of operations
IDS Tax-Exempt Bond Fund, Inc.
Year ended Nov. 30, 1993
_____________________________________________________________________________________________________________
Investment income
_____________________________________________________________________________________________________________
<S> <C>
Income:
Interest $ 79,899,004
_____________________________________________________________________________________________________________
Expenses (Note 2):
Investment management and services fee 6,920,342
Distribution fee 236,240
Transfer agency fee 592,702
Compensation of directors 59,178
Compensation of officers 23,610
Custodian fees 50,465
Postage 134,833
Registration fees 52,500
Reports to shareholders 41,212
Audit fees 30,000
Administrative 26,371
Other 37,269
_____________________________________________________________________________________________________________
Total expenses 8,204,722
_____________________________________________________________________________________________________________
Investment income -- net 71,694,282
_____________________________________________________________________________________________________________
Realized and unrealized gain on investments -- net
_____________________________________________________________________________________________________________
Net realized gain on security transactions (Note 3) 23,850,454
Net realized gain on closed interest rate futures contracts 3,937,738
_____________________________________________________________________________________________________________
Net realized gain on investments 27,788,192
Net change in unrealized appreciation or depreciation of investments 43,928,922
_____________________________________________________________________________________________________________
Net gain on investments 71,717,114
_____________________________________________________________________________________________________________
Net increase in net assets resulting from operations $143,411,396
_____________________________________________________________________________________________________________
See accompanying notes to financial statements.
/TABLE
<PAGE>
PAGE 14
<TABLE>
<CAPTION>
Financial statements
Statements of changes in net assets
IDS Tax-Exempt Bond Fund, Inc.
Year ended Nov. 30,
______________________________________________________________________________________________________________
Operations and distributions 1993 1992
______________________________________________________________________________________________________________
<S> <C> <C>
Investment income -- net $ 71,694,282 $ 70,466,712
Net realized gain on investments 27,788,192 19,933,965
Net change in unrealized appreciation or depreciation of investments 43,928,922 15,984,117
_____________________________________________________________________________________________________________
Net increase in net assets resulting from operations 143,411,396 106,384,794
_____________________________________________________________________________________________________________
Distributions to shareholders from:
Net investment income (71,687,635) (70,477,950)
Net realized gain on investments (5,478,900) (16,678,203)
_____________________________________________________________________________________________________________
Total distributions (77,166,535) (87,156,153)
_____________________________________________________________________________________________________________
Capital share transactions
_____________________________________________________________________________________________________________
Proceeds from sales of
51,016,103 and 93,020,626 shares (Note 2) 209,394,147 366,852,871
Net asset value of 12,737,284 and 15,067,631 shares
issued in reinvestment of distributions 52,523,554 59,429,102
Payments for redemptions of
75,320,334 and 90,868,410 shares (309,695,896) (360,705,118)
_____________________________________________________________________________________________________________
Increase (decrease) in net assets from capital share transactions
representing net reduction of
11,566,947 and net addition of 17,219,847 shares (47,778,195) 65,576,855
_____________________________________________________________________________________________________________
Total increase in net assets 18,466,666 84,805,496
Net assets at beginning of year 1,272,911,282 1,188,105,786
_____________________________________________________________________________________________________________
Net assets at end of year
(including undistributed net investment income of
$(1,167) and $(7,814)) $1,291,377,948 $1,272,911,282
_____________________________________________________________________________________________________________
See accompanying notes to financial statements.
</TABLE>
<PAGE>
PAGE 15
Notes to financial statements
IDS Tax-Exempt Bond Fund, Inc.
___________________________________________________________________
1. Summary of significant accounting policies
The fund is registered under the Investment Company Act of 1940 (as
amended) as a diversified, open-end management investment company.
Significant accounting policies followed by the fund are summarized
below:
Valuation of securities
All securities are valued at the close of each business day.
Securities for which market quotations are not readily available
are valued at fair value according to methods selected in good
faith by theboard of directors. Determination of fair value
involves, among other things, reference to market indexes, matrixes
and data from independent brokers. Short-term securities maturing
in more than 60 days from the valuation date are valued at the
market price or approximate market value based on current
interest rates; those maturing in 60 days or less are valued at
amortized cost.
Option transactions
In order to produce incremental earnings, protect gains, and
facilitate buying and selling of securities for investment
purposes, the fund may buy and sell put and call options and write
covered call options on portfolio securities and may write cash-
secured put options. The risk in writing a call option is that the
fund gives up the opportunity of profit if the market price of the
security increases. The risk in writing a put option is that the
fund may incur a loss if the market price of the security
decreases and the option is exercised. The risk in buying an option
is that the fund pays a premium whether or not the option is
exercised. The fund also has the additional risk of not being able
to enter into a closing transaction if a liquid secondary market
does not exist. The fund also may write over-the-counter options
where the completion of the obligation is dependent upon the credit
standing of the other party.
<PAGE>
PAGE 16
Notes to financial statements
IDS Tax-Exempt Bond Fund, Inc.
___________________________________________________________________
1. Summary of significant accounting policies
Option contracts are valued daily at the closing prices on their
primary exchanges and unrealized appreciation or depreciation is
recorded. The fund will realize a gain or loss upon expiration or
closing of the option transaction. When options on debt securities
or futures are exercised, the fund will realize a gain or loss.
When other options are exercised, the proceeds on sales for a
written call option, the purchase cost for a written put option or
the cost of a security for a purchased put or call option is
adjusted by the amount of premium received or paid.
Futures transactions
In order to gain exposure to or protect itself from changes in the
market, the fund may buy and sell interest rate futures contracts.
Risks of entering into futures contracts and related options
include the possibility that there may be an illiquid market and
that a change in the value of the contract or option may not
correlate with changes in the value of the underlying securities.
Upon entering into a futures contract, the fund is required to
deposit either cash or securities in an amount (initial margin)
equal to a certain percentage of the contract value. Subsequent
payments (variation margin) are made or received by the fund each
day. The variation margin payments are equal to the daily changes
in the contract value and are recorded as unrealized gains and
losses. The fund recognizes a realized gain or loss when the
contract is closed or expires.
Federal taxes
Since the fund's policy is to comply with all sections of the
Internal Revenue Code applicable to regulated investment companies
and to distribute all of its taxable income to shareholders, no
provision for income or excise taxes is required.
<PAGE>
PAGE 17
Notes to financial statements
IDS Tax-Exempt Bond Fund, Inc.
___________________________________________________________________
1. Summary of significant accounting policies
Net investment income (loss) and net realized gains (losses) may
differ for financial statement and tax purposes primarily because
of the deferral of losses on certain futures contracts, the
recognition of certain foreign currency gains (losses) as ordinary
income (loss) for tax purposes, and losses deferred due to "wash
sale" transactions. The character of distributions made during the
year from net investment income or net realized gains may differ
from their ultimate characterization for federal income tax
purposes. Also, due to the timing of dividend distributions, the
fiscal year in which amounts are distributed may differ from the
year that the income or realized gains (losses) were recorded
by the fund.
Dividends to shareholders
Dividends from net investment income, declared daily and payable
monthly, are reinvested in additional shares of the fund at net
asset value or payable in cash. Capital gains, when available, are
distributed along with the last income dividend of the calendar
year.
Other
Security transactions are accounted for on the date securities are
purchased or sold. Interest income, including level-yield
amortization of premium and discount, is accrued daily.
<PAGE>
PAGE 18
Notes to financial statements
IDS Tax-Exempt Bond Fund, Inc.
___________________________________________________________________
2. Expenses and sales charges
Under terms of an agreement dated Nov. 14, 1991, the fund pays IDS
Financial Corporation (IDS) a fee for managing its investments,
recordkeeping and other specified services. The fee is a percentage
of the fund's average daily net assets consisting of a group asset
charge in reducing percentages from 0.46% to 0.32% annually on the
combined net assets of all non-money market funds in the IDS MUTUAL
FUND GROUP and an individual annual asset charge of 0.13% of
average daily net assets.
The fund also pays IDS a distribution fee at an annual rate of $6
per shareholder account and a transfer agency fee at an annual rate
of $15.50 per shareholder account. The transfer agency fee is
reduced by earnings on monies pending shareholder redemptions.
IDS will assume and pay any expenses (except taxes and brokerage
commissions) that exceed the most restrictive applicable state
expense limitation.
Sales charges by IDS Financial Services Inc. for distributing fund
shares were $2,948,572 for the year ended Nov. 30, 1993.
The fund has a retirement plan for its independent directors. Upon
retirement, directors receive monthly payments equal to one-half of
the retainer fee for as many months as they served as directors up
to 120 months. There are no death benefits. The plan is not funded
but the fund recognizes the cost of payments during the time the
directors serve on the board. The retirement plan expense amounted
to $24,853 for the year ended Nov. 30, 1993.
<PAGE>
PAGE 19
Notes to financial statements
IDS Tax-Exempt Bond Fund, Inc.
___________________________________________________________________
3. Securities transactions
Cost of purchases and proceeds from sales of securities (other than
short-term obligations) aggregated $567,834,206 and $546,539,544,
respectively, for the year ended Nov. 30, 1993. Realized gains and
losses are determined on an identified cost basis.
___________________________________________________________________
4. Financial highlights
"Financial highlights" showing per share data and selected
information is presented on page 5 of the prospectus.<PAGE>
PAGE 20
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (97.7%)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
Alaska (3.2%)
Municipality of Anchorage Hospital Revenue Bonds Sisters of Providence
Series 1985 9.625% 2005 $ 3,000,000 $ 3,394,500
North Slope Borough General Obligation Bonds
Series 1992A Zero Coupon (MBIA Insured) 6.04 2003 10,500,000 (d) 6,407,940
State Housing Finance Veterans Mortgage Corporation Collateralized Bonds
Series 1990 7.50 2030 8,700,000 9,341,451
Valdez Marine Terminal Refunding Revenue Bonds SOhio Pipeline
Series 1985 7.125 2025 20,000,000 22,331,200
______________
Total 41,475,091
_____________________________________________________________________________________________________________________________
Arizona (1.5%)
Phoenix Junior Lien Street & Highway User Refunding Revenue Bonds
Series 1992 6.25 2011 10,350,000 10,940,468
Tucson Street & Highway User Revenue Bonds Series 1991B 6.25 2010 8,250,000 8,724,787
______________
Total 19,665,255
_____________________________________________________________________________________________________________________________
California (3.9%)
Anaheim Public Finance Authority Electric Utilities Revenue Bonds
San Juan 4 2nd Series (FGIC Insured) 5.75 2022 5,000,000 5,040,950
Los Angeles State Building Authority Lease Revenue Bonds
State Department of General Services Series 1993A 5.625 2011 3,250,000 3,339,115
Oakland Redevelopment Agency Special Tax Assessment Bonds Inverse Floater 8.879 2019 6,000,000 (e) 6,472,500
San Diego County Certificates of Participation Capital Asset Leasing
Master Refunding Bonds Series 1993 Inverse Floater (AMBAC Insured) 8.07 2012 11,700,000 (e) 11,919,375
Southern California Public Power Authority Revenue Bonds Series 1993
Inverse Floater (FGIC Insured) 7.47 2012 12,100,000 (e) 11,479,875
State Housing Authority Finance Agency Bonds Series 1991A 7.375 2017 10,890,000 11,741,053
______________
Total 49,992,868
_____________________________________________________________________________________________________________________________
Connecticut (1.5%)
State General Obligation Bonds Series 1992A 6.40 2006 18,000,000 19,686,060
_____________________________________________________________________________________________________________________________
Delaware (0.2%)
State University Revenue Bonds Series 1989 6.00 2014 2,000,000 2,040,700
_____________________________________________________________________________________________________________________________
See accompanying notes to investments in securities./TABLE
<PAGE>
PAGE 21
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (continued)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
Florida (4.8%)
Duvall County Housing Authority Single Family Mortgage
Refunding Revenue Bonds Series 1991 (FGIC Insured) 7.35 % 2024 $ 3,495,000 $ 3,815,736
Jacksonville Electric Revenue Bonds St. John's River Series A 6.00 2016 6,900,000 7,037,172
Jacksonville Electric Revenue Bonds St. John's River 2nd Series 1986 6.50 2020 10,000,000 10,335,400
Jacksonville Excise Taxes Refunding Revenue Bonds Series 1992
(AMBAC Insured) 6.20 2004 4,340,000 4,810,152
Jacksonville Excise Taxes Refunding Revenue Bonds Series 1992
(AMBAC Insured) 6.50 2008 5,000,000 5,522,650
Lakeland Electric & Water Refunding Revenue Bonds Series 1986
(AMBAC Insured) 6.00 2012 5,500,000 5,637,390
Orlando Orange County Expressway Authority Junior Lien Refunding Revenue
Bonds Series 1993A (FGIC Insured) 5.125 2020 6,000,000 5,647,380
St. John's River Water Management District Land Acquisition Revenue Bonds
Series 1989 (AMBAC Insured) 6.00 2009 7,000,000 7,206,570
State Board of Education Administration Capital Outlay
Public Education Bonds Series 1991C 6.50 2008-09 11,225,000 12,185,187
______________
Total 62,197,637
_____________________________________________________________________________________________________________________________
Georgia (2.9%)
Municipal Electric Authority Refunding Revenue Bonds Series B 5.70 2019 10,500,000 10,639,860
Municipal Electric Authority Refunding Revenue Bonds Series 1989T 6.50 2025 5,000,000 5,257,250
Municipal Electric Authority Special Obligation Bonds Project #1
4th Crossover Series X 6.50 2020 19,550,000 21,975,764
______________
Total 37,872,874
_____________________________________________________________________________________________________________________________
Hawaii (1.9%)
City & County of Honolulu General Obligation Bonds Series 1992A 6.25 2005 5,880,000 6,445,480
City & County of Honolulu General Obligation Bonds Series 1992A 6.30 2006 5,880,000 6,452,594
City & County of Honolulu Refunding & Improvement General Obligation Bonds
Series 1993B Inverse Floater 7.72 2006 5,300,000 (e) 5,565,000
City & County of Honolulu Refunding & Improvement General Obligation Bonds
Series 1993B Inverse Floater 8.02 2008 5,300,000 (e) 5,591,500
______________
Total 24,054,574
_____________________________________________________________________________________________________________________________
See accompanying notes to investments in securities./TABLE
<PAGE>
PAGE 22
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (continued)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
Illinois (7.8%)
Chicago O'Hare International Airport General Airport Revenue Bonds
Series 1983B 9.625% 2013 $ 6,240,000 $ 6,462,893
Chicago Refunding General Obligation Bonds (MBIA Insured) 6.00 2013 2,750,000 2,921,187
Cook County Unlimited Tax General Obligation Bonds Series 1989 6.50 2009 5,800,000 6,021,154
Educational Facility Authority Adjustable Demand Revenue Bonds
University of Chicago Series 1985 7.10 2020 3,250,000 (f) 3,469,668
Health Facilities Authority Refunding Revenue Bonds
Masonic Medical Center Series 1993 5.50 2019 7,000,000 6,347,110
Health Facilities Authority Refunding Revenue Bonds
University of Chicago Hospital Series 1993 Inverse Floater (MBIA Insured) 10.707 2014 5,000,000 (e) 5,037,500
Metropolitan Pier & Exposition Authority McCormick Place Expansion Bonds
Series 1992A 6.50 2027 20,395,000 21,338,473
Northwest Suburban Joint Action Water Supply System Refunding Revenue Bonds
(MBIA Insured) 5.75 2012 4,815,000 4,839,508
Public Building Commission of Chicago Building Revenue Bonds
Board of Education of Chicago Series 1990A (MBIA Insured) 6.50 2018 23,500,000 25,977,370
Public Building Commission of Chicago Building Revenue Bonds
State Development Finance Authority Power Refunding Bonds Series 1991A 7.375 2021 10,000,000 11,373,500
State Development Finance Authority Regency Park Retirement Housing
Revenue Bonds Series 1991B Zero Coupon 6.50 2025 10,000,000 (d) 1,188,300
State Health Facility Authority Revenue Bonds Sisters Hospital Services
Series 1991B Inverse Floater 10.707 2015 5,200,000 (e) 6,064,500
______________
Total 101,041,163
_____________________________________________________________________________________________________________________________
Indiana (1.9%)
Municipal Power Agency Power Supply System Refunding Revenue Bonds
Series 1989A (AMBAC Insured) 6.50 2016 8,800,000 9,842,976
Seymour Economic Development Revenue Bonds Union Camp Series 1992 6.25 2012 2,870,000 3,097,448
Transportation Finance Authority Highway Revenue Bonds Series 1990A 7.25 2015 10,000,000 12,147,700
______________
Total 25,088,124
_____________________________________________________________________________________________________________________________
Iowa (0.4%)
State Finance Authority Single Family Mortgage-Backed Securities
Program Bonds Series 1991A 7.25 2016 4,220,000 4,542,619
_____________________________________________________________________________________________________________________________
See accompanying notes to investments in securities./TABLE
<PAGE>
PAGE 23
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (continued)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
Kansas (0.8%)
Reno & Labette Counties Single Family Mortgage Revenue Bonds
Escrowed to Maturity Zero Coupon 6.25 % 2015 $25,000,000 (d) $ 6,523,500
Reno Sedgwick Finney Counties Single Family Mortgage Revenue Bonds
Escrowed to Maturity Zero Coupon (MBIA Insured) 6.02 2016 17,015,000 (d) 4,350,395
______________
Total 10,873,895
_____________________________________________________________________________________________________________________________
Kentucky (1.1%)
Boone County Pollution Control Refunding Revenue Bonds
Dayton Power & Light Series A 6.50 2022 11,065,000 11,750,919
Jefferson County Pollution Control Revenue Bonds Louisville Gas & Electric
Series 1985A 9.25 2015 1,750,000 1,926,033
______________
Total 13,676,952
_____________________________________________________________________________________________________________________________
Louisiana (2.5%)
Industrial Development Board of Bastrop Percent Pollution Control
Refunding Revenue Bonds International Paper Company Series 1992A 6.90 2007 6,875,000 7,545,518
New Orleans Capital Appreciation Refunding Bonds
Zero Coupon (AMBAC Insured) 5.75 2009 17,500,000 (d) 7,153,825
New Orleans General Obligation Bonds Series 1986 (AMBAC Insured) 6.00 2004 4,685,000 5,115,786
New Orleans General Obligation Refunding Bonds Series 1991 (AMBAC Insured) 6.00 2004 1,165,000 1,199,391
New Orleans Home Mortgage Authority Special Obligation Refunding Bonds
Series 1992 6.25 2011 9,000,000 9,873,630
Parish of Pointe Coupee Pollution Control Refunding Revenue Bonds
Gulf States Utilities Series 1993 6.70 2013 1,350,000 1,427,841
______________
Total 32,315,991
_____________________________________________________________________________________________________________________________
Maryland (1.6%)
State Community Development Administration Department of Housing &
Community Development Single Family Program Bonds Series 1991-1 7.30 2017 10,500,000 11,474,715
State Health and Higher Educational Facility Authority Revenue Bonds
Frederick Memorial Hospital Series 1993 (FGIC Insured) 5.00 2028 10,000,000 9,100,700
______________
Total 20,575,415
_____________________________________________________________________________________________________________________________
Massachusetts (2.3%)
State Health & Education Authority Beverly Hospital Inverse Floater
(MBIA Insured) 8.48 2020 2,950,000 (e) 3,101,188
State Municipal Wholesale Electric Power Supply System Revenue Bonds
Series 1992B 6.75 2017 20,000,000 21,551,400
See accompanying notes to investments in securities./TABLE
<PAGE>
PAGE 24
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (continued)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
Massachusetts (cont'd)
State Municipal Wholesale Electric Power Supply System Revenue Bonds
Series 1993A Inverse Floater (AMBAC Insured) 7.72 % 2018 $ 5,000,000 (e) $ 4,718,750
______________
Total 29,371,338
_____________________________________________________________________________________________________________________________
Michigan (1.0%)
Detroit Water Supply System Refunding Revenue Bonds
Series 1992 (FGIC Insured) 6.25 2007 2,000,000 2,159,020
State Hospital Finance Authority Refunding Revenue Bonds
Detroit Medical Center Obligation Group Series 1993A 6.50 2018 5,000,000 5,328,900
State Strategic Fund Percent Limited Obligation Refunding Revenue Bonds
Ford Motor Company Series 1991A 7.10 2006 5,000,000 5,740,850
______________
Total 13,228,770
_____________________________________________________________________________________________________________________________
Minnesota (3.7%)
Cambridge 1st Mortgage Nursing Home Revenue Bonds
Cambridge Nursing Care Center (FHA Insured) 10.15 2013 3,110,000 3,136,684
Minneapolis & St. Paul Housing & Redevelopment Authority
Health Care System Series 1990A 7.40 2005 4,500,000 5,195,565
Osseo Independent School District #279 General Obligation
School Building Bonds Series 1994A Inverse Floater 7.55 2012 7,000,000 (e) 6,991,250
Regents of the University General Obligation Bonds
Series 1993A Inverse Floater 6.477 2003 5,000,000 (e) 5,093,750
St. Louis Park Health Care Facilities Revenue Bonds
Health System Minnesota Obligated Group Series 1993 (AMBAC Insured) 5.20 2023 10,000,000 9,507,600
State Housing Finance Agency Single Family Mortgage Bonds
Series 1990C (FHA Insured) 7.70 2014 5,810,000 6,392,394
State Housing Finance Agency Single Family Mortgage Revenue Bonds
Series 1988E 7.65 2014 10,695,000 11,355,630
______________
Total 47,672,873
_____________________________________________________________________________________________________________________________
Missouri (0.9%)
Lee's Summit Industrial Development Authority Bonds Pfizer Series 1984 10.50 2009 1,450,000 1,590,230
St. Louis Region Convention & Sports Complex Authority Series 1991C 7.90 2021 8,500,000 9,587,320
______________
Total 11,177,550
_____________________________________________________________________________________________________________________________
Nevada (0.4%)
Clark County School District Series B Zero Coupon (FGIC Insured) 5.76 2009 12,050,000 (d) 5,075,340
_____________________________________________________________________________________________________________________________
See accompanying notes to investments in securities./TABLE
<PAGE>
PAGE 25
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (continued)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
New Hampshire (0.4%)
Business Finance Authority Pollution Control & Solid Waste Disposal
Revenue Bonds James River Series 1993 6.625% 2022 $ 5,000,000 $ 5,140,450
_____________________________________________________________________________________________________________________________
New Jersey (1.8%)
Turnpike Authority Revenue Bonds Series 1984 12.00 2005 6,000,000 6,226,620
Turnpike Authority Revenue Bonds Series 1991C 6.50 2005 16,000,000 17,555,360
______________
Total 23,781,980
_____________________________________________________________________________________________________________________________
New Mexico (1.2%)
Lordsburg Pollution Control Phelps Dodge Corporation
Refunding Revenue Bonds Series 1993B 6.50 2013 10,000,000 10,860,600
Mortgage Finance Authority Single Family Mortgage Program Series 1987A
(FGIC Insured) 7.00 2017 4,475,000 4,769,007
______________
Total 15,629,607
_____________________________________________________________________________________________________________________________
New York (4.8%)
Battery Park City Authority Senior Refunding Revenue Bonds Series 1993A 5.25 2017 23,400,000 22,032,972
City Municipal Water Finance Authority Water & Sewer System Revenue Bonds
Series B 6.375 2022 13,435,000 13,994,165
State Local Government Assistance Series 1991A 6.50 2020 8,000,000 8,583,280
State Mortgage Agency Homeowner Mortgage Revenue Bonds Series TT 7.50 2015 15,945,000 17,763,686
________________
Total 62,374,103
_____________________________________________________________________________________________________________________________
North Carolina (4.9%)
Eastern Municipal Power Agency System Refunding Revenue Bonds
Series 1989A 6.50 2024 20,000,000 20,483,800
Eastern Municipal Power Agency System Refunding Revenue Bonds Series 1993B 6.25 2012 27,140,000 28,058,960
State Municipal Power Agency #1 Catawba Electric Revenue Bonds Series 1993
Inverse Floater (MBIA Insured) 7.845 2012 15,000,000 (e) 14,625,000
______________
Total 63,167,760
_____________________________________________________________________________________________________________________________
Ohio (0.9%)
Columbus Sewerage System Refunding Revenue Bonds Series 1992 6.30 2005 3,500,000 3,852,870
Cuyahoga County Hospital Facility Revenue Bonds Health Cleveland
Fairview General Hospital & Lutheran Medical Center Series 1993 6.25 2010 1,500,000 1,578,915
See accompanying notes to investments in securities./TABLE
<PAGE>
PAGE 26
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (continued)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
Ohio (cont'd)
Cuyahoga County Hospital Facility Revenue Bonds Health Cleveland
Fairview General Hospital & Lutheran Medical Center Series 1993 6.30 % 2015 $ 1,000,000 $ 1,052,460
State Building Authority Bonds Toledo Government Center 6.00 2007 4,620,000 4,675,394
______________
Total 11,159,639
_____________________________________________________________________________________________________________________________
Oregon (1.3%)
Hospital Facility Authority of Clackamas County Revenue Bonds
Kaiser-Permanente Series 1985 9.375 2015 2,750,000 3,064,490
Hospital Facility Authority of Clackamas County Revenue Bonds
Sister of Providence Series 1985 9.625 2005 2,750,000 3,111,625
State Housing & Community Services Department Mortgage Revenue Bonds
Single Family Mortgage Series B 6.875 2028 10,000,000 10,275,300
______________
Total 16,451,415
_____________________________________________________________________________________________________________________________
Pennsylvania (3.7%)
Commonwealth General Obligation Bonds Series 1992-1 6.30 2005 11,000,000 12,053,690
Delaware County Industrial Development Authority Pollution Control
Refunding Revenue Bonds Philadelphia Electric Company 7.375 2021 23,540,000 26,291,355
State Housing Finance Agency Single Family Mortgage Revenue Bonds
Series 1987L 7.125 2014 6,165,000 6,693,341
State Intergovernmental Cooperation Authority Special Tax Revenue Bonds
Philadelphia Funding Series 1993 (MBIA Insured) 5.60 2015 2,500,000 2,514,575
______________
Total 47,552,961
_____________________________________________________________________________________________________________________________
Rhode Island (1.3%)
State & Providence Plantations General Obligation Refunding Bonds
Series 1992A (FGIC Insured) 6.25 2007 16,000,000 17,363,200
_____________________________________________________________________________________________________________________________
South Carolina (3.2%)
Darlington County Annual Tender Pollution Control Revenue Bonds
Carolina Power & Light Series 1983 6.60 2010 12,000,000 12,937,800
Horry County Hospital Refunding Revenue Bonds Conway Hospital Series 1992 6.75 2012 4,000,000 4,229,080
Piedmont Municipal Power Agency Electric Refunding Revenue Bonds
Series 1986 6.00 2024 13,060,000 13,114,721
Piedmont Municipal Power Agency Electric Refunding Revenue Bonds
Series 1986A 5.75 2024 2,390,000 2,376,305
Public Service Revenue Bonds Series D 6.375 2022 8,000,000 8,249,520
______________
Total 40,907,426
_____________________________________________________________________________________________________________________________
See accompanying notes to investments in securities.
</TABLE>
<PAGE>
PAGE 27
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (continued)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
Tennessee (1.5%)
Chattanooga Municipal Improvement & Sewer Facility Unlimited Tax Bonds 6.50 % 2009-11 $ 6,000,000 $ 6,487,680
Knox County Health Education & Housing Facility Board Hospital Refunding
Revenue Bonds Fort Sanders Alliance Obligation Group
Series 1993 (MBIA Insured) 5.25 2015 5,000,000 4,832,700
Knox County Health Education & Housing Facility Board Hospital Refunding
Revenue Bonds Fort Sanders Alliance Obligation Group
Series 1993 (MBIA Insured) 5.75 2014 8,000,000 8,300,240
______________
Total 19,620,620
_____________________________________________________________________________________________________________________________
Texas (14.1%)
Austin Utility System Combined Utility Refunding Revenue Bonds Series 1992
(AMBAC Insured) 6.25 2006 10,500,000 11,532,885
Coastal Water Authority Water Conveyance System Refunding Revenue Bonds
Series 1991 (AMBAC Insured) 6.25 2017 5,000,000 5,546,600
Corpus Christi Independent School District
Unlimited Tax School Building Bonds 6.00 2005-06 4,845,000 4,944,766
Cypress-Fairbanks Independent School District Harris County
Unlimited Tax Schoolhouse Bonds Series 1990 (FGIC Insured) 6.50 2008 1,500,000 1,679,325
Fort Worth Tarrant & Denton Counties Water & Sewer System
Refunding Revenue Bonds Series 1991B 6.30 2004 11,390,000 12,240,264
Fort Worth Tarrant & Denton Counties Water & Sewer System
Refunding Revenue Bonds Series 1991B 6.40 2005 8,760,000 9,417,000
Houston Water & Sewer System Junior Lien Refunding Revenue Bonds
Series C Zero Coupon (AMBAC Insured) 5.92 2007 17,030,000 (d) 7,869,222
Houston Water & Sewer System Junior Lien Refunding Revenue Bonds
Series C Zero Coupon (AMBAC Insured) 6.05 2008 19,260,000 (d) 8,348,825
Municipal Power Agency Bonds (BIG Insured) 6.25 2010 7,000,000 7,421,540
North Central Texas Health Facilities Development Bonds
Kaiser Foundation of Texas 9.375 2015 4,500,000 5,029,335
Orange County Industrial Development Revenue Bonds Wal-Mart Stores 10.75 2009 1,840,000 2,006,133
Randall County Industrial Development Revenue Bonds Wal-Mart Stores 10.75 2009 1,840,000 2,006,133
Round Rock Independent School District Capital Appreciation Refunding Bonds
Permanent School Fund Guarantee Zero Coupon 5.97 2008 13,580,000 (d) 6,136,123
San Antonio Electric & Gas Systems Refunding Revenue Bonds Series 1989 6.00 2014 6,000,000 6,194,640
San Antonio Electric & Gas Systems Refunding Revenue Bonds Series 1989 6.50 2012 20,000,000 21,309,200
San Antonio Electric & Gas Systems Refunding Revenue Bonds Series 1989A 6.50 2012 6,250,000 6,659,125
San Antonio Water Refunding Revenue Bonds (FGIC Insured) 6.40 2007 25,000,000 27,264,750
State General Obligation Capital Appreciation Refunding Bonds
Superconducting Series C Zero Coupon (FGIC Insured) 5.92 2010 4,965,000 (d) 1,935,655
See accompanying notes to investments in securities.
/TABLE
<PAGE>
PAGE 28
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (continued)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
Texas (cont'd)
State Municipal Power Agency Refunding Revenue Bonds Series 1993
Zero Coupon (MBIA Insured) 6.10 % 2013-14 $76,000,000 (d) $ 23,942,320
State Turnpike Authority Revenue Bonds 6.00 2020 10,000,000 10,806,700
______________
Total 182,290,541
_____________________________________________________________________________________________________________________________
Utah (1.6%)
Emery County Pollution Control Revenue Bonds Utah Power & Light 10.70 2014 2,000,000 2,146,740
Intermountain Power Authority Special Obligation Bonds 1st Crossover Series 6.00 2015 15,970,000 16,205,078
West Valley City Industrial Development Revenue Bonds Albertson's 10.875 2009 1,825,000 1,920,083
______________
Total 20,271,901
_____________________________________________________________________________________________________________________________
Virginia (2.3%)
Augusta County Industrial Development Authority Hospital Refunding Revenue
Bonds Augusta Hospital Series 1993 (AMBAC Insured) 5.125 2021 8,700,000 8,062,899
State Housing Development Authority Commonwealth Mortgage Bonds
Series 1992A 7.10 2017 12,500,000 13,575,250
State Transportation Board Revenue Bonds 6.00 2019 8,000,000 8,218,320
______________
Total 29,856,469
_____________________________________________________________________________________________________________________________
Washington (4.9%)
Auburn School District #408 King County Unlimited Tax
General Obligation Bonds Series 1992A 6.375 2006 8,000,000 8,928,480
Issaquah School District #411 King County Unlimited Tax
General Obligation Refunding Bonds 1992 6.375 2008 16,675,000 18,440,716
Public Power Supply System Nuclear Project #1 Revenue Bonds Series 1989A 6.00 2017 12,130,000 12,232,013
Seattle Light & Power Refunding Revenue Bonds 5.875 2009-10 8,310,000 8,824,140
State Public Power Supply System Nuclear Project #1 Refunding Revenue Bonds
Bonneville Power Administration Series 1993A Inverse Floater (FSA Insured) 8.37 2011 15,000,000 (e) 15,450,000
______________
Total 63,875,349
_____________________________________________________________________________________________________________________________
West Virginia (0.9%)
School Building Authority Capital Improvement Revenue Bonds Series 1990B
(MBIA Insured) 6.00 2020 9,730,000 9,935,984
State Parkways Economic Development & Tourism Authority
Capital Appreciation Refunding Bonds Zero Coupon (FGIC Insured) 5.99 2007 2,735,000 (d) 1,321,196
______________
Total 11,257,180
_____________________________________________________________________________________________________________________________
See accompanying notes to investments in securities.
/TABLE
<PAGE>
PAGE 29
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc. (Percentages represent value of
Nov. 30, 1993 investments compared to net assets)
_____________________________________________________________________________________________________________________________
Municipal bonds (continued)
_____________________________________________________________________________________________________________________________
Coupon Principal
Name of issuer and title of issue (b)(c) rate Maturity amount Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C> <C>
Wisconsin (3.6%)
Health & Educational Facility Authority Revenue Bonds
Sisters of the Sorrowful Mother Ministry Series 1993A (MBIA Insured) 6.125% 2013 $ 4,000,000 $ 4,182,800
Milwaukee Metropolitan Sewerage District General Obligation
Capital Purpose Bonds Series 1992 6.25 2005 26,000,000 28,727,660
State General Obligation Refunding Bonds Series 1992 6.10 2005 8,500,000 9,328,920
Weston Pollution Control Refunding Revenue Bonds Wisconsin Public Service 9.70 2014 3,500,000 3,610,180
______________
Total 45,849,560
_____________________________________________________________________________________________________________________________
Wyoming (1.0%)
Casper Industrial Development Revenue Bonds Albertson's 9.875 2010 2,525,000 2,849,564
Community Development Authority Single Family Mortgage Bonds
Federally Insured or Guaranteed Mortgage Loan 7.40 2031 4,700,000 5,277,677
Gillette Pollution Control Revenue Bonds Black Hills Power & Light
Series 1984 10.50 2014 5,035,000 5,370,331
______________
Total 13,497,572
_____________________________________________________________________________________________________________________________
Total municipal bonds
(Cost: $1,156,884,971) $1,261,672,822
_____________________________________________________________________________________________________________________________
<CAPTION>
Short-term securities (1.3%)
_____________________________________________________________________________________________________________________________
Annualized Amount
yield on date payable at
Issuer (g) of purchase maturity Value(a)
_____________________________________________________________________________________________________________________________
<S> <C> <C> <C>
Municipal notes
California State R.A.N.
06-28-94 2.70% $2,000,000 $ 2,011,940
Los Angeles County T.R.A.N.
06-30-94 2.71 5,000,000 5,014,900
New York City R.A.N.
06-30-94 2.71 10,000,000 10,058,700
_____________________________________________________________________________________________________________________________
Total short-term securities
(Cost: $17,059,747) $ 17,085,540
_____________________________________________________________________________________________________________________________
Total investments in securities
(Cost: $1,173,944,718)(h) $1,278,758,362
_____________________________________________________________________________________________________________________________
See accompanying notes to investments in securities.
/TABLE
<PAGE>
PAGE 30
<TABLE>
<CAPTION>
Investments in securities
IDS Tax-Exempt Bond Fund, Inc.
Nov. 30, 1993
_____________________________________________________________________________________________________________________________
Notes to investments in securities
_____________________________________________________________________________________________________________________________
(a) Securities are valued by procedures described in Note 1 to the financial statements.
(b) Investments in bonds, by rating category as a percentage of total bonds, are as follows:
(Unaudited)
__________________________________________
Rating 11-30-93 11-30-92
_______________________________________________________________________________________________________
<S> <C> <C>
AAA 35% 34%
AA 36 45
A 23 17
BBB and below 6 3
Non-rated - 1
_______________________________________________________________________________________________________
Total 100% 100%
_______________________________________________________________________________________________________
(c) The following abbreviations are used in portfolio descriptions to identify the insurer of the issue:
AMBAC -- American Municipal Bond Association Corporation
BIG -- Bond Investors Guarantee
FGIC -- Financial Guarantee Insurance Corporation
FHA -- Federal Housing Authority
FSA -- Financial Security Assurance
MBIA -- Municipal Bond Investors Assurance
(d) For zero coupon bonds, the interest rate disclosed represents effective yield on the date of acquisition.
(e) Inverse floaters represent securities which pay interest at a rate that increases (decreases) based on (decreases)
increases of market short-term rates. Interest rate disclosed is the rate in effect on Nov. 30, 1993.
(f) Interest rate varies to reflect current market conditions; rate shown is the effective rate on Nov. 30, 1993.
(g) The following abbreviations are used in portfolio descriptions:
R.A.N. -- Revenue Anticipation Note
T.R.A.N. -- Tax & Revenue Anticipation Note
(h) At Nov. 30, 1993, the cost of securities for federal income tax purposes was $1,173,758,070 and the aggregate gross
unrealized appreciation and depreciation based on that cost was:
Unrealized appreciation $107,683,082
Unrealized depreciation (2,682,790)
______________________________________________________________________________________________________
Net unrealized appreciation $105,000,292
______________________________________________________________________________________________________
</TABLE>
<PAGE>
PAGE 31
IDS mutual funds
Cash equivalent investments
These money market funds have three main goals: conversation of
capital, constant liquidity and the highest possible current income
consistent with these objectives. Very limited risk.
IDS Cash Management Fund
Invests in such money market securities as high quality commercial
paper, bankers' acceptances, certificates of deposits (CDs) and
other bank securities.
(icon of) piggy bank
IDS Planned Investment Account
Invests in money market securities to provide maximum current
income consistent with liquidity and stability of principal of
principal, while serving as a base for systematic exchanges into
IDS fixed income and equity funds.
(icon of) stair steps
IDS Tax-Free Money Fund
Invests primarily in short-term bonds and notes issued by state and
local governments to seek high current income exempt from federal
income taxes.
(icon of) shield with piggy bank enclosed
Income investments
The funds in this group invest their assets primarily in corporate
bonds or government securities to seek interest income. Secondary
objective is capital growth. Risk varies by bond quality.
IDS Global Bond Fund
Invests primarily in debt securities of U.S. and foreign issuers to
achieve high total return through income and growth of capital.
(icon of) globe
IDS Extra Income Fund
Invests mainly in long-term, high-yielding corporate fixed-income
securities in the lower rated, higher risk bond categories to
provide high current income. Secondary objective is capital
growth.
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PAGE 32
Bond Fund
Invests mainly in corporate bonds, at least 50% in the higher
rated, lower risk bond categories,or the equivalent, and in
government bonds.
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IDS Strategy, Income Fund
Invests primarily in corporate and government bonds to seek high
current income while conserving capital. Also may seek capital
appreciation when consistent with its primary goals.
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IDS Selective Fund
Invests in high quality corporate bonds and other highly-rated debt
instruments including government securities and short-term
investments. Seeks current income and preservation of capital.
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IDS Federal Income Fund
Invests primarily in securities issued or guaranteed as to
principal and interest by the U.S. government, its agencies and
instrumentalities. Seeks a high level of current income and safety
of principal consistent with its type of investments.
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IDS Strategy, Short-Term Income Fund
Invests primarily in short-term and intermediate-term bonds and
notes to seek a high level of current income.
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Tax-exempt income investments
These funds provide tax-free income by investing in municipal
bonds. The income is generally free from federal income tax. Risk
varies by bond quality.
IDS High Yield Tax-Exempt Fund
Invests primarily in medium- and lower-quality municipal bonds and
notes. Lower-quality securities generally involve greater risk of
principal and income.
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PAGE 33
IDS State Tax-Exempt Funds
(CA, MA, MI, MN, NY, OH)
Invests primarily in high- and medium-grade municipal securities to
provide income to residents of each respective state that is exempt
from federal, state and local income taxes. (New York is the only
state that is exempt at the local level.)
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IDS Tax-Exempt Bond Fund
Invests mainly in bonds and notes of state or local government
units, with at least 75 % in the four highest rated, lowest risk
bond categories.
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IDS Insured Tax-Exempt Fund
Invests primarily in municipal securities that are insured as to
the timely payment of principal and interest. The insurance
feature minimizes credit risk of the fund but does not guarantee
the market value of the fund's shares.
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Growth and income investments
These funds focus on securities of medium to large, well-
established companies that offer long-term growth of capital and
reasonable income from dividends and interest. Moderate risk.
IDS International Fund
Invests primarily in common stocks of foreign companies that offer
potential for superior growth. The fund may invest up to 20% of
its assets in the U.S. market.
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IDS Strategy, Worldwide Growth Fund
Invests primarily in common stocks of companies throughout the
world that offer potential for superior growth. Holding may range
from small- to large-capitalization stocks, including those of
companies involve in areas of rapid economic growth.
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IDS Managed Retirement Fund
Invests in a combination of common stocks, fixed income investments
and money market securities to seek a maximum total return through
a combination of growth of capital and current income.
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PAGE 34
IDS Equity Plus Fund
Invests primarily in a combination of moderate growth stocks,
higher-yielding equities and bonds. Seeks growth of capital and
income.
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IDS Blue Chip Advantage Fund
Invests in selected stocks from a major market index. Securities
purchased are those recommended by IDS research analysts as the
best from each industry represented on the index. Offers potential
for long-term growth as well as dividend income.
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IDS Stock Fund
Invests in common stocks of companies representing many sectors of
the economy. Seeks current income and growth of capital.
(icon of) building with columns
IDS Strategy, Equity Fund
Invests primarily in undervalued common stocks that offer potential
for growth of capital and income.
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IDS mutual funds
IDS Utilities Income Fund
Invests primarily in the stocks of public utility companies to seek
high current income and growth of income and capital with reduced
volatility.
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IDS Diversified Equity Income Fund
Invests primarily in high-yielding common stocks to seek high
current income and, secondarily, to benefit from the growth
potential offered by stock investments.
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IDS Mutual
Invests in a balance between common stocks and senior securities
(preferred stocks and bonds). Seeks a balance of growth of capital
and current income.
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PAGE 35
Growth funds
Funds in this group seek capital growth, primarily from common
stocks. They are high risk mutual funds with a potential for high
reward.
IDS Discovery Fund
Invests in small and medium-sized, growth-oriented companies
emphasizing technological innovation and productivity enhancement.
Buys and holds larger growth-oriented stocks.
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IDS Growth Fund
Invests primarily in companies that have above-average potential
for long-term growth as a result of new management, marketing
opportunities or technological superiority.
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IDS Strategy, Aggressive Equity Fund
Invests primarily in common stocks of companies that are selected
for their potential for above-average growth. Above-average means
that their growth potential is better, in the opinion of the
portfolio's investment manager, than the Standard & Poor's
Corporation (S&P) 500 Stock Index.
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IDS New Dimensions Fund
Invests primarily in companies with significant growth potential
due to superiority in technology, marketing or management. The
fund frequently changes its industry mix.
(icon of) dimension
IDS Progressive Fund
Invests primarily in undervalued common stocks. The Fund holds
stocks for the long-term with the goal of capital growth.
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IDS Global Growth Fund
Invests in stocks of companies throughout the world that are
positioned to meet market needs in a changing world economy. These
companies offer above-average potential for long-term growth.
(icon of) world
Specialty growth investment
This fund aggressively seeks capital growth as a hedge against
inflation.<PAGE>
PAGE 36
IDS Precious Metals Fund, Inc.
Invests primarily in the securities of foreign or domestic
companies that explore for, mine and process or distribute gold and
other precious metals. This is the most aggressive and most
speculative IDS mutual fund.
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For more complete information about any of these funds, including
charges and expenses, you can obtain a prospectus by contacting
your IDS personal financial planner or writing to IDS Shareholder
Service, P.O. Box 534, Minneapolis, MN 55440-0534. Read it
carefully before you invest or send money.
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PAGE 37
Federal income tax information
IDS Tax-Exempt Bond Fund, Inc.
___________________________________________________________________
The fund is required by the Internal Revenue Code of 1986 to tell
its shareholders about the tax treatment of the dividends it pays
during its fiscal year. The dividends listed below were reported to
you on your year-end statement, in January.
IDS Tax-Exempt Bond Fund, Inc.
Fiscal year ended Nov. 30, 1993
Exempt-interest dividends -- taxable status
explained below.
Payable date Per share
Dec. 28, 1992 $0.0198
Jan. 26, 1993 0.0170
Feb. 24, 1993 0.0192
March 25, 1993 0.0178
April 23, 1993 0.0180
May 24, 1993 0.0191
June 24, 1993 0.0197
July 23, 1993 0.0189
Aug. 23, 1993 0.0190
Sept. 23, 1993 0.0199
Oct. 22, 1993 0.0182
Nov. 23, 1993 0.0206
Total $0.2272
Capital gain distribution -- taxable as long-term
capital gain.
Payable date Per share
Dec. 28, 1992 $0.0172
Total distributions $0.2444
Federal taxation
Exempt-interest dividends are exempt from federal income taxes and
should not be included in shareholders' gross income.
Other taxation
Exempt-interest dividends may be subject to state and local taxes.
Each shareholder should consult a tax adviser about reporting this
income for state and local tax purposes.
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<PAGE>38
Federal income tax information
IDS Tax-Exempt Bond Fund, Inc.
___________________________________________________________________
Source of income by state
Percentages of income from municipal securities earned by the fund
from various states during the year ended Nov. 30, 1993, are listed
below.
Alabama 0.146%
Alaska 3.433
Arizona 1.797
California 3.610
Colorado 0.789
Connecticut 1.447
Delaware 0.156
Florida 4.362
Georgia 2.656
Hawaii 1.815
Idaho 0.004
Illinois 7.720
Indiana 2.080
Iowa 0.424
Kansas 1.059
Kentucky 0.924
Louisiana 2.785
Maine 0.134
Maryland 1.104
Massachusetts 2.276
Michigan 1.102
Minnesota 3.752
Mississippi 0.004
Missouri 1.034
Montana 0.027
Nevada 0.332
New Hampshire 0.420
New Jersey 2.755
New Mexico 1.092
New York 3.669
North Carolina 4.934
Ohio 1.398
Oregon 1.511
Pennsylvania 3.798
Rhode Island 1.351
South Carolina 3.157
Tennessee 0.644
Texas 15.506
Utah 1.935
Virginia 1.801
Washington 4.385
Washington, DC 0.024
West Virginia 0.811
Wisconsin 4.406
Wyoming 1.431<PAGE>
PAGE 39
Quick telephone reference
IDS Telephone Transaction Service
Redemptions and exchanges, dividend payments or reinvestments and
automatic payment arrangements
National/Minnesota: 800-437-3133
Mpls./St. Paul area: 671-3800
IDS Shareholder Service
Fund performance, objectives and account inquiries
612-671-3733
TTY Service
For the hearing impaired
800-846-4852
IDS Infoline
Automated account information (TouchToneR phones only), including
current fund prices and performance, account values and recent
account transactions
National/Minnesota: 800-272-4445
Mpls./St. Paul area: 671-1630
Your IDS financial planner:
AN AMERICAN EXPRESS COMPANY
1894 IDS 1994
A CENTURY OF INVESTING IN THE FUTURE
IDS Managed Retirement Fund
IDS Tower 10
Minneapolis, MN 55440-0010
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PAGE 40
STATEMENT OF DIFFERENCES
Difference Description
1) The layout is different 1) Some of the layout in the
throughout the annual report. annual report to
shareholders is in two
columns.
2) Headings. 2) The headings in the
annual report and
prospectus are placed
in blue strip at the top
of the page.
3) There are pictures, icons 3) Each picture, icon and
and graphs throughout the graph is described in
annual report and prospectus. parentheses.
4) Footnotes for charts and 4) The footnotes for each
graphs are described at chart or graph are typed
the left margin. below the description of
the chart or graph.
