ALLIANCE CAPITAL RESERVES
ALLIANCECAPITAL
SEMI-ANNUAL REPORT
DECEMBER 31, 1995
(UNAUDITED)
STATEMENT OF NET ASSETS
DECEMBER 31, 1995 (UNAUDITED) ALLIANCE CAPITAL RESERVES
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) SECURITY+ YIELD VALUE
- ---------------------------------------------------------------------------
COMMERCIAL PAPER-64.1%
ABBEY NATIONAL
$ 40,000 3/14/96 5.45% $ 39,557,944
20,000 1/16/96 5.71 19,952,417
40,000 1/31/96 5.72 39,809,333
AIG FUNDING, INC.
12,000 3/22/96 5.40 11,854,200
ALLIANZ OF AMERICA FINANCE CORP.
8,000 1/19/96 5.70 7,977,200
ANZ DELAWARE, INC.
40,000 3/05/96 5.60 39,601,778
30,000 2/20/96 5.65 29,764,583
AUSTRALIAN WHEAT BOARD
15,000 3/19/96 5.55 14,819,625
BANK OF MONTREAL
30,000 1/30/96 5.70 29,862,250
BHF FINANCE DELAWARE, INC.
70,000 3/04/96 5.64 69,309,100
BIL NORTH AMERICA, INC.
25,000 3/26/96 5.50 24,675,347
15,000 3/27/96 5.50 14,802,917
25,000 3/06/96 5.60 24,747,222
25,000 2/20/96 5.68 24,802,778
CAISSE CENTRALE JARDINS DU QUEBEC
25,000 3/20/96 5.54 24,696,070
28,000 4/24/96 5.56 27,507,013
CAISSE DES DEPOTS ET CONSIGNATIONS
45,000 2/15/96 5.65 44,682,187
50,000 2/12/96 5.68 49,668,667
CHEMICAL BANKING CORP.
50,000 1/19/96 5.70 49,857,500
CHIAO TUNG BANK CO., LTD.
18,000 5/31/96 5.45 17,588,525
30,000 1/25/96 5.68 29,886,400
20,000 2/06/96 5.71 19,885,800
25,000 1/24/96 5.75 24,908,160
25,000 1/08/96 5.80 24,971,805
COMMERZBANK
20,000 1/22/96 5.60 19,934,667
29,000 1/10/96 5.70 28,958,675
COMMONWEALTH BANK OF AUSTRALIA
25,000 2/13/96 5.63 24,831,882
CORESTATES CAPITAL CORP.
20,000 1/12/96 5.70 19,965,167
CREGEM NORTH AMERICA, INC.
50,000 3/15/96 5.61 49,423,416
50,000 2/14/96 5.69 49,652,278
DEN DANSKE CORP.
30,000 2/21/96 5.65 29,759,875
26,000 1/29/96 5.71 25,884,450
DIC AMERICAS, INC.
38,800 2/20/96 5.95 38,479,361
18,000 1/30/96 6.00 17,913,000
DUPONT (E. I.) DE NEMOURS & CO.
20,000 1/09/96 6.08 19,972,978
ELECTRICITY CORP. OF NEW ZEALAND, LTD.
8,000 2/09/96 5.64 7,951,120
FINANCE ONE FUNDING CORP.
10,000 2/13/96 5.58 9,933,350
30,000 2/13/96 5.67 29,796,825
10,000 2/27/96 5.67 9,910,225
FINNISH EXPORT CREDIT, LTD.
35,000 2/12/96 5.65 34,769,292
25,000 1/22/96 5.70 24,916,875
20,000 1/23/96 5.70 19,930,333
25,000 2/07/96 5.70 24,853,542
GENERAL ELECTRIC CREDIT CORP.
25,000 2/12/96 5.69 24,834,042
30,000 2/13/96 5.69 29,796,108
GOLDMAN SACHS GROUP
80,000 2/16/96 5.70 79,417,333
GREENWICH ASSET FUNDING, INC.
30,000 1/22/96 5.72 29,899,900
HALIFAX BUILDING SOCIETY
75,000 3/06/96 5.58 74,244,375
HANSON FINANCE
15,000 2/09/96 5.67 14,907,863
19,000 2/08/96 5.68 18,886,084
40,000 1/26/96 5.70 39,841,667
INTERNATIONAL SECURITIZATION CORP.
10,230 2/20/96 5.70 10,149,013
15,200 3/29/96 5.70 14,988,213
J. C. PENNEY FUNDING CORP.
35,000 2/12/96 5.65 34,769,292
J.P. MORGAN & CO., INC.
25,000 4/04/96 5.62 24,633,139
35,000 2/16/96 5.65 34,747,319
KAEMPFER CAPITAL CORP.
19,084 3/05/96 5.62 18,893,330
20,000 3/07/96 5.62 19,793,933
10,000 2/01/96 5.70 9,950,917
KINGDOM OF SWEDEN
54,000 3/12/96 5.54 53,409,990
40,000 1/12/96 5.63 39,931,189
1
STATEMENT OF NET ASSETS (CONTINUED) ALLIANCE CAPITAL RESERVES
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) SECURITY+ YIELD VALUE
- ---------------------------------------------------------------------------
MEC FINANCE USA, INC.
$ 10,000 3/27/96 5.67% $ 9,864,550
33,000 2/27/96 5.73 32,700,607
MERRILL LYNCH & CO., INC.
25,000 3/29/96 5.67 24,653,500
40,000 2/14/96 5.70 39,721,333
MORGAN STANLEY GROUP, INC.
80,000 2/08/96 5.70 79,518,667
NATIONAL AUSTRALIA FUNDING
70,000 5/29/96 5.43 68,426,808
NEW SOUTH WALES TREASURY CORP.
43,000 1/08/96 5.70 42,952,342
NORDIC INVESTMENT BANK
40,000 2/05/96 5.73 39,777,167
PACIFIC GAS AND ELECTRIC COMPANY
35,000 1/30/96 5.70 34,839,292
PRIME ASSET VEHICLE, LTD.
15,000 3/06/96 5.68 14,846,302
PROVINCE DE QUEBEC
20,000 3/11/96 5.60 19,782,222
40,000 3/13/96 5.60 39,552,000
SIGMA FINANCE, INC.
13,000 3/15/96 5.57 12,851,157
10,500 2/20/96 5.63 10,417,896
SMITHKLINE BEECHAM
26,000 1/30/96 5.87 25,877,161
SUMITOMO CORP. OF AMERICA
10,000 2/28/96 5.68 9,908,489
25,000 1/12/96 5.69 24,956,534
SVENSKA HANDELSBANKEN
25,000 2/09/96 5.68 24,846,167
30,000 2/06/96 5.71 29,828,700
SWEDISH EXPORT CREDIT
CORP.
20,000 2/29/96 5.63 19,815,461
25,000 2/22/96 5.64 24,796,333
50,000 2/01/96 5.70 49,754,584
TASMANIAN PUBLIC FINANCE CORP.
14,000 3/18/96 5.55 13,833,808
9,295 3/25/96 5.70 9,171,377
TOYOTA MOTOR CREDIT CORP.
65,000 2/09/96 5.75 64,595,104
TRANSAMERICA CORP.
28,000 1/24/96 5.78 27,896,602
Total Commercial Paper
(amortized cost $2,560,304,002) 2,560,304,002
CERTIFICATES OF DEPOSIT-17.7%
ABN AMRO
$ 72,000 5.78%, 2/01/96 5.75% $ 72,001,673
BANK OF TOKYO
75,000 6.08%, 2/13/96 6.07 75,000,881
BANQUE NATIONALE DE PARIS
40,000 5.68%, 3/13/96 5.68 39,999,646
25,000 5.79%, 1/31/96 5.80 24,999,776
BAYERISCHE HYPOBANK
50,000 5.78%, 2/05/96 5.75 50,000,948
25,000 5.80%, 2/05/96 5.75 25,001,109
BAYERISCHE VEREINSBANK AG
50,000 5.60%, 4/29/96 5.60 50,000,000
COMMERZBANK
20,000 5.66%, 3/15/96 5.65 20,000,405
20,000 5.80%, 1/31/96 5.79 20,000,164
CREDIT SUISSE
25,000 5.73%, 1/09/96 5.70 25,000,149
DAI ICHI KANGYO BANK
35,000 5.88%, 1/25/96 5.87 35,000,232
DEUTSCHE BANK
25,000 5.68%, 3/15/96 5.75 24,994,612
30,000 5.79%, 1/25/96 5.80 29,999,711
DRESDNER BANK
10,000 6.46%, 4/26/96 6.44 10,000,605
MITSUBISHI BANK, LTD.
20,000 6.00%, 1/10/96 6.00 20,000,000
NORINCHUKIN BANK
43,000 6.10%, 1/22/96 6.08 43,000,496
SANWA BANK
35,000 6.10%, 1/02/96 6.09 35,000,010
SOCIETE GENERALE N.A., INC.
10,000 5.73%, 1/16/96 5.83 9,999,534
45,000 7.65%, 1/11/96 6.17 45,015,906
SWISS BANK CORP.
50,000 5.77%, 2/02/96 5.75 50,000,864
Total Certificates of Deposit
(amortized cost $705,016,721) 705,016,721
BANK OBLIGATIONS-8.3%
BANK OF AMERICA ILLINOIS
50,000 5.79%, 1/16/96 5.80 49,999,776
30,000 5.80%, 1/12/96 5.80 30,000,000
BANK OF NEW YORK
50,000 5.57%, 5/30/96 5.60 49,993,922
BANK ONE MILWAUKEE
16,500 6.82%, 3/07/96 6.68 16,503,119
10,500 7.25%, 2/09/96 7.05 10,502,007
CHASE MANHATTAN CORP.
10,000 7.59%, 1/30/96 6.75 10,006,166
2
ALLIANCE CAPITAL RESERVES
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) SECURITY+ YIELD VALUE
- ---------------------------------------------------------------------------
HUNTINGTON NATIONAL BANK
$ 17,000 6.86%, 2/23/96 6.63% $ 17,004,440
MORGAN GUARANTY TRUST CO.
20,000 6.00%, 10/30/96 6.00 20,000,000
NATIONSBANK
10,000 7.00%, 2/06/96 7.20 9,998,029
WACHOVIA BANK
50,000 5.78%, 1/18/96 5.78 49,999,957
45,000 5.81%, 1/03/97 FRN 5.81 44,958,138
WORLD SAVINGS & LOAN ASSOC.
22,525 4.88%, 3/01/96 6.00 22,457,600
Total Bank Obligations
(amortized cost $331,423,154) 331,423,154
CORPORATE OBLIGATIONS-4.8%
ABBEY NATIONAL TREASURY SERVICES
10,000 7.05%, 3/01/96 7.05 10,000,000
AID HOUSING GUARANTY PROJECT PORTUGAL
12,500 5.75%, 12/01/16 FRN 5.75 12,500,000
BEAR STEARNS COS., INC.
15,000 5.97%, 1/26/96 FRN 5.97 15,000,000
BETA FINANCE CORP.
20,000 5.76%, 9/25/96 FRN 5.76 20,000,000
C.I.T GROUP HOLDINGS
5,175 8.75%, 2/15/96 5.83 5,192,291
CS FIRST BOSTON, INC.
15,000 6.02%, 4/01/96 FRN* 6.02 15,000,000
GENERAL ELECTRIC CAPITAL CORP.
25,000 7.85%, 7/17/96 5.80 25,261,740
GENERAL ELECTRIC CO.
17,000 7.88%, 5/01/96 6.50 17,073,903
J.P. MORGAN & CO., INC.
27,700 5.13%, 1/17/96 FRN 5.22 27,697,802
20,000 5.61%, 4/08/96 FRN 5.63 19,998,917
MERRILL LYNCH & CO., INC.
10,000 5.65%, 4/01/96 FRN 5.65 10,000,000
14,000 6.95%, 2/27/96 7.00 14,000,000
Total Corporate Obligations
(amortized cost $191,724,653) 191,724,653
U.S. GOVERNMENT AND AGENCY
OBLIGATIONS-4.3%
FEDERAL HOME LOAN BANK
20,000 5.53%, 11/13/96 FRN 5.60 19,988,240
50,000 5.74%, 10/16/96 FRN 5.87 49,951,941
20,000 5.97%, 7/18/96 5.97 20,000,000
55,000 1/02/96 5.75 54,991,215
FEDERAL NATIONAL MORTGAGE ASSOCIATION
25,000 5.76%, 9/27/96 5.76 25,000,000
OVERSEAS PRIVATE INVESTMENT CORP.
1,875 5.75%, 6/10/97 FRN 5.75 1,875,000
Total U.S. Government and
Agency Obligations
(amortized cost $171,806,396) 171,806,396
TOTAL INVESTMENTS-99.2%
(amortized cost $3,960,274,926) 3,960,274,926
Other assets less liabilities-0.8% 30,955,998
NET ASSETS-100%
(offering and redemption price of
$1.00 per share; 3,991,948,911
shares outstanding) $3,991,230,924
+ All securities either mature or their interest rate changes in one year or
less.
* Restricted security (see Note F).
Glossary:
FRN - Floating Rate Note
See notes to financial statements.
3
STATEMENT OF OPERATIONS
SIX MONTHS ENDED DECEMBER 31, 1995 (UNAUDITED) ALLIANCE CAPITAL RESERVES
_______________________________________________________________________________
INVESTMENT INCOME
Interest $109,232,069
EXPENSES
Advisory fee (Note B) $8,747,641
Distribution assistance and administrative service
(Note C) 4,994,209
Transfer agency 3,756,265
Registration fees 301,630
Custodian fees 299,704
Printing 206,763
Audit and legal fees 36,267
Trustees' fees 8,096
Miscellaneous 27,302
Total expenses 18,377,877
Net investment income 90,854,192
REALIZED LOSS ON INVESTMENTS
Net realized loss on investments (56,904)
NET INCREASE IN NET ASSETS FROM OPERATIONS $ 90,797,288
See notes to financial statements.
4
STATEMENTS OF CHANGES IN NET ASSETS ALLIANCE CAPITAL RESERVES
_______________________________________________________________________________
SIX MONTHS ENDED
DECEMBER 31,1995 YEAR ENDED
(UNAUDITED) JUNE 30,1995
---------------- ---------------
INCREASE (DECREASE) IN NET ASSETS FROM
OPERATIONS
Net investment income $ 90,854,192 $ 113,392,834
Net realized loss on investments (56,904) (525,149)
Net increase in net assets from operations 90,797,288 112,867,685
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income (90,854,192) (113,392,834)
TRANSACTIONS IN SHARES OF BENEFICIAL INTEREST
Net increase 967,195,737 607,356,139
Total increase 967,138,833 606,830,990
NET ASSETS
Beginning of period 3,024,092,091 2,417,261,101
End of period $3,991,230,924 $3,024,092,091
See notes to financial statements.
5
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 1995 (UNAUDITED) ALLIANCE CAPITAL RESERVES
_______________________________________________________________________________
NOTE A: SIGNIFICANT ACCOUNTING POLICIES
Alliance Capital Reserves (the 'Trust') is an open-end diversified investment
company registered under the Investment Company Act of 1940. The Trust consists
of two portfolios: Alliance Capital Reserves (the 'Portfolio') and Alliance
Money Reserves. Each portfolio is considered to be a separate entity for
financial reporting and tax purposes. The following is a summary of significant
accounting policies followed by the Portfolio.
1. VALUATION OF SECURITIES
Securities in which the Portfolio invests are traded primarily in the
over-the-counter market and are valued at amortized cost, under which method a
portfolio instrument is valued at cost and any premium or discount is amortized
on a constant basis to maturity.
2. TAXES
It is the Portfolio's policy to comply with the requirements of the Internal
Revenue Code applicable to regulated investment companies and to distribute all
of its investment company taxable income and net realized gains, if applicable,
to its shareholders. Therefore, no provisions for federal income or excise
taxes are required.
3. DIVIDENDS
The Portfolio declares dividends daily and automatically reinvests such
dividends in additional shares at net asset value. Net realized capital gains
on investments, if any, are expected to be distributed near year end.
4. GENERAL
Interest income is accrued as earned. Security transactions are recorded on a
trade date basis. Realized gain (loss) from security transactions is recorded
on the identified cost basis. It is the Portfolio's policy to take possession
of securities as collateral under repurchase agreements and to determine on a
daily basis that the value of such securities are sufficient to cover the value
of the repurchase agreements.
NOTE B: ADVISORY FEE AND TRANSACTIONS WITH AN AFFILIATE OF THE ADVISER
The Portfolio pays its Adviser, Alliance Capital Management L.P., an advisory
fee at the annual rate of .50 of 1% on the first $1.25 billion of average daily
net assets; .49 of 1% on the next $.25 billion; .48 of 1% on the next $.25
billion; .47 of 1% on the next $.25 billion; .46 of 1% on the next $1 billion;
and .45 of 1% in excess of $3 billion. The Adviser has agreed to reimburse the
Portfolio to the extent that its annual aggregate expenses (excluding taxes,
brokerage, interest and, where permitted, extraordinary expenses) exceed 1% of
its average daily net assets for any fiscal year. No reimbursement was required
for the six months ended December 31, 1995. The Portfolio compensates Alliance
Fund Services, Inc. (a wholly-owned subsidiary of the Adviser) for providing
personnel and facilities to perform transfer agency services for the Portfolio.
Such compensation amounted to $2,124,469 for the six months ended December 31,
1995.
NOTE C: DISTRIBUTION ASSISTANCE AND ADMINISTRATIVE SERVICES PLAN
Under this Plan, the Portfolio pays the Adviser a distribution fee at an annual
rate of up to .25 of 1% of the average daily value of the Portfolio's net
assets.
The Plan provides that the Adviser will use amounts payable under the Plan in
their entirety for (i) payments to broker-dealers and other financial
intermediaries, including the Portfolio's distributor, for distribution
assistance and payments to banks and other depository institutions for
administrative and accounting services and (ii) otherwise promoting the sale of
shares of the Portfolio. For the six months ended December 31, 1995, the
distribution fee amounted to $4,594,469. In addition, the Portfolio reimbursed
certain broker-dealers for administrative costs incurred in connection with
providing shareholder services, accounting, bookkeeping, legal and compliance
support. For the six months ended December 31, 1995, such payments by the
Portfolio amounted to $399,740 of which $77,500 was paid to the Adviser.
6
ALLIANCE CAPITAL RESERVES
_______________________________________________________________________________
NOTE D: INVESTMENT TRANSACTIONS
At December 31, 1995, the cost of securities for federal income tax purposes
was the same as the cost for financial reporting purposes. At June 30, 1995 the
Portfolio had a capital loss carryforward of $661,083 of which $85,995 expires
in 2001, $49,939 expires in 2002 and $525,149 expires in 2003.
NOTE E: TRANSACTIONS IN SHARES OF BENEFICIAL INTEREST
An unlimited number of shares ($.001 par value) are authorized. At December 31,
1995, capital paid-in aggregated $3,991,948,911. Transactions, all at $1.00 per
share, were as follows:
SIX MONTHS ENDED YEAR ENDED
DECEMBER 31,1995 JUNE 30,
(UNAUDITED) 1995
---------------- ----------------
Shares sold 9,201,917,586 11,681,203,006
Shares issued on reinvestments of dividends 90,854,192 113,392,834
Shares redeemed (8,325,576,041) (11,187,239,701)
Net increase 967,195,737 607,356,139
NOTE F: RESTRICTED SECURITIES
The following securities are restricted as to resale except among qualified
institutional investors such as the Portfolio.
DATE % OF NET
SECURITY ACQUIRED VALUE ASSETS
- ----------------------------------------- -------- ----------- --------
CS First Boston, Inc., 6.02%, 4/01/96 FRN 3/30/95 $15,000,000 .38%
7
NOTES TO FINANCIAL STATEMENTS (CONTINUED) ALLIANCE CAPITAL RESERVES
_______________________________________________________________________________
NOTE G: FINANCIAL HIGHLIGHTS
Selected data for a share outstanding throughout each period.
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
DECEMBER 31, YEAR ENDED JUNE 30,
1995 ------------------------------------------------
(UNAUDITED) 1995 1994 1993 1992 1991
------------ -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
INCOME FROM INVESTMENT OPERATIONS
Net investment income .0248 .0447 .0255 .0266 .0438 .0662
Net realized gain on investments -0- -0- -0- .0003 .0013 -0-
Net increase in net assets from
operations .0248 .0447 .0255 .0269 .0451 .0662
LESS: DISTRIBUTIONS
Dividends from net investment income (.0248) (.0447) (.0255) (.0266) (.0438) (.0662)
Distributions from net realized gains -0- -0- -0- (.0003) (.0013) -0-
Total dividends and distributions (.0248) (.0447) (.0255) (.0269) (.0451) (.0662)
Net asset value, end of period $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
TOTAL RETURNS
Total investment return based on:
net asset value (a) 4.99%(b) 4.57% 2.58% 2.73% 4.61% 6.84%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in millions) $3,991 $3,024 $2,417 $2,112 $1,947 $1,937
Ratio to average net assets of:
Expenses, net of waivers and
reimbursements 1.00%(b) 1.00% 1.00% 1.00% 1.00% .97%
Expenses, before waivers and
reimbursements 1.00%(b) 1.03% 1.03% 1.00% 1.00% .97%
Net investment income 4.94%(b) 4.51% 2.57% 2.65% 4.37% 6.62%
</TABLE>
(a) Total investment return is calculated assuming an initial investment made
at the net asset value at the beginning of the period, reinvestment of all
dividends and distributions at net asset value during the period, and
redemption on the last day of the period.
(b) Annualized.
8
ALLIANCE CAPITAL RESERVES
_______________________________________________________________________________
TRUSTEES
DAVE H. WILLIAMS, CHAIRMAN
JOHN D. CARIFA
SAM Y. CROSS
CHARLES H.P. DUELL
WILLIAM H. FOULK, JR.
ELIZABETH J. MCCORMACK
DAVID K. STORRS
SHELBY WHITE
JOHN WINTHROP
OFFICERS
RONALD M. WHITEHILL, PRESIDENT
JOHN R. BONCZEK, SENIOR VICE PRESIDENT
KATHLEEN A. CORBET, SENIOR VICE PRESIDENT
ROBERT I. KURZWEIL, SENIOR VICE PRESIDENT
WAYNE D. LYSKI, SENIOR VICE PRESIDENT
PATRICIA NETTER, SENIOR VICE PRESIDENT
RONALD R. VALEGGIA, SENIOR VICE PRESIDENT
DREW BIEGEL, VICE PRESIDENT
JOHN F. CHIODI, JR., VICE PRESIDENT
DORIS T. CILIBERTI, VICE PRESIDENT
WILLIAM J. FAGAN, VICE PRESIDENT
JOSEPH R. LASPINA, VICE PRESIDENT
LINDA D. NEIL, VICE PRESIDENT
RAYMOND J. PAPERA, VICE PRESIDENT
PAMELA F. RICHARDSON, VICE PRESIDENT
EDMUND P. BERGAN, JR., SECRETARY
MARK D. GERSTEN, TREASURER & CHIEF FINANCIAL OFFICER
JOSEPH J. MANTINEO, CONTROLLER
CUSTODIAN
STATE STREET BANK AND TRUST COMPANY
P.O. Box 1912
Boston, MA 02105
LEGAL COUNSEL
SEWARD & KISSEL
One Battery Park Plaza
New York, NY 10004
AUDITORS
MCGLADREY & PULLEN, LLP
555 Fifth Avenue
New York, NY 10017
TRANSFER AGENT
ALLIANCE FUND SERVICES, INC.
P.O. Box 1520
Secaucus, NJ 07096-1520
DISTRIBUTOR
ALLIANCE FUND DISTRIBUTORS, INC.
1345 Avenue of the Americas
New York, NY 10105
9
ALLIANCE CAPITAL RESERVES
1345 Avenue of the Americas, New York, NY 10105
Toll free 1 (800) 221-5672
YIELDS. For current recorded yield information on Alliance
Capital Reserves, call on a touch-tone telephone toll-free
(800) 251-0539 and press the following sequence of keys:
1 # 1 # 3 9 #
For non-touch-tone telephones, call toll-free (800) 221-9513
ALLIANCECAPITAL
DISTRIBUTION OF THIS REPORT OTHER THAN TO SHAREHOLDERS MUST
BE PRECEDED OR ACCOMPANIED BY THE FUND'S CURRENT PROSPECTUS,
WHICH CONTAINS FURTHER INFORMATION ABOUT THE FUND.
R THESE REGISTERED SERVICE MARKS USED UNDER LICENSE FROM
THE OWNER, ALLIANCE CAPITAL MANAGEMENT L.P.
ALC601034
CAPSR
