LETTER TO SHAREHOLDERS
Dear Shareholder:
Money market yields were in a rising pattern for most of last year, ever
since the Federal Reserve Board began a series of six steps in February, 1994
to head off inflation by raising short-term interest rates.
During the year, the Federal Funds rate was boosted by 250 basis points.
In just the last six months, the increase has amounted to 125 basis points.
The year's returns for Dreyfus Money Market Instruments reflect the much
lower level of interest rates when the year began, as well as the continuous
rises since then.
For the fiscal year ended December 31, 1994, the yield of the Money
Market Series of Dreyfus Money Market Instruments was 3.37%, which equals an
effective yield of 3.42% after taking into account the effect of compounding.
For the Government Securities Series, the yield was 3.26% and the effective
yield was 3.31% after taking into account the effect of compounding. It may
be of interest to note that in the latest quarter, the three months ended
December 31, 1994, the annualized yield for the Money Market Series was 4.36%
and for the Government Securities Series was 4.24%. The annualized effective
yield after taking into account the effect of compounding for the two Series
was 4.45% and 4.32%, respectively.*
The performance of the U.S. economy last year was most impressive, in
spite of slow retail sales during the Christmas season. During the year, we
saw a robust housing market, booming automobile sales, notable expansion in
new jobs, a drop in the unemployment rate, and expanding industrial
production. All this was accomplished with a very modest level of inflation,
whether you measure inflation by the existing numbers or revise it downward,
as has been suggested by the Chairman of the Federal Reserve Board, Alan
Greenspan. In January, Mr. Greenspan advised Congress that in his opinion the
currently published inflation numbers overstate the Consumer Price Index by
.05 to 1.5%.
Recently, the fiscal problems of Mexico have unsettled financial markets.
However, the U.S. rescue plan appears to have had a calming effect.
All of this has an impact on money market rates. Soon, the Federal
Reserve will have to decide whether another increase in the Federal Funds
rate is required. The continued expansion of the American economy argues for
further tightening of interest rates. On the other hand, the financial
problems in Mexico and elsewhere in Latin America might persuade the Fed to
take a more cautious approach.
For most of the year, we maintained a fairly short maturity average in
anticipation of the increases in interest rates. That is still our posture.
As always, we will be watching the economic developments closely and will
not hesitate to make portfolio adjustments as required.
As announced by The Dreyfus Corporation this month, Joseph S. DiMartino
has resigned as President of The Dreyfus Corporation and as portfolio manager
of Dreyfus Money Market Instruments in order to assume new duties as Chairman
of the Boards of certain Dreyfus mutual funds. I have worked closely with Mr.
DiMartino for the past thirteen years and currently manage other Dreyfus
money market funds.
I am committed to continuing the superior investment service this Fund
has provided to its investors in the past and look forward to serving your
investment needs in the future.
Sincerely,
(Logo Signature)
Patricia A. Larkin
Portfolio Manager
January 17, 1995
New York, N.Y.
* Annualized effective yield is based upon dividends declared daily and
reinvested monthly.
<TABLE>
<CAPTION>
DREYFUS MONEY MARKET INSTRUMENTS, INC., Money Market Series
STATEMENT OF INVESTMENTS DECEMBER 31, 1994
PRINCIPAL
NEGOTIABLE BANK CERTIFICATES OF DEPOSIT--16.4% AMOUNT VALUE
-------------- -------------
<S> <C> <C>
ABN-AMRO Bank N.V. (Yankee)
6.15%, 4/5/95........................................................... $ 5,000,000 $ 5,000,256
Chase Manhattan Bank N.A. (London)
6.56%, 5/1/95........................................................... 8,000,000 8,000,000
Industrial Bank of Japan Ltd. (Yankee)
5.50%, 1/17/95.......................................................... 7,000,000 7,000,000
Sumitomo Bank Ltd. (Yankee)
5.23%-6.59%, 3/7/95-4/17/95............................................. 8,000,000 8,000,000
------------
TOTAL NEGOTIABLE BANK CERTIFICATES OF DEPOSIT
(cost $28,000,256)...................................................... $ 28,000,256
=============
COMMERCIAL PAPER--52.5%
AES Shady Point Inc.
5.16%, 1/30/95 (a)...................................................... $ 8,000,000 $ 7,967,456
Ford Motor Credit Co.
6.49%, 4/11/95.......................................................... 8,000,000 7,858,889
General Electric Capital Corp.
5.07%, 1/9/95........................................................... 5,000,000 4,994,467
General Motors Acceptance Corp.
5.47%-6.54%, 1/27/95-4/10/95............................................ 9,000,000 8,910,208
Generale Bank Inc.
5.23%, 1/12/95.......................................................... 5,000,000 4,992,147
Goldman Sachs Group L.P.
6.06%, 1/4/95........................................................... 8,000,000 7,995,967
ITT Financial Corp.
5.92%-6.13%, 2/14/95-4/3/95............................................. 8,000,000 7,918,372
Lehman Brothers Holdings Inc.
5.10%, 1/17/95.......................................................... 5,000,000 4,989,000
NYNEX Corp.
5.14%, 1/9/95........................................................... 3,000,000 2,996,633
Prudential Funding Corp.
5.20%, 2/14/95.......................................................... 8,000,000 7,950,427
Sears Roebuck Acceptance Corp.
5.56%, 1/13/95.......................................................... 9,000,000 8,983,545
Spintab AB
5.97%, 3/15/95.......................................................... 8,000,000 7,905,100
UBS Finance (Delaware) Inc.
6.25%, 1/3/95........................................................... 6,000,000 5,997,916
------------
TOTAL COMMERCIAL PAPER (cost $89,460,127)................................... $ 89,460,127
=============
CORPORATE NOTE--4.7%
Merrill Lynch & Co. Inc.
5.79%, 4/26/95 (b)
(cost $8,000,000)....................................................... $ 8,000,000 $ 8,000,000
=============
DREYFUS MONEY MARKET INSTRUMENTS, INC., Money Market Series
STATEMENT OF INVESTMENTS (CONTINUED) DECEMBER 31, 1994
PRINCIPAL
SHORT-TERM BANK NOTE--2.9% AMOUNT VALUE
-------------- -------------
FCC National Bank (Delaware)
5.79%, 3/14/95 (b)
(cost $4,999,504)....................................................... $ 5,000,000 $ 4,999,504
=============
U.S. GOVERNMENT AGENCY--2.9%
Federal National Mortgage Association,
Floating Rate Notes
5.97%, 2/14/97 (b)
(cost $5,000,000)....................................................... $ 5,000,000 $ 5,000,000
=============
TIME DEPOSITS--9.7%
Chemical Bank (London)
6.25%, 1/3/95........................................................... $ 6,000,000 $ 6,000,000
Fleet Bank of New York N.A. (Cayman)
6.25%, 1/3/95........................................................... 6,000,000 6,000,000
Republic National Bank of New York (London)
5.00%, 1/3/95........................................................... 4,617,000 4,617,000
--------------
TOTAL TIME DEPOSITS (cost $16,617,000)...................................... $ 16,617,000
=============
REPURCHASE AGREEMENT--10.6%
Yamaichi International America Inc.
6.10%, dated 12/30/94, due 1/3/95 in the amount of $18,012,200
(fully collateralized by $18,300,000 U.S. Treasury Notes
4 1/8%, due 5/31/95, value $18,198,948)
(cost $18,000,000)...................................................... $ 18,000,000 $ 18,000,000
=============
TOTAL INVESTMENTS
(cost $170,076,887)........................................... 99.7% $170,076,887
===== ============
CASH AND RECEIVABLES (NET)........................................ .3% $ 471,385
===== ============
NET ASSETS ................................................. 100.0% $170,548,272
===== ============
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS;
(a) Backed by an irrevocable letter of credit.
(b) Variable interest rate-subject to periodic change.
See notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS MONEY MARKET INSTRUMENTS, INC., Government Securities Series
STATEMENT OF INVESTMENTS DECEMBER 31, 1994
ANNUALIZED
YIELD ON
DATE OF PRINCIPAL
U.S. TREASURY BILLS--40.3% PURCHASE AMOUNT VALUE
------------ ----------- ------------
<S> <C> <C> <C>
2/2/95..................................................... 5.13% $25,000,000 $ 24,887,556
2/9/95..................................................... 5.13 45,000,000 44,754,787
3/9/95..................................................... 5.11 15,000,000 14,860,696
3/16/95.................................................... 5.49 50,000,000 49,441,917
5/18/95.................................................... 5.94 30,000,000 29,341,258
5/25/95.................................................... 5.99 25,000,000 24,418,500
------------
TOTAL U.S. TREASURY BILLS (cost $187,704,714).................. $187,704,714
============
U.S. TREASURY NOTES--11.3%
3.875%, 2/28/95
(cost $52,857,908)....................................... 5.46% $53,000,000 $ 52,857,908
============
REPURCHASE AGREEMENTS--43.6%
Daiwa Securities America Inc.
dated 12/30/94, due 1/3/95 in the amount of $49,031,850
(fully collateralized by $48,980,000 U.S. Treasury
Notes 4.25% to 5.50%, due from 2/15/95 to 7/31/95,
value $49,594,153)......................................... 5.85% $49,000,000 $49,000,000
Eastbridge Capital Inc.
dated 12/30/94, due 1/3/95 in the amount of $65,045,139
(fully collateralized by $68,820,000 U.S. Treasury
Bills, due 6/1/95, value $67,065,395)...................... 6.25 65,000,000 65,000,000
First Interstate Bank of California
dated 12/30/94, due 1/3/95 in the amount of $2,959,808
(fully collateralized by $2,900,000 U.S. Treasury
Notes 11.25%, due 5/15/95, value $2,994,911)............... 5.50 2,958,000 2,958,000
Lehman Government Securities, Inc.
dated 12/30/94, due 1/3/95 in the amount of $21,013,533
(fully collateralized by $21,575,000 U.S. Treasury
Notes, 3.875%, due 8/31/95, value $21,438,927)............. 5.80 21,000,000 21,000,000
Yamaichi International America Inc.
dated 12/30/94, due 1/3/95 in the amount of $65,044,417
(fully collateralized by $42,500,000 U.S. Treasury
Notes 3.875% to 8.50%, due from 8/15/95 to
10/31/95 and $23,480,000 U.S. Treasury Bills due
5/11/95, value $65,711,495)................................ 6.15 65,000,000 65,000,000
------------
TOTAL REPURCHASE AGREEMENTS
(cost $202,958,000)........................................ $202,958,000
============
TOTAL INVESTMENTS
(cost $443,520,622).............................. 95.2% $443,520,622
===== ============
CASH AND RECEIVABLES (NET)........................... 4.8% $ 22,434,922
===== ============
NET ASSETS........................................... 100.0% $465,955,544
===== ============
</TABLE>
See notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS MONEY MARKET INSTRUMENTS, INC.
STATEMENT OF ASSETS AND LIABILITIES DECEMBER 31, 1994
MONEY GOVERNMENT
MARKET SECURITIES
SERIES SERIES
------------- --------------
<S> <C> <C>
ASSETS:
Investments in securities, at value (including repurchase agreements of
$18,000,000 and $202,958,000 for the Money Market Series and
Government Securities Series, respectively)_Note 2(a,b)............... $170,076,887 $443,520,622
Cash.................................................................... 984,096 3,175,816
Receivable for investment securities sold............................... -- 19,999,493
Interest receivable..................................................... 328,035 1,223,803
Prepaid expenses........................................................ 90,148 87,602
------------ ------------
171,479,166 468,007,336
------------ ------------
LIABILITIES:
Due to The Dreyfus Corporation.......................................... 74,987 201,548
Payable for Common Stock redeemed....................................... 704,042 1,553,939
Accrued expenses........................................................ 151,865 296,305
------------ ------------
930,894 2,051,792
------------ ------------
NET ASSETS ..................................................... $170,548,272 $465,955,544
============ ============
REPRESENTED BY:
Paid-in capital......................................................... $170,634,840 $465,955,724
Accumulated net realized (loss) on investments.......................... (86,568) (180)
------------ ------------
NET ASSETS, at value........................................................ $170,548,272 $465,955,544
============ ============
Shares of Common Stock outstanding:
Money Market Series
(5 billion shares of $.01 par value Common Stock authorized).......... 170,618,340
=============
Government Securities Series
(10 billion shares of $.01 par value Common Stock authorized)......... 465,955,724
===========
NET ASSET VALUE, offering and redemption price per share:
Money Market Series
($170,548,272 / 170,618,340 shares)................................... $1.00
=====
Government Securities Series
($465,955,544 / 465,955,724 shares)................................... $1.00
=====
</TABLE>
See notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS MONEY MARKET INSTRUMENTS, INC.
STATEMENT OF OPERATIONS YEAR ENDED DECEMBER 31, 1994
MONEY GOVERNMENT
MARKET SECURITIES
SERIES SERIES
----------- -----------
<S> <C> <C>
INVESTMENT INCOME:
INTEREST INCOME......................................................... $7,594,678 $20,140,443
----------- -----------
EXPENSES--Note 2(c):
Management fee_Note 3(a).............................................. $ 897,079 $ 2,445,817
Shareholder servicing costs_Note 3(b)................................. 492,032 1,519,999
Custodian fees........................................................ 55,743 153,016
Registration fees..................................................... 36,822 32,853
Professional fees..................................................... 23,229 59,886
Directors' fees and expenses_Note 3(c)................................ 15,711 38,190
Prospectus and shareholders' reports.................................. 14,120 33,315
Miscellaneous......................................................... 44,543 15,685
----------- -----------
TOTAL EXPENSES.................................................... 1,579,279 4,298,761
----------- -----------
INVESTMENT INCOME--NET...................................................... 6,015,399 15,841,682
NET REALIZED GAIN ON INVESTMENTS--Note 2(b)................................. 1,315 13,961
----------- -----------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $6,016,714 $15,855,643
========== ===========
</TABLE>
See notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS MONEY MARKET INSTRUMENTS, INC.
STATEMENT OF CHANGES IN NET ASSETS
MONEY MARKET SERIES GOVERNMENT SECURITIES SERIES
YEAR ENDED DECEMBER 31, YEAR ENDED DECEMBER 31,
-------------------------- ------------------------------
1993 1994 1993 1994
------------- ------------- -------------- --------------
<S> <C> <C> <C> <C>
OPERATIONS:
Investment income_net.................. $ 5,921,106 $ 6,015,399 $ 14,694,969 $ 15,841,682
Net realized gain (loss) on investments 94,804 1,315 (10,529) 13,961
------------- ------------- -------------- --------------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS........ 6,015,910 6,016,714 14,684,440 15,855,643
------------- ------------- -------------- --------------
DIVIDENDS TO SHAREHOLDERS FROM;
Investment income_net.................. (5,921,106) (6,015,399) (14,694,969) (15,841,682)
------------- ------------- -------------- --------------
CAPITAL STOCK TRANSACTIONS
($1.00 per share):
Net proceeds from shares sold.......... 624,141,627 363,712,784 1,782,974,645 1,082,467,060
Dividends reinvested................... 5,049,904 4,481,890 11,950,476 12,253,115
Cost of shares redeemed................ (664,076,108) (405,184,351) (1,931,767,024) (1,149,487,078)
------------- ------------- -------------- --------------
(DECREASE) IN NET ASSETS FROM CAPITAL
STOCK TRANSACTIONS............... (34,884,577) (36,989,677) (136,841,903) (54,766,903)
------------- ------------- -------------- --------------
TOTAL (DECREASE) IN NET ASSETS. (34,789,773) (36,988,362) (136,852,432) (54,752,942)
NET ASSETS:
Beginning of year...................... 242,326,407 207,536,634 657,560,918 520,708,486
------------- ------------- -------------- --------------
End of year............................ $ 207,536,634 $ 170,548,272 $ 520,708,486 $ 465,955,544
============= ============= ============= ==============
</TABLE>
See notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS MONEY MARKET INSTRUMENTS, INC., Money Market Series
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Common Stock outstanding, total investment return, ratios to average net
assets and other supplemental data for each year indicated. This information
has been derived from the Fund's financial statements.
YEAR ENDED DECEMBER 31,
------------------------------------------------------
PER SHARE DATA: 1990 1991 1992 1993 1994
------ ------ ------ ------ ------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year........... $.9993 $.9992 $.9992 $.9993 $.9997
------ ------ ------ ------ ------
INVESTMENT OPERATIONS:
Investment income_net........................ .0761 .0580 .0346 .0261 .0337
Net realized gain (loss) on investments...... (.0001) -- .0001 .0004 (.0001)
------ ------ ------ ------ ------
TOTAL FROM INVESTMENT OPERATIONS........... .0760 .0580 .0347 .0265 .0336
------ ------ ------ ------ ------
DISTRIBUTIONS:
Dividends from investment income_net......... (.0761) (.0580) (.0346) (.0261) (.0337)
Dividends from net realized gain on investments -- -- -- -- --
------ ------ ------ ------ ------
TOTAL DISTRIBUTIONS........................ (.0761) (.0580) (.0346) (.0261) (.0337)
------ ------ ------ ------ ------
Net asset value, end of year................. $.9992 $.9992 $.9993 $.9997 $.9996
====== ====== ====== ====== =======
TOTAL INVESTMENT RETURN 7.88% 5.95% 3.51% 2.64% 3.42%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets...... .74% .72% .75% .83% .88%
Ratio of net investment income to average net assets 7.62% 5.83% 3.48% 2.62% 3.35%
Net Assets, end of year (000's Omitted)...... $334,432 $282,356 $242,326 $207,537 $170,548
</TABLE>
See notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS MONEY MARKET INSTRUMENTS, INC., Government Securities Series
FINANCIAL HIGHLIGHTS (CONTINUED)
Contained below is per share operating performance data for a share of
Common Stock outstanding, total investment return, ratios to average net
assets and other supplemental data for each year indicated. This information
has been derived from the Fund's financial statements.
YEAR ENDED DECEMBER 31,
-----------------------------------------------------
PER SHARE DATA: 1990 1991 1992 1993 1994
------- ------- ------- ------- --------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year........... $ .9999 $1.0000 $1.0000 $1.0000 $1.0000
------- ------- ------- ------- --------
INVESTMENT OPERATIONS:
Investment income_net........................ .0735 .0551 .0339 .0246 .0326
Net realized gain on investments............. .0001 ._ ._ ._ ._
------- ------- ------- ------- --------
TOTAL FROM INVESTMENT OPERATIONS........... .0736 .0551 .0339 .0246 .0326
------- ------- ------- ------- --------
DISTRIBUTIONS:
Dividends from investment income_net......... (.0735) (.0551) (.0339) (.0246) (.0326)
Dividends from net realized gain on investments -- -- -- -- --
------- ------- ------- ------- --------
TOTAL DISTRIBUTIONS........................ (.0735) (.0551) (.0339) (.0246) (.0326)
------- ------- ------- ------- --------
Net asset value, end of year................. $1.0000 $1.0000 $1.0000 $1.0000 $1.0000
======= ======= ======== ======= =======
TOTAL INVESTMENT RETURN 7.61% 5.65% 3.45% 2.48% 3.31%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets...... .70% .69% .72% .80% .88%
Ratio of net investment income to average net assets 7.35% 5.51% 3.39% 2.46% 3.24%
Net Assets, end of year (000's Omitted)...... $724,202 $706,544 $657,561 $520,708 $465,956
</TABLE>
See notes to financial statements.
DREYFUS MONEY MARKET INSTRUMENTS, INC.
NOTES TO FINANCIAL STATEMENTS
NOTE 1--GENERAL:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a diversified open-end management investment company and operates as a
series company issuing two classes of Common Stock: the Money Market Series
and the Government Securities Series. The Fund accounts separately for the
assets, liabilities and operations of each series. Dreyfus Service
Corporation, until August 24, 1994, acted as the exclusive distributor of the
Fund's shares, which are sold to the public without a sales charge. Dreyfus
Service Corporation is a wholly-owned subsidiary of The Dreyfus Corporation
("Manager"). Effective August 24, 1994, the Manager became a direct
subsidiary of Mellon Bank, N.A.
On August 24, 1994, Premier Mutual Fund Services, Inc. (the
"Distributor") was engaged as the Fund's distributor. The Distributor,
located at One Exchange Place, Boston, Massachusetts 02109, is a wholly-owned
subsidiary of Institutional Administration Services, Inc., a provider of
mutual fund administration services, the parent company of which is Boston
Institutional Group, Inc.
It is the Fund's policy to maintain a continuous net asset value per
share of $1.00 for each series; the Fund has adopted certain investment,
portfolio valuation and dividend and distribution policies to enable it to do
so. There is no assurance, however, that the Fund will be able to maintain a
stable net asset value of $1.00.
NOTE 2--SIGNIFICANT ACCOUNTING POLICIES:
(A) PORTFOLIO VALUATION: Investments are valued at amortized cost, which
has been determined by the Fund's Board of Directors to represent the fair
value of the Fund's investments.
(B) SECURITIES TRANSACTIONS AND INVESTMENT INCOME: Securities
transactions are recorded on a trade date basis. Realized gain and loss from
securities transactions are recorded on the identified cost basis. Interest
income is recognized on the accrual basis. Cost of investments represents
amortized cost.
The Fund may enter into repurchase agreements with financial
institutions, deemed to be creditworthy by the Fund's Manager, subject to the
seller's agreement to repurchase and the Fund's agreement to resell such
securities at a mutually agreed upon price. Securities purchased subject to
repurchase agreements are deposited with the Fund's custodians and, pursuant
to the terms of the repurchase agreement, must have an aggregate market value
greater than or equal to the repurchase price plus accrued interest at all
times. If the value of the underlying securities falls below the value of the
repurchase price plus accrued interest, the Fund will require the seller to
deposit additional collateral by the next business day. If the request for
additional collateral is not met, or the seller defaults on its repurchase
obligation, the Fund maintains the right to sell the underlying securities at
market value and may claim any resulting loss against the seller.
(C) EXPENSES: Expenses directly attributable to each series are charged
to that series' operations; expenses which are applicable to both series are
allocated between them.
(D) DIVIDENDS TO SHAREHOLDERS: It is the policy of the Fund, with respect
to both series, to declare dividends from investment income-net on each
business day; such dividends are paid monthly. Dividends from net realized
capital gain, with respect to both series, are normally declared and paid
annually, but each series may make distributions on a more frequent basis to
comply with the distribution requirements of the Internal Revenue Code.
However, to the extent that a net realized capital gain of either series can
be reduced by a capital loss carryover of that series, such gain will not be
distributed.
DREYFUS MONEY MARKET INSTRUMENTS, INC.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
(E) FEDERAL INCOME TAXES: It is the policy of each series to continue to
qualify as a regulated investment company, if such qualification is in the
best interests of its shareholders, by complying with the applicable
provisions of the Internal Revenue Code, and to make distributions of taxable
income sufficient to relieve it from substantially all Federal income and
excise taxes.
The Money Market Series has an unused capital loss carryover of
approximately $87,000 available for Federal income tax purposes to be applied
against future net securities profits, if any, realized subsequent to
December 31, 1994. If not applied, the carryover expires in 1995.
The Government Securities Series has an unused capital loss carryover of
$7,971 available for Federal income tax purposes to be applied against future
net securities profits, if any, realized subsequent to December 31, 1994. If
not applied, $3,612 of the carryover expires in 2000 and $4,359 expires in
2001.
At December 31, 1994, the cost of investments of each series for Federal
income tax purposes was substantially the same as the cost for financial
reporting purposes (see the Statement of Investments).
NOTE 3--MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(A) Pursuant to a management agreement ("Agreement") with the Manager,
the management fee for each series is computed at the annual rate of .50 of
1% of the average daily value of the net assets of each series and is payable
monthly.
The Agreement provides for an expense reimbursement from the Manager
should the aggregate expenses of either series, exclusive of taxes, interest
on borrowings, brokerage commissions and extraordinary expenses, exceed 1% of
the average daily value of such series' net assets for any full year. No
expense reimbursement was required pursuant to the Agreement for the year
ended December 31, 1994.
(B) Pursuant to the Fund's Shareholder Services Plan, the Fund reimburses
Dreyfus Service Corporation an amount not to exceed an annual rate of .25 of
1% of the value of the Fund's average daily net assets for servicing
shareholder accounts. The services provided may include personal services
relating to shareholder accounts, such as answering shareholder inquiries
regarding the Fund and providing reports and other information, and services
related to the maintenance of shareholder accounts. During the year ended
December 31, 1994, the Money Market Series and the Government Securities
Series were charged an aggregate of $192,434 and $943,532, respectively,
pursuant to the Shareholder Services Plan.
(C) Prior to August 24, 1994, certain officers and directors of the Fund
were "affiliated persons," as defined in the Act, of the Manager and/or
Dreyfus Service Corporation. Each director who is not an "affiliated person"
receives from the Fund an annual fee of $4,500 and an attendance fee of $500
per meeting.
DREYFUS MONEY MARKET INSTRUMENTS, INC.
REPORT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS
SHAREHOLDERS AND BOARD OF DIRECTORS
DREYFUS MONEY MARKET INSTRUMENTS, INC.
We have audited the accompanying statement of assets and liabilities,
including the statement of investments, of Dreyfus Money Market Instruments,
Inc. (comprising, respectively, the Money Market Series and the Government
Securities Series), as of December 31, 1994, and the related statement of
operations for the year then ended, the statement of changes in net assets
for each of the two years in the period then ended, and financial highlights
for each of the years indicated therein. These financial statements and
financial highlights are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements and
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
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. Our procedures included confirmation of
securities owned as of December 31, 1994 by correspondence with the custodians
and others. 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 and financial highlights
referred to above present fairly, in all material respects, the financial
position of each of the respective series constituting Dreyfus Money Market
Instruments, Inc. at December 31, 1994, the results of their operations for
the year then ended, the changes in their net assets for each of the two
years in the period then ended, and the financial highlights for each of the
indicated years, in conformity with generally accepted accounting principles.
(Logo)
New York, New York
February 7, 1995
DREYFUS MONEY MARKET INSTRUMENTS, INC., Government Securities Series
IMPORTANT TAX INFORMATION (UNAUDITED)
For State individual income tax purposes, the Fund hereby designates
54.88% of the ordinary income dividends paid during its fiscal year ended
December 31, 1994 as attributable to interest income from direct obligations
of the United States. Such dividends are currently exempt from taxation for
individual income tax purposes in most states, including New York, California
and the District of Columbia.
DREYFUS MONEY MARKET
INSTRUMENTS, INC.
200 Park Avenue
New York, NY 10166
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
90 Washington Street
New York, NY 10286
TRANSFER AGENT &
DIVIDEND DISBURSING AGENT
The Shareholder Services Group, Inc.
P.O. Box 9671
Providence, RI 02940
Further information is contained
in the Prospectus, which must
precede or accompany this report.
Printed in U.S.A. 008/060AR9412
Money Market
Instruments, Inc.
Annual Report
December 31, 1994
