LETTER TO SHAREHOLDERS
Dear Shareholder:
We are pleased to provide you with this annual report for the Dreyfus
Municipal Money Market Fund. For the period ended May 31, 1994, the yield
provided by your Fund was 1.98%. After taking into account the effect of
compounding, the effective yield was 2.00%.* All income dividends paid during
the period were exempt from Federal income tax.**
At our last reporting, we were keeping a watchful eye on the status of
the U.S. economy, the direction of interest rates, and any significant
variation in inflationary indicators. Early in the period, economic numbers
hinted that the nation's growth might be more anemic than anticipated. With
no strong threat of a rekindling of inflation, the municipal market responded
with strength, providing some of the lowest historic yields in both the bond
and money markets. In a somewhat unusual turn of events, assets of municipal
money market funds increased despite the unprecedented low yield environment.
In the first half of 1994, however, signs of economic strength began to
emerge along with the specter of a tighter Federal Reserve Board policy.
Through a series of tightening moves between February 4 and May 17, the Fed
signaled its intention to choke off inflationary pressures before they had an
opportunity to build significantly. In a step-by-step process through the
first four months of the year, the Fed inched up the Fed Funds rate by 75
basis points to the 3 3/4% level. The bond market responded with an uneasy
100 basis point rise in rates, with short-term rates moving upward by 50
basis points. The most overt move came on May 17 when the Fed raised both the
discount rate and the Federal Funds rate by 50 basis points, to 3.50% and
4.25% respectively. The moves appeared to reach a neutral monetary policy,
clearly signaling the end of its 1993 accommodative stance.
With these changes in the Federal Reserve's monetary stance, uneasiness
in other markets served to bolster rates in the short-term municipal market
as cash moved into municipal money markets from both equity and bond funds.
Short-term municipal rates increased, but to a lesser degree than their
taxable counterparts. Total net assets of the funds reached an all-time high
of over $119 billion, which declined as the tax season arrived.
Traditionally, money market funds lose assets during this time of year as
investors tap their money funds to pay income taxes. During this period,
municipal notes continued to provide attractive returns compared to taxable
alternatives. Your Fund's yield has remained attractive to the investor
seeking tax exempt income. The hike in tax rates which took place last year
has made these returns even more attractive on an after-tax basis.
In the coming weeks and months, we will sort through the various
financings which flood the market during late spring and early summer, to
obtain those issues we feel represent the best value for your portfolio while
maintaining our high quality standards and high degree of liquidity. We will
adjust our strategy to respond to changes in the market and in Federal
Reserve policy and to the proposed changes in the regulations governing
municipal money market funds which we have received from the Securities and
Exchange Commission. We will keep you informed in future letters as to the
impact of these various changes on the tax exempt market and how they will
affect our portfolio strategy.
We have included a current Statement of Investments and recent financial
statements for your review and look forward to serving your investment needs
in the future.
Very truly yours,
(Signature Logo)
Richard J. Moynihan
President
June 16, 1994
New York, N.Y.
* Effective yield is based upon dividends declared daily and reinvested
monthly.
** Income may be subject to state and local taxes. Some income may be subject
to the Federal Alternative Minimum Tax (AMT) for certain shareholders.
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
STATEMENT OF INVESTMENTS MAY 31, 1994
PRINCIPAL
TAX EXEMPT INVESTMENTS--100.0% AMOUNT VALUE
---------------- -------------
<S> <C> <C>
ALABAMA--4.7%
Alabama Industrial Development Authority, SWDR, VRDN (Pine City Fiber Co.
Project)
3% (LOC; Barclays Bank) (a,b)........................................... $ 39,000,000 $ 39,000,000
Alabama Special Care Facilities Financing Authority, Montgomery HR,
VRDN 2.75% (Insured; FGIC and LOC; Barclays Bank) (a,b)................. 5,800,000 5,800,000
City of Phenix, IDB, EIR, VRDN (Mead Coated Board Project)
3.25%, Series A (LOC; Sumitomo Bank) (a,b).............................. 6,900,000 6,900,000
ALASKA--2.3%
City of Valdez, Marine Terminal Revenue, Refunding (Exxon Pipeline)
2.30%, Series C, 9/1/94 (Guaranty; Exxon Corp.)......................... 25,000,000 25,012,171
CALIFORNIA--7.4%
California Higher Education Loan Authority Inc., Student Loan Revenue
2.90%, Series A, 6/1/94 (LOC; Industrial Bank of Japan) (b)............. 20,000,000 20,000,000
California Public Capital Improvement Financing Authority, Revenue
(Pooled Project) 2.75%, Series C, 6/15/94 (LOC; National Westminster Bank) (b) 15,000,000 15,000,000
Los Angeles County Metropolitan Transportation Authority, Sales Tax Revenue,
Refunding,
VRDN 2.55%, Series A (Insured; MBIA and SBPA; Industrial Bank of Japan) (a) 7,000,000 7,000,000
State of California, RAN 3.50%, 7/26/94..................................... 40,000,000 40,035,611
COLORADO--3.5%
Colorado Student Obligation Bond Authority, Student Loan Revenue, VRDN
2.90%, Series A (LOC: Student Loan Marketing Association and Sumitomo Bank) (a,b) 5,800,000 5,800,000
Denver Urban Renewal Authority, Tax Increment Revenue (Downtown Denver
Renewal)
3.15%, Series A, 9/8/94 (Collateralized U.S. Treasury Bills)............ 14,115,000 14,115,000
Westminster, MFHR, Refunding (Brookhill Apartments) 3.10%, Series A, 12/1/94
(Investment Agreement; Bayerische Landesbank)........................... 18,550,000 18,550,000
CONNECTICUT--3.8%
Connecticut Housing Financing Authority, Housing Mortgage Financing Program:
2.80%, Series H1, 11/15/94 (Escrowed; U.S. Government Securities)....... 30,000,000 30,000,000
2.90%, Series H2, 11/15/94 (Escrowed; U.S. Government Securities)....... 12,400,000 12,400,000
DELAWARE--7.8%
Delaware Economic Development Authority, Revenue, VRDN
(Hospital Billing and Collection Service Ltd. Project):
2.75%, Series A (Insured; MBIA) (a)................................... 25,000,000 25,000,000
2.75%, Series B (Insured; MBIA) (a)................................... 20,000,000 20,000,000
2.75%, Series C (Insured; MBIA) (a)................................... 41,400,000 41,400,000
DISTRICT OF COLUMBIA--2.3%
District of Columbia:
TRAN, CP 3.50%, Series A, 9/30/94 (LOC; Swiss Bank Corp.) (b)........... 20,000,000 20,042,513
VRDN, Refunding 3%, Series A-1 (LOC; Sumitomo Bank) (a,b)............... 5,400,000 5,400,000
FLORIDA--.6%
Hillsborough County Industrial Development Authority, PCR, VRDN
(Tampa Electric Co. Project) 3.10% (Corp. Guaranty; Tampa Electric Co.) (a) 7,100,000 7,100,000
GEORGIA--1.2%
Athens-Clarke County Industrial Development Authority, IDR, VRDN
(Nakanishi Manufacturing Corp. Project) 3.25% (LOC; Sumitomo Bank) (a,b) 6,000,000 6,000,000
Rockdale County Development Authority, Industrial Revenue, VRDN
(Liochem Inc. Project) 3.30% (LOC; Sanwa Bank) (a,b).................... 7,000,000 7,000,000
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1994
PRINCIPAL
TAX EXEMPT INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- -------------
HAWAII--.9%
Honolulu City and County, Multi-Family Revenue, VRDN (Royal Kunia Gardens)
3.40%, Series B (LOC; Bank of Tokyo) (a,b).............................. $ 10,100,000 $ 10,100,000
ILLINOIS--8.0%
City of Chicago, GO, Tender Notes
3.15%, Series B, 10/31/94 (LOC: Dai-Ichi Kangyo Bank, Industrial Bank of
Japan,
Mitsubishi Bank, Sanwa Bank and Sumitomo Bank) (b)...................... 30,000,000 30,000,000
Chicago O'Hare International Airport, Revenue, VRDN (General Airport Second
Lein)
3.15%, Series A (LOC; Sanwa Bank) (a,b)................................. 11,025,000 11,025,000
Glendale Heights, Multi-Family Revenue, VRDN (Glendale Lakes Project)
2.80% (LOC; Citibank) (a,b)............................................. 15,945,000 15,945,000
Illinois Development Finance Authority, PCR, VRDN (Illinois Power Co.):
2.90%, Series C (LOC; Mitsubishi Bank) (a,b)............................ 10,400,000 10,400,000
2.85%, Series D (LOC; Mitsubishi Bank) (a,b)............................ 5,000,000 5,000,000
Illinois Health Facilities Authority, Revenue, VRDN (Revolving Fund Pooled
Financing)
3.05%, Series C (LOC; First National Bank of Chicago) (a,b)............. 16,250,000 16,250,000
INDIANA--3.3%
Fort Wayne Hospital Authority, HR, VRDN (Parkview Memorial Hospital)
2.90%, Series B (LOC; Fuji Bank) (a,b).................................. 4,500,000 4,500,000
Indiana Bond Bank Advance Funding Program, Notes 3.03%, Series A-2, 1/17/95. 32,000,000 31,958,985
KANSAS--1.1%
Topeka, MFHR, VRDN (Topeka Retirement Center Ltd.) 3.125% (LOC; Krediet Bank)
(a,b) ...................................................................... 6,970,000 6,970,000
Wichita, PCR, Refunding, VRDN (CIC Industries Inc. Project)
3.30% (LOC; The Bank of New York) (a,b)................................. 5,000,000 5,000,000
KENTUCKY--.7%
Daviess County, Solid Waste Disposal Facility Revenue, VRDN (Scott Paper Co.
Project)
3.10%, Series A (LOC; Morgan Guaranty Trust) (a,b)...................... 8,000,000 8,000,000
LOUISIANA--3.2%
Louisiana Housing Finance Agency, SFMR
2.65%, Series A, 6/2/94 (Escrowed; U.S. Treasury Bills)................. 21,000,000 21,000,000
Plaquemines Port Harbor and Terminal District, Port Facilities Revenue
(International Marine Terminal Project)
3.40%, Series B, 3/15/95 (LOC; Morgan Guaranty Trust) (b)............... 14,300,000 14,300,000
MAINE--2.3%
Maine Housing Authority, Mortgage Purchase 3.70%, Series B-2, 4/13/95....... 10,000,000 10,000,000
Orrington, RRR, VRDN (Penobscott Energy Recovery Co. Project) 3.875%, (LOC:
Bankers Trust,
Canadian Imperial Bank of Commerce, Long-Term Credit Bank of Japan, Bank
of Nova
Scotia and Toronto Dominian Bank) (a,b)................................. 15,000,000 15,000,000
MARYLAND--.5%
Baltimore County, Housing Mortgage Revenue, Refunding, VRDN (Spring Hill)
2.75% (LOC; Sumitomo Bank) (a,b)........................................ 5,760,000 5,760,000
MICHIGAN--4.7%
Kent Hospital Finance Authority, Hospital Facility Revenue, VRDN
(Butterworth Hospital) 3%, Series A (LOC; Sanwa Bank) (a,b)............. 9,100,000 9,100,000
Michigan Hospital Finance Authority, Revenue, VRDN (Hospital Equipment Loan
Program)
2.80% (LOC; Manufacturers Hanover Bank) (a,b)........................... 7,700,000 7,700,000
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1994
PRINCIPAL
TAX EXEMPT INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- -------------
MICHIGAN (CONTINUED)
Michigan Housing Development Authority, Rental Housing Revenue
3.10%, 2/28/95 (LOC; Credit Suisse) (b)................................. $ 17,000,000 $ 17,000,000
Michigan Municipal Bond Authority, RAN 4.25%, Series A, 5/5/95.............. 10,000,000 10,067,044
Michigan Strategic Fund, SWDR, VRDN (Grayling Generating Project)
3.20% (LOC; Barclays Bank) (a,b)........................................ 8,000,000 8,000,000
MINNESOTA--2.4%
Becker, Solid Waste Disposal Facilities Revenue (Liberty Paper Inc.) 3%,
Series A, 10/1/94........................................................... 11,825,000 11,825,000
Saint Paul Independent School District No. 625, TAN 3.25%, 3/1/95........... 15,000,000 15,060,227
MONTANA--1.9%
Montana Board of Investment, RRR, VRDN (Colstrip Project) 3.40% (LOC; Fuji
Bank) (a,b)................................................................. 21,050,000 21,050,000
NEBRASKA--1.3%
Nebraska Higher Education Loan Program Inc., Revenue, VRDN (Multiple
Mode-Student Loan)
2.75%, Series A (Insured; MBIA) (a)..................................... 12,995,000 12,995,000
Nebraska Investment Finance Authority, HR, VRDN (Multiple Mode Depreciation
Assets)
2.85%, Series A (Insured; FGIC) (a)..................................... 1,360,000 1,360,000
NEW JERSEY--1.7%
East Brunswick Township, BAN 3.25%, 1/3/95.................................. 14,387,800 14,471,044
State of New Jersey, TRAN 3%, Series A, 6/15/94............................. 4,000,000 4,001,137
NEW YORK--1.4%
Suffolk County, TAN 2.70%, Series I, 8/16/94 (LOC; Mitsubishi Bank) (b)..... 15,000,000 15,020,103
NEW MEXICO--2.7%
City of Farmington, PCR (Arizona Public Service Project-Four Corners):
2.60%, 2/1/95 (LOC; Union Bank of Switzerland) (b)...................... 23,985,000 23,979,294
VRDN 3% (LOC; Barclays Bank) (a,b)...................................... 5,300,000 5,300,000
NORTH CAROLINA--.4%
North Carolina Medical Care Community, HR, VRDN (Pooled Equipment Financing
Project)
3.10% (Insured; MBIA) (a)............................................... 4,500,000 4,500,000
OHIO--.9%
Ohio Housing Family Authority, SFMR
2.95%, Series A-2, 6/1/94 (GIC; Goldman, Sachs & Co.)................... 10,000,000 10,000,000
OREGON--.9%
Klamath Falls Electric Revenue (Salt Caves Hydroeletric)
3.75%, Series A, 5/2/95 (Escrowed in; U.S. Teasury Bills)............... 10,065,000 10,065,000
PENNSYLVANIA--3.5%
Cambria County Industrial Development Authority, RRR, VRDN (Cambria Cogen
Project)
2.90%, Series V-2 (LOC; Fuji Bank) (a,b)................................ 14,700,000 14,700,000
Columbia County Industrial Development Authority, IDR, VRDN (Kleerdex Co.
Project)
3.30% (LOC; Bank of Tokyo) (a,b)........................................ 4,800,000 4,800,000
Delaware Valley Regional Finance Authority, Local Government Revenue, VRDN
2.95%, Series D (LOC; Marine Midland Bank) (a,b)........................ 5,000,000 5,000,000
Hazelton Area Industrial Development Authority, Energy Development Revenue,
VRDN
(Continental Energy Association Project) 3.40% (LOC; Swiss Bank Corp.) (a,b) 2,000,000 2,000,000
Pennsylvania Higher Education Assistance Agency, Student Loan Revenue, VRDN
3.05%, Series A (LOC; Fuji Bank) (a,b).................................. 12,100,000 12,100,000
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1994
PRINCIPAL
TAX EXEMPT INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- -------------
SOUTH CAROLINA--1.3%
Sumter County, Industrial Revenue, VRDN (Bendix Corp. Project)
3.175% (LOC; Sumitomo Bank) (a,b)....................................... $ 6,400,000 $ 6,400,000
York County, Industrial Revenue, VRDN (Textron Project) 4.53% (LOC; Bankers Trust) (a,b) 7,500,000 7,500,000
SOUTH DAKOTA--1.6%
South Dakota Housing Development Authority
3.30%, Series C, 4/6/95 (Escrowed; U.S. Treasury Bills)................. 18,000,000 18,000,000
TENNESSEE--1.1%
Franklin, IDB, Multi-Family Revenue, VRDN (Landings Project)
2.80%, Series C (LOC; Citibank) (a,b)................................... 10,700,000 10,700,000
Metropolitan Nashville and Davidson County, Tennessee Health and
Education Facilities Board, Revenue, VRDN (Hospital Depreciable Assets)
2.75%, Series A (Insured; FGIC) (a)..................................... 1,000,000 1,000,000
TEXAS--4.0%
Greater East Texas Higher Education Authority Inc., Student Loan Revenue,
Refunding,
VRDN, 3.05%, Series A (LOC; Student Loan Marketing Association) (b)..... 10,000,000 10,000,000
Harris County Health Facilities Development Corp., HR, VRDN (Memorial
Hospital
Systems Project) 3.05% (LOC; Societe Generale) (a,b).................... 16,300,000 16,300,000
Harris County Toll Road, Unlimited Tax - Sublien, VRDN
2.75%, Series D (SBPA; Sumitomo Bank) (a)............................... 8,000,000 8,000,000
North Texas Higher Education Authority Inc., Student Loan Revenue, VRDN
3.10% (LOC; Fuji Bank) (a,b)............................................ 9,300,000 9,300,000
UTAH--1.9%
Intermountain Power Agency, Power Supply Revenue, CP
3.20%, Series E, 7/28/94 (LOC; Industrial Bank of Japan) (b)............ 8,400,000 8,400,000
Utah Board of Regents, Student Loan Revenue, Refunding, VRDN
2.80%, Series A (LOC; Student Loan Marketing Association) (a,b)......... 12,500,000 12,500,000
VIRGINIA--10.6%
Charles City and County Industrial Development Authority, Exempt Facility
Revenue,
VRDN (Chambers Development Inc. Project)
3.05% (LOC; North Carolina National Bank) (a,b)......................... 9,600,000 9,600,000
Fairfax County Industrial Development Authority, Revenue, VRDN
(Fairfax Hospital Association) 2.80%, Series A (LOC; Dai-Ichi Kangyo Bank) (a,b) 13,400,000 13,400,000
Henrico County Industrial Development Authority, Revenue, VRDN
3.25% (LOC; National Bank of Virginia) (a,b)............................ 35,000,000 35,000,000
Virginia Housing Development Authority:
3.10%, Series A, 12/15/94............................................... 14,200,000 14,200,000
Commonwealth Mortgage:
2.85%, Series C, 8/10/94.............................................. 9,000,000 9,000,000
2.80%, Series A, 11/4/94 (GIC; AMBAC and Promissory Note; Morgan Stanley) 35,000,000 35,000,000
WEST VIRGINIA--.7%
Marion County, Commission Solid Waste Disposal Facility Revenue, VRDN
(Granttown Project) 2.95%, Series B (LOC; National Westminster Bank) (a,b) 8,000,000 8,000,000
WASHINGTON--1.9%
Washington Housing Finance Commission, Single Family
2.80%, 6/10/94 (LOC; Societe Generale) (b).............................. 7,690,000 7,690,000
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1994
PRINCIPAL
TAX EXEMPT INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- -------------
WASHINGTON (CONTINUED)
Washington Public Power Supply System Nuclear Project No. 3, Revenue,
Refunding,
VRDN 2.80%, Series 3A-3 (LOC; National Westminster Bank) (a,b).......... $ 13,000,000 $ 13,000,000
WISCONSIN--1.5%
City of Ashwaubenon, IDR, VRDN (Bemis Corp. Project)
4.71% (LOC; Northwest Bank of Minneapolis) (a,b)........................ 3,000,000 3,000,000
Milwaukee Housing Authority, MFHR, VRDN (Yankee Hill Apartments)
2.80% (LOC; Citibank) (a,b)............................................. 14,000,000 14,000,000
----------------
TOTAL INVESTMENTS (cost $1,102,840,817)..................................... $1,102,848,129
==============
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF ABBREVIATIONS
<S> <C> <S> <C>
AMBAC American Municipal Bond Assurance Corporation MBIA Municipal Bond Insurance Association
BAN Bond Anticipation Notes MFHR Multi-Family Housing Revenue
CP Commercial Paper PCR Pollution Control Revenue
EIR Environment Improvement Revenue RAN Revenue Anticipation Notes
FGIC Financial Guaranty Insurance Corporation RRR Resources Recovery Revenue
GIC Guaranteed Investment Contract SBPA Standby Bond Purchase Agreeement
GO General Obligation SFMR Single Family Mortgage Revenue
HR Hospital Revenue SWDR Solid Waste Disposal Revenue
IDB Industrial Development Board TAN Tax Anticipation Notes
IDR Industrial Development Revenue TRAN Tax and Revenue Anticipation Notes
LOC Letter of Credit VRDN Variable Rate Demand Notes
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF COMBINED RATINGS (UNAUDITED)
FITCH (C) OR MOODY'S OR STANDARD & POOR'S PERCENTAGE OF VALUE
- --------- --------- --------------------- ----------------------
<S> <C> <S> <C>
F1+/F1 VMIG1/MIG1, P1 (d) SP1+/SP1, A1+/A1 (d) 92.8%
AAA/AA (e) Aaa/Aa (e) AAA/AA (e) 1.3
Not Rated (f) Not Rated (f) Not Rated (f) 5.9
------
100.0%
=======
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS:
(a) Securities payable on demand. The interest rate, which is subject to
change, is based upon bank prime rates or an index of market interest
rates.
(b) Secured by letters of credit. At May 31, 1994, 43.3% of the Fund's
net assets are backed by letters of credit issued by domestic banks,
foreign banks, brokerage firms, corporations and government agencies.
(c) Fitch currently provides creditworthiness information for a limited
number of investments.
(d) P1 and A1 are the highest ratings assigned tax-exempt commercial
paper by Moody's and Standard & Poor's, respectively.
(e) Notes which are not F, MIG or SP rated are represented by bond
ratings of the issuers.
(f) Securities which, while not rated by Fitch, Moody's or Standard &
Poor's have been determined by the Fund's Board of Directors to be of
comparable quality to those rated securities in which the Fund may
invest.
See notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES MAY 31, 1994
ASSETS:
<S> <C> <C>
Investments in securities, at value
(cost $1,102,840,817)_see statement................................... $1,102,848,129
Cash.................................................................... 8,011,316
Interest receivable..................................................... 6,817,138
Prepaid expenses........................................................ 154,779
---------------
1,117,831,362
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $ 481,796
Accrued expenses and other liabilities.................................. 347,850 829,646
------------ ------------
NET ASSETS ................................................................ $1,117,001,716
=============
REPRESENTED BY:
Paid-in capital......................................................... $1,118,902,634
Accumulated undistributed investment income--net........................ 133,931
Accumulated net realized (loss) on investments.......................... (2,042,161)
Accumulated gross unrealized appreciation on investments................ 7,312
----------------
NET ASSETS at value applicable to 1,118,902,634 shares outstanding
(5 billion shares of $.01 par value Common Stock authorized)............ $1,117,001,716
=============
NET ASSET VALUE, offering and redemption price per share
($1,117,001,716 / 1,118,902,634 shares)................................. $1.00
======
STATEMENT OF OPERATIONS YEAR ENDED MAY 31, 1994
INVESTMENT INCOME:
INTEREST INCOME......................................................... $ 33,836,723
EXPENSES:
Management fee_Note 2(a).............................................. $6,516,300
Shareholder servicing costs_Note 2(b)................................. 1,218,092
Custodian fees........................................................ 91,870
Professional fees..................................................... 67,616
Registration fees..................................................... 47,831
Prospectus and shareholders' reports.................................. 39,856
Directors' fees and expenses---Note 2(c).............................. 38,200
Miscellaneous......................................................... 37,703
------------
TOTAL EXPENSES.................................................... 8,057,468
--------------
INVESTMENT INCOME--NET............................................ 25,779,255
REALIZED AND UNREALIZED GAIN ON INVESTMENTS:
Net realized gain on investments--Note 1(b)............................. $ 508,174
Net unrealized appreciation on investments.............................. 6,158
------------
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS................... 514,332
----------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $ 26,293,587
=============
See notes to financial statements.
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED MAY 31,
----------------------------------
1993 1994
---------------- -----------
OPERATIONS:
Investment income--net............................................... $ 31,954,894 $ 25,779,255
Net realized gain on investments..................................... 400,313 508,174
Net unrealized appreciation (depreciation) on investments for the year (16,407) 6,158
------------- -------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............... 32,338,800 26,293,587
------------- -------------
DIVIDENDS TO SHAREHOLDERS FROM;
Investment income--net............................................... (31,954,894) (25,779,255)
------------- -------------
CAPITAL STOCK TRANSACTIONS ($1.00 per share):
Net proceeds from shares sold........................................ 3,947,665,656 4,240,427,196
Dividends reinvested................................................. 23,380,402 18,349,521
Cost of shares redeemed.............................................. (4,056,387,591) (4,556,104,173)
------------- -------------
(DECREASE) IN NET ASSETS FROM CAPITAL STOCK TRANSACTIONS........... (85,341,533) (297,327,456)
------------- -------------
TOTAL (DECREASE) IN NET ASSETS................................. (84,957,627) (296,813,124)
NET ASSETS:
Beginning of year.................................................... 1,498,772,467 1,413,814,840
------------- -------------
End of year (including undistributed investment income-net:
$133,931 in 1993 and $133,931 in 1994)............................. $1,413,814,840 $1,117,001,716
============== ==============
</TABLE>
<TABLE>
<CAPTION>
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 MAY 31,
-------------------------------------------------------
PER SHARE DATA: 1990 1991 1992 1993 1994
------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year.............. $.9972 $.9973 $.9975 $.9981 $.9983
------- ------- ------- ------- -------
INVESTMENT OPERATIONS:
Investment income--net.......................... .0558 .0492 .0341 .0221 .0198
Net realized and unrealized gain on investments. .0001 .0002 .0005 .0002 -_
------- ------- ------- ------- -------
TOTAL FROM INVESTMENT OPERATIONS.............. .0559 .0494 .0346 .0223 .0198
------- ------- ------- ------- -------
DISTRIBUTIONS;
Dividends from investment income--net........... (.0558) (.0492) (.0340) (.0221) (.0198)
------- ------- ------- ------- -------
Net asset value, end of year.................... $.9973 $.9975 $.9981 $.9983 $.9983
======= ====== ====== ====== =======
TOTAL INVESTMENT RETURN 5.72% 5.04% 3.46% 2.23% 2.00%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets......... .58% .59% .62% .62% .62%
Ratio of net investment income to average net assets 5.59% 4.95% 3.41% 2.22% 1.98%
Net Assets, end of year (000's Omitted)......... $2,164,461 $1,818,864 $1,498,772 $1,413,815 $1,117,002
See notes to financial statements.
</TABLE>
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SIGNIFICANT ACCOUNTING POLICIES:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a diversified open-end management investment company. Dreyfus Service
Corporation ("Distributor") acts as the exclusive distributor of the Fund's
shares, which are sold to the public without a sales charge. The Distributor
is a wholly-owned subsidiary of The Dreyfus Corporation ("Manager").
It is the Fund's policy to maintain a continuous net asset value per
share of $1.00; the Fund has adopted certain investment, portfolio valuation
and dividend and distribution policies to enable it to do so.
(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. Interest income, adjusted
for amortization of premiums and, when appropriate, discounts on investments,
is earned from settlement date and recognized on the accrual basis. Realized
gain and loss from securities transactions are recorded on the identified
cost basis.
(C) DIVIDENDS TO SHAREHOLDERS: It is the policy of the Fund to declare
dividends daily from investment income--net. Such dividends are paid monthly.
Dividends from net realized capital gain are normally declared and paid
annually, but the Fund may make distributions on a more frequent basis to
comply with the distribution requirements of the Internal Revenue Code. To
the extent that net realized capital gain can be offset by capital loss
carryovers, it is the policy of the Fund not to distribute such gain.
(D) FEDERAL INCOME TAXES: It is the policy of the Fund to continue to
qualify as a regulated investment company, which can distribute tax exempt
dividends, by complying with the applicable provisions of the Internal
Revenue Code, and to make distributions of income and net realized capital
gain sufficient to relieve it from substantially all Federal income taxes.
The Fund has an unused capital loss carryover of approximately $2,042,000
available for Federal income tax purposes to be applied against future net
securities profits, if any, realized subsequent to May 31, 1994. If not
applied, $705,000 of the carryover expires in fiscal 1995 and $1,337,000
expires in fiscal 1996.
At May 31, 1994, the cost of investments for Federal income tax purposes
was substantially the same as the cost for financial reporting purposes (see
the Statement of Investments).
NOTE 2--MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(A) Pursuant to a management agreement ("Agreement") with the Manager,
the management fee is computed at the annual rate of 1/2 of 1% of the average
daily value of the Fund's net assets and is payable monthly. The Agreement
provides for an expense reimbursement from the Manager should the Fund's
aggregate expenses, exclusive of taxes, interest on borrowings, brokerage
commissions and extraordinary expenses, exceed the expense limitation of any
state having jurisdiction over the Fund. The most stringent state expense
limitation applicable to the Fund presently requires reimbursement of
expenses in any full fiscal year that such expenses exceed 2 1/2% of the
first $30 million, 2% of the next $70 million and 1 1/2% of the excess over
$100 million of the average value of the Fund's net assets in accordance with
California "blue sky" regulations. There was no expense reimbursement for the
year ended May 31, 1994.
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
(B) Pursuant to the Fund's Shareholder Services Plan, the Fund reimburses
the Distributor 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 May 31, 1994, the
Fund was charged an aggregate of $411,011 pursuant to the Shareholder
Services Plan.
(C) Certain officers and directors of the Fund are "affiliated persons,"
as defined in the Act, of the Manager and/or the Distributor. Each director
who is not an "affiliated person" receives an annual fee of $4,500 and an
attendance fee of $500 per meeting.
(D) On December 5, 1993, the Manager entered into an Agreement and Plan
of Merger (the "Merger Agreement") providing for the merger of the Manager
with a subsidiary of Mellon Bank Corporation ("Mellon").
Following the merger, it is planned that the Manager will be a direct
subsidiary of Mellon Bank, N.A. Closing of this merger is subject to a number
of contingencies, including receipt of certain regulatory approvals and
approvals of the stockholders of the Manager and of Mellon. The merger is
expected to occur in August 1994, but could occur later.
As a result of regulatory requirements and the terms of the Merger
Agreement, the Manager will seek various approvals from the Fund's
shareholders before completion of the merger. Proxy materials, approved by
the Fund's Board, recently have been mailed to Fund shareholders.
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
REPORT OF ERNST & YOUNG, INDEPENDENT AUDITORS
SHAREHOLDERS AND BOARD OF DIRECTORS
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
We have audited the accompanying statement of assets and liabilities of
Dreyfus Municipal Money Market Fund, Inc., including the statement of
investments, as of May 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 May 31, 1994 by correspondence with the custodian. 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 Dreyfus Municipal Money Market Fund, Inc. at May 31, 1994, the
results of its operations for the year then ended, the changes in its 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.
(Signature Logo)
New York, New York
June 30, 1994
IMPORTANT TAX INFORMATION (UNAUDITED)
In accordance with Federal tax law, the Fund hereby designates all the
dividends paid from investment income-net during the fiscal year ended May
31, 1994 as "exempt-interest dividends" (not generally subject to regular
Federal income tax).
Dreyfus (logo)
Municipal
Money Market
Fund, Inc.
Annual Report
May 31, 1994
Dreyfus (logo)
DREYFUS MUNICIPAL
MONEY MARKET FUND, INC.
144 Glenn Curtiss Boulevard
Uniondale, NY 11556
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
DISTRIBUTOR
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
110 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. 910AR945
Registration Mark
