<PAGE>
Dreyfus
Municipal
Money Market
Fund, Inc.
Semi-Annual
Report
November 30, 1996
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- -------------------------------------------------------------------------------
Letter to Shareholders
Dear Shareholder:
We are pleased to provide you with this report on the Dreyfus Municipal Money
Market Fund, Inc. For its semi-annual reporting period ended November 30, 1996,
your Fund produced an annualized yield of 2.87%. For investors in the highest
Federal income tax bracket, this equates to a taxable equivalent yield of 4.75%.
Income dividends of approximately $.014 per share were paid during the period.
Reinvesting these dividends and calculating the effect of compounding resulted
in an annualized effective yield of 2.91%.* These dividends were exempt from
Federal personal income taxes, although some income may be subject to the
Federal Alternative Minimum Tax (AMT) for certain shareholders.
ECONOMIC AND MARKET ENVIRONMENT
The closing months of the period continued to show the economy downshifting
to lower gear, although the stage may be set for acceleration early in 1997.
Real gross domestic product (GDP) rose 2.2% in the third quarter of 1996, down
from 4.88% in the second, with forecasts calling for 2% growth in the fourth
quarter. October industrial production fell 0.5%, more than expected, while a
sharp dip in the length of the workweek in private employment and in orders
reported by purchasers evinced waning economic strength. Housing indicators have
also been edging lower of late, while retail sales rose only modestly in
November. The good news for investors continued with November's election
outcome, as reinforcement of the status quo postponed the prospect of action on
controversial measures like taxes, the deficit, and health care reform--action
that could spell market volatility. On the other hand, analysts point to growing
consumer confidence, hearty income gains and a rebound in auto production
schedules, as factors that could jump-start the economy in 1997.
Meanwhile, inflation data suggested a continuation in the benign backdrop we
have seen for many months. The core Consumer Price Index (CPI) rose only 0.2% in
October, while price increases in producer goods remained virtually absent.
Indeed, the Federal Reserve Board (the "Fed") took no action at its meeting in
November, while its widely watched beige book survey of Federal Reserve banks
around the country supported the view that monetary policy could remain on its
present course for now. Although the market had not been convinced of this
optimistic scenario in September--expecting an interest-rate hike that never
came--most participants seemed to have adopted the positive inflation outlook by
the end of the period. The inflation picture still bears watching, however, as
some economists contend that the risk of inflation may increase with a pickup in
the economy. Some suggest the Fed may choose to tighten rates slightly in early
1997 in anticipation of a stronger economy.
PORTFOLIO OVERVIEW
There are times in the municipal money market when the execution of portfolio
strategy is hindered to some degree by a lack of available supply. Oftentimes,
the attempt to extend a fund's average maturity could be thwarted by a dearth of
high quality, short-term investments. These supply conditions can change
substantially and often during the course of one calendar year. One example of a
seasonal period of available supply is during the summer months when many
issuers look to the municipal note market to meet their short-term financing
needs. This year, the increased supply coincided well with our efforts to
increase your Fund's average maturity in anticipation of a decline in note
yields. While there were other times during the period when the lack of note
supply postponed our strategy, we were able to lock in some attractive rates in
the six-month to one-year range. We expect that this extension will benefit your
Fund's performance
<PAGE>
in early 1997 as yields on much shorter instruments could
drop significantly in the first few weeks of the year. We will continue to
monitor the market to adjust our strategy to any unexpected changes as we seek
out high quality issues that provide an appropriate balance between both income
and liquidity guidelines.
Included in this report is a series of detailed statements about your Fund's
holdings and its financial condition. We hope they are informative. Please know
that we greatly appreciate your continued confidence in the Fund and in The
Dreyfus Corporation.
Very truly yours,
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
December 15, 1996
New York, N.Y.
*Annualized effective yield is based upon dividends declared daily and
reinvested monthly.
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- -------------------------------------------------------------------------------
Statement of Investments November 30, 1996 (Unaudited)
<TABLE>
<CAPTION>
Principal
Tax Exempt Investments--100.0% Amount Value
- ----------------------------------------------------------------------------- ------------- ------------
<S> <C> <C>
Alabama--4.4%
Alabama Industrial Development Authority, SWDR, VRDN (Pine City Fiber Co. Project)
3.55% (LOC; Barclays Bank) (a,b).......................................... $ 39,000,000 $ 39,000,000
Alaska--1.6%
Valdez, Marine Terminal Revenue, CP (British Petroleum Pipelines Project)
3.70%, Series A, 12/11/96................................................. 14,100,000 14,100,000
California--5.9%
California School Cash Reserve Program Authority,
4.75%, Series A, 6/30/97 (Insured; MBIA).................................. 15,000,000 15,075,837
Los Angeles County, TRAN 4.50%, Series A, 6/30/97............................ 11,000,000 11,032,142
South Coast Local Education Agencies and Partnerships, TRAN 4.75%, 6/30/97... 11,000,000 11,041,497
State of California, RAN 4.50%, Series A, 6/30/97............................ 15,000,000 15,044,194
Colorado--.8%
Denver Urban Renewal Authority, Tax Increment Revenue (Downtown Denver Renewal)
4%, Series A, 1/30/97 (Collateralized in; U.S. Treasury Bills)............ 7,440,000 7,440,000
Delaware--9.1%
Delaware Economic Development Authority, Revenue, VRDN
(Hospital Billing and Collection Service Limited Project):
3.50%, Series A (Insured; MBIA and Liquidity Facility; Morgan Stanley) (a) 25,000,000 25,000,000
3.50%, Series B (Insured; MBIA and Liquidity Facility; Morgan Stanley) (a) 19,000,000 19,000,000
3.50%, Series C (Insured; MBIA and Liquidity Facility; Morgan Stanley) (a) 36,400,000 36,400,000
Florida--1.6%
Hillsborough County Industrial Development Authority, VRDN (Tampa Electric Co. Project)
4.15% (Corp. Guaranty; Tampa Electric Co.) (a)............................ 5,000,000 5,000,000
Pasco County Industrial Development Authority, Revenue, VRDN
(Woodhaven Partners Limited Project) 3.45% (LOC; Krediet Bank) (a,b)...... 9,500,000 9,500,000
Georgia--2.6%
Athens-Clarke County Industrial Development Authority, IDR, VRDN
(Nakanishi Manufacturing Corp. Project) 3.825% (LOC; Sumitomo Bank) (a,b). 6,000,000 6,000,000
Savannah Economic Development Authority, Revenue Exempt Facilities, VRDN
(Home Depot Project) 3.65%, Series A (Corp. Guaranty; Home Depot) (a)..... 17,000,000 17,000,000
Hawaii--1.1%
Honolulu City and County, Multi-Family Revenue, VRDN (Royal Kunia Gardens)
3.70%, Series B (LOC; Bank of Tokyo-Mitsubishi) (a,b)..................... 9,675,000 9,675,000
Illinois--3.0%
Illinois Development Finance Authority, PCR, VRDN (Illinois Power Co.)
3.70%, Series C (LOC; Bank of Tokyo-Mitsubishi) (a,b)..................... 10,400,000 10,400,000
Illinois Health Facilities Authority, Revenue, VRDN (Revolving Fund Pooled Financing)
3.50%, Series C (LOC; First National Bank of Chicago) (a,b)............... 16,250,000 16,250,000
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- -------------------------------------------------------------------------------
Statement of Investments (continued) November 30, 1996 (Unaudited)
Principal
Tax Exempt Investments (continued) Amount Value
- ----------------------------------------------------------------------------- ------------- ------------
Indiana--7.0%
Indiana Bond Bank:
Advance Fundings Notes 4.25%, Series A-2, 1/9/97.......................... $ 30,000,000 $ 30,023,229
Reassessment Assistance Project Notes:
4.125%, Series A, 1/30/97............................................... 17,590,000 17,600,468
4.50%, Series B, 1/30/97................................................ 14,000,000 14,013,409
Kansas--1.3%
Topeka, MFHR, VRDN (Topeka Retirement Center Limited)
3.45% (LOC; Krediet Bank) (a,b)........................................... 6,970,000 6,970,000
Wichita, PCR, Refeunding, VRDN (CIC Industries Inc. Project)
3.825% (LOC; The Bank of New York) (a,b).................................. 5,000,000 5,000,000
Kentucky--.9%
Daviess County, Solid Waste Disposal Facility, Revenue, VRDN (Scott Paper Co. Project)
4.20%, Series A (Corp. Guaranty; Kimberly Clark Corp.) (a)................ 7,700,000 7,700,000
Louisiana--1.0%
New Orleans Aviation Board, Revenue, VRDN (Passenger Facility Charge Project)
3.80% (LOC: Banque Paribas and Canadian Imperial Bank of Commerce) (a,b).. 9,000,000 9,000,000
Maine--1.3%
Orrington, RRR, VRDN (Penobscott Energy Recovery Co. Project)
3.70%, Series B (LOC: Bank of Nova Scotia, Bankers Trust, Canadian Imperial Bank
of Commerce, Long-Term Credit Bank of Japan and Toronto Dominian Bank) (a,b) 11,800,000 11,800,000
Massachusetts--2.0%
Massachusetts Multi-Family Housing Financing Agency, Refunding, VRDN (Harbor Point)
3.40%, Series A (LOC; Republic National Bank of New York) (a,b)........... 18,200,000 18,200,000
Michigan--6.2%
Birmingham, EDR, VRDN (Brown Association Project)
3.825% (LOC; Bankers Trust Co.) (a,b)..................................... 2,000,000 2,000,000
Chelsea Economic Development Corporation, LOR, VRDN (Silver Maples of Chelsea)
3.65% (LOC; Comerica Bank) (a,b).......................................... 1,500,000 1,500,000
Kalamazoo County Economic Devlopment Corporation, Industrial and
EDR, VRDN (WBC Property Project)
3.90% (Corp., Guaranty; Old Kent Bank and Trust Co.) (a).................. 3,000,000 3,000,000
Kent Hospital Finance Authority, Hospital Facility Revenue, VRDN (Butterworth Hospital)
3.50%, Series A (LOC; Sanwa Bank) (a,b)................................... 1,300,000 1,300,000
Michigan Housing Development Authority, Refunding, VRDN:
LOR (Harbortown Limited Divide Project)
3.575%, (LOC; Bankers Trust Co.) (a,b).................................. 1,000,000 1,000,000
Rental Housing Revenue
3.65%, Series C (LOC; Credit Suisse) (a,b).............................. 13,000,000 13,000,000
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- -------------------------------------------------------------------------------
Statement of Investments (continued) November 30, 1996 (Unaudited)
Principal
Tax Exempt Investments (continued) Amount Value
- ----------------------------------------------------------------------------- ------------- ------------
Michigan (continued)
Michigan Strategic Fund, VRDN:
LOR:
(Angelo's Crushed Concrete, Inc.) 3.90%, Series C-1 (LOC; Comerica
Bank) (a,b)........................................................... $ 1,950,000 $ 1,950,000
(Fritz and Caroline Huebner Project) 3.90% (LOC; Comerica Bank) (a,b)... 825,000 825,000
(K & M Machine Fabric) 3.90%, Series A-4 (LOC; Comerica Bank) (a,b)..... 750,000 750,000
(Norbert Industrial Inc., Project) 3.85% (LOC; Michigan National Bank) (a,b) 2,000,000 2,000,000
Refunding
(Louisiana Pacific Corp.) 3.50% (LOC; Wachovia Bank of North Carolina) (a,b)2,600,000 2,600,000
(Thorn Apple Valley Inc., Project) 3.55% (LOC; Old Kent Bank and Trust
Co.) (a,b)............................................................ 2,600,000 2,600,000
SWDR (Grayling Generating Project) 3.75% (LOC; Barclays Bank) (a,b)....... 8,000,000 8,000,000
Midland County Economic Development Corporation, Economic Development, LOR,
Refunding, VRDN (Dow Chemical Co. Project)
4.10%, Series B (Corp. Guaranty; Dow Chemical Co.) (a).................... 12,000,000 12,000,000
Sterling Heights Economic Development Corporation, LOR, Refunding, VRDN
(Sterling Shopping Center) 3.40% (LOC; National Bank of Detroit) (a,b).... 2,375,000 2,375,000
Mississippi--1.0%
Jackson County, Port Facility Revenue, Refunding, VRDN (Chevron USA Inc. Project)
4.05% (Corp. Guaranty; Chevron USA Inc.).................................. 9,000,000 9,000,000
Nebraska--1.5%
Nebraska Higher Education Loan Program Inc., Revenue, VRDN (Multiple Mode-Student Loan)
3.50%, Series A (Insured; MBIA and LOC; Student Loan Marketing Association)
(a,b)................................................................... 12,995,000 12,995,000
Nevada--2.2%
Clark County, IDR, Refunding, VRDN (Nevada Power Co. Project)
3.75%, Series B (LOC; Societe Generale) (a,b)............................. 20,000,000 20,000,000
New York--11.2%
New York City:
CP 3.55%, Series H-5, 12/6/96
(Insured; MBIA and Liquidity Facility; Landesbank Hessen)............... 25,000,000 25,000,000
RAN 4.50%, Series B, 6/30/97 (LOC: Bank of Nova Scotia, Canadian Imperial Bank
of Commerce, Chemical Bank, Citibank, Commerz Bank, Morgan Guaranty Trust Co.
and Union Bank of Switzerland) (b)...................................... 10,000,000 10,039,392
New York State Energy, Research and Development Authority, PCR:
(LILCO Project) 3.25%, Series A, 3/1/97 (LOC; Deutsche Bank) (b).......... 10,000,000 9,992,744
VRDN (Niagara Power Corp., Project)
4.05%, Series B (LOC; Morgan Guaranty Trust Co.) (a,b).................. 7,000,000 7,000,000
New York State Housing Finance Agency, HR, VRDN (Normandie Court II)
3.45%, Series A (LOC; Fleet Bank) (a,b)................................... 10,900,000 10,900,000
New York State Local Government Assistance Corporation, VRDN
3.50%, Series A (LOC: Credit Suisse, Swiss Bank Corp. and Union
Bank of Switzerland) (a,b)................................................ 21,500,000 21,500,000
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- -------------------------------------------------------------------------------
Statement of Investments (continued) November 30, 1996 (Unaudited)
Principal
Tax Exempt Investments (continued) Amount Value
- ----------------------------------------------------------------------------- ------------- ------------
New York (continued)
New York State Power Authority, CP 3.75%, 8/16/96 (Liquidity Facility: Bank of America,
The Bank of New York, Bank of Nova Scotia, Bank of Tokyo-Mitsubishi,
Chase Manhattan Bank, Citibank, Industrial Bank of Japan and Sanwa Bank).. $ 15,000,000 $ 15,000,000
North Carolina--.4%
North Carolina Medical Care Community, HR, VRDN (Pooled Equipment Financing Project)
3.65% (Insured; MBIA and LOC; Banque Paribas) (a,b)....................... 3,400,000 3,400,000
Ohio--5.0%
Akron, Sewer System Revenue, VRDN 3.55% (LOC; Credit Suisse) (a,b)........... 700,000 700,000
Brecksville-Broadview Heights City School District 3.90%, 1/17/97............ 2,000,000 2,000,868
Cincinnati City School District 4.37%, 9/18/97............................... 10,000,000 10,028,300
Cleveland-Cuyahoga County Port Authority, Revenue, VRDN
(Rock & Roll Hall of Fame) 3.55% (LOC; Credit Locale de France) (a,b)..... 2,400,000 2,400,000
Columbus, Electric System Revenue, VRDN 3.50% (LOC; Union Bank of
Switzerland) (a,b)........................................................ 1,400,000 1,400,000
Cuyahoga County, HR, VRDN (Cleveland Clinic Foundation)
3.55%, Series A (LOC; Morgan Guaranty Trust Co.) (a,b).................... 3,200,000 3,200,000
Greene County, Certificate of Indebteness 3.88%, 6/4/97...................... 14,000,000 14,010,928
Hamilton County, Hospital Facilities Revenue, VRDN (Bethesda Hospital Inc.)
3.40% (LOC; Rabobank Nederland) (a,b)..................................... 2,000,000 2,000,000
Ohio Housing Finance Agency, Mortgage Revenue
3.35%, Series A-3, 3/3/97 (LOC; American Insurance Group, Inc.) (b)....... 2,000,000 2,000,000
Ohio State University, General Receipt, VRDN 3.40%, Series B (a)............. 1,900,000 1,900,000
Piqua, IDR, VRDN (Berwick Steel Co. Project) 3.70% (LOC; Sanwa Bank ) (a,b).. 1,000,000 1,000,000
Sharonville, IDR, VRDN (Edgecomb Metals Co. Project)
3.45% (LOC; Banque Nationale DeParis) (a,b)............................... 1,150,000 1,150,000
Toledo Lucas County Port Authority, Development Revenue, VRDN
(Frostbite Brands Inc., Project) 3.55% (LOC; Old Kent Bank and Trust Co.) (a,b) 1,080,000 1,080,000
Warren County, IDR, VRDN (Johnson & Hardin Enterprises)
3.75%, Series A (LOC; PNC Bank of Ohio) (a,b)............................. 1,500,000 1,500,000
Pennsylvania--1.9%
Columbia County Industrial Development Authority, IDR, VRDN (Kleerdex Co. Project)
4.05% (LOC; Bank of Tokyo-Mitsubishi) (a,b)............................... 4,800,000 4,800,000
Pennsylvania Higher Education Assistance Agency, Student Loan Revenue, VRDN
3.60%, Series A (LOC; Student Loan Marketing Association) (a,b)........... 12,100,000 12,100,000
South Carolina--2.2%
South Carolina Jobs Economic Development Authority, VRDN
(Wellman Inc., Project) 4.15% (LOC; Wachovia Bank of Georgia) (a,b)....... 11,800,000 11,800,000
York County, Industrial Revenue, VRDN (Textron Project)
5.156% (LOC; Bankers Trust) (a,b)......................................... 7,500,000 7,500,000
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- -------------------------------------------------------------------------------
Statement of Investments (continued) November 30, 1996 (Unaudited)
Principal
Tax Exempt Investments (continued) Amount Value
- ----------------------------------------------------------------------------- ------------- ------------
Tennessee--4.6%
Oak Ridge, IDB, Solid Waste Revenue, VRDN (M4 Environmental)
3.65% (LOC; Sun Trust Bank) (a,b)......................................... $ 10,000,000 $ 10,000,000
Sevier County Public Building Authority, Local Government Public Improvement, VRDN:
3.40%, Series A-1 (Insured; AMBAC and SBPA; Krediet Bank) (a)............. 7,500,000 7,500,000
3.40%, Series B-1 (Insured; AMBAC and SBPA; Krediet Bank) (a)............. 5,000,000 5,000,000
3.40%, Series B-2 (Insured; AMBAC and SBPA; Krediet Bank) (a)............. 5,000,000 5,000,000
Tennessee Housing Development Agency, Refunding
(Homeownership Program) 3.85%, 5/29/97 (Escrowed in; U.S. Treasury Securities) 13,600,000 13,586,870
Texas--14.6%
Brazos River Authority, PCR, Refunding, VRDN (Utility Eletric Co.):
4.05%, Series B (Insured; AMBAC) (a)...................................... 19,615,000 19,615,000
4.15%, Series A (Insured; AMBAC and LOC; The Bank of New York) (a,b)...... 17,460,000 17,460,000
4.20%, Series C (LOC; Swiss Bank Corp.) (a,b)............................. 7,000,000 7,000,000
Greater East Texas Higher Education Authority Inc., Student Loan Revenue:
4.15%, Series B, 9/1/97 (LOC; Student Loan Marketing Association) (b)..... 6,700,000 6,700,000
Refunding, 4.05%, Series A, 9/1/97 (LOC; Student Loan Marketing
Association) (b)........................................................ 10,000,000 10,000,000
Houston, TAN 4.50%, Series 1996, 6/30/97..................................... 15,000,000 15,049,960
Pan-Handle Plains Higher Education Authority Inc., Student Loan Revenue, VRDN
3.55%, Series A (LOC; Student Loan Marketing Association) (a,b)........... 13,000,000 13,000,000
Sabine River Authority, PCR, VRDN (Texas Utility Electric Co. Project):
4.10% (Insured; AMBAC and LOC; The Bank of New York) (a,b)................ 10,000,000 10,000,000
4.20%, Series A (a)....................................................... 6,200,000 6,200,000
State of Texas, TRAN 4.75%, 8/29/97.......................................... 25,000,000 25,141,142
Utah--3.1%
Intermountain Power Agency, Power Supply Revenue, CP
3.60%, 12/10/96........................................................... 27,900,000 27,900,000
Virginia--.9%
Charles City and County Industrial Development Authority, Exempt Facilities Revenue
VRDN (Chambers Project) 3.80% (LOC; North Carolina National Bank) (a,b)... 8,000,000 8,000,000
Washington--.5%
Washington Housing Finance Commission (Single Family Program)
3.80%, Series 1A-S, 6/2/97 (Insured; FGIC)................................ 4,880,000 4,880,000
Wisconsin--.9%
State of Wisconsin, Operating Notes 4.50%, 6/16/97........................... 8,000,000 8,024,104
U.S. Related--.2%
Puerto Rico Industrial Medical and Environmental Pollution Control
Facility Finance Authority, Revenue
3.70%, 12/1/96 (LOC; Morgan Guaranty Trust Co.) (b)....................... 2,000,000 2,000,000
---------------
TOTAL INVESTMENTS (cost $889,588,082)........................................ $ 889,620,084
---------------
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- ------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
Summary of Abbreviations
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
AMBAC American Municipal Bond Assurance Corporation MFHR Multi-Family Housing Revenue
CP Commercial Paper PCR Pollution Control Revenue
EDR Economic Development Revenue RAN Revenue Anticipation Notes
FGIC Financial Guaranty Insurance Company RRR Resources Recovery Revenue
HR Hospital Revenue SBPA Standby Bond Purchase Agreement
IDB Industrial Development Board SWDR Solid Waste Disposal Revenue
IDR Industrial Development Revenue TAN Tax Anticipation Notes
LOC Letter of Credit TRAN Tax Revenue Anticipation Notes
LOR Limited Obligation Revenue VRDN Variable Rate Demand Notes
MBIA Municipal Bond Investors Assurance
Insurance Corporation
</TABLE>
<TABLE>
<CAPTION>
Summary of Combined Ratings (Unaudited)
- -----------------------------------------------------------------------------------------------------------
Fitch (c) or Moody's or Standard & Poor's Percentage of Value
- ------ -------- ---------------- ------------------
<S> <C> <C> <C> <C> <C>
F1+/F1 VMIG1/MIG1, P1(d) SP1+/SP1, A1+/A1(d) 92.8%
AAA/AA(e) Aaa/Aa(e) AAA/AA(e) 2.2
Not Rated (f) Not Rated (f) Not Rated (f) 5.0
-------
100.0%
=======
<FN>
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 November 30, 1996, 47.1% of the Fund's net assets are
backed by letters of credit issued by domestic banks, foreign banks, 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
and 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.
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- ------------------------------------------------------------------------------
Statement of Assets and Liabilities November 30, 1996 (Unaudited)
<TABLE>
<CAPTION>
Cost Value
------------- -------------
<S> <C> <C> <C>
ASSETS: Investments in securities--See Statement of Investments $889,588,082 $889,620,084
Cash............................................. 2,932,758
Interest receivable.............................. 6,759,535
Prepaid expenses................................. 38,400
-------------
899,350,777
-------------
LIABILITIES: Due to The Dreyfus Corporation and affiliates.... 377,705
Accrued expenses and other liabilities........... 172,418
-------------
550,123
-------------
NET ASSETS..................................................................... $898,800,654
=============
REPRESENTED BY: Paid-in capital.................................. $898,787,143
Accumulated undistributed investment income--net.. 133,931
Accumulated net realized gain (loss) on investments (152,422)
Accumulated gross unrealized appreciation (depreciation)
on investments................................. 32,002
-------------
NET ASSETS..................................................................... $898,800,654
=============
SHARES OUTSTANDING
(5 billion shares of $.01 par value Common Stock authorized)................... 900,562,678
NET ASSET VALUE, offering and redemption price per share....................... $1.00
======
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- -------------------------------------------------------------------------------
Statement of Operations Six Months Ended November 30, 1996 (Unaudited)
<TABLE>
<CAPTION>
INVESTMENT INCOME
<S> <C> <C> <C>
INCOME Interest Income.................................. $16,808,742
EXPENSES: Management fee--Note 2(a)......................... $2,367,375
Shareholder servicing costs--Note 2(b)............ 603,802
Professional fees................................ 54,745
Custodian fees................................... 46,484
Registration fees................................ 40,523
Directors' fees and expenses--Note 2(c).......... 28,022
Prospectus and shareholders' reports............. 19,144
Miscellaneous.................................... 17,392
------------
Total Expenses.............................. 3,177,487
-------------
INVESTMENT INCOME--NET.......................................................... 13,631,255
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS--Note 1(b):
Net realized gain (loss) on investments......... $ (152,422)
Net unrealized appreciation (depreciation) on investments 26,784
------------
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS......................... (125,638)
-------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.......................... $13,505,617
=============
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- -------------------------------------------------------------------------------
Statement of Changes in Net Assets
<TABLE>
<CAPTION>
Six Months Ended
November 30, 1996 Year Ended
(Unaudited) May 31, 1996
---------------- --------------
OPERATIONS:
<S> <C> <C>
Investment income--net................................................ $ 13,631,255 $ 32,094,677
Net realized gain (loss) on investments.............................. (152,422) 202,521
Net unrealized appreciation (depreciation) on investments............ 26,784 (36,575)
---------------- ------------------
Net Increase (Decrease) in Net Assets Resulting from Operations.. 13,505,617 32,260,623
---------------- ------------------
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income--net................................................ (13,631,255) (32,094,677)
---------------- ------------------
CAPITAL STOCK TRANSACTIONS ($1.00 per share):
Net proceeds from shares sold........................................ 1,498,376,892 3,902,085,298
Dividends reinvested................................................. 9,116,638 20,778,711
Cost of shares redeemed.............................................. (1,559,164,848) (3,905,743,054)
------------------ ------------------
Increase (Decrease) in Net Assets from Capital Stock Transactions (51,671,318) 17,120,955
------------------ ------------------
Total Increase (Decrease) in Net Assets........................ (51,796,956) 17,286,901
NET ASSETS:
Beginning of Period.................................................. 950,597,610 933,310,709
------------------ ------------------
End of Period........................................................ $ 898,800,654 $ 950,597,610
================== ==================
Undistributed investment income--net.................................... $ 133,931 $ 133,931
================== ==================
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
- -------------------------------------------------------------------------------
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 period indicated. This information has been
derived from the Fund's financial statements.
<TABLE>
<CAPTION>
Six Months Ended Year Ended May 31,
November 30, 1996 --------------------------------------------------
PER SHARE DATA: (Unaudited) 1996 1995 1994 1993 1992
----------- ------ ------ ------ ------ ------
<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
------ ------ ------ ------ ------ ------
Investment Operations:
Investment income--net................. .014 .031 .029 .020 .022 .034
------ ------ ------ ------ ------ ------
Distributions:
Dividends from investment income--net.. (.014) (.031) (.029) (.020) (.022) (.034)
------ ------ ------ ------ ------ ------
Net asset value, end of period......... $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
====== ====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN................... 2.89%* 3.16% 2.98% 2.00% 2.23% 3.46%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets .67%* .64% .62% .62% .62% .62%
Ratio of net investment income
to average net assets............... 2.88%* 3.11% 2.91% 1.98% .22% 3.41%
Net Assets, end of period (000's Omitted) $898,801 $950,598 $933,311 $1,117,002 $1,413,815 $1,498,772
<FN>
- --------------------
* Annualized.
</TABLE>
See notes to financial statements.
<PAGE>
Dreyfus Municipal Money Market Fund, Inc.
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NOTES TO FINANCIAL STATEMENTS (Unaudited)
NOTE 1--Significant Accounting Policies:
Dreyfus Municipal Money Market Fund, Inc. (the "Fund") is registered under the
Investment Company Act of 1940 ("Act") as a diversified open-end management
investment company. The Fund's investment objective is to maximize current
income exempt from Federal income tax to the extent consistent with the
preservation of capital and the maintenance of liquidity. The Dreyfus
Corporation ("Manager") serves as the Fund's investment adviser. The Manager is
a direct subsidiary of Mellon Bank, N.A. Premier Mutual Fund Services, Inc. acts
as the distributor of the Fund's shares, which are sold to the public without a
sales charge.
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. There is no assurance, however,
that the Fund will be able to maintain a stable net asset value per share of
$1.00.
The Fund's financial statements are prepared in accordance with generally
accepted accounting principles which may require the use of management estimates
and assumptions. Actual results could differ from those estimates.
(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 original issue 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.
Cost of investments represent amortized cost.
(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 and excise taxes.
At November 30, 1996, 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 .50 of 1% of the value of the
Fund's average daily net assets and is payable monthly.
(B) Pursuant to the Fund's Shareholder Services Plan, the Fund reimburses
Dreyfus Service Corporation, a wholly-owned subsidiary of the Manager, an amount
not to exceed an annual rate of .25 of 1% of the value of the Fund's average
daily net assets for certain allocated expenses of providing personal services
and/or maintaining 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 period ended November 30, 1996, the Fund was charged an aggregate of
$368,865 pursuant to the Shareholder Services Plan.
The Fund compensates Dreyfus Transfer, Inc., a wholly-owned subsidiary of the
Manager, under a transfer agency agreement for providing personnel and
facilities to perform transfer agency services for the Fund. Such compensation
amounted to $152,705 during the period ended November 30, 1996.
(C) Each director who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $4,500 and an attendance fee of $500 per
meeting. The Chairman of the Board receives an additional 25% of such
compensation.
<PAGE>
Dreyfus Municipal Money
Market Fund, 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
Dreyfus Transfer, Inc.
P.O. Box 9671
Providence, RI 02940
Printed in U.S.A. 910SA9611
