YEAR 2000 ISSUES (UNAUDITED)
The fund could be adversely affected if the computer systems used by The
Dreyfus Corporation and the fund' s other service providers do not properly
process and calculate date-related information from and after January 1, 2000.
The Dreyfus Corporation is working to avoid Year 2000-related problems in its
systems and to obtain assurances from other service providers that they are
taking similar steps. In addition, issuers of securities in which the fund
invests may be adversely affected by Year 2000-related problems. This could have
an impact on the value of the fund's investments and its share price.
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
LETTER TO SHAREHOLDERS
Dear Shareholder:
We are pleased to provide you with this report for Dreyfus Municipal Money
Market Fund, Inc. for the six-month period ended November 30, 1998. Your Fund
produced an annualized yield of 2.90% and, after taking into account the effect
of compounding, the annualized effective yield was 2.94%.*
ECONOMY
During 1998, the main regions of the world had very different economic
fundamentals. The U.S. began the period with a strong economy near full
employment, with unemployment only slightly above 4%. The tight labor market led
the Federal Reserve Board to contemplate a rise in interest rates early in the
year. The U.S. economy cooled enough over the months that the Fed decided to
stand pat. Evidence of economic cooling continued to accumulate and worries
about the world economy intensified. Financial stresses pushed the Fed to ease
beginning in September. After many years of subpar economic growth, continental
Europe moved into a sustained economic expansion. The overall European economy
benefited as interest rates in peripheral countries such as Spain and Italy
fell, approaching the lower levels established by Germany, on the eve of
currency unification. Unlike the U.S., Europe has substantial excess capacity of
productive plants and labor. In Asia, weak economies were pervasive as a result
of the Asian financial crisis. The Latin American economies weakened as the
financial stresses spread throughout that region.
A main influence on the U.S. economy this year was the foreign financial
crisis and cooling of the world economy. The positive effects hit first. Actual
inflation and expected inflation dropped, causing a decline in long-term
Treasury bond yields and mortgage rates. This caused a boom in housing. The drop
in inflation helped the consumer sector as more of the growth in consumer income
was left over after inflation to buy goods and services. Consumers benefited
from a combination of good growth in real income, a strong labor market and past
increases in the prices of assets they owned.
The negative effect of Asian weakness was felt in the industrial sector more
than the consumer sector. Corporate profits weakened, especially in sectors
affected by the Asian crisis such as world-traded commodities (oil, metals and
paper) and exports. One result of the industrial weakness was to cool off a U.S.
economy that had been growing rapidly.
The major change in the economic outlook over recent months has been a
downward shift in expectations for world economic growth. A credit crunch
developed in emerging countries and former communist countries, sharply reducing
the economic outlook for Asia and Latin America as well as for commodity
exporting countries throughout the world. The effect on Europe and the U.S. has
been to lower expectations of profit growth and drive down bond yields. Monetary
policy has begun to ease in both the U.S. and Europe.
Evidence of a weaker world economy accumulated as the financial stresses
continued. A worsened financial crisis occurred between the Russian default in
mid-August and the fallout from the Long-Term Capital Management hedge fund
crisis through early October. However, proactive steps were taken to stabilize
the Japanese banks, design a support package for Brazil and ease monetary
policy. There appears to be a shift in the priorities of key policymakers from
fighting potential inflation to restimulating future world economic growth.
MARKET ENVIRONMENT/PORTFOLIO OVERVIEW
The manner in which the Federal Reserve eased this past quarter was a gradual
process. For three successive months, beginning in September, the Fed reduced
the target rate for Fed Funds a total of 75 basis points. The Fed also lowered
the Discount Rate by 25 basis points each, in November and December. The Fed's
actions provided even greater strength to an already strong short-term municipal
money market. Prior to these rate cuts, the short-term market had already felt
the effects of the diminished supply of eligible new issuance over the summer
months. This year' s summer calendar of municipal notes (consisting mainly of
California paper) was drastically reduced by a combination of factors. Due to
the strength of local and state economies, several issuers reduced the amount of
short-term borrowing needed. Additionally, many issuers came to market with
securities with maturities beyond the 13-month maximum restriction allowable for
tax-exempt money funds. Other issues were converted to a shortened synthetic
structure, thus eliminating the ability to extend out into the one-year range.
This reduction in supply resulted in lower yields for most one-year paper, both
national and state specific.
We extended your Fund's average maturity beyond the 65-day range during the
summer months, just prior to the market strengthening. Your Fund benefited from
our purchase of securities in the one-year range at yields significantly higher
than what is currently available in the market. As the summer progressed, yields
began to drop as they reflected the diminished supply of one-year notes. During
this period we utilized the commercial paper market to maintain the Fund's
average maturity. As year-end approaches, we will continue to search for those
longer investment opportunities which will lock in higher rates while providing
an attractive return to the tax-exempt investor. As always, we will structure
the portfolio in an attempt to maximize current yield while maintaining our
commitment to high quality tax-exempt investments.
Very truly yours,
[Richard J. Moynihan signature]
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
December 15, 1998
New York, N.Y.
*Annualized effective yield is based upon dividends declared daily and
reinvested monthly.
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
STATEMENT OF INVESTMENTS NOVEMBER 30, 1998 (UNAUDITED)
Principal
Tax Exempt Investments--98.5% Amount Value
- ------------------------------------------------------- _____________ ____________
<S> <C> <C>
Alabama--1.5%
Stevenson, IDB, Environmental Revenue, VRDN (Mead Corp. Project)
3.35% (LOC; Toronto-Dominion Bank) (a) . . . . . . . . . . . . . . . . . . . . . . . . $ 13,400,000 $ 13,400,000
Arizona--1.1%
Pinal County Industrial Development Authority, PCR, VRDN
(Magna Copper/Newmont Mining Corp.)
3.15% (LOC; National Westminister Bank) (a) . . . . . . . . . . . . . . . . . . . . 9,700,000 9,700,000
California--3.8%
California Higher Education Loan Authority, Revenue, Refunding (Senior Lien)
3.65%, Series A-1, 7/1/99 (LOC; Student Loan Marketing Association) . . . . . . . . . . 11,850,000 11,850,000
State of California, RAN 4%, 6/30/99 . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,000,000 11,052,734
Student Education Loan Marketing Corporation, Student Loan Revenue, Refunding
3%, Series A, 11/1/99 (LOC; Dresdner Bank Agency) . . . . . . . . . . . . . . . . . . . 10,000,000 10,000,000
Delaware--9.0%
Delaware Economic Development Authority, Revenue, VRDN
(Hospital Billing and Collection Service Limited Project):
3.15%, Series A (Insured; MBIA and Liquidity Facility; Morgan Stanley) (a) . . . . 25,000,000 25,000,000
3.15%, Series B (Insured; MBIA and Liquidity Facility; Morgan Stanley) (a) . . . . 19,000,000 19,000,000
3.15%, Series C (Insured; MBIA and Liquidity Facility; Morgan Stanley) (a) . . . . 34,400,000 34,400,000
District of Columbia--1.2%
District of Columbia, TRAN 3.75%, Series B, 9/30/98. . . . . . . . . . . . . . . . . . . . 10,000,000 10,052,520
Florida--2.9%
Dade County, Water and Sewer Systems Revenue, VRDN
3.00% (Insured; FGIC and Liquidity Facility; Commerzbank) (a) . . . . . . . . . . . . . 7,600,000 7,600,000
Sunshine State Governmental Finance Commission, Revenue, CP
3%, Series B, 3/12/99 (LOC; Bank of Nova Scotia) . . . . . . . . . . . . . . . . . . . 17,362,000 17,362,000
Georgia--3.1%
Burke County Development Authority, PCR, CP
3.05%, 3/10/99 (Insured; AMBAC and Liquidity Facility; Radobank) . . . . . . . . . . . 10,000,000 10,000,000
Savannah Economic Development Authority, Revenue Exempt Facilities, VRDN
(Home Depot Project) 3.30%, Series A (Corp. Guaranty; Home Depot) (a) . . . . . . . . . 17,000,000 17,000,000
Illinois--8.7%
City of Chicago, Mandatory Tender Notes
3.55%, 2/4/99 (LOC; Morgan Guaranty Trust Co.) . . . . . . . . . . . . . . . . . . . . 10,000,000 10,000,000
Illinois Development Finance Authority, PCR, VRDN (Illinois Power Co.)
3.25%, Series C (LOC; Morgan Guaranty Trust Co.) (a) . . . . . . . . . . . . . . . . . 10,400,000 10,400,000
Illinois Health Facilities Authority, Revenue, VRDN (Revolving Fund Pooled
Financing)
3.15% Series C (LOC; First National Bank of Chicago) (a) . . . . . . . . . . . . . . . 16,250,000 16,250,000
Illinois Health Facilities Authority, Revenue, VRDN (Resurrection Health Care)
3.35% (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,300,000 7,300,000
Illinois Housing Development Authority, Revenue
(Homeowner Mortgage) 3.70%, Subseries D-2, 6/29/99 . . . . . . . . . . . . . . . . . . 8,090,000 8,090,000
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1998 (UNAUDITED)
Principal
Tax Exempt Investments (continued) Amount Value
- ------------------------------------------------------- _____________ ____________
Illinois (continued)
Chicago Midway Airport, Revenue, VRDN (Second Lien)
3.4%, Series A (Insured; MBIA and Liquidity Facility; First National Bank of Chicago (a) . $ 15,000,000 $ 15,000,000
3.4%, Series B (Insured; MBIA and Liquidity Facility; Commerzbank (a) . . . . . . . . . 8,800,000 8,800,000
Idaho--1.1%
Idaho State, TAN 4.50%, 6/30/99. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,000,000 10,050,199
Indiana--2.0%
Hammond Local Public Improvement Bond Bank, Revenue, Advance Funding Program
Notes
4.30%, Series A-2, 1/7/99 (LOC; Bank One) . . . . . . . . . . . . . . . . . . . . . . . 17,810,000 17,818,690
Kansas--3.7%
Butler County, Solid Waste Disposal Cogeneration Revenue, VRDN
(Texaco Refining and Marketing) 3.50%, Series B (LOC; Texaco Inc.) (a) . . . . . . . . 27,100,000 27,100,000
Wichita, PCR, Refunding, VRDN (CIC Industries Inc. Project)
3.775% (LOC; The Bank of New York) (a) . . . . . . . . . . . . . . . . . . . . . . . . 5,000,000 5,000,000
Kentucky--1.4%
Kentucky Housing Corporation, Revenue
3.70%, Series C, 7/1/99 (Escrowed in; U.S. Treasury Bills) . . . . . . . . . . . . . . 12,260,000 12,260,000
Louisiana--1.5%
New Orleans Aviation Board, Revenue, VRDN (Passenger Facility Charge Project)
3.45% (LOC: Banque Paribas and Canadian Imperial Bank of Commerce) (a) . . . . . . . . 7,400,000 7,400,000
Ascension-Parish, Revenue, VRDN (BASF Corporation Project)
3.35% (LOC; BASF Corp.) (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,800,000 5,800,000
Massachusetts--4.0%
Commonwealth of Massachusetts, Refunding, VRDN
3.05%, Series B (LOC; Toronto-Dominion Bank (a) . . . . . . . . . . . . . . . . . . . . 35,000,000 35,000,000
Michigan--2.7%
Birmingham, EDR, VRDN (Brown Association Project)
3.775% (LOC; Bankers Trust Co.) (a) . . . . . . . . . . . . . . . . . . . . . . . . . . 1,915,000 1,915,000
3.625% (LOC; Bankers Trust Co.) (a) . . . . . . . . . . . . . . . . . . . . . . . . . . 30,000 30,000
Michigan Housing Development Authority, Refunding, VRDN
LOR (Harbortown Limited Divide Project)
3.525% (LOC; Bankers Trust Co.) (a) . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1,000,000
Michigan Strategic Fund, SWDR, VRDN
(Grayling Generating Project) 3.15% (LOC; Barclays Bank) (a) . . . . . . . . . . . . . 8,000,000 8,000,000
Midland County Economic Development Corporation, Economic Development, LOR,
Refunding
VRDN (Dow Chemical Co. Project)
3.30%, Series B (Corp. Guaranty; Dow Chemical Co.) (a) . . . . . . . . . . . . . . . . 12,525,000 12,525,000
Minnesota--.3%
Cloquet, Industrial Facilities Revenue, VRDN (Potlatch Corp. Project)
3.20%, Series C (LOC; Credit Suisse) (a) . . . . . . . . . . . . . . . . . . . . . . . 2,300,000 2,300,000
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1998 (UNAUDITED)
Principal
Tax Exempt Investments (continued) Amount Value
- ------------------------------------------------------- _____________ ____________
Montana--1.5%
Forsyth, PCR, Refunding, VRDN (Pacific Corp. Project)
3.75% (LOC; Rabobank Nederland) (a) . . . . . . . . . . . . . . . . . . . . . . . . . . $ 13,400,000 $ 13,400,000
Nebraska--1.5%
Nebhelp Incorporated, Revenue, Multiple Mode-Student Loan, VRDN
3.15%, Series A (Insured; MBIA and LOC; Societe Generale) (a) . . . . . . . . . . . . . 12,995,000 12,995,000
New Jersey--3.5%
New Jersey State Transit Authority, CP 3.10%, Series A, 2/11/99
(Liquidity Facility: Commerzbank and Bank of Novia Scotia) . . . . . . . . . . . . . . 20,500,000 20,500,000
South Jersey Transit Authority, BAN
2.95%, 11/3/99 (LOC; First Union National Bank) . . . . . . . . . . . . . . . . . . . . 10,000,000 10,000,000
New Mexico--1.5%
New Mexico State, TRAN 4.25%, 6/30/99. . . . . . . . . . . . . . . . . . . . . . . . . . . 13,000,000 13,047,152
New York--5.0%
Long Island Power Authority, Electric Systems Revenue, CP
3.375%, SubSeries 1, 12/9/98 (LOC: Bayerische Landesbank and Deutchlandesbank) . . . . 8,000,000 8,000,000
New York State Energy, Research and Development Authority, PCR
(LILCO Project) 3.58%, Series A, 3/1/98 (LOC; Deutsche Bank) . . . . . . . . . . . . . 13,530,000 13,530,000
Port Authority of New York and New Jersey, Special Obligation Revenue, VRDN
3.90%, Series A (LOC; Fleet Bank) (a,b) . . . . . . . . . . . . . . . . . . . . . . . . 10,600,000 10,600,000
New York State Local Government Assistance Corporation, VRDN
3.35%, Series 6 (LOC; Bank of Nova Scotia) (a) . . . . . . . . . . . . . . . . . . . . 21,400,000 21,400,000
3.40%, Series 6 (LOC; Bank of Nova Scotia) (a) . . . . . . . . . . . . . . . . . . . . 600,000 600,000
North Carolina--.5%
Craven County Industrial Facilities and Pollution Control Finance Authority,
Resource
VRDN (Craven Wood Energy) 3.45%, Series C (LOC; ABN-Amro Bank) (a,b) . . . . . . . . . 4,100,000 4,100,000
Ohio--4.7%
Cincinnati City School District, BAN 4%, 9/16/99 . . . . . . . . . . . . . . . . . . . . . 10,000,000 10,038,189
Columbus Electric System, Revenue, VRDN 3.50% (LOC; Union Bank of Switzerland) (a) . . . . 1,300,000 1,300,000
Cuyahoga County, HR, VRDN (Cleveland Clinic Foundation)
3.15%, Series A (LOC; Morgan Guaranty Trust Co.) (a) . . . . . . . . . . . . . . . . . 3,200,000 3,200,000
Greene County, Certificate of Indebtedness, GO Notes 3.75%, 3/1/99 . . . . . . . . . . . . 8,000,000 8,000,652
Hamilton County, Hospital Facilities Revenue, VRDN (Bethesda Hospital Inc.)
3% (LOC; Rabobank Nederland) (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,000,000 2,000,000
Montgomery County, Revenue, CP (Miami Valley Hospital)
3.55%, Series B, 12/17/98 (LOC; Morgan Guaranty Trust Co.) . . . . . . . . . . . . . . 10,000,000 10,000,000
Ohio Housing Finance Agency, Mortgage Revenue
3.80%, Series A-3, 3/1/99 (LOC; Trinity Funding Corp.) . . . . . . . . . . . . . . . . 5,495,000 5,495,000
Sharonville, IDR, VRDN (Edgecomb Metals Co. Project)
3.10% (LOC; Banque Nationale DeParis) (a) . . . . . . . . . . . . . . . . . . . . . . . 1,150,000 1,150,000
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1998 (UNAUDITED)
Principal
Tax Exempt Investments (continued) Amount Value
- ------------------------------------------------------- _____________ ____________
Oklahoma--.9%
Oklahoma Housing Finance Agency, Single Family Mortgage Revenue (Homeownership
Loan)
3.55%, 9/1/99 (LOC; FGIC CMS) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 8,000,000 $ 8,000,000
Oregon--1.1%
Klamath Falls, Electric Revenue (Salt Caves Hydroelectric)
3.80%, Series C, 5/3/99 (Escrowed in; U.S. Treasury Bills) . . . . . . . . . . . . . . 10,000,000 10,000,000
Pennsylvania--4.8%
Allegheny County Port Authority, GAN 4.25%, 6/30/99. . . . . . . . . . . . . . . . . . . . 11,000,000 11,039,853
Pennsylvania Higher Education Assistance Agency, Student Loan Revenue, VRDN:
3.20%, Series A (LOC; Student Loan Marketing Association) (a) . . . . . . . . . . . . . 12,100,000 12,100,000
3.20%, Series C (LOC; Student Loan Marketing Association) (a) . . . . . . . . . . . . . 8,900,000 8,900,000
Philadelphia, TRAN 4.25%, Series A, 6/30/99. . . . . . . . . . . . . . . . . . . . . . . . 10,000,000 10,034,259
South Carolina--3.1%
South Carolina Jobs Economic Development Authority, VRDN
(Wellman Inc., Project) 3.45% (LOC; Wachovia Bank and Trust Co.) (a) . . . . . . . . . 10,010,000 10,010,000
South Carolina State Housing Finance and Development Authority, Mortgage Revenu
3.70%, Series B, 7/1/99 (Escrowed in; U.S. Treasury Bills) . . . . . . . . . . . . . . 10,000,000 10,000,000
York County, Industrial Revenue, VRDN (Textron Project)
5.313% (LOC; Bankers Trust) (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,500,000 7,500,000
Tennessee--3.6%
Oak Ridge, IDB, Solid Waste Revenue VRDN (M4 Environmental)
3.3% (LOC; Sun Trust Bank) (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,000,000 10,000,000
Sevier County Public Building Authority, Local Government Public Improvement,
VRDN:
3.15%, Series A-1 (Insured; AMBAC and SBPA; Krediet Bank) (a) . . . . . . . . . . . . . 7,020,000 7,020,000
3.15%, Series B-2 (Insured; AMBAC and SBPA; Krediet Bank) (a) . . . . . . . . . . . . . 4,185,000 4,185,000
3.15%, Series III-C-4 (Insured; AMBAC and Liquidity Facility; Landeshessen Bank) . . . 10,000,000 10,000,000
Texas--13.3%
Brazos River Authority, PCR, VRDN (Utility Electric Co.):
3.45%, Series A (LOC; Morgan Guaranty Trust Co.) (a) . . . . . . . . . . . . . . . . . 14,000,000 14,000,000
Revenue, Refunding 3.35%, Series A (Insured; MBIA and LOC; The Bank of New York) (a) . 18,800,000 18,800,000
Brazos River Harbor Naval District, VRDN (Dow Chemical Co. Project):
Brazoria County Revenue 3.55% (LOC; Dow Chemical Co.) (a) . . . . . . . . . . . . . . . 11,400,000 11,400,000
Harbor Revenue 3.55% (LOC; Dow Chemical Co.) (a) . . . . . . . . . . . . . . . . . . . 10,000,000 10,000,000
Greater Texas Student Loan Corporation, Student Loan Revenue, Refunding
3.60%, Series A, 3/1/99 (LOC; Student Loan Marketing Association) . . . . . . . . . . . 8,000,000 8,000,000
Gulf Coast Waste Disposal Authority, Environmental Facilities Revenue, VRDN
(Bayer Corp. Project) 3.50% (LOC; Bayer Corp.) (a) . . . . . . . . . . . . . . . . . . 23,000,000 23,000,000
Pan-Handle Plains Higher Education Authority Inc., Student Loan Revenue, VRDN
3.15%, Series A (LOC; Student Loan Marketing Association) (a) . . . . . . . . . . . . . 13,000,000 13,000,000
State of Texas, TRAN 4.50%, 8/31/99. . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,000,000 8,062,632
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (CONTINUED) NOVEMBER 30, 1998 (UNAUDITED)
Principal
Tax Exempt Investments (continued) Amount Value
- ------------------------------------------------------- _____________ ____________
Texas (continued)
Texas Public Finance Authority, CP
3.30%, Series A, 12/7/98 (LOC: Toronto-Dominion Bank and Union Bank of Switzerland) . . $ 10,300,000 $ 10,300,000
Utah--1%
Intermountain Power Agency, Power Supply Revenue, CP
3.25%, 2/10/99 (Liquidity Facility: Bank of America and Bank of Nova Scotia) . . . . . 9,000,000 9,000,000
Virginia--3.2%
Charles City and County Industrial Development Authority, Exempt Facilities
Revenue
VRDN (Chambers Project) 3.25% (LOC; Morgan Guaranty Trust Co.) (a) . . . . . . . . . . 6,700,000 6,700,000
Peninsula Ports Authority, Revenue, Refunding, VRDN (Zelger Coal)
3.5% (LOC; Bank of America) (a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,000,000 11,000,000
Richmond Industrial Development Authority, Revenue, VRDN (Cogentrix of Richmond
Project)
3.70%, Series A (LOC; Banque Paribas) (a) . . . . . . . . . . . . . . . . . . . . . . . 10,000,000 10,000,000
Wisconsin--1.3%
Wisconsin Health and Educational Facilities Authority, Revenue, CP (Alexian
Village)
3.50%, Series A, 12/8/98 (LOC; First National Bank of Chicago) . . . . . . . . . . . . 11,440,000 11,440,000
_____________
TOTAL INVESTMENTS (cost $860,704,951). . . . . . . . . . . . . . . . . . . . . . . . . . . 98.5% $860,703,880
_______ _____________
CASH AND NET RECEIVABLES (NET) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.5% $ 13,239,963
_______ _____________
NET ASSETS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100.0% $873,943,843
_______ _____________
</TABLE>
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
Summary of Abbreviations
- -----------------------------------------------------------------------------
<S> <C> <C> <C>
AMBAC American Municipal Bond Assurance Corporation LOC Letter of Credit
BAN Bond Anticipation Notes LOR Limited Obligation Revenue
CP Commercial Paper MBIA Municipal Bond Investors Assurance
EDR Economic Development Revenue Insurance Corporation
FGIC Financial Guaranty Insurance Company PCR Pollution Control Revenue
FSA Financial Security Assurance RAN Revenue Anticipation Notes
GAN Grant Anticipation Notes SBPA Standby Bond Purchase Agreement
GO General Obligation SWDR Solid Waste Disposal Revenue
HR Hospital Revenue TAN Tax Anticipation Notes
IDB Industrial Development Board TRAN Tax Revenue Anticipation Notes
IDR Industiral Development Revenue VRDN Variable Rate Demand Notes
</TABLE>
<TABLE>
<CAPTION>
Summary of Combined Ratings (Unaudited)
- -----------------------------------------------------------------------------
Fitch or Moody's or Standard & Poor's Percentage of Value
______ _______ ________________ _________________
<S> <C> <C> <C>
F1+ / F1 VMIG1, MIG1, P1 SP1+/SP1, A1+/A1 95.3%
AAA/AA (b) AAA/AA (b) AAA/AA (b) 1.3
Not Rated (c) Not Rated (c) Not Rated (c) 3.4
_______
100.0%
Notes to Statement of Investments:
</TABLE>
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(a) Securities payable on demand. Variable interest rate--subject to periodic
change.
(b) Notes which are not F, MIG or SP rated are represented by bond ratings of
the issuers.
(c) Securities which, while not rated by Fitch, Moody's and Standard & Poor's
have been determined by the Manager 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 NOVEMBER 30, 1998 (UNAUDITED)
Cost Value
______________ ______________
<S> <C> <C>
ASSETS: Investments in securities--See Statement of Investments . . $860,704,951 $860,703,880
Cash . . . . . . . . . . . . . . . . . . . . . . . . . . 8,475,525
Interest receivable . . . . . . . . . . . . . . . . . . . 5,321,191
Prepaid expenses and other assets . . . . . . . . . . . . 4,571
______________
874,505,167
______________
LIABILITIES: Due to The Dreyfus Corporation and affiliates . . . . . . 390,389
Accrued expenses and other liabilities . . . . . . . . . 170,935
______________
561,324
______________
NET ASSETS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $873,943,843
______________
REPRESENTED BY: Paid-in capital . . . . . . . . . . . . . . . . . . . . . $874,162,427
Accumulated undistributed investment income--net . . . . 54,733
Accumulated net realized gain (loss) on investments . . . (272,246)
Accumulated gross unrealized (depreciation)
of investments . . . . . . . . . . . . . . . . . . . . (1,071)
______________
NET ASSETS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $873,943,843
______________
SHARES OUTSTANDING
(5 billion shares of $.01 par value Common Stock authorized) . . . . . . . . . . . . . . . 875,937,950
NET ASSET VALUE, offering and redemption price per share . . . . . . . . . . . . . . . . . $1.00
______
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
STATEMENT OF OPERATIONS SIX MONTHS ENDED NOVEMBER 30, 1998 (UNAUDITED)
INVESTMENT INCOME
<S> <C> <C>
INCOME Interest Income . . . . . . . . . . . . . . . . . $16,122,038
EXPENSES: Management fee--Note 2(a) . . . . . . . . . . . . $ 2,292,672
Shareholder servicing costs--Note 2(b) . . . . . 465,149
Custodian fees . . . . . . . . . . . . . . . . . 36,169
Registration fees . . . . . . . . . . . . . . . . 27,187
Directors' fees and expenses--Note 2(c) . . . . . 24,483
Professional fees . . . . . . . . . . . . . . . . 24,308
Prospectus and shareholders' reports . . . . . . 8,318
Miscellaneous . . . . . . . . . . . . . . . . . . 11,800
_____________
Total Expenses . . . . . . . . . . . . . . . . 2,890,086
____________
INVESTMENT INCOME--NET . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13,231,952
NET REALIZED GAIN (LOSS) ON INVESTMENTS--Note 1(b) . . . . . . . . . . . . . . . . (115,536)
____________
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS . . . . . . . . . . . . . . . $13,116,416
____________
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
STATEMENT OF CHANGES IN NET ASSETS
Six Months Ended
November 30, 1998 Year Ended
(Unaudited) May 31, 1998
__________________ __________________
<S> <C> <C>
OPERATIONS:
Investment income--net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 13,231,952 $ 30,785,273
Net realized gain (loss) on investments . . . . . . . . . . . . . . . . . . . . . (115,536) (34,746)
________________ ________________
Net Increase (Decrease) in Net Assets Resulting from Operations . . . . . . . 13,116,416 30,750,527
________________ ________________
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income--net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (13,311,137) (30,785,273)
________________ ________________
CAPITAL STOCK TRANSACTIONS ($1.00 per share):
Net proceeds from shares sold . . . . . . . . . . . . . . . . . . . . . . . . . . 1,444,838,927 2,925,580,744
Dividends reinvested . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,703,702 17,843,487
Cost of shares redeemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (1,482,121,299) (3,064,320,922)
________________ ________________
Increase (Decrease) in Net Assets from Capital Stock Transactions . . . . . . (29,578,670) (120,896,691)
________________ ________________
Total Increase (Decrease) in Net Assets . . . . . . . . . . . . . . . . . (29,773,391) (120,931,437)
NET ASSETS:
Beginning of Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 903,717,234 1,024,648,671
________________ ________________
End of Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 873,943,843 $ 903,717,234
________________ ________________
Undistributed investment income--net . . . . . . . . . . . . . . . . . . . . . . . . $ 54,733 $ 133,918
________________ ________________
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
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
November 30, 1998 Year Ended May 31,
____________________________________________________
PER SHARE DATA: (Unaudited) 1998 1997 1996 1995 1994
_________________ _______ _______ _______ _______ _______
<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 . . . . . . . . . . .015 .031 .029 .031 .029 .020
______ ______ ______ ______ ______ ______
Distributions:
Dividends from investment income--net . . . (.015) (.031) (.029) (.031) (.029) (.020)
______ ______ ______ ______ ______ ______
Net asset value, end of period . . . . . . $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
______ ______ ______ ______ ______ ______
TOTAL INVESTMENT RETURN. . . . . . . . . . . . 2.91%* 3.13% 2.98% 3.16% 2.98% 2.00%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets . . .63%* .66% .65% .64% .62% .62%
Ratio of net investment income
to average net assets . . . . . . . . . 2.89%* 3.08% 2.94% 3.11% 2.91% 1.98%
Net Assets, end of period (000's Omitted) . . $873,944 $903,717 $1,024,649 $950,598 $933,311 $1,117,002
- -----------------------------
* Annualized.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
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, as amended (the "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 (the "Manager") serves as the Fund's investment adviser. The Manager
is a direct subsidiary of Mellon Bank, N.A. Premier Mutual Fund Services, Inc.
is 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 in securities 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. Under the terms of the custody agreement, the Fund
received net earnings credits of $29,569 during the period ended November 30,
1998 based on available cash balances left on deposit. Income earned under this
arrangement is included in interest income.
(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, if any, 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 of 1986, as
amended (the "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 regulatedinvestment company, which can distribute tax exempt dividends, by
complying with the applicable provisions of the Code, and to make distributions
of income and net realized capital gain sufficient to relieve it from
substantially all Federal income and excise taxes.
The Fund has an unused capital loss carryover of approximately $120,000
available for Federal income tax purposes to be applied against future net
securities profits, if any, realized subsequent to May 31, 1998. The carryover
does not include net realized securities losses from November 1, 1997 through
May 31, 1998 which are treated, for Federal income tax purposes, as arising in
fiscal 1999. If not applied, $1,000 of the carryover expires in fiscal 2000,
$4,000 expires in fiscal 2001, $49,000 expires in fiscal 2002, $36,000 expires
in fiscal 2003, $7,000 expires in fiscal 2004, $2,000 expires in fiscal 2005 and
$21,000 expries in fiscal 2006.
At November 30, 1998, 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).
DREYFUS MUNICIPAL MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
NOTE 2--MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(A) Pursuant to a management 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) Under the 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, 1998, the Fund was charged $271,364 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. During the period
ended November 30, 1998, the Fund was charged $132,158 pursuant to the transfer
agency agreement.
(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.
[reg.tm logo]
(reg.tm)
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. 910SA9811
Municipal Money
Market Fund, Inc.
Semi-Annual
Report
November 30, 1998
