<PAGE>
1996
ANNUAL
REPORT
- -----------------------------
DELAWARE
GROUP
TAX-FREE
MONEY FUND
- ----------------------------
A Tradition of Sound Investing Since 1929
DELAWARE
GROUP
- ---------------
Philadelphia . London
<PAGE>
June 3, 1996
Dear
- ---------------------------------
Shareholder:
- ---------------------------------
In June 1995 we reported that the Federal Reserve Board's efforts to increase
interest rates had a positive impact on money market fund yields. At the
time, the federal funds rate (the interest rate banks charge each other for
overnight loans) stood at 6%. The Fed had increased this target rate to rein
in an expanding U.S. economy and quell inflationary fears. Then, economic
growth slowed and inflation appeared to have been tamed. The Federal Reserve
Board, consequently, reduced its target interest rate three times between
July and January.
Yields on money market securities, such as those held by Tax-Free
Money Fund, are closely associated with the federal funds rate. Thus, the
yield for both Tax-Free Money Fund Class A and Consultant Class, which was
2.91% for the seven-day period ended April 30, 1996, was lower than the 3.54%
reported 12 months ago.
We believe our average current maturity, which at 32 days is shorter
than its peak of 59 days, leaves your Fund well-positioned to maintain high
liquidity and capitalize on any rise in interest rates. Please keep in mind that
dividends paid by Tax-Free Money Fund throughout the fiscal year, are free of
federal taxes, and, in some cases, may be free of state and local taxes as well
- - so, you know your money is working for you, and not for the IRS. (Certain
taxpayers may be subject to the alternative minimum tax.)
Tax-Free Money Fund can be a sensible place to hold money for your
short-term needs while reducing your federal income liability. The Fund seeks
to provide safety of principal as you and your financial adviser develop and
implement a suitable asset allocation plan to meet your long-range investment
objectives.
Thank you for choosing Delaware Group to help meet your investing
needs. We look forward to continuing to serve you.
Sincerely,
/s/ Wayne A. Stork
Wayne A. Stork
Chairman, President
and Chief Executive Officer
Average annual returns for the five- and one-year periods ended April 30,
1996, for both Tax-Free Money Fund Class A and Consultant Class were 2.54%
and 2.97% respectively. Average annual returns for the 10-year period ended
April 30, 1996 were 3.62% for Class A and +3.56% for Consultant Class. All
returns reflect the reinvestment of all distributions.
<PAGE>
Financial
- ----------------------------
Statements
- ----------------------------
Delaware Group Tax-Free Money Fund, Inc.
Statement of Net Assets
April 30, 1996
<TABLE>
<CAPTION>
Principal Market
Amount Value
<S> <C> <C>
+VARIABLE RATE DEMAND NOTES - 67.02%
Florida Housing Finance Agency Multifamily
Housing Revenue (Northdale Lakes
Project, Letter of Credit, Bankers Trust
Company) (MBIA) 3.50% 05/01/96.................................... 1,500,000 $1,500,000
Florida Housing Finance Agency
Multifamily Housing Revenue
(Hampton Lakes Project,
Letter of Credit,CG Life)
4.15% 05/01/96.................................................... 2,000,000 2,000,000
Florida Housing Finance Agency Multifamily
Housing Revenue (Town Colony II Project,
Letter of Credit,CG Life)
4.15% 05/01/96.................................................... 1,700,000 1,700,000
Louisiana Public Facilities Authority
(Louisiana Water Company,
Letter of Credit, Bank One)
4.10% 05/01/96.................................................... 1,000,000 1,000,000
Lynchburg, Virginia Industrial Development
Authority (VHA Mid Atlantic-Series F)
(AMBAC) 4.10% 05/01/96............................................ 1,000,000 1,000,000
Lynchburg, Virginia Industrial Development
Authority (VHA Mid Atlantic-Series C)
(AMBAC) 4.10% 05/01/96............................................ 1,000,000 1,000,000
Montgomery County, Maryland Housing
Opportunities Community Multifamily
Housing Revenue (Falkland Apartments,
Letter of Credit,CG Life)
4.10% 05/01/96.................................................... 2,100,000 2,100,000
New Hampshire Higher Educational and
Health Facilities Authority Revenue
(VHA New England Inc.-Series A) (AMBAC)
4.10% 05/01/96.................................................... 600,000 600,000
Saint Louis Park, Minnesota Industrial
Development Revenue (Unicare Home
Project,Letter of Credit, Banque Paribas)
3.65% 05/01/96.................................................... 2,100,000 2,100,000
Sayre,Pennsylvania Health Care Facilities
Authority Revenue(Pennsylvania Capital
Funding Project-Series B) (AMBAC)
4.00% 05/01/96.................................................... 400,000 400,000
Vermont Educational & Health Buildings
Financing Agency Revenue
(VHA New England Inc.-Series A)
(AMBAC) 4.10% 05/01/96............................................ 400,000 400,000
Vermont Educational & Health Buildings
Financing Agency Revenue
(VHA New England Inc.-Series B) (AMBAC)
4.10% 05/01/96.................................................... 500,000 500,000
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Principal Market
Amount Value
<S> <C> <C>
VARIABLE RATE DEMAND NOTES (Continued)
Vermont Educational & Health Buildings
Financing Agency Revenue
(VHA New England Inc.-Series D)
(AMBAC) 4.10% 05/01/96.......................................... 600,000 $ 600,000
Vermont Educational & Health Buildings
Financing Agency Revenue
(VHA New England Inc.-Series E) (AMBAC)
4.10% 05/01/96.................................................. 200,000 200,000
West Virginia State Hospital Finance
Authority (VHA Mid Atlantic-Series C)
(AMBAC) 4.10% 05/01/96.......................................... 600,000 600,000
West Virginia State Hospital Finance
Authority (VHA Mid Atlantic-Series G)
(AMBAC) 4.10% 05/01/96.......................................... 1,000,000 1,000,000
Allegheny County, Pennsylvania-Series C-41
4.10% 05/02/96.................................................. 200,000 200,000
Montgomery County, Pennsylvania Industrial
Development Authority Revenue
(Ikea Property Project, Letter of Credit,
Morgan Guaranty Trust Company)
4.15% 05/02/96.................................................. 1,400,000 1,400,000
Winston Salem(North Carolina Certificates
of Participation, Letter of Credit,
Credit Suisse) 4.10% 05/02/96 .................................. 1,750,000 1,750,000
*Pittsburgh, Pennsylvania Urban Redevelopment
Authority(Wood Street Commons, Letter of
Credit, PNC) 4.125% 05/07/96 ................................... 1,000,000 1,000,000
Gary, Indiana Environmental Improvement
Revenue (U.S.Steel Corp., Letter of Credit,
Bank of Nova Scotia)
3.60% 05/15/96.................................................. 1,000,000 1,000,000
Ohio Housing Finance Agency Multifamily
Housing Revenue (Kenwood Congregate
Retirement, Letter of Credit, Morgan
Guaranty Trust Company)
3.40% 05/30/96.................................................. 1,000,000 1,000,000
*Ohio State Air Quality Development Authority
Revenue Pollution Control (Cleveland
Electric-Series B) (FGIC)
3.15% 06/14/96.................................................. 1,700,000 1,700,000
----------
Total Variable Rate Demand Notes ................................ 24,750,000
----------
PUT BONDS - 13.54%
*New Hampshire Higher Educational & Health
Facilities Authority Revenue
(Dartmouth Educational)
3.75% 06/01/96.................................................. 1,000,000 1,000,000
Pendleton County, Kentucky Revenue
(Self-Insured Funding, Letter of Credit,
PNC Bank) 3.75% 07/01/97. ...................................... 500,000 500,000
City of Klamath Falls, Oregon Electric Revenue
(Salt Caves Hydroelectric-Series A)
4.40% 05/01/96.................................................. 1,000,000 1,000,000
Cumberland County, Pennsylvania Municipal
Authority Revenue (United Methodist
Homes for Aging) 3.95% 06/01/96 ................................ 1,500,000 1,500,788
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Statement of Net Assets (Continued)
Principal Market
Amount Value
<S> <C> <C>
PUT BONDS (Continued)
New Hampshire Higher Educational & Health
Facilities Authority Revenue
(Dartmouth Educational)
4.10% 06/01/96........................................................ 1,000,000 $ 1,000,000
---------
Total Put Bonds........................................................ 5,000,788
---------
TAX REVENUE AND GRANT
ANTICIPATION NOTES - 13.30%
Allegheny County, Pennsylvania Port Authority
(Grant Anticipation Notes)
3.875% 06/28/96....................................................... 2,000,000 1,999,618
Palm Beach County, Florida School District
4.50% 09/27/96........................................................ 1,000,000 1,005,173
Pennsylvania State University Project
Notes-Series A 4.00% 12/18/96 ........................................ 900,000 902,740
Texas State Tax & Revenue Anticipation
Notes-Series A 4.75% 08/30/96 ........................................ 1,000,000 1,004,977
---------
Total Revenue Anticipation Notes ...................................... 4,912,508
---------
COMMERCIAL PAPER - 4.06%
Municipal Electric Authority of Georgia
(Series 85-C) 3.45% 07/12/96 ......................................... 1,500,000 1,500,000
---------
Total Commercial Paper................................................. 1,500,000
---------
OTHER BONDS - 1.87%
Dallas, Texas Waterworks & Sewer-Series A
8.00% 10/01/96........................................................ 680,000 691,139
---------
Total Other Bonds ...................................................... 691,139
---------
TOTAL MARKET VALUE OF SECURITIES OWNED - 99.79%
(WHICH APPROXIMATES COST FOR FINANCIAL
REPORTING AND INCOME TAX PURPOSES).................................... 36,854,435
RECEIVABLES AND OTHER ASSETS NET OF
LIABILITIES - 0.21%................................................... 76,766
---------
NET ASSETS APPLICABLE TO 35,479,005
TAX-FREE Money FUND A CLASS SHARES AND
1,452,196 CONSULTANT CLASS SHARES OUTSTANDING;
EQUIVALENT TO $1.00 PER SHARE - 100.00% .............................. $36,931,201
===========
- ----------
+For Variable Rate Demand Notes, the maturity date shown is the next
interest reset date.
*These securities are subject to the federal alternative minimum tax.
AMBAC - Insured by AMBAC Indemnity Corporation.
FGIC - Insured by the Financial Guaranty Insurance Company.
MBIA - Insured by the Municipal Bond Insurance Association.
Delaware Group Tax-Free Money Fund, Inc.
Statement of Operations
Year Ended April 30, 1996
INVESTMENT INCOME:
Interest............................................................... $1,797,107
EXPENSES:
Management fees ($222,243) and
directors' fees ($11,990) ............................................ $234,233
Dividend disbursing, transfer agent
and shareholder servicing fees ....................................... 60,936
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Statement of Operations (Continued)
<S> <C> <C>
Federal and state registration fees $ 38,208
Professional fees ..................................................... 20,068
Custodian fees......................................................... 15,746
Reports and statements to shareholders ................................ 13,529
Salaries............................................................... 12,388
Taxes (other than taxes on income) .................................... 10,501
Other.................................................................. 13,526 $ 419,135
------ ----------
NET INVESTMENT INCOME.................................................. $1,377,972
==========
Delaware Group Tax-Free Money Fund, Inc.
Statement of Changes in Net Assets
Year Ended Year Ended
4/30/96 4/30/95
OPERATIONS:
Net investment income.............................................. $ 1,377,972 $ 1,204,740
----------- -----------
DISTRIBUTIONS TO SHAREHOLDERS
FROM NET INVESTMENT INCOME:
Tax-Free Money Fund A Class ....................................... (1,324,068) (1,163,369)
Tax-Free Money Fund
Consultant Class................................................... (53,904) (41,371)
----------- -----------
(1,377,972) (1,204,740)
----------- -----------
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold:
Tax-Free Money Fund A Class ....................................... 45,058,526 65,973,649
Tax-Free Money Fund
Consultant Class................................................... 2,587,979 2,590,523
Net asset value of shares issued upon
reinvestment of dividends from net
investment income:
Tax-Free Money Fund A Class ....................................... 1,272,749 1,110,199
Tax-Free Money Fund
Consultant Class................................................... 53,808 41,519
----------- -----------
48,973,062 69,715,890
----------- -----------
Cost of shares repurchased:
Tax-Free Money Fund A Class ....................................... (65,295,936) (57,346,983)
Tax-Free Money Fund
Consultant Class................................................... (2,804,135) (2,424,808)
----------- -----------
(68,100,071) (59,771,791)
----------- -----------
Increase (decrease) in net assets derived
from capital share transactions ................................... (19,127,009) 9,944,099
----------- -----------
NET INCREASE (DECREASE)
IN NET ASSETS...................................................... (19,127,009) 9,944,099
----------- -----------
NET ASSETS:
Beginning of period................................................ 56,058,210 46,114,111
----------- -----------
End of period...................................................... $36,931,201 $56,058,210
=========== ===========
</TABLE>
See accompanying notes
<PAGE>
Delaware Group Tax-Free Money Fund, Inc.
Notes to Financial Statements
April 30, 1996
Delaware Group Tax-Free Money Fund, Inc. ("the Fund") is registered as a
no-load, diversified, open-end investment company under the Investment
Company Act of 1940. The Fund is organized as a Maryland corporation and
offers two classes of shares.
The Fund's objective is to seek a high level of current income, exempt
from federal income tax, while preserving principal and maintaining
liquidity consistent with prudent investment management. Though there is no
guarantee this goal will be met, the Fund strives to maintain a stable net
asset value of $1.00 per share.
1. Significant Accounting Policies
The following accounting policies are in accordance with generally
accepted accounting principles and are consistently followed by the Fund:
Security Valuation - Securities are valued at amortized cost which
approximates market value. Security transactions are recorded on the date
the securities are purchased or sold (trade date).
Federal Income Taxes - The Fund intends to continue to qualify as a
regulated investment company and make the requisite distributions to
shareholders. Accordingly, no provision for federal income taxes is
required in the financial statements.
Class Accounting - Investment income and common expenses are allocated to
the two classes of the Fund on the basis of daily net assets of each class.
Distribution expenses relating to a specific class are charged directly to
that class.
Other - Expenses common to all funds within the Delaware Group of Funds
are allocated among the funds on the basis of average net assets. Premiums
and discounts are amortized on a pro-rata basis and included in interest
income. The Fund declares dividends daily from net investment income and
pays such dividends monthly.
Certain fund expenses may be paid directly to brokers. The amount of
these expenses was less than 0.01 percent of the Fund's average net assets.
2. Investment Management Fee and Distribution Agreements
In accordance with the terms of the Investment Management Agreement, the
Fund pays Delaware Management Company, Inc. (DMC), the Investment Manager
of the Fund, an annual fee which is calculated daily at 0.50% of the
average daily net assets of the Fund, less fees paid to the independent
directors. At April 30, 1996, the Fund had a liability for Investment
Management fees payable to DMC of $5,634.
Pursuant to the Distribution Agreement, the Fund pays Delaware
Distributors, L.P. (DDLP) the Distributor and an affiliate of DMC, an
annual 12b-1 fee not to exceed 0.30% of the average daily net assets of the
Consultant Class. Effective June 1, 1990, 12b-1 Plan payments from the
Consultant Class to DDLP were suspended but may be reinstated in the future.
<PAGE>
The Fund has engaged Delaware Service Company, Inc.(DSC), an affiliate of
DMC, to serve as dividend disbursing and transfer agent for the Fund. For
the year ended April 30, 1996, the Fund expensed $53,366 for these
services. At April 30, 1996, the Fund had a liability for such fees and
other expenses payable to DSC of $1,060.
Certain officers of the Investment Manager are officers, directors,
and/or employees of the Fund. These officers, directors, and employees are
paid no compensation by the Fund.
On April 3, 1995, Delaware Management Holdings, Inc., the indirect parent
of DMC, DDLP and DSC, through a merger transaction (the "Merger") became a
wholly-owned subsidiary of Lincoln National Corporation. Other than the
resulting change in ownership, the Merger will not materially change the
manner in which DMC, DDLP and DSC have heretofore conducted their
respective relationships with the Fund.
3. Fund Shares
Transactions in capital stock shares of the Fund were as follows:
<TABLE>
<CAPTION>
Year Ended Year Ended
4/30/96 4/30/95
<S> <C> <C>
Shares sold:
Tax-Free Money Fund A Class ........................................ 45,058,526 65,973,649
Tax-Free Money Fund Consultant Class ............................... 2,587,979 2,590,523
Shares issued upon reinvestment of
dividends from net investment income:
Tax-Free Money Fund A Class ........................................ 1,272,749 1,110,199
Tax-Free Money Fund Consultant Class ............................... 53,808 41,519
----------- -----------
48,973,062 69,715,890
----------- -----------
Shares repurchased:
Tax-Free Money Fund A Class ........................................ (65,295,936) (57,346,983)
Tax-Free Money Fund Consultant Class ............................... (2,804,135) (2,424,808)
----------- -----------
(68,100,071) (59,771,791)
----------- -----------
Net increase (decrease). ........................................... (19,127,009) 9,944,099
=========== ===========
</TABLE>
4. Concentration of Credit Risk
The Fund concentrates its investments in securities issued by
municipalities. The value of these investments may be adversely affected by
new legislation within the states, regional or local economic conditions,
and differing levels of supply and demand for municipal bonds. Many
municipalities insure repayment of their obligations. Although bond
insurance reduces the risk of loss due to default by an issuer, such bonds
remain subject to the risk that market value may fluctuate for other reasons
and there is no assurance that the insurance company will meet its obligations.
These securities have been identified in the Statement of Net Assets.
<PAGE>
Notes to Financial Statements (Continued)
5. Financial Highlights
Selected data for each share of the Fund outstanding throughout each period
were as follows:
<TABLE>
<CAPTION>
Tax-Free Money Fund A Class
-------------------------------------------------------------------
Year Ended
4/30/96 4/30/95 4/30/94 4/30/93 4/30/92
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period...... $1.0000 $1.0000 $1.0000 $1.0000 $1.0000
Income from investment operations:
Net investment income.................... 0.0293 0.0255 0.0158 0.0201 0.0347
Net realized and unrealized gain on
security transactions................... none none none none none
------- ------- ------- ------- -------
Total from investment operations....... 0.0293 0.0255 0.0158 0.0201 0.0347
------- ------- ------- ------- -------
Less distributions:
Dividends from net investment income..... (0.0293) (0.0255) (0.0158) (0.0201) (0.0347)
Distributions from net realized gain
on security transactions ............... none none none none none
------- ------- ------- ------- -------
Total distributions.................... (0.0293) (0.0255) (0.0158) (0.0201) (0.0347)
------- ------- ------- ------- -------
Net asset value, end of period............ $1.0000 $1.0000 $1.0000 $1.0000 $1.0000
======= ======= ======= ======= =======
Total return............................. 2.97% 2.59% 1.59% 2.03% 3.52%
Ratios/supplemental data:
Net assets, end of period (000 omitted).. $35,479 $54,444 $44,707 $43,886 $53,210
Ratio of expenses to average net assets.. 0.90% 0.96% 0.99% 0.94% 0.84%
Ratio of net investment income to average
net assets.............................. 2.95% 2.57% 1.58% 2.03% 3.43%
Tax-Free Money Fund Consultant Class
-------------------------------------------------------------------
Year Ended
4/30/96 4/30/95 4/30/94 4/30/93 4/30/92
Net asset value, beginning of period...... $1.0000 $1.0000 $1.0000 $1.0000 $1.0000
Income from investment operations:
Net investment income..................... 0.0293 0.0255 0.0158 0.0201 0.0347
Net realized and unrealized gain on
security transactions.................... none none none none none
------- ------- ------- ------- -------
Total from investment operations........ 0.0293 0.0255 0.0158 0.0201 0.0347
------- ------- ------- ------- -------
Less distributions:
Dividends from net investment income...... (0.0293) (0.0255) (0.0158) (0.0201) (0.0347)
Distributions from net realized gain
on security transactions ................ none none none none none
------- ------- ------- ------- -------
Total distributions..................... (0.0293) (0.0255) (0.0158) (0.0201) (0.0347)
------- ------- ------- ------- -------
Net asset value, end of period............. $1.0000 $1.0000 $1.0000 $1.0000 $1.0000
======= ======= ======= ======= =======
Total return............................... 2.97% 2.59% 1.59% 2.03% 3.52%
Ratios/supplemental data:
Net assets, end of period (000 omitted)... $1,452 $1,614 $1,407 $1,846 $1,920
Ratio of expenses to average net assets... 0.90% 0.96% 0.99% 0.94% 0.84%
Ratio of net investment income to average
net assets............................... 2.95% 2.57% 1.58% 2.03% 3.43%
</TABLE>
<PAGE>
Delaware Group Tax-Free Money Fund, Inc.
Report of Independent Auditors
To the Shareholders and Board of Directors
Delaware Group Tax-Free Money Fund, Inc.
We have audited the accompanying statement of net assets of Delaware
Group Tax-Free Money Fund, Inc., (the Fund) as of April 30, 1996, 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
the financial highlights for each of the five years in the period then ended.
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 April 30, 1996 by correspondence with the custodian and brokers.
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 respect, the financial
position of Delaware Group Tax-Free Money Fund, Inc. as of April 30, 1996,
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 five years in the period then ended,
in conformity with generally accepted accounting principles.
Ernst & Young LLP
Philadelphia, Pennsylvania
June 4, 1996
________________________________________________________________________________
A Report on Delaware Group Tax-Free Money Fund's Annual Meeting
At an annual meeting of shareholders held on March 29, 1995, the
following matters were submitted for shareholder vote: the election of
directors, the ratification of the selection of Ernst & Young LLP as
independent auditors of the Fund and the approval of a new investment
management agreement. The new investment management agreement was proposed
in connection with the April 3, 1995, merger of Delaware Management
Holdings, Inc. (the parent of Delaware Management Company, Inc.) and a
subsidiary of Lincoln National Corporation. Whenever there is a change in
control of an investment manager, the Investment Company Act of 1940
requires shareholders to vote on a new investment management agreement.
Below are the names of each director elected at the meeting as well as
the results of the other matters voted on by shareholders.
Number of Votes**
-----------------------------------------------
For Against/Withheld Abstentions
Election of Directors:*
Wayne A. Stork................. 26,921,761 501,109 --
Walter P. Babich............... 26,921,761 501,109 --
Anthony D. Knerr............... 26,893,047 529,824 --
Ann R. Leven................... 26,921,761 501,109 --
W. Thacher Longstreth ......... 26,921,761 501,109 --
Charles E. Peck................ 26,921,761 501,109 --
Approval of the New Investment
Management Agreement .......... 25,335,191 963,658 1,124,021
Selection of Ernst & Young LLP
as Independent Auditors ....... 26,752,232 68,453 602,186
- ----------
* Voted upon by shareholders of the Company.
** Please note that the results of this meeting were not audited by
Ernst & Young LLP.
<PAGE>
Delaware Group
- ----------------------
of Funds
- ----------------------
For Growth of Capital
Trend Fund
Enterprise Fund
DelCap Fund
Value Fund
U.S. Growth Fund
For Total Return
Devon Fund
Decatur Total Return Fund
Decatur Income Fund
Delaware Fund
For Global Diversification
Emerging Markets Fund
New Pacific Fund
International Equity Fund
World Growth Fund
Global Assets Fund
Global Bond Fund
For Current Income
Delchester Fund
Corporate Income Fund
Federal Bond Fund
U.S. Government Fund
Limited-Term Government Fund
For Tax-Free Current Income
Tax-Free Pennsylvania Fund
Tax-Free USA Fund
Tax-Free Insured Fund
Tax-Free USA Intermediate Fund
Money Market Funds
Delaware Cash Reserve
U.S. Government Money Fund
Tax-Free Money Fund
Closed-End Equity/Income*
Dividend and Income Fund
Global Dividend and Income Fund
This annual report is for the information of Tax-Free Money Fund
shareholders, but it may be used with prospective investors when preceded or
accompanied by a current Prospectus, for the Tax-Free Money Fund, which sets
forth details about charges, expenses, investment objectives and operating
policies of the Fund. You should read the prospectus carefully before you
invest. Summary investment results are documented in the Fund's current
Statement of Additional Information. The figures in this report represent past
results which are not a guarantee of future results. For a prospectus of any
other Delaware Group fund, contact your financial adviser or Delaware Group.
* Delaware Group Dividend and Income Fund and Delaware Group Global
Dividend and Income Fund purchases can be made through any registered
broker.
DELAWARE
GROUP
=======
Philadelphia . London
<PAGE>
Be sure to consult your financial adviser when making investments. Mutual
funds can be a valuable part of your financial plan; however, shares of the
Fund are not FDIC or NCUSIF insured, are not guaranteed by any bank or any
credit union, are not obligations of or deposits of any bank or any credit
union, and involve investment risk, including the possible loss of principal.
Shares of the Fund are not bank or credit union deposits.
The goal of a money market fund is to maintain a constant share price of $1.
However, there can be no guarantee that this goal will be met. The Fund's
yield and return fluctuate and are not guaranteed. An investment in a money
market fund is neither insured nor guaranteed by the U.S. government.
Investment Manager
Delaware Management Company, Inc.
Philadelphia
International Affiliate
Delaware International Advisers Ltd.
London
National Distributor
Delaware Distributors, L.P.
Philadelphia
Shareholder Servicing,
Dividend Disbursing
and Transfer Agent
Delaware Service Company, Inc.
Philadelphia
1818 Market Street
Philadelphia, PA 19103-3682
Nationwide (800) 523-4640
Securities Dealers Only
Nationwide (800) 362-7500
Financial Institutions Representatives Only
Nationwide (800) 659-2265
Copy Rights Delaware Distributors, L.P.
Printed in the U.S.A. on recycled paper.
AR-006[4/96]TKO696
