<PAGE>
{Nuveen logo]
Nuveen Tax-Exempt
Money Market Fund, Inc.
Semiannual Report August 31, 1995
<PAGE>
CONTENTS
3 Portfolio of investments
9 Statement of net assets
10 Statement of operations
11 Statement of changes in net assets
12 Notes to financial statements
16 Financial highlights
<PAGE>
PORTFOLIO OF INVESTMENTS NUVEEN TAX-FREE MUTUAL FUNDS SEMIANNUAL REPORT
(Unaudited) AUGUST 31, 1995
NUVEEN TAX-EXEMPT MONEY MARKET FUND, INC.
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT DESCRIPTION RATINGS* MARKET VALUE
- -------------------------------------------------------------------------------
<C> <S> <C> <C>
ALABAMA - 6.0%
$ 23,800,000 Birmingham Medical Clinic Board
(University of Alabama Health Services
Foundation), Variable Rate Demand Bonds,
3.500%, 12/01/26+ A-1+ $ 23,800,000
5,935,000 Boaz Industrial Development Board
(Parker-Hannifin Corporation Project),
Variable Rate Demand Bonds,
3.750%, 9/01/12+ Aa-2 5,935,000
4,000,000 Marshall County, Special Obligation
School Refunding Warrants, Series 1994,
Variable Rate Demand Bonds,
3.700%, 2/01/12+ A-1+ 4,000,000
4,975,000 Port City Medical Clinic Board Hospital
Revenue Bonds Series 1992-A (Mobile
Infirmary Association), Commercial
Paper,
3.800%, 10/20/95 VMIG-1 4,975,000
- -------------------------------------------------------------------------------
ARIZONA - 2.2%
6,500,000 Apache County Industrial Development PCR
(Tucson Electric), Variable Rate Demand
Bonds, 3.700%, 10/01/21+ VMIG-1 6,500,000
5,000,000 Maricopa County Union High School
District No. 210 (Phoenix), Series 1995-
A, Tax Anticipation Notes, 4.450%,
7/31/96 SP-1+ 5,019,816
2,700,000 Pima County Industrial Development
Authority (Tucson Retirement Center
Project), Series 1988, Variable Rate
Demand Bonds,
3.550%, 1/01/09+ VMIG-1 2,700,000
- -------------------------------------------------------------------------------
ARKANSAS - 0.8%
3,000,000 Arkansas Hospital Equipment Finance
Authority (Washington Regional Medical
Center), Variable Rate Demand Bonds,
3.760%, 10/01/98+ VMIG-1 3,000,000
1,885,000 Little Rock School District, Tax
Anticipation Notes,
4.200%, 12/28/95 MIG-1 1,885,000
- -------------------------------------------------------------------------------
COLORADO - 0.7%
4,180,000 Pitkin County Industrial Development
(Aspen Skiing Company Project), Series
1994A, Variable Rate Demand Bonds,
3.550%, 4/01/16+ A-1 4,180,000
- -------------------------------------------------------------------------------
CONNECTICUT - 3.6%
23,000,000 Connecticut State Special Assessment
Unemployment Compensation Advance Fund,
Series 1993C, Commercial Paper,
3.900%, 7/01/96 VMIG-1 23,000,000
- -------------------------------------------------------------------------------
DISTRICT OF COLUMBIA - 4.7%
4,400,000 District of Columbia General Obligation,
General Fund Recovery, Variable Rate
Demand Bonds, 4.200%, 6/01/03+ A-1+ 4,400,000
25,500,000 District of Columbia General Obligation,
Series 1991B-3, Variable Rate Demand
Bonds, 4.200%, 6/01/03+ A-1+ 25,500,000
- -------------------------------------------------------------------------------
FLORIDA - 12.6%
20,000,000 Florida Housing Finance Agency, Multi-
Family, 1985 Series D
(Kings Colony), Variable Rate Demand
Bonds, 3.675%, 8/01/06+ VMIG-1 20,000,000
5,650,000 Florida Municipal Loan Council,
Commercial Paper, 3.950%, 11/29/95 VMIG-1 5,650,000
</TABLE>
3
<PAGE>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN TAX-EXEMPT MONEY MARKET FUND, INC.--CONTINUED
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT DESCRIPTION RATINGS* MARKET VALUE
- -------------------------------------------------------------------------------
<C> <S> <C> <C>
FLORIDA (CONTINUED)
$ 2,400,000 Brevard County Housing Finance Authority,
Multi-Family Housing (Shore View
Apartments Projects), 1995, Variable
Rate Demand Bonds, 3.750%, 2/01/15+ A-1+ $ 2,400,000
16,200,000 Dade County Water and Sewer System,
Series 1994, Variable Rate Demand Bonds,
3.450%, 10/05/22+ VMIG-1 16,200,000
6,900,000 Hialeah Hospital, Series 1989, Variable
Rate Demand Bonds,
3.950%, 2/01/14+ VMIG-1 6,900,000
7,000,000 Miami Health Facilities Authority (Miami
Jewish Home and Hospital for the Aged,
Inc.), Series 1992, Variable Rate Demand
Bonds, 3.750%, 3/01/12+ Aa-3 7,000,000
3,340,000 Sarasota County Public Hospital District
(Sarasota Memorial Hospital), Commercial
Paper, 3.400%, 10/13/95 A-1 3,340,000
Sunshine State Governmental Financing
Commission, Commercial Paper:
4,600,000 3.350%, 10/12/95 VMIG-1 4,600,000
15,000,000 3.750%, 11/10/95 VMIG-1 15,000,000
- -------------------------------------------------------------------------------
GEORGIA - 6.4%
6,790,000 Chatham County, Tax Anticipation Notes,
4.680%, 12/29/95 N/R 6,794,794
3,500,000 Cobb County, Tax Anticipation Notes,
Series 1995, 5.000%, 12/29/95 MIG-1 3,514,137
15,000,000 Columbia Elderly Authority, Residential
Care Facilities (Augusta Resource Center
on Aging Inc.), Variable Rate Demand
Bonds, 3.750%, 1/01/21+ Aa-3 15,000,000
3,000,000 Fulco County Hospital Authority (St.
Joseph's Hospital of Atlanta) Revenue
Anticipation Certificates, Commercial
Paper,
3.700%, 10/12/95 VMIG-1 3,000,000
13,000,000 Fulton County Housing Authority, Multi-
Family Housing (Spring Creek Crossing
Project), Variable Rate Demand Bonds,
3.650%, 10/01/24+ A-1+ 13,000,000
- -------------------------------------------------------------------------------
IDAHO - 1.2%
8,000,000 Nez Perce Pollution Control (Potlatch),
Variable Rate Demand Bonds,
3.600%, 12/01/14+ A-1+ 8,000,000
- -------------------------------------------------------------------------------
ILLINOIS - 5.9%
5,000,000 Illinois Development Finance Authority
(Chicago Symphony Orchestra Project),
Variable Rate Demand Bonds, 3.700%,
12/01/28+ VMIG-1 5,000,000
2,500,000 Illinois Development Finance Authority
(Jewish Charities), Fiscal Year 1995-
96A, Variable Rate Demand Bonds, 3.750%,
6/30/96 A-1+ 2,500,000
2,500,000 Illinois Development Finance Authority
Revenue Bonds (Uhlich Children's Home
Project), Series 1995, Variable Rate
Demand Bonds, 3.650%, 6/01/15+ A-1 2,500,000
2,295,000 Illinois Health Facilities Authority
(Alexian Brothers Medical Center
Project), Commercial Paper, 3.350%,
9/14/95 A-1+ 2,295,000
3,100,000 Illinois Health Facilities Authority
(Children's Memorial Hospital), Variable
Rate Demand Bonds, 3.650%, 11/01/15+ VMIG-1 3,100,000
</TABLE>
4
<PAGE>
NUVEEN TAX-FREE MUTUAL FUNDS SEMIANNUAL REPORT
AUGUST 31, 1995
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT DESCRIPTION RATINGS* MARKET VALUE
- -------------------------------------------------------------------------------
<C> <S> <C> <C>
ILLINOIS (CONTINUED)
$ 12,500,000 Chicago General Obligation, Variable Rate
Demand Bonds,
3.650%, 1/01/10+ VMIG-1 $ 12,500,000
6,600,000 Chicago O'Hare International Airport
(American Airlines), Variable Rate
Demand Bonds, 3.500%, 12/01/17+ VMIG-1 6,600,000
3,500,000 Cook County General Obligation Bonds,
Series 1993A, 3.500%, 11/15/95 Aaa 3,500,000
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INDIANA 0.5%
3,400,000 Jasper County Pollution Control (Northern
Indiana Public Service), Commercial
Paper, 3.300%, 9/18/95 A-1+ 3,400,000
- -------------------------------------------------------------------------------
KANSAS - 0.9%
6,000,000 Manhattan Industrial Development Board
(Parker-Hannifin Corporation), Variable
Rate Demand Bonds, 3.750%, 9/01/09+ Aa-2 6,000,000
- -------------------------------------------------------------------------------
KENTUCKY - 4.5%
17,500,000 Louisville and Jefferson County,
Metropolitan Sewer District, Series
1995A, Variable Rate Demand Bonds,
3.900%, 3/01/96 A-1 17,500,000
11,500,000 Louisville and Jefferson County, Sewer
and Drainage System, Subordinated
Revenue Notes, Series 1995B, 3.900%,
3/01/96 A-1 11,500,000
- -------------------------------------------------------------------------------
LOUISIANA - 1.7%
7,000,000 Louisiana Public Facilities Authority
(Schwegmann Westside Expressway
Project), Industrial Development,
Variable Rate Demand Bonds, 3.650%,
12/01/12+ A-1 7,000,000
4,000,000 Hammond Industrial Development Board
(Schwegmann Westside Expressway
Project), Variable Rate Demand Bonds,
3.650%, 11/01/14+ A-1 4,000,000
- -------------------------------------------------------------------------------
MARYLAND - 2.2%
14,000,000 Maryland Economic Development
Corporation, Adjustable Rate, Pooled
Financing (Maryland Municipal Bond
Fund), Series 1995, Variable Rate Demand
Bonds, 3.700%, 6/01/20+ A-1 14,000,000
- -------------------------------------------------------------------------------
MINNESOTA - 2.0%
5,000,000 Bloomington Port Authority, Tax
Increment, (Mall of America Project),
Series 1995A, Variable Rate Demand
Bonds,
3.800%, 2/01/13+ VMIG-1 5,000,000
7,500,000 St. Paul Housing and Redevelopment
Authority, Parking Revenue Bonds, Series
1995B, Variable Rate Demand Bonds,
3.700%, 8/01/17+ VMIG-1 7,500,000
- -------------------------------------------------------------------------------
MISSOURI - 4.4%
15,000,000 Missouri Health and Educational
Facilities Authority, Health Facilities,
(SSM Health Care Project), Series 1995B,
Variable Rate Demand Bonds, 3.550%,
6/01/22+ A-1+ 15,000,000
</TABLE>
5
<PAGE>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN TAX-EXEMPT MONEY MARKET FUND, INC.--CONTINUED
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT DESCRIPTION RATINGS* MARKET VALUE
- -------------------------------------------------------------------------------
<C> <S> <C> <C>
MISSOURI (CONTINUED)
$ 5,000,000 St. Louis Tax and Revenue Anticipation
Notes, General Revenue Fund, Series
1995, 4.500%, 6/20/96 MIG-1 $ 5,026,767
8,000,000 St. Louis Land Clearance Redevelopment
Authority, Parking Facility, Series
1989, Commercial Paper, 4.500%, 9/15/95 VMIG-1 8,000,000
- -------------------------------------------------------------------------------
NEBRASKA - 0.7%
4,480,000 Scotts Bluff County Hospital Authority 1,
Elderly Residential Facility, GNMA (West
Village), Variable Rate Demand Bonds,
3.800%, 12/01/31+ A-1 4,480,000
- -------------------------------------------------------------------------------
NEW JERSEY - 0.9%
6,058,800 Ocean Township Sewer Authority, 1985
Series A, Variable Rate Demand Bonds,
3.800%, 12/01/11+ Aaa 6,058,800
- -------------------------------------------------------------------------------
NORTH CAROLINA - 3.0%
2,925,000 Durham Public Improvement, Series A 1995,
Bond Anticipation Notes, 3.900%, 2/21/96 MIG-1 2,930,369
8,700,000 New Hanover County Industrial Facilities
and Pollution Control Financing
Authority (Gang-Nail Systems, Inc.),
1984, Variable Rate Demand Bonds,
3.750%, 12/01/99+ P-1 8,700,000
7,845,000 Wake County Industrial Facility and
Pollution Control Finance Authority,
1990A, Commercial Paper, 3.200%, 9/11/95 A-1 7,845,000
- -------------------------------------------------------------------------------
OHIO - 3.7%
12,000,000 Ohio Air Quality Development Authority
(Cleveland Electric), Commercial Paper,
3.800%, 10/11/95 VMIG-1 12,000,000
4,300,000 Ohio Air Quality Development Authority,
Pollution Control Revenue, Series 1985B
(Cincinnati Gas and Electric Company),
Commercial Paper, 3.900%, 11/06/95 A-1+ 4,300,000
1,000,000 Hamilton County Economic Development
(Cincinnati Association for Performing
Arts), Variable Rate Demand Bonds,
3.650%, 6/15/05+ A-1+ 1,000,000
5,200,000 Montgomery County (Miami Valley
Hospital), Commercial Paper, 3.400%,
10/16/95 VMIG-1 5,200,000
1,100,000 University of Cincinnati General
Receipts, Bond Anticipation Notes,
5.000%, 3/21/96 MIG-1 1,102,027
- -------------------------------------------------------------------------------
OKLAHOMA - 1.1%
6,850,000 Holdenville Industrial Authority
Correctional Facility, Series 1995,
Variable Rate Demand Bonds, 3.650%,
7/01/15+ VMIG-1 6,850,000
- -------------------------------------------------------------------------------
PENNSYLVANIA - 2.5%
5,000,000 Quakertown Hospital Authority (HPS Group
Pooled Financing), Variable Rate Demand
Bonds, 3.600%, 7/01/05+ VMIG-1 5,000,000
11,045,000 Washington County Authority, Higher
Education Pooled Equipment Lease, Series
1985A, Variable Rate Demand Bonds,
3.650%, 11/01/05+ VMIG-1 11,045,000
</TABLE>
6
<PAGE>
NUVEEN TAX-FREE MUTUAL FUNDS SEMIANNUAL REPORT
AUGUST 31, 1995
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT DESCRIPTION RATINGS* MARKET VALUE
- -------------------------------------------------------------------------------
<C> <S> <C> <C>
SOUTH DAKOTA - 0.8%
$ 5,000,000 South Dakota Health and Education
Facility (McKennan Hospital), Series
1994, Variable Rate Demand Bonds,
3.800%, 7/01/14+ VMIG-1 $ 5,000,000
- -------------------------------------------------------------------------------
TENNESSEE - 5.4%
17,300,000 Clarksville Public Building Authority,
Adjustable Rate Revenue, Pooled
Financing Bonds, Series 1994, 3.700%,
6/01/24+ A-1 17,300,000
5,150,000 Hamilton County Industrial Development
Board (Tennessee Aquarium-Imax Theater),
Variable Rate Demand Bonds,
3.700%, 3/01/15+ A-1 5,150,000
12,000,000 Montgomery County Public Building
Authority, Adjustable Rate Pooled
Financing, Series 1995, Tennessee
Company, Loan Pool, 3.700%, 3/01/25+ A-1 12,000,000
- -------------------------------------------------------------------------------
TEXAS - 10.1%
10,000,000 Texas Tax and Revenue Anticipation Notes,
Series 1995A,
4.750%, 8/30/96 (WI) MIG-1 10,062,200
11,700,000 Texas Health Facilities Development
Corporation (North Texas Pooled Health
Program), Variable Rate Demand Bonds,
3.550%, 5/31/25+ VMIG-1 11,700,000
12,200,000 Texas Small Business Industrial
Development Corporation, Variable Rate
Demand Bonds, 3.600%, 7/01/26+ VMIG-1 12,200,000
10,010,000 Bexar County Health Facilities
Development Corporation, Retirement
Community, Variable Rate Demand Bonds,
3.550%, 3/01/12+ A-1+ 10,010,000
5,565,000 Gulf Coast Industrial Development
Authority, Marine Terminal (Amoco
Project), Series 1985, Commercial Paper,
3.800%, 12/01/95 VMIG-1 5,565,000
10,000,000 Harris County, Tax Anticipation Notes,
Series 1995, 4.250%, 2/28/96 MIG-1 10,017,900
3,000,000 Plano Health Facilities Development
Corporation (Children's and Presbyterian
Health Care) Commercial Paper, 3.650%,
10/31/95 VMIG-1 3,000,000
1,900,000 San Antonio Industrial Development
Authority (Rivercenter Associates
Project), Variable Rate Demand Bonds,
3.700%, 12/01/12+ Aa-3 1,900,000
- -------------------------------------------------------------------------------
UTAH - 0.3%
2,000,000 Davis County, Tax Anticipation Notes,
1995, 4.250%, 12/29/95 N/R 2,004,472
- -------------------------------------------------------------------------------
VIRGINIA - 0.3%
1,950,000 Rockbridge County Industrial Development
Authority (Safeway Inc. Project), Series
1992, Commercial Paper, 3.800%, 2/01/96 A-1+ 1,950,000
- -------------------------------------------------------------------------------
WASHINGTON - 3.0%
18,945,000 Washington State Housing Finance
Commission (Emerald Heights Project),
Variable Rate Demand Bonds,
3.350%, 1/01/21+ A-1 18,945,000
- -------------------------------------------------------------------------------
WISCONSIN - 3.4%
8,000,000 Wisconsin Health and Educational Facility
Authority (Felician Health Care,
Inc), Variable Rate Demand Bonds,
3.800%, 1/01/19+ VMIG-1 8,000,000
10,000,000 Madison Metropolitan School District, Tax
Anticipation Promissory Note, 4.500%,
2/21/96 N/R 10,039,180
</TABLE>
7
<PAGE>
PORTFOLIO OF INVESTMENTS
(Unaudited)
NUVEEN TAX-EXEMPT MONEY MARKET FUND, INC.--CONTINUED
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT DESCRIPTION RATINGS* MARKET VALUE
- -------------------------------------------------------------------------------
<C> <S> <C> <C>
WISCONSIN (CONTINUED)
$ 3,935,000 River Falls Commercial Development
(Erdeco Partnership Project), Variable
Rate Demand Bonds, 4.500%, 11/01/13+ Aa-3 $ 3,935,000
- -------------------------------------------------------------------------------
WYOMING - 2.4%
7,500,000 Converse County Pollution Control
(Pacificorp), Series 1992, Commercial
Paper, 3.900%, 10/18/95 VMIG-1 7,500,000
2,675,000 Douglas Industrial Development (Safeway
Incorporated Project), Commercial Paper,
3.950%, 12/01/95 A-1+ 2,675,000
5,000,000 Gillette Pollution Control (Pacificorp
Project), Series 1988, Commercial Paper,
3.650%, 9/08/95 A-1+ 5,000,000
- -------------------------------------------------------------------------------
$627,483,800 Total Investments - 97.9% 627,680,462
- -------------------------------------------------------------------------------
- -------------------
Other Assets Less Liabilities - 2.1% 13,174,196
- -------------------------------------------------------------------------------
Net Assets - 100% $640,854,658
</TABLE>
- --------------------------------------------------------------------------------
* Ratings: Using the higher of Standard & Poor's or Moody's rating.
N/R - Investment is not rated.
+ The security has a maturity of more than one year, but has variable rate
demand features which qualify it as a short-term security. The rate disclosed
is that currently in effect. This rate changes periodically based on market
conditions or a specified market index.
(WI) Security purchased on a when-issued basis (note 1).
See accompanying notes to financial statements.
8
<PAGE>
STATEMENT OF NET ASSETS NUVEEN TAX-FREE MUTUAL FUNDS SEMIANNUAL REPORT
(Unaudited) AUGUST 31, 1995
NUVEEN TAX-EXEMPT MONEY MARKET FUND, INC.
<TABLE>
<CAPTION>
- -----------------------------------------------------
<S> <C>
ASSETS
Investments in short-term municipal
securities, at amortized cost (note
1) $627,680,462
Cash 32,652,334
Interest receivable 3,014,520
Other assets 35,419
------------
Total assets 663,382,735
------------
LIABILITIES
Payable for investments purchased 20,155,785
Accrued expenses:
Management fees (note 3) 235,012
Other 194,073
Dividends payable 1,943,207
------------
Total liabilities 22,528,077
------------
Net assets applicable to shares
outstanding
(note 4) $640,854,658
------------
Shares outstanding 640,854,658
------------
Net asset value, offering and
redemption price per share (net
assets divided by shares outstanding) $ 1.00
------------
</TABLE>
See accompanying notes to financial statements.
9
<PAGE>
STATEMENT OF OPERATIONS
Six months ended August 31, 1995 (Unaudited)
NUVEEN TAX-EXEMPT MONEY MARKET FUND, INC.
<TABLE>
<CAPTION>
- ------------------------------------------------------
<S> <C>
INVESTMENT INCOME
Tax-exempt interest income (note 1) $14,442,942
-----------
Expenses:
Management fees (note 3) 1,441,116
Shareholders' servicing agent fees and
expenses 10,754
Custodian's fees and expenses 79,489
Directors' fees and expenses (note 3) 5,395
Professional fees 21,891
Shareholders' reports--printing and
mailing expenses 16,968
Federal and state registration fees 22,083
Other expenses 22,243
-----------
Total expenses 1,619,939
-----------
Net investment income 12,823,003
Net gain from investment transactions 11,286
-----------
Net increase in net assets from
operations $12,834,289
-----------
</TABLE>
See accompanying notes to financial statements.
10
<PAGE>
STATEMENT OF CHANGES IN NET ASSETSNUVEEN TAX-FREE MUTUAL FUNDS SEMIANNUAL REPORT
(Unaudited) AUGUST 31, 1995
NUVEEN TAX-EXEMPT MONEY MARKET FUND, INC.
- -----------------------------------------------------------------------------
<TABLE>
<CAPTION>
Six months Year ended
ended 8/31/95 2/28/95
- -----------------------------------------------------------------------------
<S> <C> <C>
OPERATIONS
Net investment income $ 12,823,003 $ 21,878,612
Net realized gain (loss) from investment
transactions 11,286 (30,535)
-------------- --------------
Net increase in net assets from operations 12,834,289 21,848,077
-------------- --------------
DISTRIBUTIONS TO SHAREHOLDERS (note 1) (12,834,289) (21,848,077)
-------------- --------------
COMMON SHARE TRANSACTIONS
(at constant net asset value of $1 per
share) (note 1)
Net proceeds from sale of shares 1,895,166,058 5,126,352,054
Net asset value of shares issued to
shareholders due to reinvestment of
distributions from net investment income
and from net realized gains from
investment transactions 3,972,878 5,501,313
-------------- --------------
1,899,138,936 5,131,853,367
Cost of shares redeemed (2,017,527,931) (5,348,442,330)
-------------- --------------
Net increase (decrease) in net assets
derived from Common share transactions (118,388,995) (216,588,963)
Net assets at the beginning of period 759,243,653 975,832,616
-------------- --------------
Net assets at the end of period $ 640,854,658 $ 759,243,653
-------------- --------------
</TABLE>
See accompanying notes to financial statements.
11
<PAGE>
NOTES TO FINANCIAL STATEMENTS
(Unaudited)
NUVEEN TAX-EXEMPT MONEY MARKET FUND, INC.
1. GENERAL INFORMATION AND SIGNIFICANT ACCOUNTING POLICIES
The Nuveen Tax-Exempt Money Market Fund, Inc. (the "Fund") is
registered under the Investment Company Act of 1940 as an
open-end, diversified management investment company. The
following is a summary of significant accounting policies
followed by the Fund in the preparation of its financial
statements in accordance with generally accepted accounting
principles.
Securities Valuation
Investments consist of short-term municipal securities
maturing within one year from the date of acquisition.
Securities with a maturity of more than one year in all cases
have variable rate and demand features qualifying them as
short-term securities and are traded and valued at amortized
cost. On a dollar-weighted basis, the average maturity of all
such securities must be 90 days or less (at August 31, 1995,
the dollar-weighted average life was 44 days).
Securities Transactions
Securities transactions are recorded on a trade date basis.
Realized gains and losses from such transactions are
determined on the specific identification method. Securities
purchased or sold on a when-issued or delayed delivery basis
may be settled a month or more after the transaction date.
The securities so purchased are subject to market fluctuation
during this period. The Fund has instructed the custodian to
segregate assets in a separate account with a current value
at least equal to the amount of its purchase commitments. At
August 31, 1995, there were such purchase commitments of
$10,062,200.
Interest Income Interest income is determined on the basis of interest
accrued, adjusted for amortization of premiums and accretion
of discounts.
Dividends and Distributions to Shareholders
Net investment income, adjusted for realized short-term gains
and losses on investment transactions, is declared as a
dividend to shareholders of record as of the close of each
business day and payment is made or reinvestment is credited
to shareholder accounts after month-end.
Federal Income Taxes
The Fund intends to comply with the requirements of the
Internal Revenue Code applicable to regulated investment
companies by distributing all of its net investment income,
including any net realized gains from investments, to
shareholders. Therefore, no federal income tax provision is
required. Furthermore, the Fund intends to satisfy conditions
which will enable interest from municipal securities, which
is exempt from regular federal income tax, to retain such tax
exempt status when distributed to shareholders.
12
<PAGE>
NUVEEN TAX-FREE MUTUAL FUNDS SEMIANNUAL REPORT
AUGUST 31, 1995
Insurance Commitments
The Fund has obtained commitments (each a "Commitment") from
Municipal Bond Investors Assurance Corporation ("MBIA") with
respect to certain designated bonds held by the Fund for
which credit support is furnished by banks ("Approved Banks")
approved by MBIA under its established credit approval
standards. Under the terms of a Commitment, if the Fund were
to determine that certain adverse circumstances relating to
the financial condition of the Approved Bank had occurred,
the Fund could cause MBIA to issue a "while-in-fund"
insurance policy covering the underlying bonds; after time
and subject to further terms and conditions, the Fund could
obtain from MBIA an "insured-to-maturity" insurance policy as
to the covered bonds. Each type of insurance policy would
insure payment of interest on the bonds and payment of
principal at maturity. Although such insurance would not
guarantee the market value of the bonds or the value of the
Fund's shares, the Fund believes that its ability to obtain
insurance for such bonds under such adverse circumstances
will enable the Fund to hold or dispose of such bonds at a
price at or near their par value.
Derivative Financial Instruments
In October 1994, the Financial Accounting Standards Board
(FASB) issued Statement of Financial Accounting Standards No.
119 Disclosure about Derivative Financial Instruments and
Fair Value of Financial Instruments which prescribes
disclosure requirements for transactions in certain
derivative financial instruments including futures, forward,
swap, and option contracts, and other financial instruments
with similar characteristics. Although the Funds are
authorized to invest in such financial instruments, and may
do so in the future, they did not make any such investments
during the six months ended August 31, 1995, other than
occasional purchases of high quality synthetic money market
securities which were held temporarily pending the re-
investment in long-term portfolio securities.
2. SECURITIES TRANSACTIONS
Purchases and sales (including maturities) of investment
securities during the six months ended August 31, 1995,
aggregated $1,699,982,134 and $1,835,124,392, respectively.
For federal income tax purposes, the cost of investments
owned at August 31, 1995, was the same as the cost for
financial reporting purposes.
13
<PAGE>
NOTES TO FINANCIAL STATEMENTS
(Unaudited)
NUVEEN TAX-EXEMPT MONEY MARKET FUND, INC.
3. MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES
Under the Fund's investment management agreement with Nuveen
Advisory Corp. ("the Adviser"), a wholly owned subsidiary of
The John Nuveen Company, the Fund pays to the Adviser an
annual management fee, payable monthly, as follows:
<TABLE>
<CAPTION>
AVERAGE DAILY NET ASSET VALUE MANAGEMENT FEE
---------------------------------------------
<S> <C>
For the first $500,000,000 .400 of 1%
For the next $500,000,000 .375
For the next $1,000,000,000 .350
For net assets over $2,000,000,000 .325
</TABLE>
The management fee is reduced by, or the Adviser assumes
certain Fund expenses in an amount necessary to prevent the
Fund's total expenses (including the Adviser's fee, but
excluding interest, taxes, fees incurred in acquiring and
disposing of portfolio securities and, to the extent
permitted, extraordinary expenses) in any fiscal year from
exceeding .45 of 1% of the average daily net asset value of
the Fund.
The management fee referred to above compensates the Adviser
for overall investment advisory and administrative services,
and general office facilities. The Fund pays no compensation
directly to its Directors who are affiliated with the Adviser
or to its officers, all of whom receive remuneration for
their services to the Fund from the Adviser.
4. COMPOSITION OF NET ASSETS
At August 31, 1995, the Fund had 5 billion shares of $.01 par
value common stock authorized. Net assets consisted of
$640,854,658 capital paid in.
14
<PAGE>
NUVEEN TAX-FREE MUTUAL FUNDS SEMIANNUAL REPORT
AUGUST 31, 1995
5. INVESTMENT COMPOSITION
The Fund invests in municipal securities which include
general obligation, escrowed and revenue bonds. At August 31,
1995, the revenue sources by municipal purpose, expressed as
a percent of total investments, were as follows:
<TABLE>
<CAPTION>
------------------------------
<S> <C>
Revenue bonds:
Health care facilities 26%
Pollution control facilities 18
Water/Sewer facilities 8
Housing facilities 6
Lease rental facilities 3
Transportation 2
Educational facilities 1
Other 14
General obligation bonds 22
------------------------------
100%
</TABLE>
At August 31, 1995, 89% of the investments owned by the Fund
have credit enhancements (letters of credit, guarantees or
insurance) issued by third party domestic or foreign banks or
other institutions.
For additional information regarding each investment
security, refer to the Portfolio of Investments.
15
<PAGE>
FINANCIAL HIGHLIGHTS
(Unaudited)
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD IS AS FOLLOWS:
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Income from investment
operations Less distributions
-----------------------------------------------------
Net realized
and
Net asset unrealized Dividends
value Net gain (loss) from net Distributions
beginning investment from investment from
of period income investments income capital gains
<S> <C> <C> <C> <C> <C>
- ----------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------
6 months ended
8/31/95 $1.000 $.018 $-- $(.018) $--
Year ended 2/28,
1995 1.000 .027 -- (.027) --
1994 1.000 .020 -- (.020) --
1993 1.000 .026 -- (.026) --
10/01/91 to
2/29/92 1.000 .016 -- (.016) --
Year ended 9/30,
1991 1.000 .049 -- (.049) --
1990 1.000 .058 -- (.058) --
1989 1.000 .060 -- (.060) --
1988 1.000 .049 -- (.049) --
1987 1.000 .041 -- (.041) --
1986 1.000 .048 -- (.048) --
1985 1.000 .052 -- (.052) --
- ----------------------------------------------------------------------------------------
</TABLE>
* Annualized.
16
<PAGE>
NUVEEN TAX-FREE MUTUAL FUNDS SEMIANNUAL REPORT
AUGUST 31, 1995
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratio/supplemental data
----------------------------------------------------
Net
asset Total return Ratio of net
value on Net assets Ratio of investment income
end of net asset end of period expenses to average to average
period value (in thousands) net assets net assets
<S> <C> <C> <C> <C>
- --------------------------------------------------------------------------
- --------------------------------------------------------------------------
$1.000 1.76% $ 640,855 .44%* 3.48%*
1.000 2.69 759,244 .44 2.65
1.000 2.04 975,833 .42 2.04
1.000 2.57 1,597,014 .40 2.58
1.000 1.56 2,332,021 .39* 3.71*
1.000 4.85 1,927,583 .38 4.81
1.000 5.75 1,800,966 .40 5.74
1.000 6.00 1,756,725 .39 6.02
1.000 4.89 2,044,479 .39 4.90
1.000 4.09 1,927,003 .39 4.09
1.000 4.77 2,472,401 .40 4.71
1.000 5.22 1,913,875 .40 5.18
- --------------------------------------------------------------------------
</TABLE>
17
<PAGE>
[Photo appears here]
For nearly 100 years,
Nuveen has earned its
reputation as a tax-free income
specialist by focusing on
municipal bonds.
Your
investment
partner
Since 1898, John Nuveen & Co. Incorporated has worked to bring together the
various participants in the municipal bond industry and build strong
partnerships that benefit all concerned. Investors, financial advisers,
municipal officials, investment bankers--Nuveen believes that forging
relationships within these groups based on trust and value is the key to
successful investing.
As the oldest and largest municipal bond specialist in the United States,
Nuveen's investment bankers work with issuers to understand and meet their
needs in structuring and selling their bond issues.
Nuveen also works closely with financial advisers around the country,
including brokerage firms, banks, insurance companies, and independent financial
planners, to bring the benefits of tax-free investing to you. These advisers are
experts at identifying your needs and recommending the best solutions for your
situation. Together we make a powerful team, helping you create a successful
investment plan that meets your needs today and in the future.
[Nuveen logo]
John Nuveen & Co. Incorporated
333 West Wacker Drive
Chicago, Illinois 60606-1286
OEF4-10.95
[Recycled logo appears here]
