FIDELITY UNION STREET TRUST, N-30D, 1999-10-15

FIDELITY UNION STREET TRUST
N-30D, 1999-10-15

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FIDELITY
EXPORT AND MULTINATIONAL
FUND

ANNUAL REPORT
AUGUST 31, 1999

(2_FIDELITY_LOGOS)(registered trademark)

CONTENTS

PRESIDENT'S MESSAGE 3 Ned Johnson on investing
strategies.

PERFORMANCE 4 How the fund has done over
time.

FUND TALK 6 The manager's review of fund
performance, strategy and
outlook.

INVESTMENT CHANGES 9 A summary of the major shifts
in the fund's investments
over the past six months.

INVESTMENTS 10 A complete list of the fund's
investments with their
market values.

FINANCIAL STATEMENTS 17 Statements of assets and
liabilities, operations, and
changes in net assets, as
well as financial highlights.

NOTES 21 Notes to the financial
statements.

REPORT OF INDEPENDENT 25 The auditors' opinion.
ACCOUNTANTS

DISTRIBUTIONS 26

OF SPECIAL NOTE 27

Standard & Poor's, S&P and S&P 500 are registered service marks of The
McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity
Distributors Corporation.

Other third party marks appearing herein are the property of their
respective owners.

All other marks appearing herein are registered or unregistered
trademarks or service marks of FMR Corp. or an affiliated company.

This report is printed on recycled paper using soy-based inks.

THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE
SUBMITTED FOR THE GENERAL INFORMATION
OF THE SHAREHOLDERS OF THE FUND. THIS REPORT IS NOT AUTHORIZED FOR
DISTRIBUTION TO PROSPECTIVE INVESTORS
IN THE FUND UNLESS PRECEDED OR ACCOMPANIED BY AN EFFECTIVE PROSPECTUS.

MUTUAL FUND SHARES ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED
BY,
ANY DEPOSITORY INSTITUTION. SHARES ARE NOT INSURED BY THE FDIC,
FEDERAL RESERVE BOARD OR ANY OTHER AGENCY, AND ARE SUBJECT TO
INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL AMOUNT
INVESTED.

NEITHER THE FUND NOR FIDELITY DISTRIBUTORS CORPORATION IS A BANK.

FOR MORE INFORMATION ON ANY FIDELITY FUND, INCLUDING CHARGES AND
EXPENSES, CALL 1-800-544-8888 FOR A
FREE PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST OR SEND MONEY.

PRESIDENT'S MESSAGE

(photo_of_Edward_C_Johnson_3d)

DEAR SHAREHOLDER:

In late August, just days after making what many market observers felt
would be the final interest-rate hike of 1999, Federal Reserve Board
Chairman Alan Greenspan re-ignited fears of further increases, calling
the continued rise of stocks "inexplicable." He also indicated that
stock movements would play a larger role in future monetary policy
deliberations. In response, equity and bond markets retreated from
solid gains earned earlier in the month.

While it's impossible to predict the future direction of the markets
with any degree of certainty, there are certain basic principles that
can help investors plan for their future needs.

First, investors are encouraged to take a long-term view of their
portfolios. If you can afford to leave your money invested through the
inevitable up and down cycles of the financial markets, you will
greatly reduce your vulnerability to any single decline. We know from
experience, for example, that stock prices have gone up over longer
periods of time, have significantly outperformed other types of
investments and have stayed ahead of inflation.

Second, you can further manage your investing risk through
diversification. A stock mutual fund, for instance, is already
diversified, because it invests in many different companies. You can
increase your diversification further by investing in a number of
different stock funds, or in such other investment categories as
bonds. If you have a short investment time horizon, you might want to
consider moving some of your investment into a money market fund,
which seeks income and a stable share price by investing in
high-quality, short-term investments. Of course, it's important to
remember that an investment in a money market fund is not insured or
guaranteed by the Federal Deposit Insurance Corporation or any other
government agency. Although money market funds seek to preserve the
value of your investment at $1.00 per share, it is possible to lose
money by investing in these types of funds.

Finally, no matter what your time horizon or portfolio diversity, it
makes good sense to follow a regular investment plan, investing a
certain amount of money in a fund at the same time each month or
quarter and periodically reviewing your overall portfolio. By doing
so, you won't get caught up in the excitement of a rapidly rising
market, nor will you buy all your shares at market highs. While this
strategy - known as dollar cost averaging - won't assure a profit or
protect you from a loss in a declining market, it should help you
lower the average cost of your purchases. Of course, you should
consider your financial ability to continue your purchases through
periods of low price levels before undertaking such a strategy.

If you have questions, please call us at 1-800-544-8888, or visit our
web site at www.fidelity.com. We are available 24 hours a day, seven
days a week to provide you the information you need to make the
investments that are right for you.

Best regards,
Edward C. Johnson 3d

PERFORMANCE: THE BOTTOM LINE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED AUGUST 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY EXPORT AND 43.76% 215.27%
MULTINATIONAL

FIDELITY EXPORT AND 39.45% 205.81%
MULTINATIONAL (INCL. 3.00%
SALES CHARGE)

S&P 500 (registered trademark) 39.82% 219.75%

Growth Funds Average 40.40% n/a

CUMULATIVE TOTAL RETURNS show the fund's performance in percentage
terms over a set period - in this case, one year, or since the fund
started on October 4, 1994. For example, if you had invested $1,000 in
a fund that had a 5% return over the past year, the value of your
investment would be $1,050. You can compare the fund's returns to the
performance of the Standard & Poor's 500 Index - a market
capitalization-weighted index of common stocks. To measure how the
fund's performance stacked up against its peers, you can compare it to
the growth funds average, which reflects the performance of mutual
funds with similar objectives tracked by Lipper Inc. The past one year
average represents a peer group of 1,091 mutual funds. These
benchmarks include reinvested dividends and capital gains, if any, and
exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED AUGUST 31, 1999 PAST 1 YEAR LIFE OF FUND

FIDELITY EXPORT AND 43.76% 26.35%
MULTINATIONAL

FIDELITY EXPORT AND 39.45% 25.57%
MULTINATIONAL (INCL. 3.00%
SALES CHARGE)

S&P 500 39.82% 26.71%

Growth Funds Average 40.40% n/a

AVERAGE ANNUAL TOTAL RETURNS take the fund's cumulative return and
show you what would have happened if the fund had performed at a
constant rate each year. (Note: Lipper calculates average annual total
returns by annualizing each fund's total return, then taking an
arithmetic average. This may produce a different figure than that
obtained by averaging the cumulative total returns and annualizing the
result.)

$10,000 OVER LIFE OF FUND
Export and Multinational S&P 500
00332 SP001
1994/10/04 9700.00 10000.00
1994/10/31 10252.90 10405.06
1994/11/30 9932.80 10026.11
1994/12/31 9942.83 10174.80
1995/01/31 9729.22 10438.63
1995/02/28 10185.58 10845.42
1995/03/31 10418.61 11165.47
1995/04/30 10942.94 11494.29
1995/05/31 11389.59 11953.72
1995/06/30 12583.90 12231.41
1995/07/31 13516.04 12637.00
1995/08/31 13807.33 12668.72
1995/09/30 14302.53 13203.34
1995/10/31 13083.96 13156.20
1995/11/30 13371.84 13733.76
1995/12/31 13146.10 13998.27
1996/01/31 12753.38 14474.77
1996/02/29 13104.76 14608.95
1996/03/31 12846.39 14749.64
1996/04/30 14717.02 14967.05
1996/05/31 15843.54 15353.05
1996/06/30 14799.70 15411.54
1996/07/31 13993.57 14730.66
1996/08/31 15347.46 15041.33
1996/09/30 16887.37 15887.86
1996/10/31 16933.63 16326.04
1996/11/30 18180.93 17560.13
1996/12/31 18226.32 17212.26
1997/01/31 19205.65 18287.68
1997/02/28 18073.98 18431.06
1997/03/31 16898.79 17673.73
1997/04/30 17170.83 18728.85
1997/05/31 19183.88 19869.06
1997/06/30 20533.18 20759.20
1997/07/31 21991.28 22411.01
1997/08/31 21784.53 21155.54
1997/09/30 23808.47 22314.23
1997/10/31 22880.80 21568.93
1997/11/30 22674.22 22567.36
1997/12/31 22544.27 22954.84
1998/01/31 23007.87 23208.72
1998/02/28 24279.46 24882.54
1998/03/31 25431.84 26156.77
1998/04/30 25272.89 26419.91
1998/05/31 24345.69 25965.75
1998/06/30 26054.39 27020.48
1998/07/31 25882.20 26732.71
1998/08/31 21272.68 22867.69
1998/09/30 23100.59 24332.60
1998/10/31 23765.32 26311.81
1998/11/30 25181.25 27906.57
1998/12/31 27596.65 29514.55
1999/01/31 28651.65 30748.85
1999/02/28 27999.21 29793.17
1999/03/31 29859.35 30985.20
1999/04/30 30872.71 32185.25
1999/05/31 29789.94 31425.36
1999/06/30 31497.38 33169.47
1999/07/31 30511.79 32133.92
1999/08/31 30581.19 31974.85
IMATRL PRASUN SHR__CHT 19990831 19990913 085019 R00000000000062

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Fidelity Export and Multinational Fund on October 4, 1994,
when the fund started and the current 3.00% sales charge was paid. As
the chart shows, by August 31, 1999, the value of the investment would
have grown to $30,581 - a 205.81% increase on the initial investment.
For comparison, look at how the Standard & Poor's 500 Index did over
the same period. With dividends and capital gains, if any, reinvested,
the same $10,000 would have grown to $31,975 - a 219.75% increase.

(checkmark)UNDERSTANDING
PERFORMANCE

How a fund did yesterday is
no guarantee of how it will do
tomorrow. The stock market,
for example, has a history of
long-term growth and
short-term volatility. In turn, the
share price and return of a
fund that invests in stocks will
vary. That means if you sell
your shares during a market
downturn, you might lose
money. But if you can ride out
the market's ups and downs,
you may have a gain.

FUND TALK: THE MANAGER'S OVERVIEW

MARKET RECAP
Several factors played feature roles
in the U.S. equity market's
performance over the past 12
months, with Federal Reserve Board
monetary policy, Internet stock
mania and Y2K concerns all taking
the stage at one point or another.
When the curtain eventually fell,
though, it was yet another gainful
period for stocks. For the 12 months
that ended August 31, 1999, the
Dow Jones Industrial Average -
an index of 30 well-known stocks
- - returned a lofty 45.92%. Both
large- and small-cap stocks got
into the act, as the Standard &
Poor's 500 Index - a gauge of
large-company performance -
returned 39.82% and the Russell
2000 Index - a small-company
barometer - returned 28.36%. For
the Dow, it was a period of
milestones as the average broke the
10,000-point plateau in late
March. Just over a month later, the
Dow cracked the 11,000-point
barrier. The period wasn't without
its plot twists, however. The Fed
cut interest rates in the fall -
which sparked a subsequent rally
- - but hiked rates this summer,
which caused the stock-market
engine to cool. Internet stocks also
played an important role during the
period, with many rising to
unprecedented - and potentially
unsustainable - heights. Finally, as
August came to a close, inflation, a
weakening dollar and Y2K
concerns were all popular topics of
discussion.

(photograph of Adam Hetnarski)

An interview with Adam Hetnarski, Portfolio Manager of Fidelity Export
and Multinational Fund

Q. HOW DID THE FUND PERFORM, ADAM?

A. The fund did well. For the 12 months that ended August 31, 1999,
the fund returned 43.76%. This compared favorably to the Standard &
Poor's 500 Index, which returned 39.82% in that time, as well as to
the growth funds average, which returned 40.40% according to Lipper
Inc.

Q. CAN YOU HIGHLIGHT SOME OF THE MAIN FACTORS THAT CONTRIBUTED TO THE
FUND'S PERFORMANCE?

A. Sure. One factor was my decision to emphasize large-cap stocks over
medium- and small-cap stocks. Shareholders may notice, for instance,
more large, multinational companies at the top of the portfolio list,
such as Philip Morris and General Electric. Raising the fund's overall
market cap helped performance as the S&P 100 - a measure of the
largest 100 stocks in the U.S. - returned 48.76%, topping the broader
S&P 500. Another investment strategy that helped performance was my
conservative approach. Certainly, no stock fund can be categorized as
conservative, but my willingness to be patient and not jump on certain
bandwagons - i.e., the Internet - worked out well. I was more willing
to simply get on base rather than hit home runs. Finally, the fund was
aided nicely by good stock picking in certain sectors.

Q. WHAT SECTORS WERE THOSE AND WHICH STOCKS PERFORMED WELL?

A. Several of the fund's energy stocks provided a good boost to
returns. When the price of oil dipped to around $10 per barrel in late
1998, our analysts sensed a good opportunity. From November 1998 to
February 1999, I loaded up on names such as Marine Drilling, ENSCO,
Vastar Resources and Halliburton. When the price eventually rebounded
in the spring, these types of stocks emerged as winners. The fund's
position in utilities company MCI WorldCom and technology firm Ascend
Communications also generated positive results. Also, my decision to
underweight certain bank stocks proved wise, as stocks such as First
Union and Bank of America suffered from rising interest rates. At the
end of the period, the fund still held positions in ENSCO, Vastar
Resources and MCI World Com.

Q. TECHNOLOGY STOCKS HAD A NICE RUN DURING THE PERIOD. WHAT WAS YOUR
STRATEGY HERE?

A. Technology stock performance surprised me. Software-oriented stocks
endured a difficult stretch in the fall of 1998 and I thought hardware
companies would follow suit. As a result, I scaled back on the fund's
holdings in areas such as personal computers and semiconductors. As
1998 came to a close, however, declining PC costs triggered consumer
demand and these types of stocks performed well. On the flip side, the
fund did realize positive gains from technology holdings such as
Microsoft and from smaller positions in Internet names such as eBay
and Yahoo!

Q. WHAT TYPE OF ENVIRONMENT WAS IT FOR EXPORTERS?

A. When we entered the period, exporters were still smarting from
emerging-market concerns. Some of the larger, multinational firms,
though, recognized this concern as an opportunity. Two of the fund's
larger positions - General Electric and Citigroup - both set out to
leverage their business exposure in regions such as Russia and Asia.
Citigroup, for example, experienced strong growth among its
Japanese-based assets as that market slowly recovered.

Q. WHAT OTHER STOCKS PERFORMED WELL? WHICH ONES PROVED DISAPPOINTING?

A. Clear Channel Communications - a large radio station operator - was
a good stock as it benefited from positive trends in advertising. MCI
WorldCom - a steady earnings grower - was the fund's top contributor
during the period. Disappointments included Monsanto, which stumbled
when a key acquisition fell through, and Mirage Resorts. Data
suggested that air traffic into Las Vegas was on the upswing, but the
information turned out to be inaccurate. Mirage also may have
overspent on investments in new casinos in Mississippi and Las Vegas.
The fund no longer owned Monsanto at the end of the period.

Q. WHAT'S YOUR OUTLOOK?

A. I'll be keeping a close eye on trends and data in the technology
area. Due to stretched valuations, opportunities in both technology
and the Internet may be somewhat limited. As I've stated in the past,
I'm going to maintain my flexible approach. I don't want to become too
enamored of one particular group of stocks.

THE VIEWS EXPRESSED IN THIS REPORT REFLECT THOSE OF THE PORTFOLIO
MANAGER ONLY THROUGH THE END OF THE PERIOD OF THE REPORT AS STATED ON
THE COVER AND DO NOT NECESSARILY REPRESENT THE VIEWS OF FIDELITY OR
ANY OTHER PERSON IN THE FIDELITY ORGANIZATION. ANY SUCH VIEWS ARE
SUBJECT TO CHANGE AT ANY TIME BASED UPON MARKET OR OTHER CONDITIONS
AND FIDELITY DISCLAIMS ANY RESPONSIBILITY TO UPDATE SUCH VIEWS. THESE
VIEWS MAY NOT BE RELIED ON AS INVESTMENT ADVICE AND, BECAUSE
INVESTMENT DECISIONS FOR A FIDELITY FUND ARE BASED ON NUMEROUS
FACTORS, MAY NOT BE RELIED ON AS AN INDICATION OF TRADING INTENT ON
BEHALF OF ANY FIDELITY FUND.

(checkmark)FUND FACTS

GOAL: to increase the value of
the fund's shares by investing
mainly in the equity securities
of U.S. companies that are
expected to benefit from
exporting or selling their
goods or services outside the
U.S.

FUND NUMBER: 332

TRADING SYMBOL: FEXPX

START DATE: October 4, 1994

SIZE: as of August 31, 1999,
more than $413 million

MANAGER: Adam Hetnarski,
since 1998; manager, Fidelity
Select Technology Portfolio,
1996-1998; analyst,
networking, electronics,
CAD/CAM and other
technology-related industries,
1994-1998; joined Fidelity
in 1991

ADAM HETNARSKI ON
GOLD STOCKS AND A
POTENTIAL ADVERTISING BOON:

"I've recently added a small
position in gold stocks to the
portfolio, based mostly on my
belief that inflation may be on the
rise soon. Everywhere I go lately, it
seems that prices are through the
roof, whether when buying a car or
home, going on vacation, or many
other areas. It seems obvious to
me that prices are up across the
board. Gold prices are typically
pegged to inflation, so if inflation
goes up, gold stocks should prosper.

"Another trend could emerge with
respect to advertising. Several
drivers - including increased
spending from Internet and
pharmaceutical companies - could
spark an increase in prices. In
addition, the new millennium
could serve as an attractive
promotional tie-in for
consumer-related industries such as
hotels, restaurants and travel.
Companies in different sectors -
such as Omnicom, a large
advertising company, and Clear
Channel Communications, which is
involved in radio stations and
billboards - could stand to
benefit."

INVESTMENT CHANGES

<TABLE>
<CAPTION>
<S> <C> <C>
TOP TEN STOCKS AS OF AUGUST
31, 1999

% OF FUND'S NET ASSETS % OF FUND'S NET ASSETS IN
THESE STOCKS 6 MONTHS AGO

Microsoft Corp. 5.0 2.7

Fannie Mae 3.8 2.8

Philip Morris Companies, Inc. 3.6 2.0

Schering-Plough Corp. 3.4 1.0

General Electric Co. 3.2 4.7

Cardinal Health, Inc. 2.8 0.0

Lilly (Eli) & Co. 2.4 3.2

Omnicom Group, Inc. 2.1 1.9

Time Warner, Inc. 1.9 5.9

Viacom, Inc. Class A 1.9 0.0

TOP FIVE MARKET SECTORS AS OF
AUGUST 31, 1999

% OF FUND'S NET ASSETS % OF FUND'S NET ASSETS IN
THESE MARKET SECTORS 6
MONTHS AGO

TECHNOLOGY 20.6 12.8

FINANCE 10.2 13.7

HEALTH 10.0 17.4

MEDIA & LEISURE 9.4 7.3

NONDURABLES 7.1 5.3

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
ASSET ALLOCATION (% OF FUND'S
NET ASSETS)

AS OF AUGUST 31, 1999 * AS OF FEBRUARY 28, 1999 **

Stocks 92.2% Stocks 95.5%

Short-term Investments and Short-term Investments and
Net Other Assets 7.8% Net Other Assets 4.5%

* FOREIGN INVESTMENTS 2.7% ** FOREIGN INVESTMENTS 5.3%

Row: 1, Col: 1, Value: 92.2 Row: 1, Col: 1, Value: 95.5
Row: 1, Col: 2, Value: 0.0 Row: 1, Col: 2, Value: 0.0
Row: 1, Col: 3, Value: 0.0 Row: 1, Col: 3, Value: 0.0
Row: 1, Col: 4, Value: 0.0 Row: 1, Col: 4, Value: 0.0
Row: 1, Col: 5, Value: 0.0 Row: 1, Col: 5, Value: 0.0
Row: 1, Col: 6, Value: 0.0 Row: 1, Col: 6, Value: 0.0
Row: 1, Col: 7, Value: 0.0 Row: 1, Col: 7, Value: 0.0
Row: 1, Col: 8, Value: 7.8 Row: 1, Col: 8, Value: 4.5

</TABLE>

PRIOR TO THIS REPORT, CERTAIN INFORMATION RELATED TO PORTFOLIO
HOLDINGS WAS STATED AS A PERCENTAGE OF THE FUND'S INVESTMENTS.

INVESTMENTS AUGUST 31, 1999

Showing Percentage of Net Assets

COMMON STOCKS - 92.2%

SHARES VALUE (NOTE 1)

AEROSPACE & DEFENSE - 2.9%

AEROSPACE & DEFENSE - 0.5%

Boeing Co. 43,000 $ 1,948,438

SHIP BUILDING & REPAIR - 2.4%

General Dynamics Corp. 102,900 6,482,700

Newport News Shipbuilding, 108,500 3,410,969
Inc.

9,893,669

TOTAL AEROSPACE & DEFENSE 11,842,107

BASIC INDUSTRIES - 3.4%

CHEMICALS & PLASTICS - 0.6%

Arch Chemicals, Inc. 124,700 2,455,031

IRON & STEEL - 2.0%

Bethlehem Steel Corp. (a) 176,500 1,356,844

Nucor Corp. 103,600 4,823,875

USX-U.S. Steel Group 70,000 1,890,000

8,070,719

METALS & MINING - 0.6%

Martin Marietta Materials, 56,000 2,555,000
Inc.

PAPER & FOREST PRODUCTS - 0.2%

Smurfit-Stone Container Corp. 47,700 1,010,644
(a)

TOTAL BASIC INDUSTRIES 14,091,394

CONSTRUCTION & REAL ESTATE -
1.2%

BUILDING MATERIALS - 1.2%

Florida Rock Industries, Inc. 125,200 5,000,175

DURABLES - 0.5%

AUTOS, TIRES, & ACCESSORIES -
0.5%

PACCAR, Inc. 39,600 2,182,950

ENERGY - 5.6%

ENERGY SERVICES - 0.8%

ENSCO International, Inc. 150,000 3,196,875

OIL & GAS - 4.8%

Anadarko Petroleum Corp. 70,100 2,383,400

Tosco Corp. 35,300 900,150

Ultramar Diamond Shamrock 81,000 2,116,125
Corp.

USX-Marathon Group 210,000 6,536,250

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

ENERGY - CONTINUED

OIL & GAS - CONTINUED

Vastar Resources, Inc. 85,000 $ 5,663,125

Weatherford International, 69,400 2,472,375
Inc. (a)

20,071,425

TOTAL ENERGY 23,268,300

FINANCE - 10.2%

BANKS - 0.7%

Bank of New York Co., Inc. 75,000 2,681,250

CREDIT & OTHER FINANCE - 1.2%

Citigroup, Inc. 115,000 5,110,313

FEDERAL SPONSORED CREDIT - 5.7%

Fannie Mae 255,800 15,891,575

Freddie Mac 150,000 7,725,000

23,616,575

INSURANCE - 1.1%

CIGNA Corp. 52,300 4,697,194

SECURITIES INDUSTRY - 1.5%

Affiliated Managers Group, 100,000 2,668,750
Inc. (a)

Nomura Securities Co. Ltd. 175,000 2,564,015

Schwab (Charles) Corp. 20,000 790,000

6,022,765

TOTAL FINANCE 42,128,097

HEALTH - 10.0%

DRUGS & PHARMACEUTICALS - 6.5%

Lilly (Eli) & Co. 134,400 10,029,600

Merck & Co., Inc. 45,000 3,023,438

Schering-Plough Corp. 265,100 13,934,319

26,987,357

MEDICAL EQUIPMENT & SUPPLIES
- - 3.5%

Abbott Laboratories 46,200 2,003,925

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

HEALTH - CONTINUED

MEDICAL EQUIPMENT & SUPPLIES
- - CONTINUED

Cardinal Health, Inc. 182,800 $ 11,653,500

United Drug PLC 105,000 699,569

14,356,994

TOTAL HEALTH 41,344,351

INDUSTRIAL MACHINERY &
EQUIPMENT - 5.5%

ELECTRICAL EQUIPMENT - 3.2%

General Electric Co. 117,000 13,140,563

INDUSTRIAL MACHINERY &
EQUIPMENT - 2.1%

Case Corp. 58,900 2,908,188

Caterpillar, Inc. 46,900 2,655,713

Manitowoc Co., Inc. 80,000 2,965,000

8,528,901

POLLUTION CONTROL - 0.2%

Waste Management, Inc. 40,000 872,500

TOTAL INDUSTRIAL MACHINERY & 22,541,964
EQUIPMENT

MEDIA & LEISURE - 9.4%

BROADCASTING - 5.5%

AMFM, Inc. (a) 50,000 2,462,500

CBS Corp. (a) 50,000 2,350,000

Clear Channel Communications, 75,000 5,254,688
Inc. (a)

Sinclair Broadcast Group, 155,000 2,518,750
Inc. Class A (a)

Time Warner, Inc. 136,300 8,084,294

Univision Communications, 30,000 2,212,500
Inc. Class A (a)

22,882,732

ENTERTAINMENT - 1.9%

Viacom, Inc. Class A (a) 185,000 7,827,813

LODGING & GAMING - 1.1%

Mirage Resorts, Inc. (a) 193,100 2,522,369

Promus Hotel Corp. (a) 63,800 1,854,188

4,376,557

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

MEDIA & LEISURE - CONTINUED

RESTAURANTS - 0.9%

Outback Steakhouse, Inc. (a) 50,000 $ 1,481,250

Tricon Global Restaurants, 60,000 2,437,500
Inc. (a)

3,918,750

TOTAL MEDIA & LEISURE 39,005,852

NONDURABLES - 7.1%

BEVERAGES - 2.1%

Anheuser-Busch Companies, 89,100 6,860,700
Inc.

Canandaigua Wine, Inc. Class 25,000 1,446,875
A (a)

Celestial Seasonings, Inc. (a) 28,100 558,488

8,866,063

FOODS - 0.3%

Ben & Jerry's Homemade, Inc. 25,700 501,150
Class A (a)

Nabisco Group Holdings Corp. 33,800 599,950

1,101,100

HOUSEHOLD PRODUCTS - 1.1%

Clorox Co. 40,300 1,823,575

Procter & Gamble Co. 30,000 2,977,500

4,801,075

TOBACCO - 3.6%

Philip Morris Companies, Inc. 395,000 14,787,813

TOTAL NONDURABLES 29,556,051

PRECIOUS METALS - 3.3%

Barrick Gold Corp. 86,300 1,665,286

Homestake Mining Co. 372,500 3,166,250

Newmont Mining Corp. 165,000 3,372,188

Placer Dome, Inc. 542,585 5,634,886

13,838,610

RETAIL & WHOLESALE - 3.7%

APPAREL STORES - 2.2%

Abercrombie & Fitch Co. Class 130,000 4,533,750
A (a)

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

RETAIL & WHOLESALE - CONTINUED

APPAREL STORES - CONTINUED

AnnTaylor Stores Corp. (a) 60,000 $ 1,987,500

Limited, Inc. (The) 69,000 2,613,375

9,134,625

DRUG STORES - 0.7%

CVS Corp. 66,900 2,788,894

GENERAL MERCHANDISE STORES -
0.8%

Wal-Mart Stores, Inc. 80,000 3,545,000

TOTAL RETAIL & WHOLESALE 15,468,519

SERVICES - 3.6%

ADVERTISING - 3.3%

Omnicom Group, Inc. 115,000 8,668,125

Outdoor Systems, Inc. (a) 150,800 4,872,725

13,540,850

SERVICES - 0.3%

CheckFree Holdings Corp. (a) 40,000 1,170,000

TOTAL SERVICES 14,710,850

TECHNOLOGY - 20.6%

COMMUNICATIONS EQUIPMENT - 1.3%

Advanced Fibre 270,000 4,404,375
Communications, Inc. (a)

Nokia AB sponsored ADR 13,000 1,083,875

5,488,250

COMPUTER SERVICES & SOFTWARE
- - 13.0%

Amazon.com, Inc. (a) 35,000 4,353,125

Aspect Development, Inc. (a) 109,300 1,714,644

At Home Corp. Series A (a) 67,700 2,716,463

Cadence Design Systems, Inc. 60,000 817,500
(a)

eBay, Inc. 25,000 3,139,063

i2 Technologies, Inc. (a) 92,000 2,921,000

Liberate Technologies 50,300 1,326,663

Lycos, Inc. (a) 30,000 1,218,750

Microsoft Corp. (a) 223,000 20,641,427

Netegrity, Inc. (a) 50,000 1,112,500

Networks Associates, Inc. (a) 125,000 2,109,375

Novell, Inc. (a) 131,200 3,107,800

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

TECHNOLOGY - CONTINUED

COMPUTER SERVICES & SOFTWARE
- - CONTINUED

Phone.com, Inc. 5,000 $ 590,625

RealNetworks, Inc. (a) 35,000 2,861,250

Tumbleweed Communications 300 5,775
Corp. (a)

Vignette Corp. (a) 25,000 1,695,313

Visual Networks, Inc. (a) 49,100 2,037,650

Yahoo!, Inc. (a) 10,000 1,475,000

53,843,923

COMPUTERS & OFFICE EQUIPMENT
- - 4.5%

Comverse Technology, Inc. (a) 14,500 1,131,000

HMT Technology Corp. (a) 260,000 942,500

Ingram Micro, Inc. Class A (a) 185,200 4,676,300

Lexmark International Group, 84,700 6,670,125
Inc. Class A (a)

Network Appliance, Inc. (a) 45,000 2,955,938

Seagate Technology, Inc. (a) 60,000 1,991,250

18,367,113

ELECTRONICS - 1.8%

Intel Corp. 70,000 5,753,125

JDS Uniphase Corp. (a) 15,000 1,590,938

7,344,063

TOTAL TECHNOLOGY 85,043,349

TRANSPORTATION - 0.2%

TRUCKING & FREIGHT - 0.2%

USFreightways Corp. 15,000 727,500

UTILITIES - 5.0%

ELECTRIC UTILITY - 4.1%

Calpine Corp. (a) 82,800 7,503,750

CILCORP, Inc. 63,700 4,104,669

CMS Energy Corp. 32,300 1,277,869

PG&E Corp. 132,300 4,010,344

16,896,632

GAS - 0.2%

K N Energy, Inc. 44,700 910,763

COMMON STOCKS - CONTINUED

SHARES VALUE (NOTE 1)

UTILITIES - CONTINUED

TELEPHONE SERVICES - 0.7%

Frontier Corp. 30,000 $ 1,258,125

MCI WorldCom, Inc. (a) 21,903 1,659,152

2,917,277

TOTAL UTILITIES 20,724,672

TOTAL COMMON STOCKS 381,474,741
(Cost $345,789,705)

CASH EQUIVALENTS - 8.2%

Central Cash Collateral Fund 2,616,478 2,616,478
5.26% (b)

Taxable Central Cash Fund 31,374,837 31,374,837
5.20% (b)

TOTAL CASH EQUIVALENTS 33,991,315
(Cost $33,991,315)

TOTAL INVESTMENT PORTFOLIO - 415,466,056
100.4%
(Cost $379,781,020)

NET OTHER ASSETS - (0.4%) (1,634,356)

NET ASSETS - 100% $ 413,831,700

LEGEND

(a) Non-income producing

(b) The rate quoted is the annualized seven-day yield of the fund at
period end.

INCOME TAX INFORMATION

At August 31, 1999, the aggregate cost of investment securities for
income tax purposes was $381,676,648. Net unrealized appreciation
aggregated $33,789,408, of which $48,727,301 related to appreciated
investment securities and $14,937,893 related to depreciated
investment securities.

The fund hereby designates approximately $6,963,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
AUGUST 31, 1999

ASSETS

Investment in securities, at $ 415,466,056
value (cost $379,781,020) -
See accompanying schedule

Receivable for investments 3,064,271
sold

Receivable for fund shares 212,440
sold

Dividends receivable 282,633

Interest receivable 111,015

Redemption fees receivable 11

Other receivables 274,047

TOTAL ASSETS 419,410,473

LIABILITIES

Payable for investments $ 2,146,683
purchased

Payable for fund shares 509,608
redeemed

Accrued management fee 200,122

Other payables and accrued 105,882
expenses

Collateral on securities 2,616,478
loaned, at value

TOTAL LIABILITIES 5,578,773

NET ASSETS $ 413,831,700

Net Assets consist of:

Paid in capital $ 282,341,106

Undistributed net investment 919,841
income

Accumulated undistributed net 94,885,956
realized gain (loss) on
investments and foreign
currency transactions

Net unrealized appreciation 35,684,797
(depreciation) on
investments and assets and
liabilities in foreign
currencies

NET ASSETS, for 18,784,544 $ 413,831,700
shares outstanding

NET ASSET VALUE and $22.03
redemption price per share
($413,831,700 (divided by)
18,784,544 shares)

Maximum offering price per $22.71
share (100/97.00 of $22.03)

STATEMENT OF OPERATIONS
YEAR ENDED AUGUST 31, 1999

INVESTMENT INCOME $ 3,254,157
Dividends

Interest 1,121,809

Security lending 15,221

TOTAL INCOME 4,391,187

EXPENSES

Management fee $ 2,366,942

Transfer agent fees 987,467

Accounting and security 203,216
lending fees

Non-interested trustees' 1,189
compensation

Custodian fees and expenses 28,018

Registration fees 31,950

Audit 35,258

Legal 27,699

Miscellaneous 1,400

Total expenses before 3,683,139
reductions

Expense reductions (208,135) 3,475,004

NET INVESTMENT INCOME 916,183

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities 96,335,259

Foreign currency transactions 3,658 96,338,917

Change in net unrealized
appreciation (depreciation)
on:

Investment securities 44,496,488

Assets and liabilities in (177) 44,496,311
foreign currencies

NET GAIN (LOSS) 140,835,228

NET INCREASE (DECREASE) IN $ 141,751,411
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

YEAR ENDED AUGUST 31, 1999 YEAR ENDED AUGUST 31, 1998

INCREASE (DECREASE) IN NET
ASSETS

Operations Net investment $ 916,183 $ (1,172,319)
income (loss)

Net realized gain (loss) 96,338,917 60,698,581

Change in net unrealized 44,496,311 (62,358,392)
appreciation (depreciation)

NET INCREASE (DECREASE) IN 141,751,411 (2,832,130)
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (16,806,980) (91,163,265)
from net realized gains

Share transactions Net 45,652,581 131,254,192
proceeds from sales of shares

Reinvestment of distributions 16,386,066 89,917,943

Cost of shares redeemed (130,872,505) (222,316,436)

NET INCREASE (DECREASE) IN (68,833,858) (1,144,301)
NET ASSETS RESULTING FROM
SHARE TRANSACTIONS

Redemption fees 38,219 186,612

TOTAL INCREASE (DECREASE) 56,148,792 (94,953,084)
IN NET ASSETS

NET ASSETS

Beginning of period 357,682,908 452,635,992

End of period (including $ 413,831,700 $ 357,682,908
undistributed net investment
income of $919,841 and $0,
respectively)

OTHER INFORMATION
Shares

Sold 2,221,870 6,800,437

Issued in reinvestment of 1,021,577 4,924,895
distributions

Redeemed (6,731,341) (12,058,840)

Net increase (decrease) (3,487,894) (333,508)

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS

YEARS ENDED AUGUST 31, 1999 1998 1997 1996 1995 E

SELECTED PER-SHARE DATA

Net asset value, beginning $ 16.06 $ 20.02 $ 14.85 $ 14.22 $ 10.00
of period

Income from Investment
Operations

Net investment income (loss) D .05 (.05) (.02) (.05) (.03)

Net realized and unrealized 6.69 (.13) 6.05 1.52 4.26
gain (loss)

Total from investment 6.74 (.18) 6.03 1.47 4.23
operations

Less Distributions

From net realized gain (.77) (3.79) (.86) (.84) (.01)

Redemption fees added to - .01 - - -
paid in capital

Net asset value, end of period $ 22.03 $ 16.06 $ 20.02 $ 14.85 $ 14.22

TOTAL RETURN B, C 43.76% (2.35)% 41.94% 11.15% 42.34%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 413,832 $ 357,683 $ 452,636 $ 267,059 $ 503,427
(000 omitted)

Ratio of expenses to average .91% .93% .98% 1.03% 1.22% A
net assets

Ratio of expenses to average .86% F .88% F .91% F 1.00% F 1.22% A
net assets after expense
reductions

Ratio of net investment .23% (.25)% (.13)% (.39)% (.27)% A
income (loss) to average net
assets

Portfolio turnover rate 265% 281% 429% 313% 245% A

</TABLE>

A ANNUALIZED
B THE TOTAL RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT
BEEN REDUCED DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT INCLUDE THE ONE TIME SALES CHARGE AND FOR
PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
D NET INVESTMENT INCOME (LOSS) PER SHARE HAS BEEN CALCULATED BASED ON
AVERAGE SHARES OUTSTANDING DURING THE PERIOD.
E FOR THE PERIOD OCTOBER 4, 1994 (COMMENCEMENT OF SALE OF SHARES) TO
AUGUST 31, 1995.
F FMR OR THE FUND HAS ENTERED INTO VARYING ARRANGEMENTS WITH THIRD
PARTIES WHO EITHER PAID OR REDUCED A PORTION OF THE FUND'S EXPENSES.

NOTES TO FINANCIAL STATEMENTS
For the period ended August 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Fidelity Export and Multinational Fund (the fund) is a fund of
Fidelity Union Street Trust (the trust) and is authorized to issue an
unlimited number of shares. The trust is registered under the
Investment Company Act of 1940, as amended, as an open-end management
investment company organized as a Massachusetts business trust. The
financial statements have been prepared in conformity with generally
accepted accounting principles which require management to make
certain estimates and assumptions at the date of the financial
statements. The following summarizes the significant accounting
policies of the fund:

SECURITY VALUATION. Securities for which exchange quotations are
readily available are valued at the last sale price, or if no sale
price, at the closing bid price. Securities for which exchange
quotations are not readily available (and in certain cases debt
securities which trade on an exchange) are valued primarily using
dealer-supplied valuations or at their fair value as determined in
good faith under consistently applied procedures under the general
supervision of the Board of Trustees. Short-term securities with
remaining maturities of sixty days or less for which quotations are
not readily available are valued at amortized cost or original cost
plus accrued interest, both of which approximate current value.

FOREIGN CURRENCY TRANSLATION. The accounting records of the fund are
maintained in U.S. dollars. Investment securities and other assets and
liabilities denominated in a foreign currency are translated into U.S.
dollars at the prevailing rates of exchange at period end. Purchases
and sales of securities, income receipts and expense payments are
translated into U.S. dollars at the prevailing exchange rate on the
respective dates of the transactions.

Net realized gains and losses on foreign currency transactions
represent net gains and losses from sales and maturities of foreign
currency contracts, disposition of foreign currencies, the difference
between the amount of net investment income accrued and the U.S.
dollar amount actually received, and gains and losses between trade
and settlement date on purchases and sales of securities. The effects
of changes in foreign currency exchange rates on investments in
securities are included with the net realized and unrealized gain or
loss on investment securities.

INCOME TAXES. As a qualified regulated investment company under
Subchapter M of the Internal Revenue Code, the fund is not subject to
income taxes to the extent that it distributes substantially all of
its taxable income for its fiscal year. The schedule of investments
includes information regarding income taxes under the caption "Income
Tax Information."

INVESTMENT INCOME. Dividend income is recorded on the ex-dividend
date, except certain dividends from foreign securities where the
ex-dividend date may have passed, are recorded as soon as the fund is
informed of the ex-dividend date. Non-cash dividends included in
dividend income, if any, are recorded at the fair market value of the
securities received. Interest income is accrued as earned. Investment
income is recorded net of foreign taxes withheld where recovery of
such taxes is uncertain.

1. SIGNIFICANT ACCOUNTING POLICIES - CONTINUED

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are recorded on the
ex-dividend date.

Income and capital gain distributions are determined in accordance
with income tax regulations which may differ from generally accepted
accounting principles. These differences, which may result in
distribution reclassifications, are primarily due to differing
treatments for litigation proceeds, foreign currency transactions, and
losses deferred due to wash sales. The fund also utilized earnings and
profits distributed to shareholders on redemption of shares as a part
of the dividends paid deduction for income tax purposes.

Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital.
Undistributed net investment income and accumulated undistributed net
realized gain (loss) on investments and foreign currency transactions
may include temporary book and tax basis differences which will
reverse in a subsequent period. Any taxable income or gain remaining
at fiscal year end is distributed in the following year.

SHORT-TERM TRADING (REDEMPTION) FEES. Shares held in the fund less
than 90 days are subject to a short-term trading fee equal to .75% of
the proceeds of the redeemed shares. The fee, which is retained by the
fund, is accounted for as an addition to paid in capital.

SECURITY TRANSACTIONS. Security transactions are accounted for as of
trade date. Gains and losses on securities sold are determined on the
basis of identified cost.

2. OPERATING POLICIES.

FOREIGN CURRENCY CONTRACTS. The fund generally uses foreign currency
contracts to facilitate transactions in foreign-denominated
securities. Losses may arise from changes in the value of the foreign
currency or if the counterparties do not perform under the contracts'
terms. The U.S. dollar value of foreign currency contracts is
determined using contractual currency exchange rates established at
the time of each trade.

JOINT TRADING ACCOUNT. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission (the SEC), the fund, along with
other affiliated entities of Fidelity Management & Research Company
(FMR), may transfer uninvested cash balances into one or more joint
trading accounts. These balances are invested in one or more
repurchase agreements for U.S. Treasury or Federal Agency obligations.

REPURCHASE AGREEMENTS. The underlying U.S. Treasury or Federal Agency
securities are transferred to an account of the fund, or to the Joint
Trading Account, at a bank custodian. The securities are
marked-to-market daily and maintained at a value at least equal to the
principal amount of the repurchase agreement (including accrued
interest). FMR, the fund's investment adviser,

2. OPERATING POLICIES - CONTINUED

REPURCHASE AGREEMENTS - CONTINUED

is responsible for determining that the value of the underlying
securities remains in accordance with the market value requirements
stated above.

CENTRAL CASH FUND. Pursuant to an Exemptive Order issued by the SEC,
the fund may invest in the Taxable Central Cash Fund and the Central
Cash Collateral Fund(the Cash Funds) managed by Fidelity Investments
Money Management, Inc. (FIMM), an affiliate of FMR. The Cash Funds are
open-end money market funds available only to investment companies and
other accounts managed by FMR and its affiliates. The Cash Funds seek
preservation of capital, liquidity, and current income. Income
distributions from the Cash Funds are declared daily and paid monthly
from net interest income. Income distributions earned by the fund are
recorded as interest income in the accompanying financial statements.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $1,015,019,182 and $1,119,568,320, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

MANAGEMENT FEE. As the fund's investment adviser, FMR receives a
monthly fee that is calculated on the basis of a group fee rate plus a
fixed individual fund fee rate applied to the average net assets of
the fund. The group fee rate is the weighted average of a series of
rates and is based on the monthly average net assets of all the mutual
funds advised by FMR. The rates ranged from .2500% to .5200% for the
period. The annual individual fund fee rate is .30%. In the event that
these rates were lower than the contractual rates in effect during the
period, FMR voluntarily implemented the above rates, as they resulted
in the same or a lower management fee. For the period, the management
fee was equivalent to an annual rate of .58% of average net assets.

SALES LOAD. For the period, Fidelity Distributors Corporation (FDC),
an affiliate of FMR and the general distributor of the fund, received
sales charges of $100,692 on sales of shares of the fund of which
$100,089 was retained.

TRANSFER AGENT FEES. Fidelity Service Company, Inc. (FSC), an
affiliate of FMR, is the fund's transfer, dividend disbursing and
shareholder servicing agent. FSC receives account fees and asset-based
fees that vary according to account size and type of account. FSC pays
for typesetting, printing and mailing of all shareholder reports,
except proxy statements. For the period, the transfer agent fees were
equivalent to an annual rate of .24% of average net assets.

ACCOUNTING AND SECURITY LENDING FEES. FSC maintains the fund's
accounting records and administers the security lending program. The
security lending fee is based on the number and duration of lending
transactions. The accounting fee is based on the level of average net
assets for the month plus out-of-pocket expenses.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES - CONTINUED

BROKERAGE COMMISSIONS. The fund placed a portion of its portfolio
transactions with brokerage firms which are affiliates of FMR. The
commissions paid to these affiliated firms were $164,828 for the
period.

5. SECURITY LENDING.

The fund lends portfolio securities from time to time in order to earn
additional income. The fund receives collateral in the form of U.S.
Treasury obligations, letters of credit, and/or cash against the
loaned securities, and maintains collateral in an amount not less than
100% of the market value of the loaned securities during the period of
the loan. The market value of the loaned securities is determined at
the close of business of the fund and any additional required
collateral is delivered to the fund on the next business day. If the
borrower defaults on its obligation to return the securities loaned
because of insolvency or other reasons, the fund could experience
delays and costs in recovering the securities loaned or in gaining
access to the collateral. At period end, the value of the securities
loaned amounted to $2,715,113. The fund received cash collateral of
$2,616,478 which was invested in Central Cash Collateral Fund.

6. EXPENSE REDUCTIONS.

FMR has directed certain portfolio trades to brokers who paid a
portion of the fund's expenses. For the period, the fund's expenses
were reduced by $195,740 under this arrangement.

In addition, the fund has entered into arrangements with its custodian
and transfer agent whereby credits realized as a result of uninvested
cash balances were used to reduce a portion of the fund's expenses.
During the period, the fund's custodian and transfer agent fees were
reduced by $2,483 and $9,912, respectively, under these arrangements.

REPORT OF INDEPENDENT ACCOUNTANTS

To the Trustees of Fidelity Union Street Trust and the Shareholders of
Fidelity Export and Multinational Fund:

In our opinion, the accompanying statement of assets and liabilities,
including the schedule of investments, and the related statements of
operations and of changes in net assets and the financial highlights
present fairly, in all material respects, the financial position of
Fidelity Export and Multinational Fund (a fund of Fidelity Union
Street Trust) at August 31, 1999, and the results of its operations,
the changes in its net assets and the financial highlights for the
periods indicated, in conformity with generally accepted accounting
principles. These financial statements and financial highlights
(hereafter referred to as "financial statements") are the
responsibility of the Fidelity Export and Multinational Fund's
management; our responsibility is to express an opinion on these
financial statements based on our audits. We conducted our audits of
these financial statements in accordance with generally accepted
auditing standards which require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are
free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the
financial statements, assessing the accounting principles used and
significant estimates made by management, and evaluating the overall
financial statement presentation. We believe that our audits, which
included confirmation of securities at August 31, 1999 by
correspondence with the custodian and brokers, provide a reasonable
basis for the opinion expressed above.

/s/PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP

Boston, Massachusetts
October 6, 1999

DISTRIBUTIONS

The Board of Trustees of Fidelity Export and Multinational Fund voted
to pay on October 4, 1999, to shareholders of record at the opening of
business on October 1, 1999, a distribution of $4.80 per share derived
from capital gains realized from sales of portfolio securities and a
dividend of $.05 per share from net investment income.

A total of 15% of the dividends distributed during the fiscal year
qualifies for the dividends-received deduction for corporate
shareholders.

The fund hereby designates 100% of the long-term capital gain
dividends distributed during the fiscal year as 20%-rate capital gain
dividends.

The fund will notify shareholders in January 2000 of amounts for use
in preparing 1999 income tax returns.

OF SPECIAL NOTE

INTRODUCING FIDELITY'S NEW, REORGANIZED PROSPECTUS

Recently, the SEC issued new disclosure requirements for all mutual
fund prospectuses. While Fidelity could have complied by simply
following the new requirements, we saw a different opportunity. We saw
the chance to create a brand new prospectus: one that is better
organized, easier to use and more informative than ever.

The new format of the Fidelity mutual fund prospectus puts the
information you need to make informed investment decisions right at
your fingertips. In the opening pages, you will find the SEC-mandated
summary that highlights the fund's investment objectives, strategies
and risks. There's also an easy-to-read performance chart and fee
table right up front.

Inside, you will find additional features we've introduced to make the
fund prospectus a more useful tool. In our new Shareholder Information
section, for example, we have provided practical, beneficial
information - from how to buy or sell shares, key contact information,
investment services, ways to set up your account and more - all in one
convenient location.

We invite you to spend a moment and review our new prospectus. It is
designed to help make your investment decision easier, no matter which
of the Fidelity funds you invest in.

MANAGING YOUR INVESTMENTS

Fidelity offers several ways to conveniently manage your personal
investments via your telephone or PC. You can access your account
information, conduct trades and research your investments 24 hours a
day.

BY PHONE

Fidelity Automated Service Telephone provides a single toll-free
number to access account balances, positions, quotes and trading. It's
easy to navigate the service, and on your first call, the system will
help you create a personal identification number (PIN) for security.

(PHONE_GRAPHIC)FIDELITY AUTOMATED
SERVICE TELEPHONE (FASTSM)
1-800-544-5555

PRESS

1 For mutual fund and brokerage trading.

2 For quotes.*

3 For account balances and holdings.

4 To review orders and mutual
fund activity.

5 To change your PIN.

*0 To speak to a Fidelity representative.

BY PC

Fidelity's Web site on the Internet provides a wide range of
information, including daily financial news, fund performance,
interactive planning tools and news about Fidelity products and
services.

(COMPUTER_GRAPHIC)FIDELITY'S WEB SITE
WWW.FIDELITY.COM

If you are not currently on the Internet, call EarthLink Sprint at
1-800-288-2967, and be sure to ask for registration number SMD004 to
receive a special Fidelity package that includes 30 days of free
Internet access. EarthLink is North America's #1 independent Internet
access provider.

(COMPUTER_GRAPHIC)
FIDELITY ON-LINE XPRESS+(registered trademark)

Fidelity On-line Xpress+ software for Windows combines comprehensive
portfolio management capabilities, securities trading and access to
research and analysis tools . . . all on your desktop. Call Fidelity
at 1-800-544-7272 or visit our Web site for more information on how to
manage your investments via your PC.

* WHEN YOU CALL THE QUOTES LINE, PLEASE REMEMBER THAT A FUND'S YIELD
AND RETURN WILL VARY AND,
EXCEPT FOR MONEY MARKET FUNDS, SHARE PRICE WILL ALSO VARY. THIS MEANS
THAT YOU MAY HAVE A
GAIN OR LOSS WHEN YOU SELL YOUR SHARES. THERE IS NO ASSURANCE THAT
MONEY MARKET FUNDS WILL BE
ABLE TO MAINTAIN A STABLE $1 SHARE PRICE; AN INVESTMENT IN A MONEY
MARKET FUND IS NOT INSURED
OR GUARANTEED BY THE U.S. GOVERNMENT. TOTAL RETURNS ARE HISTORICAL AND
INCLUDE CHANGES IN SHARE
PRICE, REINVESTMENT OF DIVIDENDS AND CAPITAL GAINS, AND THE EFFECTS OF
ANY SALES CHARGES.

TO WRITE FIDELITY

If more than one address is listed, please locate the address that is
closest to you. We'll give your correspondence immediate attention and
send you written confirmation upon completion of your request.

(LETTER_GRAPHIC)MAKING CHANGES
TO YOUR ACCOUNT
(such as changing name, address, bank, etc.)

Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0002

(LETTER_GRAPHIC)FOR NON-RETIREMENT
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OFFICERS

Edward C. Johnson 3d, President
Robert C. Pozen, Senior Vice President
Eric D. Roiter, Secretary
Richard A. Silver, Treasurer
Bart A. Grenier, Vice President
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BOARD OF TRUSTEES

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Robert M. Gates *
Edward C. Johnson 3d
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Peter S. Lynch
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Abigail P. Johnson

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* INDEPENDENT TRUSTEES

EXF-ANN-1099 85813
1.462213.102

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SPARTAN(REGISTERED TRADEMARK)
ARIZONA
MUNICIPAL
FUNDS

ANNUAL REPORT
AUGUST 31, 1999

(2_FIDELITY_LOGOS)(registered trademark)

CONTENTS

PRESIDENT'S MESSAGE 3 Ned Johnson on investing
strategies.

SPARTAN ARIZONA MUNICIPAL
INCOME FUND

PERFORMANCE 4 How the fund has done over
time.

FUND TALK 7 The manager's review of fund
performance, strategy and
outlook.

INVESTMENT CHANGES 10 A summary of major shifts in
the fund's investments over
the past six months.

INVESTMENTS 11 A complete list of the fund's
investments with their
market values.

FINANCIAL STATEMENTS 16 Statements of assets and
liabilities, operations, and
changes in net assets, as
well as financial highlights.

SPARTAN ARIZONA MUNICIPAL
MONEY MARKET FUND

PERFORMANCE 20 How the fund has done over
time.

FUND TALK 22 The manager's review of fund
performance, strategy and
outlook.

INVESTMENT CHANGES 24 A summary of major shifts in
the fund's investments over
the past six months and one
year.

INVESTMENTS 25 A complete list of the fund's
investments.

FINANCIAL STATEMENTS 28 Statements of assets and
liabilities, operations, and
changes in net assets, as
well as financial highlights.

NOTES 32 Notes to the financial
statements.

REPORT OF INDEPENDENT 36 The auditors' opinion.
ACCOUNTANTS

DISTRIBUTIONS 37

OF SPECIAL NOTE 38

Standard & Poor's, S&P and S&P 500 are registered service marks of The
McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity
Distributors Corporation.

Other third party marks appearing herein are the property of their
respective owners.

All other marks appearing herein are registered or unregistered
trademarks or service marks of FMR Corp. or an affiliated company.

This report is printed on recycled paper using soy-based inks.

THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE
SUBMITTED FOR THE GENERAL
INFORMATION OF THE SHAREHOLDERS OF THE FUNDS. THIS REPORT IS NOT
AUTHORIZED FOR DISTRIBUTION TO
PROSPECTIVE INVESTORS IN THE FUNDS UNLESS PRECEDED OR ACCOMPANIED BY
AN EFFECTIVE PROSPECTUS.

MUTUAL FUND SHARES ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED
BY, ANY DEPOSITORY INSTITUTION. SHARES ARE NOT INSURED BY THE FDIC,
FEDERAL RESERVE BOARD OR ANY OTHER AGENCY, AND ARE SUBJECT TO
INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL AMOUNT
INVESTED.

NEITHER THE FUNDS NOR FIDELITY DISTRIBUTORS CORPORATION IS A BANK.

FOR MORE INFORMATION ON ANY FIDELITY FUND, INCLUDING CHARGES AND
EXPENSES, CALL 1-800-544-8888
FOR A FREE PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST OR SEND
MONEY.

PRESIDENT'S MESSAGE

(PHOTO_OF_EDWARD_C_JOHNSON_3D)

DEAR SHAREHOLDER:

While it's impossible to predict the future direction of the markets
with any degree of certainty, there are certain basic principles that
can help investors plan for their future needs.

The longer your investment time frame, the less likely it is that you
will be affected by short-term market volatility. A 10-year investment
horizon appropriate for saving for a college education, for example,
enables you to weather market cycles in a long-term fund, which may
have a higher risk potential, but also has a higher potential rate of
return.

An intermediate-length fund could make sense if your investment
horizon is two to four years, while a short-term bond fund could be
the right choice if you need your money in one or two years.

If your time horizon is less than a year, you might want to consider
moving some of your bond investment into a money market fund. These
funds seek income and a stable share price by investing in
high-quality, short-term investments. Of course, it's important to
remember that an investment in a money market fund is not insured or
guaranteed by the Federal Deposit Insurance Corporation or any other
government agency. Although money market funds seek to preserve the
value of your investment at $1.00 per share, it is possible to lose
money by investing in these types of funds.

Best regards,
Edward C. Johnson 3d

SPARTAN ARIZONA MUNICIPAL INCOME FUND

PERFORMANCE: THE BOTTOM LINE

There are several ways to evaluate a fund's historical performance.
You can look at the total percentage change in value, the average
annual percentage change or the growth of a hypothetical $10,000
investment. Total return reflects the change in the value of an
investment, assuming reinvestment of the fund's dividend income and
capital gains (the profits earned upon the sale of securities that
have grown in value). You can also look at the fund's income, as
reflected in the fund's yield, to measure performance. If Fidelity had
not reimbursed certain fund expenses, the life of fund total returns
would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED PAST 1 YEAR LIFE OF FUND

SPARTAN ARIZONA MUNICIPAL 0.38% 36.15%
INCOME

LB Arizona Enhanced Municipal 1.05% 40.41%
Bond

Arizona Municipal Debt Funds -0.96% n/a
Average

CUMULATIVE TOTAL RETURNS show the fund's performance in percentage
terms over a set period - in this case, one year, or since the fund
started on October 11, 1994. For example, if you had invested $1,000
in a fund that had a 5% return over the past year, the value of your
investment would be $1,050. You can compare the fund's returns to the
performance of the Lehman Brothers Arizona Enhanced Municipal Bond
Index - a market value-weighted index of Arizona investment-grade
municipal bonds with maturities of one year or more. To measure how
the fund's performance stacked up against its peers, you can compare
it to the Arizona municipal debt funds average, which reflects the
performance of mutual funds with similar objectives tracked by Lipper
Inc. The past one year average represents a peer group of 38 mutual
funds. These benchmarks will include reinvested dividends and capital
gains, if any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED PAST 1 YEAR LIFE OF FUND

SPARTAN ARIZONA MUNICIPAL 0.38% 6.51%
INCOME

LB Arizona Enhanced Municipal 1.05% 7.27%
Bond

Arizona Municipal Debt Funds -0.96% n/a
Average

$10,000 OVER LIFE OF FUND
Spartan AZ Muni Income LB Municipal Bond
00434 LB015
1994/10/31 10000.00 10000.00
1994/11/30 9820.11 9819.20
1994/12/31 10064.35 10035.32
1995/01/31 10414.23 10322.13
1995/02/28 10773.06 10622.30
1995/03/31 10866.46 10744.35
1995/04/30 10885.64 10757.03
1995/05/31 11219.72 11100.28
1995/06/30 11111.21 11003.71
1995/07/31 11215.14 11108.03
1995/08/31 11372.18 11248.88
1995/09/30 11463.33 11320.08
1995/10/31 11631.80 11484.67
1995/11/30 11820.94 11675.21
1995/12/31 11925.02 11787.40
1996/01/31 12041.15 11876.40
1996/02/29 11942.15 11796.23
1996/03/31 11779.23 11645.48
1996/04/30 11735.76 11612.52
1996/05/31 11716.16 11607.88
1996/06/30 11827.94 11734.29
1996/07/31 11918.94 11841.07
1996/08/31 11908.53 11838.23
1996/09/30 12056.07 12003.96
1996/10/31 12194.14 12139.73
1996/11/30 12400.73 12361.88
1996/12/31 12343.01 12309.96
1997/01/31 12367.61 12333.23
1997/02/28 12469.45 12446.45
1997/03/31 12294.99 12280.54
1997/04/30 12389.13 12383.32
1997/05/31 12544.70 12569.57
1997/06/30 12675.15 12703.44
1997/07/31 13009.98 13055.32
1997/08/31 12880.60 12932.99
1997/09/30 13024.85 13086.51
1997/10/31 13097.69 13170.65
1997/11/30 13156.84 13248.10
1997/12/31 13326.81 13441.39
1998/01/31 13437.65 13580.10
1998/02/28 13445.37 13584.18
1998/03/31 13446.17 13596.13
1998/04/30 13383.32 13534.81
1998/05/31 13544.37 13749.07
1998/06/30 13579.60 13803.24
1998/07/31 13616.10 13837.88
1998/08/31 13803.11 14051.68
1998/09/30 13964.10 14226.76
1998/10/31 13975.18 14226.48
1998/11/30 13997.25 14276.41
1998/12/31 14033.73 14312.39
1999/01/31 14186.10 14482.57
1999/02/28 14103.25 14419.28
1999/03/31 14114.92 14439.32
1999/04/30 14150.56 14475.27
1999/05/31 14071.05 14391.46
1999/06/30 13885.53 14184.22
1999/07/31 13962.06 14235.85
1999/08/31 13856.00 14121.97
IMATRL PRASUN SHR__CHT 19990831 19990913 084431 R00000000000061

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Spartan Arizona Municipal Income Fund on October 31, 1994,
shortly after the fund started. As the chart shows, by August 31,
1999, the value of the investment would have grown to $13,856 - a
38.56% increase on the initial investment. For comparison, look at how
the Lehman Brothers Municipal Bond Index - a market value-weighted
index of investment-grade municipal bonds with maturities of one year
or more - did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 would have grown to $14,122 - a
41.22% increase.

(checkmark)UNDERSTANDING
PERFORMANCE

How a fund did yesterday is
no guarantee of how it will
do tomorrow. Bond prices, for
example, generally move in the
opposite direction of interest
rates. In turn, the share price,
return and yield of a fund that
invests in bonds will vary. That
means if you sell your shares
during a market downturn, you
might lose money. But if you
can ride out the market's ups
and downs, you may have a
gain.

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
TOTAL RETURN COMPONENTS

YEARS ENDED AUGUST 31, OCTOBER 11, 1994
(COMMENCEMENT OF OPERATIONS)
TO AUGUST 31,

1999 1998 1997 1996 1995

Dividend returns 4.13% 4.55% 4.80% 4.92% 5.34%

Capital returns -3.75% 2.61% 3.36% -0.20% 6.40%

Total returns 0.38% 7.16% 8.16% 4.72% 11.74%

</TABLE>

TOTAL RETURN COMPONENTS include both dividend returns and capital
returns. A dividend return reflects the actual dividends paid by the
fund. A capital return reflects both the amount paid by the fund to
shareholders as capital gain distributions and changes in the fund's
share price. Both returns assume the dividends or capital gains, if
any, paid by the fund are reinvested.

DIVIDENDS AND YIELD

PERIODS ENDED PAST 1 MONTH PAST 6 MONTHS PAST 1 YEAR

Dividends per share 3.91(cents) 23.05(cents) 45.81(cents)

Annualized dividend rate 4.37% 4.25% 4.21%

30-day annualized yield 4.35% - -

30-day annualized 7.16% - -
tax-equivalent yield

DIVIDENDS per share show the income paid by the fund for a set period.
If you annualize this number, based on an average share price of
$10.54 over the past one month, $10.76 over the past six months and
$10.88 over the past one year, you can compare the fund's income over
these three periods. The 30-day annualized YIELD is a standard formula
for all bond funds based on the yields of the bonds in the fund,
averaged over the past 30 days. This figure shows you the yield
characteristics of the fund's investments at the end of the period. It
also helps you compare funds from different companies on an equal
basis. The tax-equivalent yield shows what you would have to earn on a
taxable investment to equal the fund's tax-free yield, if you're in
the 39.23% combined effective 1999 federal and state income tax
bracket, but does not reflect the payment of the federal alternative
minimum tax, if applicable.

SPARTAN ARIZONA MUNICIPAL INCOME FUND

FUND TALK: THE MANAGER'S OVERVIEW

MARKET RECAP
The municipal bond market endured
a variety of tribulations over the past
year. While municipal bonds slightly
trailed the returns of their taxable
bond counterparts, they significantly
outperformed government bonds on
an absolute basis. For the 12-month
period ending August 31, 1999, the
Lehman Brothers Municipal Bond Index
- - an index of approximately 50,000
investment-grade, fixed-rate,
tax-exempt bonds - returned 0.50%,
lagging the 0.80% one-year return of
the overall taxable-bond market, as
measured by the Lehman Brothers
Aggregate Bond Index. Meanwhile,
the market proxy for U.S. government
bonds, the Lehman Brothers
Long-Term Government Bond
Index, fell 4.99%. At the outset of
the 12-month period, municipals
were outdistanced by Treasuries,
which benefited from a massive flight
to safety during the global financial
crises of the fall. Munis were also
dragged down by 1998's
near-record issuance, which was
met by relatively subdued demand.
As supply tailed off late last year and
in early 1999, however, municipal bond
performance began to improve.
Unfortunately, a massive sell-off
by institutional investors, combined
with the fears of heightened
inflation and Y2K concerns, quickly
put a damper on municipal bonds.
Also, the Federal Reserve Board's
two subsequent rate hikes in June
and August put further downward
pressure on muni bond prices.

(photograph of Christine Thompson)

An interview with Christine Thompson, Portfolio Manager of Spartan
Arizona Municipal Income Fund

Q. HOW DID THE FUND PERFORM, CHRISTINE?

A. Although it was a disappointing period for municipal bonds, the
fund performed better than the average fund of its type. For the
12-month period that ended August 31, 1999, the fund had a total
return of 0.38%. To get a sense of how the fund did relative to its
competitors, the Arizona municipal debt funds average returned -0.96%
for the same 12-month period, according to Lipper Inc. Additionally,
the Lehman Brothers Arizona Enhanced Municipal Bond Index - which
tracks the types of securities in which the fund invests - returned
1.05%.

Q. WHAT HELPED THE FUND BEAT ITS PEERS?

A. A key factor was the duration management policy of the fund.
Duration measures a fund's interest-rate sensitivity. In keeping with
Fidelity's investment approach, I managed the fund's duration to be in
line with the Arizona municipal market as a whole, as reflected by the
Lehman Brothers Arizona Enhanced Municipal Bond Index. As a rule, I
don't lengthen or shorten duration based on where I think interest
rates will be at some point down the road, because I don't believe
that anyone can do so with any accuracy over time. But other funds in
the peer group do actively manage duration, and some increased their
interest-rate sensitivity, which likely caused their returns to suffer
when interest rates rose.

Q. WHAT OTHER STRATEGIES MADE A POSITIVE CONTRIBUTION TO PERFORMANCE?

A. The fund's focus on high-quality bonds was a plus during the
period. I emphasized high-quality bonds throughout the period because
I felt that they were the better value, offering only slightly less
yield than lower-quality bonds in most instances. Over the past six
months in particular, rising interest rates, coupled with problems in
some lower-quality sectors - particularly health care - cast a pall
over lower-quality bonds in general.

Q. WERE THERE ANY DISAPPOINTMENTS DURING THE PERIOD?

A. Intermediate-maturity bonds - those set to mature within five and
15 years - were a disappointment earlier this year, although they
bounced back more recently. Initially, intermediates suffered
primarily from reduced demand and increased supply at the hands of
relatively heavy selling from some specific types of institutional
investors. In contrast, strong demand from individual investors helped
to support the performance of some shorter- and longer-term bonds.
However, I continued to emphasize intermediate bonds because, based on
Fidelity's quantitative models, I felt they offered the most
attractive value for their given interest-rate sensitivity and their
total return potential. The intermediate-maturity focus worked in the
fund's favor during the past several months, as institutional
investors began to buy intermediate-maturity bonds, helping them play
catch-up to their longer-term counterparts.

Q. WHERE DID YOU FIND OPPORTUNITIES DURING THE PERIOD?

A. I found some attractive opportunities among bonds backed by Arizona
colleges and universities. Education bonds offer diversification from
the economically sensitive areas of the market - such as general
obligation bonds, which depend on sales, property, income and other
tax revenue collections. In addition, demographic trends support a
growing number of students seeking to obtain advanced degrees over the
next several years. One interesting fact is that roughly 85% of
Arizona's students attend colleges or universities within the state. I
also continued to emphasize premium coupon bonds, those that pay
interest rates moderately above prevailing market rates and trade at
prices above face - or par - value. An appealing aspect of premiums
has been that they are insulated from unfavorable tax treatment that
can affect lower-coupon bonds during certain market environments.

Q. WHAT'S YOUR OUTLOOK FOR THE MUNICIPAL MARKET?

A. The decline in bond prices that we have seen over the past several
months reflects the anticipation of higher short-term interest rates.
In addition, municipals have lagged Treasury securities and are
attractively priced as a consequence. That's why I believe that
conditions support the idea that municipals can do well relative to
their Treasury counterparts.

(checkmark)FUND FACTS

GOAL: seeks a high level of
current income, exempt from
federal income tax and
Arizona personal income
tax

FUND NUMBER: 434

TRADING SYMBOL: FSAZX

START DATE: October 11,
1994

SIZE: as of August 31, 1999,
more than $29 million

MANAGER: Christine Thompson,
since 1998; manager,
various Fidelity and Spartan
municipal income funds;
joined Fidelity in 1985

CHRISTINE THOMPSON ON Y2K
AND ITS POTENTIAL EFFECTS ON
MUNICIPAL BOND ISSUERS:

"Y2K may pose a number of
challenges for municipal bond
issuers. My primary focus with
regard to Y2K-related issues is
how they will impact the credit
quality of various municipal bond
issuers. Fidelity's research team
asks municipal bond issuers a
number of things, including how
vulnerable they believe they are to
potential problems, what their
short-term contingency plans are in
the event of any problems and
what long-term solutions they've
developed. What we've found so far
is that there are varying degrees of
sophistication among issuers,
with some much more poised to
deal with potential problems than
others. That's why we carefully
consider Y2K-related issues as
one of the many factors in our
routine security selection
process."

(solid bullet) At the end of the period, the fund
had 7.9% of investments in bonds
issued by Puerto Rico and Guam.
As territories of the United States,
Puerto Rico and Guam can issue
bonds that are free from taxes in
all 50 states. When the supply of
Arizona municipals is limited or
their prices look expensive, the
fund occasionally invests in
Puerto Rico and Guam bonds.

SPARTAN ARIZONA MUNICIPAL INCOME FUND

INVESTMENT CHANGES

<TABLE>
<CAPTION>
<S> <C> <C>
TOP FIVE SECTORS AS OF AUGUST
31, 1999

% OF FUND'S INVESTMENTS % OF FUND'S INVESTMENTS IN
THESE SECTORS 6 MONTHS AGO

General Obligations 25.0 25.0

Electric Utilities 19.4 16.7

Special Tax 14.6 17.3

Water & Sewer 12.3 9.6

Health Care 9.7 9.4

AVERAGE YEARS TO MATURITY AS
OF AUGUST 31, 1999

6 MONTHS AGO

Years 9.9 10.7

</TABLE>

AVERAGE YEARS TO MATURITY IS BASED ON THE AVERAGE TIME REMAINING UNTIL
PRINCIPAL PAYMENTS ARE EXPECTED FROM EACH OF THE FUND'S BONDS,
WEIGHTED BY DOLLAR AMOUNT.

DURATION AS OF AUGUST 31, 1999

6 MONTHS AGO

Years 6.1 5.9

DURATION SHOWS HOW MUCH A BOND FUND'S PRICE FLUCTUATES WITH CHANGES IN
COMPARABLE INTEREST RATES. IF RATES RISE 1%, FOR EXAMPLE, A FUND WITH
A FIVE-YEAR DURATION IS LIKELY TO LOSE ABOUT 5% OF ITS VALUE. OTHER
FACTORS ALSO CAN INFLUENCE A BOND FUND'S PERFORMANCE AND SHARE PRICE.
ACCORDINGLY, A BOND FUND'S ACTUAL PERFORMANCE MAY DIFFER FROM THIS
EXAMPLE.

QUALITY DIVERSIFICATION

AS OF AUGUST 31, 1999

Aaa 49.1%
Aa, A 39.2%
Baa 6.8%
Short-term
Investments 4.9%

Row: 1, Col: 1, Value: 49.1
Row: 1, Col: 2, Value: 39.2
Row: 1, Col: 3, Value: 6.8
Row: 1, Col: 4, Value: 0.0
Row: 1, Col: 5, Value: 4.9

AS OF FEBRUARY 28, 1999

Aaa 55.9%
Aa, A 38.4%
Baa 2.4%
Short-term
Investments 3.3%

Row: 1, Col: 1, Value: 55.9
Row: 1, Col: 2, Value: 38.4
Row: 1, Col: 3, Value: 2.4
Row: 1, Col: 4, Value: 0.0
Row: 1, Col: 5, Value: 3.3

WHERE MOODY'S RATINGS ARE NOT AVAILABLE, WE HAVE USED S&P (registered
trademark) RATINGS. AMOUNTS SHOWN ARE AS A PERCENTAGE OF THE FUND'S
INVESTMENTS.

SPARTAN ARIZONA MUNICIPAL INCOME FUND

INVESTMENTS AUGUST 31, 1999

Showing Percentage of Total Value of Investment in Securities

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
MUNICIPAL BONDS - 95.1%

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT VALUE (NOTE 1)

ARIZONA - 87.2%

Arizona Health Facilities Aaa $ 360,000 $ 391,752
Auth. Hosp. Sys. Rev. Rfdg.
(Saint Lukes Health Sys.)
7.25% 11/1/14 (Pre-Refunded
to 11/1/03 @ 102) (d)

Arizona Trans. Board Excise
Tax Rev.:

(Maricopa County Reg'l. Area
Road Proj.) Series A:

5.4% 7/1/01 (AMBAC Insured) Aaa 1,000,000 1,021,720

5.75% 7/1/05 (AMBAC Insured) Aaa 400,000 423,592

Rfdg. (Maricopa County Reg'l.
Area):

Series A, 6.5% 7/1/04 (AMBAC Aaa 100,000 108,776
Insured)

Series B, 6% 7/1/05 (AMBAC Aaa 150,000 160,746
Insured)

Arizona Trans. Board Hwy. Aaa 300,000 316,602
Rev. Series A, 6.5% 7/1/11
(Pre-Refunded to 7/1/01 @
101.5) (d)

Arizona Univ. Rev. Rfdg. 6% A1 1,000,000 1,069,630
7/1/06

Central Arizona Wtr.
Conservation District
Contract Rev.:

(Central Arizona Proj.)

Series B, 6.3% 11/1/02 (MBIA Aaa 200,000 210,026
Insured)

Rfdg. (Central Arizona Proj.)
Series A:

5.5% 11/1/09 A1 1,000,000 1,034,100

5.5% 11/1/10 A1 375,000 386,828

Chandler Gen. Oblig.:

6.25% 7/1/10 Aa3 500,000 544,770

6.5% 7/1/10 (MBIA Insured) Aaa 200,000 224,404

6.5% 7/1/11 (MBIA Insured) Aaa 225,000 251,991

Chandler Wtr. & Swr. Rev. Aaa 1,000,000 1,006,310
5.5% 7/1/15 (MBIA Insured)

Cochise County Unified School Aaa 200,000 224,190
District #68 (Sierra Vista)
Series B, 9% 7/1/02 (FGIC
Insured)

Flagstaff Gen. Oblig. 4.5% Aaa 200,000 184,010
7/1/13 (FGIC Insured)

Glendale Ind. Dev. Auth. Edl. AAA 150,000 165,782
Facilities Rev. Rfdg.
(American Graduate School
Int'l. Proj.) 6.55% 7/1/05
(AMBAC Insured)
(Pre-Refunded to 7/1/05 @
101) (d)

Maricopa County Cmnty. Aa1 500,000 515,245
College District (Proj. of
1994) Series C, 5.25% 7/1/06

Maricopa County Ctfs. of A2 155,000 156,125
Prtn. 5.625% 6/1/00

Maricopa County Hosp. Rev. Baa1 300,000 307,584
Rfdg. (Sun Health Corp.)
6.125% 4/1/18

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT VALUE (NOTE 1)

ARIZONA - CONTINUED

Maricopa County Ind. Dev. Baa1 $ 500,000 $ 494,830
Auth. Health Facilities Rev.
(Catholic Healthcare West
Proj.) Series A, 5% 7/1/03

Maricopa County Ind. Dev. AA+ 750,000 680,573
Auth. Hosp. Facilities Rev.
(Mayo Clinic Hosp.) 5.25%
11/15/37

Maricopa County School Aaa 500,000 379,700
District #1 Rfdg. (Cap.
Appreciation) (Phoenix
Elementary) 2nd Series, 0%
7/1/05 (MBIA Insured)

Maricopa County School Aaa 200,000 217,280
District #14 Rfdg.
(Creighton) 6.5% 7/1/04
(FGIC Insured)

Maricopa County School Aaa 955,000 648,798
District #28 (Cap.
Appreciation) (Kyrene
Elementary) Series C, 0%
7/1/07 (FGIC Insured)

Maricopa County School Aaa 500,000 321,030
District #3 Rfdg. (Cap.
Appreciation) (Temple
Elementary) 0% 7/1/08 (AMBAC
Insured)

Maricopa County School Aaa 300,000 309,798
District #4 Rfdg. (Mesa
Univ.) 5.25% 7/1/04 (FSA
Insured)

Maricopa County Unified Aaa 400,000 443,912
School District #80
(Chandler) 6.6% 7/1/06 (FGIC
Insured)

Mesa Gen. Oblig. Rfdg. 5.7% Aaa 250,000 261,228
7/1/03 (FGIC Insured)

Mesa Ind. Dev. Auth. Rev.:

(Discovery Health Sys.)
Series A:

5.375% 1/1/14 (MBIA Insured) Aaa 500,000 493,195

5.625% 1/1/29 (MBIA Insured) Aaa 500,000 491,915

Rfdg. (Lutheran Health Sys. AAA 300,000 301,026
Proj.) Series A 1, 5.25%
1/1/11 (MBIA Insured)

Mohave County Ind. Dev. Auth. A+ 250,000 246,275
Ind. Dev. Rev. (North Star
Steel Co. Proj.) Series B,
5.5% 12/1/20 (c)

Navajo County Poll. Cont. Baa1 200,000 199,792
Corp. Rev. Rfdg. (Pub. Svc.
Co. Proj.) Series A, 5.875%
8/15/28

Phoenix Arpt. Rev. Series D, Aaa 810,000 870,151
6.4% 7/1/12 (MBIA Insured)
(c)

Phoenix Civic Impt. Corp.
Arpt. Excise Tax Rev. Rfdg.
Senior Lien:

5% 7/1/03 (c) Aa2 500,000 506,740

5.25% 7/1/09 (c) Aa2 400,000 400,080

Phoenix Civic Impt. Corp.
Excise Tax Rev. (Muni.
Courthouse Proj.) Senior
Lien Series A:

5.5% 7/1/11 Aa2 200,000 205,154

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT VALUE (NOTE 1)

ARIZONA - CONTINUED

Phoenix Civic Impt. Corp.
Excise Tax Rev. (Muni.
Courthouse Proj.) Senior
Lien Series A: - continued

5.75% 7/1/15 Aa2 $ 675,000 $ 688,277

Phoenix Civic Impt. Corp. Aa3 500,000 489,835
Wtr. Sys. Rev. Junior Lien,
5.45% 7/1/19

Phoenix Gen. Oblig.:

Rfdg. Series A, 7.5% 7/1/08 Aa1 100,000 118,160

4.5% 7/1/18 Aa1 400,000 342,420

Phoenix Street & Hwy. User Aaa 250,000 265,268
Rev. Rfdg. Junior Lien,
6.25% 7/1/11 (MBIA Insured)

Phoenix Wtr. Sys. Rev. Rfdg. Aa3 400,000 404,440
4.75% 7/1/01

Pima County Gen. Oblig. Rfdg. Aaa 500,000 505,905
4.75% 7/1/01 (MBIA Insured)

Pima County Ind. Dev. Auth. Aaa 200,000 203,370
Rev. Rfdg. (HealthPartners
Proj.) Series A, 5.625%
4/1/14 (MBIA Insured)

Pima County Unified School Aaa 250,000 301,200
District #1 Tucson Rfdg.
7.5% 7/1/10 (FGIC Insured)

Pima County Unified School Aaa 300,000 290,724
District #10 Amphitheater
Rfdg. (Cap. Appreciation) 0%
7/1/00 (FGIC Insured)

Salt River Proj. Agric. Impt.
& Pwr. District Elec. Sys.
Rev.:

Rfdg.:

Series A, 5.75% 1/1/07 Aa2 300,000 316,656

Series B, 6.5% 1/1/04 Aa2 1,400,000 1,504,284

Series C, 6.25% 1/1/19 Aa2 500,000 522,670

Scottsdale Gen. Oblig. Rfdg.:

Series C, 6.375% 7/1/01 Aa1 250,000 259,855

5.5% 7/1/09 Aa1 100,000 104,107

Scottsdale Street & Hwy. User A1 800,000 829,312
Rev. Rfdg. 5.5% 7/1/07

Tempe Union High School
District #213:

(Proj. of 1994):

Series B, 7% 7/1/03 (FGIC Aaa 400,000 435,356
Insured)

Series C, 4% 7/1/12 (MBIA Aaa 200,000 176,786
Insured)

Rfdg. & Impt. 7% 7/1/08 (FGIC Aaa 310,000 354,829
Insured)

Tucson Gen. Oblig. Rfdg. Aaa 200,000 216,302
6.75% 7/1/03 (FGIC Insured)

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT VALUE (NOTE 1)

ARIZONA - CONTINUED

Tucson Street & Hwy. User Rev.:

Rfdg. Senior Lien, 6% 7/1/10 Aaa $ 400,000 $ 435,048
(MBIA Insured)

Senior Lien Series A, 7% Aaa 300,000 351,510
7/1/11 (MBIA Insured)

Tucson Wtr. Rev. Series 1994 Aaa 200,000 224,794
C, 6.75% 7/1/07 (FGIC
Insured)

Univ. of Arizona Univ. Rev.:

Rfdg. 6.375% 6/1/05 A1 400,000 425,244

5.25% 6/1/13 (FSA Insured) Aaa 500,000 497,880

Yuma County Hosp. Distritct A 265,000 274,116
#001 6.35% 11/15/07
(Escrowed to Maturity) (d)

26,714,008

GUAM - 3.2%

Guam Pwr. Auth. Rev. Series Baa3 1,000,000 977,000
A, 4% 10/1/03

PUERTO RICO - 4.7%

Puerto Rico Commonwealth Hwy.
& Trans. Auth. Hwy. Rev.:

Rfdg. Series W, 5.5% 7/1/17 Baa1 100,000 99,305

Series Y, 6.25% 7/1/08 (MBIA Aaa 400,000 442,628
Insured)

Puerto Rico Elec. Pwr. Auth. Aaa 1,000,000 902,770
Pwr. Rev. 5% 7/1/28 (MBIA
Insured)

1,444,703

TOTAL MUNICIPAL BONDS 29,135,711
(Cost $29,103,118)

</TABLE>

MUNICIPAL NOTES - 4.9%

ARIZONA - 4.9%

Coconino County Poll. Cont. 200,000 200,000
Corp. Rev. (Pub. Svc. Co.
Proj.) Series 1996 A, 3%,
LOC Barclays Bank PLC, VRDN
(b)(c)

Maricopa County Poll. Cont.
Corp. Rev. (Pub. Svc. Co.
Proj.):

Series 1994 A, 2.7%, LOC 900,000 900,000
Morgan Guaranty Trust Co.,
NY, VRDN (b)

Series 1994 E, 2.95%, LOC 400,000 400,000
Bank of America NA, VRDN (b)

TOTAL MUNICIPAL NOTES 1,500,000
(Cost $1,500,000)

TOTAL INVESTMENT IN $ 30,635,711
SECURITIES - 100%
(Cost $30,603,118)

SECURITY TYPE ABBREVIATION

VRDN - VARIABLE RATE DEMAND NOTE

LEGEND

(a) Standard & Poor's credit ratings are used in the absence of a
rating by Moody's Investors Service, Inc.

(b) The coupon rate shown on floating or adjustable rate securities
represents the rate at period end.

(d) Security collateralized by an amount sufficient to pay interest
and principal.

OTHER INFORMATION

The composition of long-term debt holdings as a percentage of total
value of investments in securities, is as follows (ratings are
unaudited):

MOODY'S RATINGS S&P RATINGS

Aaa, Aa, A 83.8% AAA, AA, A 86.6%

Baa 6.8% BBB 6.3%

Ba 0.0% BB 0.0%

B 0.0% B 0.0%

Caa 0.0% CCC 0.0%

Ca, C 0.0% CC, C 0.0%

D 0.0%

The distribution of municipal securities by revenue source, as a
percentage of total value of investments in securities, is as follows:

General Obligations 25.0%

Electric Utilities 19.4

Special Tax 14.6

Water & Sewer 12.3

Health Care 9.7

Education 6.5

Others (individually less 12.5
than 5%)

100.0%

INCOME TAX INFORMATION

At August 31, 1999, the aggregate cost of investment securities for
income tax purposes was $30,603,118. Net unrealized appreciation
aggregated $32,593, of which $453,857 related to appreciated
investment securities and $421,264 related to depreciated investment
securities.

The fund hereby designates approximately $75,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

SPARTAN ARIZONA MUNICIPAL INCOME FUND

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
AUGUST 31, 1999

ASSETS

Investment in securities, at $ 30,635,711
value (cost $30,603,118) -
See accompanying schedule

Receivable for investments 503,804
sold

Receivable for fund shares 2,000
sold

Interest receivable 311,912

TOTAL ASSETS 31,453,427

LIABILITIES

Payable to custodian bank $ 33,941

Payable for investments 1,630,923
purchased

Payable for fund shares 105,928
redeemed

Distributions payable 26,419

Accrued management fee 13,867

Other payables and accrued 29
expenses

TOTAL LIABILITIES 1,811,107

NET ASSETS $ 29,642,320

Net Assets consist of:

Paid in capital $ 29,723,886

Accumulated undistributed net (114,159)
realized gain (loss) on
investments

Net unrealized appreciation 32,593
(depreciation) on investments

NET ASSETS, for 2,814,496 $ 29,642,320
shares outstanding

NET ASSET VALUE, offering $10.53
price and redemption price
per share ($29,642,320
(divided by) 2,814,496
shares)

STATEMENT OF OPERATIONS
YEAR ENDED AUGUST 31, 1999

INTEREST INCOME $ 1,303,138

EXPENSES

Management fee $ 150,884

Non-interested trustees' 88
compensation

Total expenses before 150,972
reductions

Expense reductions (2,881) 148,091

NET INTEREST INCOME 1,155,047

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities (57,712)

Futures contracts 2,503 (55,209)

Change in net unrealized
appreciation (depreciation)
on:

Investment securities (1,078,582)

Futures contracts 3,487 (1,075,095)

NET GAIN (LOSS) (1,130,304)

NET INCREASE (DECREASE) IN $ 24,743
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

YEAR ENDED AUGUST 31, 1999 YEAR ENDED AUGUST 31, 1998

INCREASE (DECREASE) IN NET
ASSETS

Operations Net interest income $ 1,155,047 $ 937,350

Net realized gain (loss) (55,209) 128,956

Change in net unrealized (1,075,095) 420,385
appreciation (depreciation)

NET INCREASE (DECREASE) IN 24,743 1,486,691
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (1,155,047) (937,350)
From net interest income

From net realized gain (36,964) (74,308)

In excess of net realized (54,789) -
gain

TOTAL DISTRIBUTIONS (1,246,800) (1,011,658)

Share transactions Net 10,812,895 7,504,699
proceeds from sales of shares

Reinvestment of distributions 942,439 861,678

Cost of shares redeemed (5,501,589) (4,003,772)

NET INCREASE (DECREASE) IN 6,253,745 4,362,605
NET ASSETS RESULTING FROM
SHARE TRANSACTIONS

Redemption fees 4,734 1,870

TOTAL INCREASE (DECREASE) 5,036,422 4,839,508
IN NET ASSETS

NET ASSETS

Beginning of period 24,605,898 19,766,390

End of period $ 29,642,320 $ 24,605,898

OTHER INFORMATION
Shares

Sold 994,437 689,025

Issued in reinvestment of 86,645 79,146
distributions

Redeemed (507,000) (368,079)

Net increase (decrease) 574,082 400,092

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS

YEARS ENDED AUGUST 31, 1999 1998 1997 1996 1995 D

SELECTED PER-SHARE DATA

Net asset value, beginning $ 10.980 $ 10.740 $ 10.460 $ 10.640 $ 10.000
of period

Income from Investment .458 .473 .483 .514 .504
Operations Net interest
income

Net realized and unrealized (.412) .279 .351 (.022) .637
gain (loss)

Total from investment .046 .752 .834 .492 1.141
operations

Less Distributions

From net interest income (.458) (.473) (.484) (.514) (.504)

From net realized gain (.016) (.040) (.070) (.160) -

In excess of net realized gain (.024) - - - -

Total distributions (.498) (.513) (.554) (.674) (.504)

Redemption fees added to .002 .001 .000 .002 .003
paid in capital

Net asset value, end of period $ 10.530 $ 10.980 $ 10.740 $ 10.460 $ 10.640

TOTAL RETURN B, C 0.38% 7.16% 8.16% 4.72% 11.74%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 29,642 $ 24,606 $ 19,766 $ 20,388 $ 13,448
(000 omitted)

Ratio of expenses to average .55% .55% .55% .30% E .06% A, E
net assets

Ratio of expenses to average .54% F .54% F .53% F .30% .06% A
net assets after expense
reductions

Ratio of net interest income 4.21% 4.35% 4.55% 4.82% 5.54% A
to average net assets

Portfolio turnover rate 12% 25% 27% 32% 56% A

</TABLE>

A ANNUALIZED
B TOTAL RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
C THE TOTAL RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT
BEEN REDUCED DURING THE PERIODS SHOWN.
D FOR THE PERIOD OCTOBER 11, 1994 (COMMENCEMENT OF OPERATIONS) TO
AUGUST 31, 1995.
E FMR AGREED TO REIMBURSE A PORTION OF THE FUND'S EXPENSES DURING THE
PERIOD. WITHOUT THIS REIMBURSEMENT, THE FUND'S EXPENSE RATIO WOULD
HAVE BEEN HIGHER.
F FMR OR THE FUND HAS ENTERED INTO VARYING ARRANGEMENTS WITH THIRD
PARTIES WHO EITHER PAID OR REDUCED A PORTION OF THE FUND'S EXPENSES.

SPARTAN ARIZONA MUNICIPAL MONEY MARKET FUND

PERFORMANCE: THE BOTTOM LINE

To evaluate a money market fund's historical performance, you can look
at either total return or yield. Total return reflects the change in
the value of an investment, assuming reinvestment of the fund's
dividend income, but does not include the effect of the fund's $5
account closeout fee on an average-sized account. Yield measures the
income paid by a fund. Since a money market fund tries to maintain a
$1 share price, yield is an important measure of performance. If
Fidelity had not reimbursed certain fund expenses, the life of fund
total returns would have been lower.

CUMULATIVE TOTAL RETURNS

PERIODS ENDED PAST 1 YEAR LIFE OF FUND

SPARTAN AZ MUNICIPAL MONEY 2.84% 17.74%
MARKET

All Tax-Free Money Market 2.66% n/a
Funds Average

CUMULATIVE TOTAL RETURNS show the fund's performance in percentage
terms over a set period - in this case, one year or since the fund
started on October 11, 1994. For example, if you had invested $1,000
in a fund that had a 5% return over the past year, the value of your
investment would be $1,050. To measure how the fund's performance
stacked up against its peers, you can compare it to the all tax-free
money market funds average, which reflects the performance of all
tax-free money market funds with similar objectives tracked by IBC
Financial Data, Inc. The past one year average represents a peer group
of 459 money market funds.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED PAST 1 YEAR LIFE OF FUND

SPARTAN AZ MUNICIPAL MONEY 2.84% 3.39%
MARKET

All Tax-Free Money Market 2.66% n/a
Funds Average

AVERAGE ANNUAL TOTAL RETURNS take the fund's cumulative return and
show you what would have happened if the fund had performed at a
constant rate each year.

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C> <C>
YIELDS

8/30/99 5/31/99 3/1/99 11/30/98 8/31/98

Spartan Arizona Municipal 2.86% 2.85% 2.60% 2.87% 3.01%
Money Market

All Tax-Free Money Market 2.66% 2.70% 2.42% 2.71% 2.80%
Funds Average

Spartan Arizona Municipal 4.71% 4.69% 4.27% 4.73% 4.95%
Money Market - Tax-equivalent

Portion of fund's income 0.04% 1.14% 3.80% 4.12% 0.00%
subject to state taxes

</TABLE>

Spartan Arizona
Municipal Money
Market

All Tax-Free
Money Market
Funds Average

5% -
4% -
3% -
2% -
1% -
0%

Row: 1, Col: 1, Value: 2.86
Row: 1, Col: 2, Value: 2.66
Row: 2, Col: 1, Value: 2.85
Row: 2, Col: 2, Value: 2.7
Row: 3, Col: 1, Value: 2.6
Row: 3, Col: 2, Value: 2.42
Row: 4, Col: 1, Value: 2.87
Row: 4, Col: 2, Value: 2.71
Row: 5, Col: 1, Value: 3.01
Row: 5, Col: 2, Value: 2.8

YIELD refers to the income paid by the fund over a given period.
Yields for money market funds are usually for seven-day periods,
expressed as annual percentage rates. A yield that assumes income
earned is reinvested or compounded is called an effective yield. The
table above shows the fund's current seven-day yield at quarterly
intervals over the past year. You can compare these yields to the all
tax-free money market funds average tracked by IBC Financial Data,
Inc. Or you can look at the fund's tax-equivalent yield, which is
based on a combined effective 1999 federal and state income tax rate
of 39.23%. The fund's yields mentioned above reflect that a portion of
the fund's income was subject to state taxes. A portion of the fund's
income may be subject to the federal alternative minimum tax.

A MONEY MARKET FUND'S TOTAL RETURNS AND YIELDS WILL VARY, AND REFLECT
PAST RESULTS RATHER THAN PREDICT FUTURE PERFORMANCE.

(checkmark)COMPARING
PERFORMANCE

Yields on tax-free investments
are usually lower than yields
on taxable investments.
However, a straight
comparison between the two
may be misleading because it
ignores the way taxes reduce
taxable returns. Tax-equivalent
yield - the yield you'd have to
earn on a similar taxable
investment to match the tax-free
yield - makes the comparison
more meaningful. Keep in
mind that the U.S. government
neither insures nor guarantees
a money market fund. In fact,
there is no assurance that a
money fund will maintain a $1
share price.

SPARTAN ARIZONA MUNICIPAL MONEY MARKET FUND

FUND TALK: THE MANAGER'S OVERVIEW

(photograph of Scott Orr)

An interview with Scott Orr, Portfolio Manager of Spartan Arizona
Municipal Money Market Fund

Q. SCOTT, WHAT WAS THE INVESTMENT ENVIRONMENT LIKE OVER THE 12 MONTHS
THAT ENDED AUGUST 31, 1999?

A. As the period began, the market was in turmoil because of
international economic difficulties. Despite domestic economic
strength, the Federal Reserve Board felt the need to help allay these
problems and boost the markets by employing three interest-rate cuts
from September through November 1998. By the beginning of 1999, the
market emerged from the shadow of the global financial crisis. The
international situation stabilized to the extent that focus once again
returned to economic growth in the U.S., which continued to be strong
spurred by healthy consumer demand and solid job growth. As time
passed, it became more and more clear that the Fed would discontinue
the interest-rate cuts it had employed.

Q. WHAT HAPPENED MORE RECENTLY?

A. In March and April, data indicated that inflation might not be as
well-behaved as it had been in the recent past. Sentiment shifted from
the expectation that Fed policy would be unchanged to one expecting a
Fed rate increase. Such a hike would be employed to curb economic
growth and diminish inflationary pressures. By the end of May, the
consensus viewpoint in the market was not "if" the Fed would raise
short-term interest rates, but "when." On June 30, the Fed raised the
rate banks charge each other for overnight loans - known as the fed
funds target rate - by 0.25 percentage points to 5.00%. Although the
Fed indicated at that time that it had changed from a bias toward
raising rates to a neutral stance, it wasn't long before signs emerged
indicating the strong possibility of another rate hike. The Fed
followed through with an additional 0.25 percentage point increase in
August, a pre-emptive move designed to try to head off the inflation
that might result from continued economic strength and a tight labor
market.

Q. WHAT WAS THE FUND'S STRATEGY DURING THE PERIOD?

A. During the period, there was not a lot of supply in the one-year,
fixed-rate note area, a typical scenario in the Arizona market. As a
result, I focused my investments on short-term, variable-rate
offerings and commercial paper. However, I also looked to take
advantage of opportunities when issuers came to market with one-year,
fixed-rate securities offering rates that would perform well relative
to short-term, variable-rate alternatives. Several of these deals came
to market in the summer, which brought the fund's average maturity to
62 days at the end of the period, longer than six months ago.

Q. HOW DID THE FUND PERFORM?

A. The fund's seven-day yield on August 31, 1999, was 2.86%, compared
to 3.01% 12 months ago. The more recent seven-day yield was the
equivalent of a 4.71% taxable rate of return for Arizona investors in
the 39.23% combined state and federal income tax bracket. The fund's
yields reflect that a portion of the fund's income was subject to
state taxes. Through August 31, 1999, the fund's 12-month total return
was 2.84%, compared to 2.66% for the all tax-free money market funds
average, according to IBC Financial Data, Inc.

Q. WHAT'S YOUR OUTLOOK?

A. There is still a possibility that the Fed will increase short-term
rates again before the end of the year, if the economy remains strong,
labor markets stay tight and we see signs that wages are increasing.
Inflation, though well-behaved, is still a concern. It's conceivable
the Fed would look to implement one more rate hike to erase the
effects of its rate cuts in late 1998, which were implemented largely
to provide liquidity to the markets, not to supply fuel to the
economy. In addition, the Fed may want to implement its policy well in
advance of the new year, in an attempt to avoid changing interest-rate
policy during a time when potential Year 2000 (Y2K) computer problems
may occur. Indeed, a concern as we move toward the end of the year is
the Y2K issue and its possible impact on municipal securities. As one
of many factors we look at, we'll be paying close attention to this
issue in the months ahead.

(checkmark)FUND FACTS

GOAL: seeks as high a level
of current income exempt
from federal income tax and
Arizona personal income tax,
as is consistent with
preservation of capital

FUND NUMBER: 433

TRADING SYMBOL: FSAXX

START DATE: October 11,
1994

SIZE: as of August 31, 1999,
more than $90 million

MANAGER: Scott Orr, since
1997; manager, various
Fidelity and Spartan municipal
money market funds; joined
Fidelity in 1989

SPARTAN ARIZONA MUNICIPAL MONEY MARKET FUND

INVESTMENT CHANGES

<TABLE>
<CAPTION>
<S> <C> <C> <C>
MATURITY DIVERSIFICATION

DAYS % OF FUND'S INVESTMENTS 8/31/99 % OF FUND'S INVESTMENTS 2/28/99 % OF FUND'S INVESTMENTS 8/31/98

0 - 30 56.5 71.7 59.7

31 - 90 14.3 12.6 23.9

91 - 180 20.7 15.7 4.4

181 - 397 8.5 0.0 12.0

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C>
WEIGHTED AVERAGE MATURITY

8/31/99 2/28/99 8/31/98

Spartan Arizona Municipal 62 DAYS 29 Days 55 Days
Money Market Fund

All Tax-Free Money Market 51 DAYS 42 Days 44 Days
Funds Average *

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
ASSET ALLOCATION (% OF FUND'S
INVESTMENTS)

AS OF AUGUST 31, 1999 AS OF FEBRUARY 28, 1999

Variable Rate Demand Notes Variable Rate Demand Notes
(VRDNs) 52.1% (VRDNs) 69.4%

Commercial Paper (including Commercial Paper (including
CP Mode) 25.2% CP Mode) 14.9%

Municipal Notes 3.3% Municipal Notes 0.0%

Other Investments 19.4% Other Investments 15.7%

Row: 1, Col: 1, Value: 52.1 Row: 1, Col: 1, Value: 69.40000000000001
Row: 1, Col: 2, Value: 0.0 Row: 1, Col: 2, Value: 0.0
Row: 1, Col: 3, Value: 25.2 Row: 1, Col: 3, Value: 14.9
Row: 1, Col: 4, Value: 0.0 Row: 1, Col: 4, Value: 0.0
Row: 1, Col: 5, Value: 3.3 Row: 1, Col: 5, Value: 0.0
Row: 1, Col: 6, Value: 0.0 Row: 1, Col: 6, Value: 0.0
Row: 1, Col: 7, Value: 0.1 Row: 1, Col: 7, Value: 0.0
Row: 1, Col: 8, Value: 19.3 Row: 1, Col: 8, Value: 15.7

</TABLE>

*SOURCE: IBC'S MONEY FUND REPORT(registered trademark)

SPARTAN ARIZONA MUNICIPAL MONEY MARKET FUND

INVESTMENTS AUGUST 31, 1999

Showing Percentage of Total Value of Investment in Securities

<TABLE>
<CAPTION>
<S> <C> <C> <C>
MUNICIPAL SECURITIES - 100.0%

PRINCIPAL AMOUNT VALUE (NOTE 1)

ARIZONA - 99.9%

Apache County Ind. Dev. Auth.:

(Imperial Components, Inc.) $ 1,900,000 $ 1,900,000
Series 1996, 3.4%, LOC
Harris Trust & Savings Bank,
Chicago, VRDN (a)(d)

(Tucson Elec. Pwr. Co. - 8,000,000 8,000,000
Springerville Proj.) Series
1983 C, 3.35%, LOC Societe
Generale, France, VRDN (a)

Arizona Edl. Ln. Marketing 6,000,000 6,000,000
Corp. Series 1991 A, 3.3%,
LOC Dresdner Bank AG, VRDN
(a)(d)

Arizona School District Fing. 3,000,000 3,012,446
Prog. Ctfs. of Prtn. TAN
Series 1999 A, 4.05% 7/31/00
(AMBAC Insured)

Arizona Trans. Board Excise 3,700,000 3,730,165
Tax Rev. Bonds (Maricopa
County Reg'l. Area Road)
Series A, 4.5% 7/1/00

Coconino County Poll. Cont. 800,000 800,000
Corp. Rev. (Pub. Svc. Co.
Proj.) Series 1996 A, 3%,
LOC Barclays Bank PLC, VRDN
(a)(d)

Flagstaff Ind. Dev. Auth. 2,600,000 2,600,000
(Norton Envir., Inc. Proj.)
Series 1997, 3.45%, LOC Key
Bank, NA, VRDN (a)(d)

Glendale Ind. Dev. Auth. Rev. 1,700,000 1,700,000
(Superior Bedding Co.)
Series 1994, 3.4%, LOC
Harris Trust & Savings Bank,
Chicago, VRDN (a)(d)

Maricopa County Ind. Dev.
Auth. Ind. Dev. Rev.:

Bonds (Citizens Utils.) 1,000,000 1,000,000
Series 1988, 3.4% tender
9/10/99, CP mode (d)

(Clayton Homes Proj.) Series 1,000,000 1,000,000
1998, 3.35%, LOC Wachovia
Bank NA, VRDN (a)(d)

Maricopa County Poll. Cont.
Corp. Rev.:

Bonds (Southern California
Edison Co.):

Series 1985 D, 3.55% tender 1,000,000 1,000,000
1/31/00, CP mode

Series 1985 E, 3.55% tender 1,000,000 1,000,000
1/31/00, CP mode

Series 1985 F, 3.5% tender 1,000,000 1,000,000
1/26/00, CP mode

(Pub. Svc. Co. Proj.) Series 1,000,000 1,000,000
1994 A, 2.7%, LOC Morgan
Guaranty Trust Co., NY, VRDN
(a)

Maricopa County Unified 1,000,000 1,022,970
School District #48 Bonds
(Scottsdale) Series C, 6.6%
7/1/00 (f)

Mesa Muni. Dev. Corp. Bonds:

Series 1985:

3.3% tender 9/8/99, LOC 1,000,000 1,000,000
Westdeutsche Landesbank
Girozentrale, CP mode

3.3% tender 10/13/99, LOC 2,500,000 2,500,000
Westdeutsche Landesbank
Girozentrale, CP mode

3.3% tender 10/14/99, LOC 1,000,000 1,000,000
Westdeutsche Landesbank
Girozentrale, CP mode

3.4% tender 10/7/99, LOC 1,200,000 1,200,000
Westdeutsche Landesbank
Girozentrale, CP mode

MUNICIPAL SECURITIES -
CONTINUED

PRINCIPAL AMOUNT VALUE (NOTE 1)

ARIZONA - CONTINUED

Mesa Muni. Dev. Corp. Bonds:
- - continued

Series 1996 A&B, 3.3% tender $ 1,900,000 $ 1,900,000
9/8/99, LOC Westdeutsche
Landesbank Girozentrale, CP
mode

Mohave County Ind. Dev. Auth. 4,900,000 4,900,000
Ind. Dev. Rev. Bonds
(Citizens Utils.) Series
1993 E, 3.35% tender
10/13/99, CP mode (d)

Phoenix Civic Impt. Board 1,920,000 1,920,000
Arpt. Rev. Participating
VRDN Senior Lien Series PA
405, 3.36% (Liquidity
Facility Merrill Lynch &
Co., Inc.) (a)(e)

Phoenix Gen. Oblig. 2,430,000 2,430,000
Participating VRDN Series PA
236, 3.36% (Liquidity
Facility Merrill Lynch &
Co., Inc.) (a)(e)

Phoenix Ind. Dev. Auth. 1,000,000 1,000,000
Multi-family Hsg. Rev. (Bell
Square Apt. Proj.) Series
1995, 3.35%, LOC Gen. Elec.
Cap. Corp., VRDN (a)

Phoenix Ind. Dev. Auth. 985,000 985,000
Participating VRDN Series PT
1082, 3.37% (Liquidity
Facility Merrill Lynch &
Co., Inc.) (a)(e)

Phoenix Ind. Dev. Auth. Rev.:

(Marlyn Nutraceuticals Proj.) 1,000,000 1,000,000
3.42%, LOC Bank One, Arizona
NA, VRDN (a)(d)

(Plastican Proj.) Series 4,000,000 4,000,000
1997, 3.5%, LOC Fleet Bank
NA, VRDN (a)(d)

Rfdg. (V.A.W. of America 1,000,000 1,000,000
Proj.) Series 1997, 3.45%,
LOC Bank of America NA, VRDN
(a)(d)

Pima County Ind. Dev. Auth. 2,925,000 2,925,000
Multi-family Hsg. Rev. (La
Cholla Apt. Proj.) Series
1996, 3.35%, LOC Chase Bank
of Texas NA, VRDN (a)

Pima County Ind. Dev. Auth. 8,000,000 8,000,000
Single Family Mtg. Rev.
Bonds Series 1999 A3, 3.2%
12/1/99 (Pacific Life Ins.
Co. Guaranteed) (d)

Pinal County Ind. Dev. Auth. 3,940,000 3,940,000
Hosp. Rev. (Casa Grande Med.
Ctr. Proj.) Series 1995,
3.35%, LOC Chase Manhattan
Bank, VRDN (a)

Salt River Proj. Agric. Impt.
& Pwr. District Elec. Sys.
Rev.:

Bonds 5.5% 1/1/00 2,500,000 2,516,184

3.5% 1/28/00, CP 2,000,000 2,000,000

3.55% 1/28/00, CP 1,000,000 1,000,000

Tempe Excise Tax Rev. Bonds 2,500,000 2,504,456
Series 1999 A, 4% 1/1/00

Tucson Arpt. Auth. Spl. 1,300,000 1,300,000
Facility Rev. (LearJet,
Inc.) Series 1998 A, 3.45%,
LOC Bank of America NA, VRDN
(a)(d)

Yavapai County Ind. Dev.
Auth. Ind. Dev. Rev.:

Bonds (Citizens Utils.) 3,500,000 3,500,000
Series 1993, 3.35% tender
10/14/99, CP mode (d)

MUNICIPAL SECURITIES -
CONTINUED

PRINCIPAL AMOUNT VALUE (NOTE 1)

ARIZONA - CONTINUED

Yavapai County Ind. Dev.
Auth. Ind. Dev. Rev.: -
continued

(Oxycal Lab. Proj.) Series $ 1,000,000 $ 1,000,000
1999 A, 3.45%, LOC Bank One,
Arizona NA, VRDN (a)

Yuma County Ind. Dev. Auth. 3,000,000 3,000,000
Rev. (Meadowcraft, Inc.
Proj.) Series 1997, 3.45%,
LOC Bank of America NA, VRDN
(a)(d)

91,286,221

OTHER - 0.1%

Municipal Central Cash Fund, 122,755 122,755
3.30% (b)(c)

TOTAL INVESTMENT IN $ 91,408,976
SECURITIES - 100%

Total Cost for Income Tax Purposes $ 91,408,976

</TABLE>

SECURITY TYPE ABBREVIATIONS

CP COMMERCIAL PAPER

TAN TAX ANTICIPATION NOTE

VRDN VARIABLE RATE DEMAND NOTE

LEGEND

(a) The coupon rate shown on floating or adjustable rate securities
represents the rate at period end.

(b) Information in this report regarding holdings by state and
security types does not reflect the holdings of the Municipal Central
Cash Fund. A listing of the Municipal Central Cash Fund's holdings as
of its most recent fiscal period end is available upon request.

(d) Private activity obligations whose interest is subject to the
federal alternative minimum tax for individuals.

(e) Provides evidence of ownership in one or more underlying municipal
bonds.

(f) Security purchased on a delayed delivery or when-issued basis.

INCOME TAX INFORMATION

During the fiscal year ended August 31, 1999, 100% of the fund's
income dividends was free from federal income tax and 40.65% of the
fund's income dividends was subject to the federal alternative minimum
tax (unaudited).

SPARTAN ARIZONA MUNICIPAL MONEY MARKET FUND

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
AUGUST 31, 1999

ASSETS

Investment in securities, at $ 91,408,976
value - See accompanying
schedule

Receivable for fund shares 92,715
sold

Interest receivable 421,176

TOTAL ASSETS 91,922,867

LIABILITIES

Payable for investments $ 1,029,753
purchased on a delayed
delivery basis

Payable for fund shares 187,394
redeemed

Distributions payable 9,719

Accrued management fee 38,801

Other payables and accrued 112
expenses

TOTAL LIABILITIES 1,265,779

NET ASSETS $ 90,657,088

Net Assets consist of:

Paid in capital $ 90,680,842

Accumulated net realized gain (23,754)
(loss) on investments

NET ASSETS, for 90,654,060 $ 90,657,088
shares outstanding

NET ASSET VALUE, offering $1.00
price and redemption price
per share ($90,657,088
(divided by) 90,654,060
shares)

STATEMENT OF OPERATIONS
YEAR ENDED AUGUST 31, 1999

INTEREST INCOME $ 3,041,012

EXPENSES

Management fee $ 461,858

Non-interested trustees' 306
compensation

Total expenses before 462,164
reductions

Expense reductions (1,649) 460,515

NET INTEREST INCOME 2,580,497

NET REALIZED GAIN (LOSS) ON (23,612)
INVESTMENTS

NET INCREASE IN NET ASSETS $ 2,556,885
RESULTING FROM OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

YEAR ENDED AUGUST 31, 1999 YEAR ENDED AUGUST 31, 1998

INCREASE (DECREASE) IN NET
ASSETS

Operations Net interest income $ 2,580,497 $ 3,049,535

Net realized gain (loss) (23,612) 39,199

NET INCREASE (DECREASE) IN 2,556,885 3,088,734
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (2,580,497) (3,049,535)
from net interest income

Share transactions at net 93,042,199 86,116,142
asset value of $1.00 per
share Proceeds from sales of
shares

Reinvestment of 2,439,841 2,968,682
distributions from net
interest income

Cost of shares redeemed (99,324,559) (82,735,176)

NET INCREASE (DECREASE) IN (3,842,519) 6,349,648
NET ASSETS AND SHARES
RESULTING FROM SHARE
TRANSACTIONS

TOTAL INCREASE (DECREASE) (3,866,131) 6,388,847
IN NET ASSETS

NET ASSETS

Beginning of period 94,523,219 88,134,372

End of period $ 90,657,088 $ 94,523,219

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS

YEARS ENDED AUGUST 31, 1999 1998 1997 1996 1995 D

SELECTED PER-SHARE DATA

Net asset value, beginning $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
of period

Income from Investment .028 .034 .033 .035 .034
Operations Net interest
income

Less Distributions

From net interest income (.028) (.034) (.033) (.035) (.034)

Net asset value, end of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000

TOTAL RETURN B, C 2.84% 3.41% 3.39% 3.52% 3.43%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 90,657 $ 94,523 $ 88,134 $ 82,741 $ 52,566
(000 omitted)

Ratio of expenses to average .50% .36% E .35% E .22% E .06% A, E
net assets

Ratio of net interest income 2.79% 3.36% 3.34% 3.44% 3.91% A
to average net assets

</TABLE>

A ANNUALIZED
B THE TOTAL RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT
BEEN REDUCED DURING THE PERIODS SHOWN.
C TOTAL RETURNS DO NOT INCLUDE THE ACCOUNT CLOSEOUT FEE AND FOR
PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
D FOR THE PERIOD OCTOBER 11, 1994 (COMMENCEMENT OF OPERATIONS) TO
AUGUST 31, 1995.
E FMR AGREED TO REIMBURSE A PORTION OF THE FUND'S EXPENSES DURING THE
PERIOD. WITHOUT THIS REIMBURSEMENT, THE FUND'S EXPENSE RATIO WOULD
HAVE BEEN HIGHER.

NOTES TO FINANCIAL STATEMENTS
For the period ended August 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Spartan Arizona Municipal Income Fund (the income fund) is a fund of
Fidelity Union Street Trust. Spartan Arizona Municipal Money Market
Fund (the money market fund) is a fund of Fidelity Union Street Trust
II. Each trust is registered under the Investment Company Act of 1940,
as amended (the 1940 Act), as an open-end management investment
company. Fidelity Union Street Trust and Fidelity Union Street Trust
II (the trusts) are organized as a Massachusetts business trust and a
Delaware business trust, respectively. Each fund is authorized to
issue an unlimited number of shares. The financial statements have
been prepared in conformity with generally accepted accounting
principles which require management to make certain estimates and
assumptions at the date of the financial statements. Each fund may be
affected by economic and political developments in the state of
Arizona. The following summarizes the significant accounting policies
of the income fund and the money market fund:

SECURITY VALUATION.

INCOME FUND. Securities are valued based upon a computerized matrix
system and/or appraisals by a pricing service, both of which consider
market transactions and dealer-supplied valuations. Securities for
which quotations are not readily available are valued at their fair
value as determined in good faith under consistently applied
procedures under the general supervision of the Board of Trustees.
Short-term securities with remaining maturities of sixty days or less
for which quotations are not readily available are valued at amortized
cost or original cost plus accrued interest, both of which approximate
current value.

MONEY MARKET FUND. As permitted under Rule 2a-7 of the 1940 Act, and
certain conditions therein, securities are valued initially at cost
and thereafter assume a constant amortization to maturity of any
discount or premium.

INCOME TAXES. As a qualified regulated investment company under
Subchapter M of the Internal Revenue Code, each fund is not subject to
income taxes to the extent that it distributes substantially all of
its taxable income for the fiscal year. The schedules of investments
include information regarding income taxes under the caption "Income
Tax Information."

INTEREST INCOME. Interest income, which includes amortization of
premium and accretion of original issue discount, is accrued as
earned. For the money market fund, accretion of discount represents
unrealized gain until realized at the time of a security disposition
or maturity.

EXPENSES. Most expenses of each trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Dividends are declared daily and paid
monthly from net interest income. Distributions to shareholders from
realized capital gains on investments, if any, are recorded on the
ex-dividend date.

1. SIGNIFICANT ACCOUNTING
POLICIES - CONTINUED

DISTRIBUTIONS TO SHAREHOLDERS - CONTINUED

Income and capital gain distributions are determined in accordance
with income tax regulations which may differ from generally accepted
accounting principles. These differences, which may result in
distribution reclassifications, are primarily due to differing
treatments for futures transactions, market discount, and losses
deferred due to futures and excise tax regulations.

Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital and
may affect the per-share allocation between net interest income and
realized and unrealized gain (loss). Accumulated undistributed net
realized gain (loss) on investments may include temporary book and
tax basis differences that will reverse in a subsequent period. Any
taxable gain remaining at fiscal year end is distributed in the
following year.

SHORT-TERM TRADING (REDEMPTION) FEES. Shares held in the income fund
less than 180 days are subject to a short-term trading fee equal to
.50% of the proceeds of the redeemed shares. The fee, which is
retained by the fund, is accounted for as an addition to paid in
capital.

SECURITY TRANSACTIONS. Security transactions are accounted for as of
trade date. Gains and losses on securities sold are determined on the
basis of identified cost.

2. OPERATING POLICIES.

MUNICIPAL CENTRAL CASH FUND. Pursuant to an Exemptive Order issued by
the Securities and Exchange Commission (the SEC), the funds may invest
in the Municipal Central Cash Fund (the Cash Fund) managed by Fidelity
Investments Money Management, Inc. (FIMM), an affiliate of Fidelity
Management & Research Company (FMR). The Cash Fund is an open-end
money market fund available only to investment companies and other
accounts managed by FMR and its affiliates. The Cash Fund seeks
preservation of capital, liquidity, and current income by investing in
high-quality, short-term municipal securities of various states and
municipalities. Income distributions from the Cash Fund are declared
daily and paid monthly from net interest income. Income distributions
earned by the funds are recorded as interest income in the
accompanying financial statements.

DELAYED DELIVERY TRANSACTIONS. Each fund may purchase or sell
securities on a delayed delivery basis. Payment and delivery may take
place after the customary settlement period for that security. The
price of the underlying securities and the date when the securities
will be delivered and paid for are fixed at the time the transaction
is negotiated. The market values of the securities purchased on a
delayed delivery basis are identified as such in each applicable
fund's schedule of investments. Each fund may receive compensation for
interest forgone in the purchase of a delayed delivery security.

2. OPERATING POLICIES -
CONTINUED

DELAYED DELIVERY TRANSACTIONS - CONTINUED

With respect to purchase commitments, each fund identifies securities
as segregated in its records with a value at least equal to the amount
of the commitment. Losses may arise due to changes in the market value
of the underlying securities or if the counterparty does not perform
under the contract.

FUTURES CONTRACTS. The income fund may use futures contracts to manage
its exposure to the bond market and to fluctuations in interest rates.
Buying futures tends to increase the fund's exposure to the underlying
instrument, while selling futures tends to decrease the fund's
exposure to the underlying instrument or hedge other fund investments.
Losses may arise from changes in the value of the underlying
instruments or if the counterparties do not perform under the
contracts' terms. Gains (losses) are realized upon the expiration or
closing of the futures contracts. Futures contracts are valued at the
settlement price established each day by the board of trade or
exchange on which they are traded.

3. PURCHASES AND SALES OF INVESTMENTS.

INCOME FUND. Purchases and sales of securities, other than short-term
securities, aggregated $10,395,152 and $3,064,786, respectively.

The market value of futures contracts opened and closed during the
period amounted to $253,988 and $627,217, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

MANAGEMENT FEE. As each fund's investment adviser, FMR pays all
expenses, except the compensation of the non-interested Trustees and
certain exceptions such as interest, taxes, brokerage commissions and
extraordinary expenses. FMR receives a fee that is computed daily at
an annual rate of .55% and .50% of average net assets for the income
fund and money market fund, respectively. The management fee paid to
FMR by each fund is reduced by an amount equal to the fees and
expenses paid by each fund to the non-interested Trustees.

FMR also bears the cost of providing shareholder services to the money
market fund. To offset the cost of providing these services, FMR or
its affiliates collected certain transaction fees from shareholders
which amounted to $767 for the period.

SUB-ADVISER FEE. As the money market and the income (effective January
1, 1999) funds' investment sub-adviser, FIMM, a wholly owned
subsidiary of FMR, receives a fee from FMR of 50% of the management
fee payable to FMR. The fee is paid prior to any voluntary expense
reimbursements which may be in effect.

MONEY MARKET INSURANCE. Pursuant to an Exemptive Order issued by the
SEC, the money market fund, along with other money market funds
advised by FMR or its affiliates, have entered into

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES -
CONTINUED

MONEY MARKET INSURANCE -
CONTINUED

insurance agreements with FIDFUNDS Mutual Limited (FIDFUNDS), an
affiliated mutual insurance company, effective January 1, 1999.
FIDFUNDS provides limited coverage for certain loss events including
issuer default as to payment of principal or interest and bankruptcy
or insolvency of a credit enhancement provider. The insurance does not
cover losses resulting from changes in interest rates, ratings
downgrades or other market conditions. The fund may be subject to a
special assessment of up to approximately 2.5 times the fund's annual
gross premium if covered losses exceed certain levels. FMR has borne
the cost of the fund's premium payable to FIDFUNDS.

5. EXPENSE REDUCTIONS.

FMR has entered into arrangements on behalf of certain funds with the
funds' custodian and transfer agent whereby credits realized as a
result of uninvested cash balances were used to reduce a portion of
each applicable fund's expenses. During the period, the income fund's
and money market fund's expenses were reduced by $2,881 and $1,649,
respectively, under these arrangements.

REPORT OF INDEPENDENT ACCOUNTANTS

To the Trustees of Fidelity Union Street Trust and Fidelity Union
Street Trust II and the Shareholders of Spartan Arizona Municipal
Income Fund and Spartan Arizona Municipal Money Market Fund:

In our opinion, the accompanying statements of assets and liabilities,
including the schedules of investments, and the related statements of
operations and of changes in net assets and the financial highlights
present fairly, in all material respects, the financial position of
Spartan Arizona Municipal Income Fund (a fund of Fidelity Union Street
Trust) and Spartan Arizona Municipal Money Market Fund (a fund of
Fidelity Union Street Trust II) at August 31, 1999, and the results of
their operations, the changes in their net assets and the financial
highlights for the periods indicated, in conformity with generally
accepted accounting principles. These financial statements and
financial highlights (hereafter referred to as "financial statements")
are the responsibility of the funds' management; our responsibility is
to express an opinion on these financial statements based on our
audits. We conducted our audits of these financial statements in
accordance with generally accepted auditing standards which require
that we plan and perform the audit to obtain reasonable assurance
about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements,
assessing the accounting principles used and significant estimates
made by management, and evaluating the overall financial statement
presentation. We believe that our audits, which included confirmation
of securities at August 31, 1999 by correspondence with the custodian
and brokers, provide a reasonable basis for the opinion expressed
above.

/s/PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP

Boston, Massachusetts
October 6, 1999

DISTRIBUTIONS

During fiscal year ended 1999, 100% of the fund's income dividends was
free from federal income tax, and 7.46% of the fund's income dividends
was subject to the federal alternative minimum tax.

The fund will notify shareholders in January 2000 of amounts for use
in preparing 1999 income tax returns.

OF SPECIAL NOTE

INTRODUCING FIDELITY'S NEW, REORGANIZED PROSPECTUS

We invite you to spend a moment and review our new prospectus. It is
designed to help make your investment decision easier, no matter which
of the Fidelity funds you invest in.

MANAGING YOUR INVESTMENTS

BY PHONE

(PHONE_GRAPHIC)FIDELITY AUTOMATED
SERVICE TELEPHONE (FASTSM)
1-800-544-5555

PRESS

1 For mutual fund and brokerage trading.

2 For quotes.*

3 For account balances and holdings.

4 To review orders and mutual
fund activity.

5 To change your PIN.

*0 To speak to a Fidelity representative.

BY PC

Fidelity's Web site on the Internet provides a wide range of
information, including daily financial news, fund performance,
interactive planning tools and news about Fidelity products and
services.

(COMPUTER_GRAPHIC)FIDELITY'S WEB SITE
WWW.FIDELITY.COM

(COMPUTER_GRAPHIC)
FIDELITY ON-LINE XPRESS+(registered trademark)

INVESTMENT ADVISER

Fidelity Management & Research Company
Boston, MA

SUB-ADVISER

Fidelity Investments
Money Management, Inc.
Merrimack, NH

OFFICERS

Edward C. Johnson 3d, President
Robert C. Pozen, Senior Vice President
Fred L. Henning, Jr., Vice President
Boyce I. Greer, Vice President -
MONEY MARKET FUND
Scott A. Orr, Vice President -
MONEY MARKET FUND
Dwight D. Churchill, Vice President -
INCOME FUND
Christine J. Thompson, Vice President -
INCOME FUND
Stanley N. Griffith, Assistant Vice President
Eric D. Roiter, Secretary
Richard A. Silver, Treasurer
Matthew N. Karstetter, Deputy Treasurer
John H. Costello, Assistant Treasurer
Thomas J. Simpson, Assistant Treasurer

BOARD OF TRUSTEES

* INDEPENDENT TRUSTEES

AZI/SPZ-ANN-1099 85774
1.536826.102

ADVISORY BOARD

J. Gary Burkhead
Abigail P. Johnson -
MONEY MARKET FUND

GENERAL DISTRIBUTOR

Fidelity Distributors Corporation
Boston, MA

TRANSFER AND SHAREHOLDER
SERVICING AGENTS

Citibank, N.A.
New York, NY
and
Fidelity Service Company, Inc.
Boston, MA

CUSTODIAN

Citibank, N.A.
New York, NY

THE FIDELITY TELEPHONE CONNECTION
MUTUAL FUND 24-HOUR SERVICE

Exchanges/Redemptions 1-800-544-7777
Account Assistance 1-800-544-6666
Product Information 1-800-544-8888
Retirement Accounts 1-800-544-4774 (8 a.m. - 9 p.m.)
TDD Service 1-800-544-0118
for the deaf and hearing impaired
(9 a.m. - 9 p.m. Eastern time)
Fidelity Automated Service
Telephone (FASTSM) 1-800-544-5555
AUTOMATED LINE FOR QUICKEST SERVICE

(fidelity_logo)(registered trademark)
Corporate Headquarters
82 Devonshire St., Boston, MA 02109
www.fidelity.com

SPARTAN(REGISTERED TRADEMARK)
MARYLAND
MUNICIPAL INCOME
FUND

ANNUAL REPORT
AUGUST 31, 1999

(2_FIDELITY_LOGOS)(registered trademark)

CONTENTS

PRESIDENT'S MESSAGE 3 Ned Johnson on investing
strategies.

PERFORMANCE 4 How the fund has done over
time.

FUND TALK 7 The manager's review of fund
performance, strategy and
outlook.

INVESTMENT CHANGES 10 A summary of major shifts in
the fund's investments over
the past six months.

INVESTMENTS 11 A complete list of the fund's
investments with their
market values.

FINANCIAL STATEMENTS 15 Statements of assets and
liabilities, operations, and
changes in net assets, as
well as financial highlights.

NOTES 19 Notes to the financial
statements.

REPORT OF INDEPENDENT 21 The auditors' opinion.
ACCOUNTANTS

DISTRIBUTIONS 22

OF SPECIAL NOTE 23

Standard & Poor's, S&P and S&P 500 are registered service marks of The
McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity
Distributors Corporation.

Other third party marks appearing herein are the property of their
respective owners.

All other marks appearing herein are registered or unregistered
trademarks or service marks of FMR Corp. or an affiliated company.

This report is printed on recycled paper using soy-based inks.

THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE
SUBMITTED FOR THE GENERAL
INFORMATION OF THE SHAREHOLDERS OF THE FUND. THIS REPORT IS NOT
AUTHORIZED FOR DISTRIBUTION TO
PROSPECTIVE INVESTORS IN THE FUND UNLESS PRECEDED OR ACCOMPANIED BY AN
EFFECTIVE PROSPECTUS.

MUTUAL FUND SHARES ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED
BY,
ANY DEPOSITORY INSTITUTION. SHARES ARE NOT INSURED BY THE FDIC, THE
FEDERAL RESERVE BOARD, OR ANY OTHER AGENCY, AND ARE SUBJECT TO
INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL AMOUNT
INVESTED.

NEITHER THE FUND NOR FIDELITY DISTRIBUTORS CORPORATION IS A BANK.

FOR MORE INFORMATION ON ANY FIDELITY FUND, INCLUDING CHARGES AND
EXPENSES, CALL 1-800-544-8888
FOR A FREE PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST OR SEND
MONEY.

PRESIDENT'S MESSAGE

(PHOTO_OF_EDWARD_C_JOHNSON_3D)

DEAR SHAREHOLDER:

While it's impossible to predict the future direction of the markets
with any degree of certainty, there are certain basic principles that
can help investors plan for their future needs.

An intermediate-length fund could make sense if your investment
horizon is two to four years, while a short-term bond fund could be
the right choice if you need your money in one or two years.

Best regards,
Edward C. Johnson 3d

PERFORMANCE: THE BOTTOM LINE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED AUGUST 31, 1999 PAST 1 YEAR PAST 5 YEARS LIFE OF FUND

SPARTAN MD MUNICIPAL INCOME -0.15% 33.05% 38.30%

LB Maryland 4 Plus Year 0.43% 36.01% n/a
Municipal Bond

Maryland Municipal Debt Funds -0.96% 29.70% n/a

CUMULATIVE TOTAL RETURNS show the fund's performance in percentage
terms over a set period - in this case, one year, five years or since
the fund started on April 22, 1993. For example, if you had invested
$1,000 in a fund that had a 5% return over the past year, the value of
your investment would be $1,050. You can compare the fund's returns to
the performance of the Lehman Brothers Maryland 4 Plus Year Municipal
Bond Index - a market value-weighted index of Maryland
investment-grade municipal bonds with maturities of four years or
more. To measure how the fund's performance stacked up against its
peers, you can compare it to the Maryland municipal debt funds
average, which reflects the performance of mutual funds with similar
objectives tracked by Lipper Inc. The past one year average represents
a peer group of 37 mutual funds. These benchmarks include reinvested
dividends and capital gains, if any, and exclude the effect of sales
charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED AUGUST 31, 1999 PAST 1 YEAR PAST 5 YEARS LIFE OF FUND

SPARTAN MD MUNICIPAL INCOME -0.15% 5.88% 5.23%

LB Maryland 4 Plus Year 0.43% 6.34% n/a
Municipal Bond

Maryland Municipal Debt Funds -0.96% 5.33% n/a

$10,000 OVER LIFE OF FUND
Spartan MD Muni Income LB Municipal Bond
00429 LB015
1993/04/30 10000.00 10000.00
1993/05/31 10085.91 10056.20
1993/06/30 10290.79 10224.04
1993/07/31 10265.32 10237.43
1993/08/31 10557.40 10450.57
1993/09/30 10704.98 10569.61
1993/10/31 10689.74 10590.01
1993/11/30 10529.07 10496.71
1993/12/31 10803.25 10718.29
1994/01/31 10954.65 10840.70
1994/02/28 10622.40 10559.92
1994/03/31 10073.68 10129.92
1994/04/30 10162.95 10215.82
1994/05/31 10243.70 10304.40
1994/06/30 10206.48 10241.44
1994/07/31 10384.83 10429.16
1994/08/31 10403.21 10465.25
1994/09/30 10214.51 10311.62
1994/10/31 9973.88 10128.48
1994/11/30 9719.70 9945.36
1994/12/31 9992.19 10164.26
1995/01/31 10309.68 10454.75
1995/02/28 10621.51 10758.77
1995/03/31 10738.62 10882.39
1995/04/30 10731.40 10895.23
1995/05/31 11084.16 11242.90
1995/06/30 10985.06 11145.09
1995/07/31 11091.31 11250.74
1995/08/31 11242.66 11393.40
1995/09/30 11347.30 11465.52
1995/10/31 11476.69 11632.23
1995/11/30 11651.39 11825.21
1995/12/31 11770.51 11938.85
1996/01/31 11877.96 12028.99
1996/02/29 11794.29 11947.79
1996/03/31 11643.74 11795.10
1996/04/30 11619.17 11761.72
1996/05/31 11607.45 11757.02
1996/06/30 11712.40 11885.05
1996/07/31 11818.90 11993.20
1996/08/31 11818.37 11990.33
1996/09/30 11948.97 12158.19
1996/10/31 12080.97 12295.70
1996/11/30 12308.68 12520.71
1996/12/31 12226.50 12468.12
1997/01/31 12250.97 12491.69
1997/02/28 12369.27 12606.36
1997/03/31 12172.69 12438.32
1997/04/30 12269.49 12542.43
1997/05/31 12430.49 12731.07
1997/06/30 12577.20 12866.65
1997/07/31 12924.29 13223.06
1997/08/31 12784.46 13099.16
1997/09/30 12958.06 13254.65
1997/10/31 13045.20 13339.87
1997/11/30 13118.15 13418.31
1997/12/31 13307.36 13614.08
1998/01/31 13446.78 13754.58
1998/02/28 13428.36 13758.71
1998/03/31 13427.80 13770.82
1998/04/30 13361.66 13708.71
1998/05/31 13555.17 13925.72
1998/06/30 13604.57 13980.59
1998/07/31 13615.73 14015.68
1998/08/31 13862.61 14232.22
1998/09/30 14016.32 14409.55
1998/10/31 14027.02 14409.26
1998/11/30 14049.33 14459.84
1998/12/31 14099.95 14496.28
1999/01/31 14270.38 14668.64
1999/02/28 14156.23 14604.54
1999/03/31 14167.44 14624.84
1999/04/30 14204.34 14661.25
1999/05/31 14107.55 14576.37
1999/06/30 13886.53 14366.47
1999/07/31 13938.61 14418.76
1999/08/31 13841.47 14303.41
IMATRL PRASUN SHR__CHT 19990831 19990921 103129 R00000000000079

$10,000 OVER LIFE OF FUND: Let's say hypothetically that $10,000 was
invested in Spartan Maryland Municipal Income Fund on April 30, 1993,
shortly after the fund started. As the chart shows, by August 31,
1999, the value of the investment would have grown to $13,841 - a
38.41% increase on the initial investment. For comparison, look at how
the Lehman Brothers Municipal Bond Index - a market value-weighted
index of investment-grade municipal bonds with maturities of one year
or more - did over the same period. With dividends and capital gains,
if any, reinvested, the same $10,000 would have grown to $14,303 - a
43.03% increase.

(checkmark)UNDERSTANDING
PERFORMANCE

How a fund did yesterday is
no guarantee of how it will
do tomorrow. Bond prices, for
example, generally move in
the opposite direction of
interest rates. In turn, the
share price, return and yield
of a fund that invests in bonds
will vary. That means if you
sell your shares during a
market downturn, you might
lose money. But if you can ride
out the market's ups and
downs, you may have a gain.

TOTAL RETURN COMPONENTS

YEARS ENDED AUGUST 31,

1999 1998 1997 1996 1995

Dividend returns 4.21% 4.69% 4.89% 5.02% 6.00%

Capital returns -4.36% 3.74% 3.28% 0.10% 2.07%

Total returns -0.15% 8.43% 8.17% 5.12% 8.07%

DIVIDENDS AND YIELD

PERIODS ENDED AUGUST 31, 1999 PAST 1 MONTH PAST 6 MONTHS PAST 1 YEAR

Dividends per share 3.89(cents) 22.84(cents) 45.10(cents)

Annualized dividend rate 4.54% 4.38% 4.31%

30-day annualized yield 4.57% - -

30-day annualized 7.75% - -
tax-equivalent yield

DIVIDENDS per share show the income paid by the fund for a set period.
If you annualize this number, based on an average share price of
$10.09 over the past one month, $10.35 over the past six months and
$10.47 over the past one year, you can compare the fund's income over
these three periods. The 30-day annualized YIELD is a standard formula
for all bond funds based on the yields of the bonds in the fund,
averaged over the past 30 days. This figure shows you the yield
characteristics of the fund's investments at the end of the period. It
also helps you compare funds from different companies on an equal
basis. The tax-equivalent yield shows what you would have to earn on a
taxable investment to equal the fund's tax-free yield, if you're in
the 41.05% combined effective 1999 federal and state income tax
bracket, but does not reflect the payment of the federal alternative
minimum tax, if applicable.

FUND TALK: THE MANAGER'S OVERVIEW

(photograph of George Fischer)

An interview with George Fischer, Portfolio Manager of Spartan
Maryland Municipal Income Fund

Q. HOW DID THE FUND PERFORM, GEORGE?

A. For the 12-month period that ended August 31, 1999, the fund had a
total return of -0.15%. To get a sense of how the fund did relative to
its competitors, the Maryland municipal debt funds average returned
- -0.96% for the same 12-month period, according to Lipper Inc.
Additionally, the Lehman Brothers Maryland 4 Plus Year Municipal Bond
Index - which tracks the types of securities in which the fund invests
- - returned 0.43%.

Q. EVEN THOUGH RISING INTEREST RATES MUTED MUNICIPAL BOND PERFORMANCE
OVER THE PAST YEAR, THE FUND OUTPACED ITS PEERS. WHAT STRATEGIES
HELPED?

A. The fund's focus on high-quality bonds was a plus for performance.
Problems with a few lower-rated Maryland hospital systems and
difficulty experienced by lower-quality resource recovery recycling
facilities put pressure on the lower-quality segment of the municipal
market as a whole. I generally didn't think that lower-quality bonds
offered enough incremental yield to compensate for their added risk.
In addition, the way in which I managed the fund's duration - its
sensitivity to changing interest rates - was a positive contributor to
the fund's outperformance relative to its peers. When interest rates
moved substantially higher during the period, funds with relatively
long durations generally suffered the most. Rather than trying to
predict the direction of interest rates, I manage the fund to have a
duration that approximates that of the municipal market, as measured
by the Lehman Brothers Maryland 4 Plus Year Municipal Bond Index. By
doing so, I avoided the potential underperformance that could have
occurred if the fund was too interest-rate sensitive when interest
rates rose.

Q. WHAT SPECIFIC TYPES OF BONDS CONTRIBUTED TO THE FUND'S PERFORMANCE?

A. The fund had a relatively large stake in premium coupon bonds,
which generally held up better than lower coupon bonds. Premiums, as
they are known, carry coupons higher than prevailing interest rates
and are attractive for several reasons. First, they're more likely
than discount bonds - which carry interest rates below prevailing
rates - to be advance refunded, a refinancing-like process that
generally is positive for their prices. Second, premium bonds are
somewhat protected from the unfavorable tax treatment and price
performance that can hurt discount bonds when rates are rising.
Finally, individual investors - who account for a significant portion
of municipal bond demand - tend to shy away from premium coupon bonds
in favor of par bonds - those that carry coupons at prevailing rates.
As a result, I'm often able to buy premiums at attractive prices
relative to comparably rated par bonds with similar maturities.

Q. WERE THERE ANY DISAPPOINTMENTS?

A. Yes, there were. Longer-maturity discount bonds proved to be some
of the market's worst performers during the past year, although the
fund had only small holdings in them. In addition to focusing on
premium coupon bonds, I emphasized intermediate bonds set to mature
within seven to 15 years. For bonds with maturities of 15 years or
longer, the extra income for each successive year was not, in my
opinion, attractive given the level of risk inherent in longer-term
bonds.

Q. GEORGE, WHAT'S YOUR OUTLOOK?

A. As it always is, the direction of interest rates will be the
primary factor that determines the municipal market's performance.
It's not clear at this point whether the Federal Reserve Board is
finished raising interest rates as it did in June and August, or
whether those rate hikes were just a preview of things to come. But
other factors - namely supply and demand - also will play a role. If
interest rates remain stable or move higher, I would expect the supply
of municipals to taper off as issuers slow down their refinancing and
new issuance activity. A bigger unknown is demand. Even after gaining
some ground on them, municipals remain relatively cheap alternatives
to U.S. Treasuries. To the extent that investors seek out that value,
the more municipals likely will benefit. While longer-maturity and
lower-quality bonds have performed poorly over the past several
months, some may provide an opportunity to pick up attractively
priced, higher-yielding securities. But I plan to be very selective,
keeping the bulk of the fund's investments in high-quality,
intermediate-maturity bonds that I feel offer the best combination of
reward and risk.

(checkmark)FUND FACTS

GOAL: high current tax-free
income for Maryland
residents

FUND NUMBER: 429

TRADING SYMBOL: SMDMX

START DATE: April 22, 1993

SIZE: as of August 31, 1999,
more than $48 million

MANAGER: George Fischer,
since 1998; manager,
various Fidelity and Spartan
municipal income funds;
joined Fidelity in 1989

GEORGE FISCHER ON Y2K AND
ITS POTENTIAL EFFECTS ON
MUNICIPAL BOND ISSUERS:

"The Y2K bug may pose problems
for some municipal issuers. At this
point, however, it's unclear how
many or to what magnitude
issuers will be affected, if at all.
That's why Fidelity's research
team - in its routine securities
selection process - is looking at
municipal issuers' Y2K
preparedness. We're attempting to
ascertain how vulnerable a
given issuer thinks it is and what
potential fixes it has planned in
the event of problems. How
successful issuers are in
preparing for and dealing with
problems ultimately may affect
their creditworthiness. Y2K is
only one of the many factors I
must consider when determining
whether to buy or sell securities
for the fund."

(solid bullet) General obligation bonds
(GOs) were the fund's largest
sector concentration throughout
the past year, making up 43.8% of
investments at the end of the
period. A GO is backed by the full
faith and credit - which includes
the taxing power - of a city,
county, state or other issuer. GOs
are repaid through general
revenues - including individual
and corporate taxes -
collected by the issuer.

INVESTMENT CHANGES

<TABLE>
<CAPTION>
<S> <C> <C>
TOP FIVE SECTORS AS OF AUGUST
31, 1999

% OF FUND'S INVESTMENTS % OF FUND'S INVESTMENTS IN
THESE SECTORS 6 MONTHS AGO

General Obligations 43.8 36.1

Escrowed/Pre-Refunded 11.4 15.6

Special Tax 9.6 10.3

Resource Recovery 7.5 8.2

Housing 6.2 6.6

AVERAGE YEARS TO MATURITY AS
OF AUGUST 31, 1999

6 MONTHS AGO

Years 12.4 12.1

</TABLE>

AVERAGE YEARS TO MATURITY IS BASED ON THE AVERAGE TIME REMAINING UNTIL
PRINCIPAL PAYMENTS ARE EXPECTED FROM EACH OF THE FUND'S BONDS,
WEIGHTED BY DOLLAR AMOUNT.

DURATION AS OF AUGUST 31, 1999

6 MONTHS AGO

Years 6.7 6.4

QUALITY DIVERSIFICATION

AS OF AUGUST 31, 1999

Aaa 53.9%
Aa, A 38.5%
Baa 5.5%
Not Rated 2.1%
Short-term
Investments 0.0%

Row: 1, Col: 1, Value: 53.9
Row: 1, Col: 2, Value: 38.5
Row: 1, Col: 3, Value: 5.5
Row: 1, Col: 4, Value: 2.1
Row: 1, Col: 5, Value: 0.0

AS OF FEBRUARY 28, 1999

Aaa 54.8%
Aa, A 35.3%
Baa 8.5%
Not Rated 0.0%
Short-term
Investments 1.4%

Row: 1, Col: 1, Value: 54.8
Row: 1, Col: 2, Value: 35.3
Row: 1, Col: 3, Value: 8.5
Row: 1, Col: 4, Value: 0.0
Row: 1, Col: 5, Value: 1.4

WHERE MOODY'S RATINGS ARE NOT AVAILABLE, WE HAVE USED S&P (registered
trademark) RATINGS. AMOUNTS SHOWN ARE AS A PERCENTAGE OF THE FUND'S
INVESTMENTS.

INVESTMENTS AUGUST 31, 1999

Showing Percentage of Total Value of Investment in Securities

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
MUNICIPAL BONDS - 100.0%

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT VALUE (NOTE 1)

MARYLAND - 95.2%

Anne Arundel County Gen.
Oblig.:

(Consolidated Wtr. & Swr.) 7% Aa2 $ 550,000 $ 609,521
8/1/04

Rfdg. (Gen. Impt. Proj.) Aa2 1,000,000 1,026,640
5.25% 8/1/08

Baltimore County Gen. Oblig. Aaa 1,000,000 993,570
Rfdg. (Pension Fdg. Proj.)
5.125% 8/1/12

Baltimore County Metro. Aaa 850,000 907,783
District (Spl. Assessment)
63rd Issue 6.125% 7/1/07
(Pre-Refunded to 7/1/02 @
102) (c)

Baltimore Gen. Oblig.:

(Consolidated Pub. Impt. Aaa 1,000,000 1,014,770
Proj.) Series A, 5.5%
10/15/14 (FGIC Insured)

(Pub. Impt. Proj.) Series A, Aaa 500,000 577,555
7% 10/15/09 (MBIA Insured)

Rfdg. (Cap. Appreciation) Aaa 2,000,000 1,399,900
(Consolidated Pub. Impt.
Proj.) Series A, 0% 10/15/06
(FGIC Insured)

Series A:

5.5% 10/15/11 (FGIC Insured) Aaa 1,000,000 1,022,440

5.625% 10/15/13 (FGIC Insured) Aaa 1,460,000 1,490,981

Baltimore Gen. Oblig. Proj. Aaa 1,100,000 1,013,639
Rev. Rfdg. (Wtr. Proj.)
Series A, 5% 7/1/24 (FGIC
Insured)

Baltimore Port Facilities Aa3 2,000,000 2,143,780
Rev. (Consolidated Coal
Sales Co.) 6.5% 12/1/10

Calvert County Gen. Oblig. Aa3 1,000,000 1,027,520
5.2% 1/1/04

Frederick County Gen. Oblig.:

(Pub. Facilities) 5.25% 7/1/09 Aa2 1,000,000 1,022,980

Rfdg. 5.75% 7/1/16 Aa2 1,000,000 1,018,890

Maryland Gen. Oblig. (State &
Local Facilities Ln.):

Series 1:

4.5% 3/1/01 Aaa 615,000 618,708

5.5% 2/1/06 Aaa 1,000,000 1,035,990

Series 2:

5% 7/15/07 Aaa 1,000,000 1,016,920

5% 8/1/07 Aaa 570,000 579,701

5% 8/1/11 Aaa 1,000,000 990,740

5.25% 7/15/12 Aaa 1,000,000 1,004,810

Maryland Health & Higher Edl.
Facilities Auth. Rev.:

(Charity Oblig. Group) Series Aa2 985,000 981,868
D, 4.6% 11/1/26

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT VALUE (NOTE 1)

MARYLAND - CONTINUED

Maryland Health & Higher Edl.
Facilities Auth. Rev.: -
continued

(Good Samaritan Hosp.):

5.7% 7/1/09 (Escrowed to A1 $ 1,000,000 $ 1,053,750
Maturity) (c)

5.75% 7/1/13 (AMBAC Insured) Aaa 145,000 150,712
(Escrowed to Maturity) (c)

5.75% 7/1/13 (Escrowed to A1 240,000 249,216
Maturity) (c)

(Loyola College Proj.) 5% A2 1,000,000 855,610
10/1/39

Rfdg.:

(Helix Health Proj.) 5% Aaa 1,000,000 948,860
7/1/17 (AMBAC Insured)
(Escrowed to Maturity) (c)

(Howard County Gen. Hosp. - 1,000,000 1,023,180
Proj.) 5.5% 7/1/13 (Escrowed
to Maturity) (c)

(John Hopkins Univ.) 6% 7/1/10 Aa2 500,000 542,495

Maryland Hsg. & Cmnty. Dev.
Administration:

(Single Family Prog.) Series Aa2 500,000 520,970
7, 7.25% 4/1/19 (b)

Rfdg. (Residential) Series B, Aa2 990,000 985,614
5.05% 9/1/19 (b)

Maryland Ind. Dev. Fing. Aa3 1,000,000 1,030,510
Auth. Rev. Rfdg. (Holy
Cross Health Sys. Corp.
Proj.) 5.7% 12/1/10

Maryland Trans. Auth. Rev.:

(Trans. Facilities Projs.) Aaa 1,015,000 1,148,006
6.8% 7/1/16 (Escrowed to
Maturity) (c)

Rfdg. (Trans. Facilities A1 500,000 528,750
Projs.) 5.8% 7/1/06

Rfdg. (Cap. Appreciation) Aaa 3,000,000 2,399,190
(Trans. Facilities Projs.)
0% 7/1/04 (FGIC Insured)

Montgomery County Gen. Oblig.:

(Consolidated Pub. Impt.
Proj.) Series A:

5.375% 5/1/12 Aaa 1,000,000 1,013,350

5.625% 10/1/06 Aaa 1,000,000 1,057,560

Series A, 6.3% 4/1/04 Aaa 500,000 537,070

Montgomery County Hsg. Aa2 1,000,000 1,040,260
Opportunity Commission
Single Family Mtg. Rev.
Series A, 6.6% 7/1/14

Northeast Maryland Waste
Disp. Auth. Resource
Recovery Rev.:

(Baltimore Resco Retrofit BBB+ 1,000,000 913,710
Proj.) 4.75% 1/1/12 (b)

Rfdg. (Southwest Resource Aaa 1,235,000 1,377,309
Recovery Facilities) 7.2%
1/1/05 (MBIA Insured)

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT VALUE (NOTE 1)

MARYLAND - CONTINUED

Northeast Maryland Waste
Disp. Auth. Solid Waste Rev.
(Montgomery County Resource
Recovery Proj.) Series A:

5.9% 7/1/05 (b) A2 $ 760,000 $ 793,980

6% 7/1/07 (b) A2 500,000 525,445

Prince Georges County Gen. Aaa 1,000,000 1,008,900
Oblig. (Consolidated Pub.
Impts. Proj.) 5.5% 3/15/16
(MBIA Insured)

Prince Georges County Hsg. AAA 430,000 446,942
Auth. Rev. (Single Family
Mtg.) Series A, 6.5% 12/1/15
(b)

Univ. of Maryland Sys.
Auxiliary Facility & Tuition
Rev.:

Rfdg. Series C, 5% 10/1/10 Aa3 1,000,000 1,002,350

Series A, 5.6% 4/1/16 Aa3 500,000 508,615

Washington D.C. Metro. Area Aaa 1,570,000 1,665,550
Trans. Auth. Gross Rev.
Rfdg. 6% 7/1/10 (FGIC
Insured)

Washington D.C. Suburban Aa1 1,000,000 1,080,110
Sanitation District Rfdg.
Series 2, 8% 1/1/02

45,906,720

PUERTO RICO - 4.8%

Puerto Rico Commonwealth Hwy. Baa1 2,000,000 1,748,680
& Trans. Auth. Trans. Rev.
Series A, 5% 7/1/38

Puerto Rico Commonwealth Aaa 600,000 540,882
Infrastructure Fing. Auth.
Series A, 5% 7/1/28 (AMBAC
Insured)

2,289,562

TOTAL INVESTMENT IN $ 48,196,282
SECURITIES - 100%
(Cost $48,439,447)

</TABLE>

LEGEND

(a) Standard & Poor's credit ratings are used in the absence of a
rating by Moody's Investors Service, Inc.

(b) Private activity obligations whose interest is subject to the
federal alternative minimum tax for individuals.

OTHER INFORMATION

The composition of long-term debt holdings as a percentage of total
value of investments in securities, is as follows (ratings are
unaudited):

MOODY'S RATINGS S&P RATINGS

Aaa, Aa, A 91.4% AAA, AA, A 88.0%

Baa 3.6% BBB 1.9%

Ba 0.0% BB 0.0%

B 0.0% B 0.0%

Caa 0.0% CCC 0.0%

Ca, C 0.0% CC, C 0.0%

D 0.0%

The percentage not rated by Moody's or S&P amounted to 2.1%.
The distribution of municipal securities by revenue source, as a
percentage of total value of investments in securities, is as follows:

General Obligations 43.8%

Escrowed/Pre-Refunded 11.4

Special Tax 9.6

Resource Recovery 7.5

Housing 6.2

Education 6.1

Others (individually less 15.4
than 5%)

100.0%

INCOME TAX INFORMATION

At August 31, 1999, the aggregate cost of investment securities for
income tax purposes was $48,439,447. Net unrealized depreciation
aggregated $243,165, of which $634,345 related to appreciated
investment securities and $877,510 related to depreciated investment
securities.

At August 31, 1999, the fund had a capital loss carryforward of
approximately $924,207 all of which will expire on August 31, 2004.

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
AUGUST 31, 1999

ASSETS

Investment in securities, at $ 48,196,282
value (cost $48,439,447) -
See accompanying schedule

Cash 1,053,449

Interest receivable 556,149

TOTAL ASSETS 49,805,880

LIABILITIES

Payable for investments $ 1,027,355
purchased

Payable for fund shares 62,743
redeemed

Distributions payable 63,543

Accrued management fee 22,652

Other payables and accrued 3,956
expenses

TOTAL LIABILITIES 1,180,249

NET ASSETS $ 48,625,631

Net Assets consist of:

Paid in capital $ 49,793,003

Accumulated undistributed net (924,207)
realized gain (loss) on
investments

Net unrealized appreciation (243,165)
(depreciation) on investments

NET ASSETS, for 4,819,671 $ 48,625,631
shares outstanding

NET ASSET VALUE, offering $10.09
price and redemption price
per share ($48,625,631
(divided by) 4,819,671
shares)

STATEMENT OF OPERATIONS
YEAR ENDED AUGUST 31, 1999

INTEREST INCOME $ 2,288,764

EXPENSES

Management fee $ 260,445

Non-interested trustees' 153
compensation

Total expenses before 260,598
reductions

Expense reductions (29,069) 231,529

NET INTEREST INCOME 2,057,235

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities 122,195

Futures contracts (5,328) 116,867

Change in net unrealized
appreciation (depreciation)
on:

Investment securities (2,277,848)

Futures contracts (26,852) (2,304,700)

NET GAIN (LOSS) (2,187,833)

NET INCREASE (DECREASE) IN $ (130,598)
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

YEAR ENDED AUGUST 31, 1999 YEAR ENDED AUGUST 31, 1998

INCREASE (DECREASE) IN NET
ASSETS

Operations Net interest income $ 2,057,235 $ 1,799,052

Net realized gain (loss) 116,867 352,851

Change in net unrealized (2,304,700) 1,112,132
appreciation (depreciation)

NET INCREASE (DECREASE) IN (130,598) 3,264,035
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (2,057,235) (1,799,052)
from net interest income

Share transactions Net 14,363,034 9,360,492
proceeds from sales of shares

Reinvestment of distributions 1,517,501 1,411,279

Cost of shares redeemed (8,904,888) (8,636,037)

NET INCREASE (DECREASE) IN 6,975,647 2,135,734
NET ASSETS RESULTING FROM
SHARE TRANSACTIONS

Redemption fees 5,057 1,113

TOTAL INCREASE (DECREASE) 4,792,871 3,601,830
IN NET ASSETS

NET ASSETS

Beginning of period 43,832,760 40,230,930

End of period $ 48,625,631 $ 43,832,760

OTHER INFORMATION
Shares

Sold 1,372,122 896,788

Issued in reinvestment of 145,212 135,699
distributions

Redeemed (853,528) (833,035)

Net increase (decrease) 663,806 199,452

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS

YEARS ENDED AUGUST 31, 1999 1998 1997 1996 1995

SELECTED PER-SHARE DATA

Net asset value, beginning $ 10.550 $ 10.170 $ 9.850 $ 9.840 $ 9.640
of period

Income from Investment .451 .461 .466 .488 .541
Operations Net interest
income

Net realized and unrealized (.461) .380 .323 .009 .198
gain (loss)

Total from investment (.010) .841 .789 .497 .739
operations

Less Distributions

From net interest income (.451) (.461) (.466) (.488) (.541)

From net realized gain - - (.003) - -

Total distributions (.451) (.461) (.469) (.488) (.541)

Redemption fees added to paid .001 .000 .000 .001 .002
in capital

Net asset value, end of period $ 10.090 $ 10.550 $ 10.170 $ 9.850 $ 9.840

TOTAL RETURN A (.15)% 8.43% 8.17% 5.12% 8.07%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 48,626 $ 43,833 $ 40,231 $ 45,359 $ 43,489
(000 omitted)

Ratio of expenses to average .55% .55% .55% .40% B .15% B
net assets

Ratio of expenses to average .49% C .53% C .54% C .39% C .15%
net assets after expense
reductions

Ratio of net interest income 4.34% 4.44% 4.65% 4.91% 5.71%
to average net assets

Portfolio turnover rate 12% 23% 41% 74% 72%

</TABLE>

A THE TOTAL RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT
BEEN REDUCED DURING THE PERIODS SHOWN.
B FMR AGREED TO REIMBURSE A PORTION OF THE FUND'S EXPENSES DURING THE
PERIOD. WITHOUT THIS REIMBURSEMENT, THE FUND'S EXPENSE RATIO WOULD
HAVE BEEN HIGHER.
C FMR OR THE FUND HAS ENTERED INTO VARYING ARRANGEMENTS WITH THIRD
PARTIES WHO EITHER PAID OR REDUCED A PORTION OF THE FUND'S EXPENSES.

NOTES TO FINANCIAL STATEMENTS
For the period ended August 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Spartan Maryland Municipal Income Fund (the fund) is a fund of
Fidelity Union Street Trust (the trust) and is authorized to issue an
unlimited number of shares. The trust is registered under the
Investment Company Act of 1940, as amended, as an open-end management
investment company organized as a Massachusetts business trust. The
financial statements have been prepared in conformity with generally
accepted accounting principles which require management to make
certain estimates and assumptions at the date of the financial
statements. The fund may be affected by economic and political
developments in the state of Maryland. The following summarizes the
significant accounting policies of the fund:

SECURITY VALUATION. Securities are valued based upon a computerized
matrix system and/or appraisals by a pricing service, both of which
consider market transactions and dealer-supplied valuations.
Securities for which quotations are not readily available are valued
at their fair value as determined in good faith under consistently
applied procedures under the general supervision of the Board of
Trustees. Short-term securities with remaining maturities of sixty
days or less for which quotations are not readily available are valued
at amortized cost or original cost plus accrued interest, both of
which approximate current value.

INTEREST INCOME. Interest income, which includes amortization of
premium and accretion of original issue discount, is accrued as
earned.

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are declared daily and
paid monthly from net interest income. Distributions from realized
gains, if any, are recorded on the ex-dividend date.

Permanent book and tax basis differences relating to shareholder
distributions will result in reclassifications to paid in capital and
may affect the per-share allocation between net interest income and
realized and unrealized gain (loss). Accumulated undistributed net
realized gain (loss) on investments may include temporary book and tax
basis differences that will reverse in a subsequent period. Any
taxable gain remaining at fiscal year end is distributed in the
following year.

1. SIGNIFICANT ACCOUNTING POLICIES - CONTINUED

SHORT-TERM TRADING (REDEMPTION) FEES. Shares held in the fund less
than 180 days are subject to a short-term trading fee equal to .50% of
the proceeds of the redeemed shares. The fee, which is retained by the
fund, is accounted for as an addition to paid in capital.

SECURITY TRANSACTIONS. Security transactions are accounted for as of
trade date. Gains and losses on securities sold are determined on the
basis of identified cost.

2. OPERATING POLICIES.

FUTURES CONTRACTS. The fund may use futures contracts to manage its
exposure to the bond market and to fluctuations in interest rates.
Buying futures tends to increase the fund's exposure to the underlying
instrument, while selling futures tends to decrease the fund's
exposure to the underlying instrument or hedge other fund investments.
Losses may arise from changes in the value of the underlying
instruments or if the counterparties do not perform under the
contracts' terms. Gains (losses) are realized upon the expiration or
closing of the futures contracts. Futures contracts are valued at the
settlement price established each day by the board of trade or
exchange on which they are traded.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $15,013,482 and $5,579,739, respectively.

The market value of futures contracts opened and closed during the
period amounted to $7,377,485 and $8,488,305, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

MANAGEMENT FEE. As the fund's investment adviser, Fidelity Management
& Research Company (FMR) pays all expenses, except the compensation of
the non-interested Trustees and certain exceptions such as interest,
taxes, brokerage commissions and extraordinary expenses. FMR receives
a fee that is computed daily at an annual rate of .55% of the fund's
average net assets. The management fee paid to FMR by the fund is
reduced by an amount equal to the fees and expenses paid by the fund
to the non-interested Trustees.

SUB-ADVISER FEE. FMR, on behalf of the fund, has entered into a
sub-advisory agreement (effective January 1, 1999) with Fidelity
Investments Money Management, Inc. (FIMM), a wholly owned subsidiary
of FMR. For its services, FIMM receives a fee from FMR of 50% of the
management fee payable to FMR. The fee is paid prior to any voluntary
expense reimbursements which may be in effect.

5. EXPENSE REDUCTIONS.

FMR has entered into an arrangement on behalf of the fund with the
fund's custodian whereby credits realized as a result of uninvested
cash balances were used to reduce a portion of the fund's expenses.
During the period, the fund's expenses were reduced by $29,069 under
this arrangement.

REPORT OF INDEPENDENT ACCOUNTANTS

To the Trustees of Fidelity Union Street Trust and the Shareholders of
Spartan Maryland Municipal Income Fund:

In our opinion, the accompanying statement of assets and liabilities,
including the schedule of investments, and the related statements of
operations and of changes in net assets and the financial highlights
present fairly, in all material respects, the financial position of
Spartan Maryland Municipal Income Fund (a fund of Fidelity Union
Street Trust) at August 31, 1999, and the results of its operations,
the changes in its net assets and the financial highlights for the
periods indicated, in conformity with generally accepted accounting
principles. These financial statements and financial highlights
(hereafter referred to as "financial statements") are the
responsibility of the Spartan Maryland Municipal Income Fund's
management; our responsibility is to express an opinion on these
financial statements based on our audits. We conducted our audits of
these financial statements in accordance with generally accepted
auditing standards which require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are
free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the
financial statements, assessing the accounting principles used and
significant estimates made by management, and evaluating the overall
financial statement presentation. We believe that our audits, which
included confirmation of securities at August 31, 1999 by
correspondence with the custodian and brokers, provide a reasonable
basis for the opinion expressed above.

/s/PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP

Boston, Massachusetts
October 6, 1999

DISTRIBUTIONS

During fiscal year ended 1999, 100% of the fund's income dividends was
free from federal income tax, and 9.71% of the fund's income dividends
was subject to the federal alternative minimum tax.

OF SPECIAL NOTE

INTRODUCING FIDELITY'S NEW, REORGANIZED PROSPECTUS

We invite you to spend a moment and review our new prospectus. It is
designed to help make your investment decision easier, no matter which
of the Fidelity funds you invest in.

INVESTMENT ADVISER

Fidelity Management & Research Company
Boston, MA

INVESTMENT SUB-ADVISER

Fidelity Investments
Money Management, Inc.
Merrimack, NH

OFFICERS

Edward C. Johnson 3d, President
Robert C. Pozen, Senior Vice President
Fred L. Henning, Jr., Vice President
Dwight D. Churchill, Vice President
George A. Fischer, Vice President
Eric D. Roiter, Secretary
Richard A. Silver, Treasurer
Matthew N. Karstetter, Deputy Treasurer
Stanley N. Griffith, Assistant Vice President
John H. Costello, Assistant Treasurer
Thomas J. Simpson, Assistant Treasurer

BOARD OF TRUSTEES

ADVISORY BOARD

J. Gary Burkhead
Abigail P. Johnson

GENERAL DISTRIBUTOR

Fidelity Distributors Corporation
Boston, MA

* INDEPENDENT TRUSTEES

SMD-ANN-1099 86027
1.536791.102

TRANSFER AND SHAREHOLDER
SERVICING AGENTS

Citibank, N.A.
New York, NY
and
Fidelity Service Company, Inc.
Boston, MA

CUSTODIAN

Citibank, N.A.
New York, NY

FIDELITY'S MUNICIPAL BOND FUNDS

Spartan Arizona Municipal Income
Spartan California Municipal Income
Spartan Connecticut Municipal Income
Spartan Florida Municipal Income
Spartan Intermediate Municipal Income
Spartan Maryland Municipal Income
Spartan Massachusetts Municipal Income
Spartan Michigan Municipal Income
Spartan Minnesota Municipal Income
Spartan Municipal Income
Spartan New Jersey Municipal Income
Spartan New York Municipal Income
Spartan Ohio Municipal Income
Spartan Pennsylvania Municipal Income
Spartan Short-Intermediate
Municipal Income

THE FIDELITY TELEPHONE CONNECTION
MUTUAL FUND 24-HOUR SERVICE

Exchanges/Redemptions 1-800-544-7777
Account Assistance 1-800-544-6666
Product Information 1-800-544-8888
Retirement Accounts 1-800-544-4774 (8 a.m. - 9 p.m.)
TDD Service 1-800-544-0118
for the deaf and hearing impaired
(9 a.m. - 9 p.m. Eastern time)
Fidelity Automated Service
Telephone (FASTSM) 1-800-544-5555
AUTOMATED LINE FOR QUICKEST SERVICE

(fidelity_logo)(registered trademark)
Corporate Headquarters
82 Devonshire St., Boston, MA 02109
www.fidelity.com

SPARTAN(REGISTERED TRADEMARK)
SHORT-INTERMEDIATE
MUNICIPAL INCOME
FUND

ANNUAL REPORT
AUGUST 31, 1999

(2_FIDELITY_LOGOS)(registered trademark)

CONTENTS

PRESIDENT'S MESSAGE 3 Ned Johnson on investing
strategies.

PERFORMANCE 4 How the fund has done over
time.

FUND TALK 7 The manager's review of fund
performance, strategy and
outlook.

INVESTMENT CHANGES 10 A summary of major shifts in
the fund's investments over
the past six months.

INVESTMENTS 11 A complete list of the fund's
investments with their
market values.

FINANCIAL STATEMENTS 24 Statements of assets and
liabilities, operations, and
changes in net assets, as
well as financial highlights.

NOTES 28 Notes to the financial
statements.

REPORT OF INDEPENDENT 31 The auditors' opinion.
ACCOUNTANTS

DISTRIBUTIONS 32

OF SPECIAL NOTE 33

Standard & Poor's, S&P and S&P 500 are registered service marks of The
McGraw-Hill Companies, Inc. and have been licensed for use by Fidelity
Distributors Corporation.

Other third party marks appearing herein are the property of their
respective owners.

All other marks appearing herein are registered or unregistered
trademarks or service marks of FMR Corp. or an affiliated company.

This report is printed on recycled paper using soy-based inks.

MUTUAL FUND SHARES ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED
BY, ANY DEPOSITORY INSTITUTION. SHARES ARE NOT INSURED BY THE FDIC,
FEDERAL RESERVE BOARD OR ANY OTHER AGENCY, AND ARE SUBJECT TO
INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL AMOUNT
INVESTED.

NEITHER THE FUNDS NOR FIDELITY DISTRIBUTORS CORPORATION IS A BANK.

FOR MORE INFORMATION ON ANY FIDELITY FUND, INCLUDING CHARGES AND
EXPENSES, CALL 1-800-544-8888
FOR A FREE PROSPECTUS. READ IT CAREFULLY BEFORE YOU INVEST OR SEND
MONEY.

PRESIDENT'S MESSAGE

(PHOTO_OF_EDWARD_C_JOHNSON_3D)

DEAR SHAREHOLDER:

While it's impossible to predict the future direction of the markets
with any degree of certainty, there are certain basic principles that
can help investors plan for their future needs.

An intermediate-length fund could make sense if your investment
horizon is two to four years, while a short-term bond fund could be
the right choice if you need your money in one or two years.

Best regards,
Edward C. Johnson 3d

PERFORMANCE: THE BOTTOM LINE

CUMULATIVE TOTAL RETURNS

PERIODS ENDED AUGUST 31, 1999 PAST 1 YEAR PAST 5 YEARS PAST 10 YEARS

SPARTAN SHORT-INTERMEDIATE 2.44% 25.16% 69.26%
MUNICIPAL INCOME

LB 1-5 Year Municipal Bond 2.96% 27.68% n/a

Short-Intermediate Municipal 1.52% 23.40% 69.35%
Debt Funds Average

CUMULATIVE TOTAL RETURNS show the fund's performance in percentage
terms over a set period - in this case, one year, five years or 10
years. For example, if you had invested $1,000 in a fund that had a 5%
return over the past year, the value of your investment would be
$1,050. You can compare the fund's returns to the performance of the
Lehman Brothers 1-5 Year Municipal Bond Index - a market
value-weighted index of investment-grade municipal bonds with
maturities between one and five years. To measure how the fund's
performance stacked up against its peers, you can compare it to the
short-intermediate municipal debt funds average, which reflects the
performance of mutual funds with similar objectives tracked by Lipper
Inc. The past one year average represents a peer group of 37 mutual
funds. These benchmarks include reinvested dividends and capital
gains, if any, and exclude the effect of sales charges.

AVERAGE ANNUAL TOTAL RETURNS

PERIODS ENDED AUGUST 31, 1999 PAST 1 YEAR PAST 5 YEARS PAST 10 YEARS

SPARTAN SHORT-INTERMEDIATE 2.44% 4.59% 5.40%
MUNICIPAL INCOME

LB 1-5 Year Municipal Bond 2.96% 5.01% n/a

Short-Intermediate Municipal 1.52% 4.29% 5.41%
Debt Funds Average

$10,000 OVER 10 YEARS
Spartan Short-Int. Muni LB Municipal Bond
00404 LB015
1989/08/31 10000.00 10000.00
1989/09/30 10016.17 9970.20
1989/10/31 10093.83 10092.14
1989/11/30 10163.32 10268.75
1989/12/31 10235.76 10352.75
1990/01/31 10240.97 10303.78
1990/02/28 10323.54 10395.48
1990/03/31 10364.12 10398.60
1990/04/30 10347.56 10323.31
1990/05/31 10442.57 10548.67
1990/06/30 10494.20 10641.39
1990/07/31 10578.21 10797.82
1990/08/31 10595.76 10641.04
1990/09/30 10658.82 10647.10
1990/10/31 10738.10 10840.24
1990/11/30 10837.77 11058.24
1990/12/31 10892.47 11106.34
1991/01/31 10992.87 11255.39
1991/02/28 11060.36 11353.31
1991/03/31 11104.82 11357.40
1991/04/30 11209.56 11508.45
1991/05/31 11277.06 11610.76
1991/06/30 11308.19 11599.27
1991/07/31 11385.77 11740.55
1991/08/31 11476.29 11895.17
1991/09/30 11567.19 12050.05
1991/10/31 11643.90 12158.50
1991/11/30 11695.48 12192.42
1991/12/31 11856.65 12454.07
1992/01/31 11906.90 12482.46
1992/02/29 11954.54 12486.46
1992/03/31 11960.40 12491.08
1992/04/30 12038.29 12602.25
1992/05/31 12104.75 12750.58
1992/06/30 12204.75 12964.53
1992/07/31 12392.11 13353.21
1992/08/31 12342.01 13223.01
1992/09/30 12403.58 13309.49
1992/10/31 12402.44 13178.66
1992/11/30 12513.92 13414.69
1992/12/31 12589.83 13551.65
1993/01/31 12716.47 13709.26
1993/02/28 12940.28 14205.12
1993/03/31 12900.51 14054.98
1993/04/30 12962.02 14196.79
1993/05/31 13012.28 14276.58
1993/06/30 13099.49 14514.85
1993/07/31 13109.97 14533.87
1993/08/31 13251.04 14836.46
1993/09/30 13338.80 15005.45
1993/10/31 13362.86 15034.41
1993/11/30 13344.72 14901.96
1993/12/31 13486.45 15216.54
1994/01/31 13576.33 15390.31
1994/02/28 13435.46 14991.70
1994/03/31 13204.42 14381.24
1994/04/30 13254.28 14503.19
1994/05/31 13333.15 14628.93
1994/06/30 13354.67 14539.55
1994/07/31 13473.27 14806.06
1994/08/31 13523.21 14857.29
1994/09/30 13488.82 14639.19
1994/10/31 13441.59 14379.19
1994/11/30 13366.92 14119.22
1994/12/31 13474.99 14429.98
1995/01/31 13624.49 14842.39
1995/02/28 13782.74 15274.01
1995/03/31 13875.16 15449.51
1995/04/30 13925.04 15467.74
1995/05/31 14089.53 15961.31
1995/06/30 14110.70 15822.45
1995/07/31 14190.35 15972.44
1995/08/31 14327.71 16174.98
1995/09/30 14377.70 16277.36
1995/10/31 14457.71 16514.04
1995/11/30 14550.31 16788.00
1995/12/31 14616.34 16949.34
1996/01/31 14711.57 17077.30
1996/02/29 14715.74 16962.03
1996/03/31 14664.11 16745.26
1996/04/30 14670.43 16697.87
1996/05/31 14693.40 16691.19
1996/06/30 14758.69 16872.96
1996/07/31 14841.63 17026.50
1996/08/31 14865.03 17022.41
1996/09/30 14947.27 17260.73
1996/10/31 15046.15 17455.95
1996/11/30 15189.00 17775.39
1996/12/31 15183.28 17700.73
1997/01/31 15238.57 17734.19
1997/02/28 15318.96 17896.99
1997/03/31 15236.38 17658.42
1997/04/30 15290.12 17806.22
1997/05/31 15422.94 18074.03
1997/06/30 15523.39 18266.52
1997/07/31 15718.76 18772.50
1997/08/31 15681.02 18596.60
1997/09/30 15781.90 18817.34
1997/10/31 15837.98 18938.34
1997/11/30 15892.16 19049.69
1997/12/31 16011.21 19327.63
1998/01/31 16114.94 19527.09
1998/02/28 16134.41 19532.95
1998/03/31 16159.78 19550.14
1998/04/30 16135.42 19461.97
1998/05/31 16273.10 19770.05
1998/06/30 16312.53 19847.94
1998/07/31 16369.77 19897.76
1998/08/31 16523.66 20205.18
1998/09/30 16643.76 20456.94
1998/10/31 16700.30 20456.53
1998/11/30 16722.01 20528.33
1998/12/31 16761.69 20580.06
1999/01/31 16917.16 20824.76
1999/02/28 16901.06 20733.76
1999/03/31 16923.25 20762.58
1999/04/30 16943.52 20814.28
1999/05/31 16948.52 20693.76
1999/06/30 16850.68 20395.77
1999/07/31 16905.23 20470.01
1999/08/31 16926.20 20306.25
IMATRL PRASUN SHR__CHT 19990831 19990909 100516 R00000000000123

$10,000 OVER 10 YEARS: Let's say hypothetically that $10,000 was
invested in Spartan Short-Intermediate Municipal Income Fund on August
31, 1989. As the chart shows, by August 31, 1999, the value of the
investment would have grown to $16,926 - a 69.26% increase on the
initial investment. For comparison, look at how the Lehman Brothers
Municipal Bond Index - a market value-weighted index of
investment-grade municipal bonds with maturities of one year or more -
did over the same period. With dividends and capital gains, if any,
reinvested, the same $10,000 would have grown to $20,306 - a 103.06%
increase.

(checkmark)UNDERSTANDING
PERFORMANCE

How a fund did yesterday is
no guarantee of how it will
do tomorrow. Bond prices, for
example, generally move in
the opposite direction of
interest rates. In turn, the
share price, return and yield
of a fund that invests in bonds
will vary. That means if you
sell your shares during a
market downturn, you might
lose money. But if you can ride
out the market's ups and
downs, you may have a gain.

TOTAL RETURN COMPONENTS

YEARS ENDED AUGUST 31,

1999 1998 1997 1996 1995

Dividend returns 3.92% 4.27% 4.38% 4.25% 4.53%

Capital returns -1.48% 1.10% 1.11% -0.50% 1.42%

Total returns 2.44% 5.37% 5.49% 3.75% 5.95%

DIVIDENDS AND YIELD

PERIODS ENDED AUGUST 31, 1999 PAST 1 MONTH PAST 6 MONTHS PAST 1 YEAR

Dividends per share 3.24(cents) 19.50(cents) 39.53(cents)

Annualized dividend rate 3.82% 3.84% 3.90%

30-day annualized yield 3.82% - -

30-day annualized 5.97% - -
tax-equivalent yield

DIVIDENDS per share show the income paid by the fund for a set period.
If you annualize this number, based on an average share price of $9.99
over the past one month, $10.08 over the past six months and $10.13
over the past one year, you can compare the fund's income over these
three periods. The 30-day annualized YIELD is a standard formula for
all bond funds based on the yields of the bonds in the fund, averaged
over the past 30 days. This figure shows you the yield characteristics
of the fund's investments at the end of the period. It also helps you
compare funds from different companies on an equal basis. The
tax-equivalent yield shows what you would have to earn on a taxable
investment to equal the fund's tax-free yield, if you're in the 36%
federal tax bracket, but does not reflect payment of the federal
alternative minimum tax, if applicable.

FUND TALK: THE MANAGER'S OVERVIEW

(photograph of Norm Lind)

An interview with Norm Lind, Portfolio Manager of Spartan
Short-Intermediate Municipal Income Fund

Q. HOW DID THE FUND PERFORM, NORM?

A. Although rising interest rates curtailed the municipal bond
market's returns during the past 12 months, the fund outpaced its
peers. For the 12-month period that ended August 31, 1999, the fund
had a total return of 2.44%. To get a sense of how the fund did
relative to its competitors, the short-intermediate municipal debt
funds average returned 1.52% for the same 12-month period, according
to Lipper Inc. Additionally, the Lehman Brothers 1-5 Year Municipal
Bond Index - which tracks the types of securities in which the fund
invests - returned 2.96%.

Q. WHAT FACTORS LED TO THE FUND'S OUTPERFORMANCE COMPARED TO ITS PEERS
DURING THE PAST 12 MONTHS?

A. During the first half of the period, the fund benefited from a
larger-than-average stake in bonds with maturities between five and
seven years. They generally performed better than shorter-term bonds,
meaning that their yields rose less in response to rising interest
rates, and their prices - which move in the opposite direction of
their yields - fell less. By pushing shorter-term yields up more in
percentage terms, investors essentially indicated they were more
worried about higher rates over the near term, but less worried about
higher rates over the long term. At the beginning of 1999, I reversed
course. I sold some of the funds holdings in longer-term bonds to lock
in their relatively strong performance, replacing them with bonds in
the three- to five-year range, which I viewed as being priced more
attractively and offering the best potential for total return. The
repositioning toward intermediate-maturity bonds also helped
performance because they gained ground on their longer-term
counterparts during the past several months.

Q. WHAT WERE THE OTHER POSITIVES FOR THE FUND DURING THE PAST SIX
MONTHS?

A. The fund benefited from its relatively large position in premium
coupon bonds, which make interest payments above prevailing market
rates and trade at prices that are above face - or par - value. As
interest rates rose, premiums outperformed par and discount bonds,
which trade at and below face value, respectively. That's because
their premium gave the bonds DE MINIMIS protection - a tax pitfall
that can affect discount bonds when the bond market is on the decline.
Separately, the fund was helped by its emphasis on high-quality bonds,
since certain lower-quality bonds - namely hospital and industrial
development bonds - came under increased pressure as interest rates
rose.

Q. WHAT WERE THE DISAPPOINTMENTS DURING THE PERIOD?

A. I'd say that the biggest disappointment was my decision to keep a
relatively light weighting in bonds issued in California. As I
mentioned in the report to shareholders six months ago, my reluctance
to add more California bonds stemmed from the fact that I thought
their prices already reflected most of the state's economic good news.
However, continued strong job growth and further economic expansion
fueled higher tax collections and revenues for the state's municipal
issuers, which ultimately translated into continued improvement in
their credit quality.

Q. WHAT'S AHEAD FOR THE MUNICIPAL MARKET AND THE FUND?

A. Supply and demand conditions - which can have a dramatic effect on
the municipal market's performance - appear favorable. In contrast to
last year, there has been a relatively light supply of municipal bonds
issued so far in 1999. In 1998, falling interest rates prompted a wave
of municipal bond refundings as issuers looked to refinance their debt
at lower interest rates. Those refundings made up more than one-third
of the total supply of municipal bonds issued last year. So far this
year, however, refunding issuance has slowed dramatically as interest
rates have risen. Meanwhile, demand has been firm. However, the
direction of interest rates will be the primary factor determining
municipal bond performance and it's unclear whether the Federal
Reserve Board will continue to raise rates as it did in June and
August. Rather than trying to predict the direction of interest rates,
I'll continue to look for attractively priced bonds that I believe can
perform well in relation to other bonds, no matter where interest
rates end up.

(checkmark)FUND FACTS

GOAL: seeks as high a level
of current income, exempt
from federal income tax, as
is consistent with
preservation of capital

FUND NUMBER: 404

TRADING SYMBOL: FSTFX

START DATE: December 24,
1986
SIZE: as of August 31, 1999,
more than $697 million

MANAGER: Norm Lind, since
1995; manager, various
Fidelity and Spartan municipal
income funds; joined Fidelity
in 1986

NORM LIND ON SUPPLY AND
DEMAND CHARACTERISTICS OF
THE MUNICIPAL MARKET:

"After the direction of interest
rates, supply and demand is
probably the most important
factor determining municipal
bond performance. As a portfolio
manager, I try to take advantage of
seasonal shifts, selling bonds when
supply is light and prices are fairly
advantageous, and buying when
supply is heavy and prices are
relatively cheap. For example,
municipal supply generally slows
down during the summer when
market participants - such as
investment bankers, dealers,
investors and others - go on
vacation, although supply
generally picks up again in the
remaining months of the year.
What's more interesting, in my view,
are demand patterns. In the
short-intermediate portion of the
municipal market, the primary
players are individual investors and
institutions known as `crossover'
buyers, who bounce between
tax-free and taxable bonds in
search of the best values. With the
help of Fidelity's research team, I
look for opportunities to exploit
crossover investor activity, buying
after they've unloaded municipal
bonds and prices are attractive,
and selling when there is strong
crossover demand."

INVESTMENT CHANGES

<TABLE>
<CAPTION>
<S> <C> <C>
TOP FIVE STATES AS OF AUGUST
31, 1999

% OF FUND'S INVESTMENTS % OF FUND'S INVESTMENTS IN
THESE HOLDINGS 6 MONTHS AGO

New York 14.4 17.9

Florida 8.4 10.9

Texas 7.7 6.9

Massachusetts 5.9 6.9

Utah 4.7 5.2

TOP FIVE SECTORS AS OF AUGUST
31, 1999

% OF FUND'S INVESTMENTS % OF FUND'S INVESTMENTS IN
THESE SECTORS 6 MONTHS AGO

General Obligations 38.7 35.8

Electric Utilities 19.2 19.6

Escrowed/Pre-Refunded 10.0 12.0

Education 9.0 8.0

Special Tax 7.6 6.5

AVERAGE YEARS TO MATURITY AS
OF AUGUST 31, 1999

6 MONTHS AGO

Years 2.9 2.9

</TABLE>

AVERAGE YEARS TO MATURITY IS BASED ON THE AVERAGE TIME REMAINING UNTIL
PRINCIPAL PAYMENTS ARE EXPECTED FROM EACH OF THE FUND'S BONDS,
WEIGHTED BY DOLLAR AMOUNT.

DURATION AS OF AUGUST 31, 1999

6 MONTHS AGO

Years 2.5 2.5

QUALITY DIVERSIFICATION

AS OF AUGUST 31, 1999

Aaa 52.3%
Aa, A 34.0%
Baa 8.9%
Not Rated 1.2%
Short-term
Investments 3.6%

Row: 1, Col: 1, Value: 52.3
Row: 1, Col: 2, Value: 34.0
Row: 1, Col: 3, Value: 7.5
Row: 1, Col: 4, Value: 1.2
Row: 1, Col: 5, Value: 5.0

AS OF FEBRUARY 28, 1999

Aaa 50.2%
Aa, A 37.1%
Baa 7.9%
Not Rated 1.2%
Short-term
Investments 3.6%

Row: 1, Col: 1, Value: 50.2
Row: 1, Col: 2, Value: 37.1
Row: 1, Col: 3, Value: 7.9
Row: 1, Col: 4, Value: 1.2
Row: 1, Col: 5, Value: 3.6

WHERE MOODY'S RATINGS ARE NOT AVAILABLE, WE HAVE USED S&P (registered
trademark) RATINGS. AMOUNTS SHOWN ARE AS A PERCENTAGE OF THE FUND'S
INVESTMENTS.

INVESTMENTS AUGUST 31, 1999

Showing Percentage of Total Value of Investment in Securities

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
MUNICIPAL BONDS - 96.4%

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

ALABAMA - 2.8%

Alabama Gen. Oblig. Rfdg.
Series A:

5.5% 10/1/00 Aa3 $ 4,355 $ 4,437

5.5% 10/1/01 Aa3 14,680 15,044

19,481

ALASKA - 0.6%

Alaska Student Ln. Corp.
Student Ln. Rev. Series A:

5% 7/1/03 (AMBAC Insured) (e) Aaa 500 505

5.1% 7/1/04 (AMBAC Insured) Aaa 2,300 2,331
(e)

5.55% 7/1/03 (AMBAC Insured) Aaa 1,000 1,026
(e)

3,862

ARIZONA - 2.8%

Arizona Trans. Board Excise Aaa 10,000 10,337
Tax Rev. (Maricopa County
Reg'l. Area Road Proj.)
5.25% 7/1/05 (AMBAC Insured)

Arizona Trans. Board Hwy. Aaa 2,800 2,960
Rev. Sub-Series A, 6.6%
7/1/08 (Pre-Refunded to
7/1/01 @ 101.5 (f)

Maricopa County School Aaa 3,850 3,927
District #6 (Washington
Elementry Proj.) Series C,
5% 7/1/05 (FGIC Insured)

Phoenix Civic Impt. Corp. Aa2 1,000 1,028
Excise Tax Rev. Rfdg. (Arpt.
Impts.) Series A, 5.85%
7/1/01 (e)

Univ. of Arizona Univ. Rev. AA 1,000 1,043
Series B, 6.9% 6/1/16
(Pre-Refunded to 6/1/00 @
102) (f)

19,295

ARKANSAS - 1.3%

Arkansas Student Ln. Auth.
Rev. Senior Series A1:

6.05% 6/1/02 (e) Aa 4,700 4,836

6.05% 12/1/02 (e) Aa 4,455 4,605

9,441

CALIFORNIA - 2.0%

Clovis Unified School Aaa 5,725 5,536
District (Cap. Appreciation)
Series B, 0% 8/1/00 (MBIA
Insured) (Escrowed to
Maturity) (f)

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

CALIFORNIA - CONTINUED

Los Angeles Dept. Wtr. & Pwr.
Elec. Plant Rev. Second Issue:

9% 10/15/00 Aa3 $ 1,300 $ 1,372

9% 10/15/01 Aa3 2,000 2,199

San Bernardino County Ctfs. A3 4,000 4,034
of Prtn. (Med. Ctr. Fing.
Proj.) 4.75% 8/1/00

Santa Ana Cmnty. Redev. Agcy. AAA 1,125 1,174
(Santa Ana Redev. Proj.
Area) Series B, 6.5%
12/15/14 (Pre-Refunded to
12/15/00 @ 102) (f)

14,315

COLORADO - 0.9%

Arapaho County Cap. Impt. Aaa 4,500 2,789
Trust Fund Hwy. Rev. Series
E, 0% 8/31/08 (Pre-Refunded
to 8/31/05 @ 82.9449) (f)

Denver City & County Arpt.
Rev.:

Rfdg. Series C, 5.1% 11/15/01 Baa1 2,320 2,325
(e)

Series C, 6.55% 11/15/02 (e) Baa1 1,420 1,483

6,597

DISTRICT OF COLUMBIA - 0.6%

District of Columbia Gen.
Oblig.:

Rfdg. Series A1:

4.65% 6/1/02 (MBIA Insured) Aaa 3,090 3,116

4.65% 6/1/02 (MBIA Insured) Aaa 160 161
(Escrowed to Maturity) (f)

Series A, 7.5% 6/1/10 (AMBAC Aaa 1,000 1,047
Insured) (Pre-Refunded to
6/1/00 @ 102) (f)

4,324

FLORIDA - 8.4%

Dade County Aviation Rev. Aaa 3,500 3,566
Rfdg. (Miami Int'l Arpt.)
Series A, 5.25% 10/1/01 (FSA
Insured) (e)

Florida Board of Ed. Cap.
Outlay (Pub. Ed.):

Series A, 5% 6/1/06 Aa2 3,725 3,795

Series B, 5% 6/1/05 Aa2 23,105 23,596

Florida Dept. of Trans. Aa2 2,725 2,888
(Right of Way Aquisition &
Bridge) 6.5% 7/1/02

Jacksonville Elec. Auth. Rev.:

3rd Installment, 5.2% 7/1/01 Aaa 875 878
(Escrowed to Maturity) (f)

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

FLORIDA - CONTINUED

Jacksonville Elec. Auth.
Rev.: - continued

Rfdg. (Saint John River Aa2 $ 1,500 $ 1,614
Proj.) Series 10, Issue 2,
6.5% 10/1/03

Lakeland Elec. & Wtr. Rev.
Rfdg. (Energy Sys. Proj.)
First Lien Series B:

6.3% 10/1/00 (FSA Insured) Aaa 9,175 9,417

6.3% 10/1/01 (FSA Insured) Aaa 9,255 9,649

Lee County Ind. Dev. Auth.
Health Care Facilities Rev.
(Shell Point Village Proj.)
Series A:

5.25% 11/15/04 BBB- 500 499

5.25% 11/15/05 BBB- 685 681

5.25% 11/15/06 BBB- 1,145 1,132

Tampa Gen. Oblig. (Catholic Aaa 1,000 1,036
Health) Series A3, 5.5%
11/15/02 (MBIA Insured)

58,751

GEORGIA - 2.1%

Atlanta Arpt. Facilities Rev. Aaa 1,500 1,516
Rfdg. 5% 1/1/01 (AMBAC
Insured)

Georgia Gen. Oblig.:

Series B, 5.75% 8/1/01 Aaa 9,750 10,041

Series C, 5.75% 9/1/00 Aaa 3,065 3,128

14,685

HAWAII - 2.7%

Hawaii Arpt. Sys. Rev. Series Aaa 1,000 1,044
2, 7.4% 7/1/02 (FGIC
Insured) (e)

Hawaii Gen. Oblig.:

Rfdg. Series CO, 4.625% Aaa 5,000 5,044
9/1/01 (FGIC Insured)

Series CN, 6.25% 3/1/02 (FGIC Aaa 2,000 2,087
Insured)

Series CP, 5.5% 10/1/06 (FGIC Aaa 5,675 5,914
Insured)

Honolulu City & County Gen.
Oblig. Series B:

5.5% 11/1/04 (FGIC Insured) Aaa 465 485

5.5% 11/1/04 (FGIC Insured) Aaa 4,160 4,353
(Escrowed to Maturity) (f)

18,927

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

IOWA - 0.4%

Iowa Student Ln. Liquidity
Corp. Student Ln. Rev.:

Series A, 6.35% 3/1/01 Aa1 $ 1,500 $ 1,539

Series D, 7% 12/1/03 (AMBAC Aaa 1,535 1,593
Insured) (e)

3,132

KENTUCKY - 2.1%

Kentucky Property & Bldgs. Aa3 9,000 9,208
Commission Rev. Rfdg. (Proj.
#59) 6% 11/1/00

Owensboro Elec. Lt. & Pwr. Aaa 5,450 5,153
Rev. Rfdg. Series B, 0%
1/1/01 (AMBAC Insured)

14,361

LOUISIANA - 0.3%

Louisiana Pub. Facilities Aaa 1,900 1,943
Auth. Rfdg. (Student Ln.)
Series A1, 6.2% 3/1/01

MARYLAND - 2.6%

Maryland Gen. Oblig. (State &
Local Facilities Ln. Proj.):

Series 1, 5% 3/1/07 Aaa 3,250 3,303

Series 2, 5% 7/15/01 Aaa 4,000 4,065

Montgomery County Gen. Oblig. Aaa 4,000 4,087
(Consolidated Pub. Impt.)
Series A, 5.2% 10/1/01

Univ. of Maryland Sys. Aa3 6,325 6,433
Auxiliary Facility & Tuition
Rev. Rfdg. Series B, 5%
10/1/01

17,888

MASSACHUSETTS - 5.9%

Holyoke Gen. Oblig. Rfdg. Aaa 500 515
5.25% 8/1/06 (FSA Insured)

Massachusetts Gen. Oblig.:

(Consolidated Ln. Proj.):

Series A, 6.2% 6/1/03 Aa3 6,000 6,334

Series C, 6.75% 8/1/06 Aaa 1,000 1,067
(Pre-Refunded to 8/1/01 @
102) (f)

Rfdg. Series A, 5% 8/1/01 Aa3 1,000 1,016

Massachusetts Health & Edl. Aaa 3,900 3,881
Facilities Auth. Rev. Rfdg.
(Fairview Extended Care)
Series B, 4.55% 1/1/21 (MBIA
Insured)

Massachusetts Ind. Fin. Agcy. BBB 3,000 2,981
Resource Recovery Rev. Rfdg.
(Ogden Haverhill Proj.)
Series A, 4.5% 12/1/01

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

MASSACHUSETTS - CONTINUED

Massachusetts Ind. Fin. Agcy. A1 $ 4,510 $ 4,354
Rev. (Cap. Appreciation)
(Massachusetts Biomedical
Research) Series A1, 0%
8/1/00

Massachusetts Wtr. Resources
Auth.:

Rfdg. Series C, 5.25% 12/1/01 A1 2,000 2,046

Series A, 7.125% 4/1/00 A1 1,500 1,528

New England Ed. Ln. Marketing
Corp.:

Massachusetts Student Ln.
Rev. Rfdg.: Senior Issue D:

6% 9/1/99 Aaa 7,000 7,000

6.2% 9/1/00 Aaa 2,000 2,038

Series B, 5.4% 6/1/00 Aa2 8,500 8,577

41,337

MICHIGAN - 2.0%

Detroit Convention Facilities
Rev. Rfdg. (Cobo Hall
Expansion Proj.):

4.75% 9/30/00 A 5,220 5,272

4.8% 9/30/01 A 1,000 1,007

Michigan Hosp. Fin. Auth.
Rev. Rfdg.:

(Genesys Reg'l. Med. Hosp.)
Series A:

5.25% 10/1/02 Baa2 2,040 2,040

5.25% 10/1/03 Baa2 1,000 995

(Mercy Health Svcs.):

Series S, 5.75% 8/15/05 Aa3 1,275 1,320

Series T, 5.75% 8/15/05 Aa3 3,070 3,179

13,813

MINNESOTA - 2.9%

Minneapolis Gen. Oblig. (Cap.
Appreciation) Series B:

0% 12/1/02 Aaa 1,300 1,130

0% 12/1/03 Aaa 500 414

0% 12/1/04 Aaa 1,500 1,181

Minnesota Gen. Oblig.:

Rfdg. 4.4% 8/1/03 Aaa 1,200 1,204

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

MINNESOTA - CONTINUED

Minnesota Gen. Oblig.: -
continued

4.75% 8/1/01 Aaa $ 12,250 $ 12,390

5.9% 8/1/05 (Pre-Refunded to Aaa 3,815 3,983
8/1/02 @ 100) (f)

20,302

MISSOURI - 0.6%

Kansas City Arpt. Rev. Rfdg. Aaa 4,085 4,181
(Gen. Impt. Proj.) Series
A, 5.25% 9/1/03 (FSA
Insured) (e)

MONTANA - 0.1%

Montana Higher Ed. Student A 450 453
Assistance Corp. Student Ln.
Rev. Series B, 6.6% 12/1/99
(e)

NEBRASKA - 1.9%

Nebraska Pub. Pwr. District
Rev.:

Series A, 5.25% 1/1/05 (MBIA Aaa 10,000 10,281
Insured)

5.4% 7/1/01 A1 3,085 3,147

13,428

NEVADA - 0.4%

Clark County Hwy. Impt. Rev. Aaa 2,000 2,029
(Motor Vehicle Fuel Tax) 5%
7/1/01 (AMBAC Insured)

Clark County Rev. (Flood Aa3 1,000 1,036
Cont.) 6% 11/1/01

3,065

NEW JERSEY - 3.3%

New Jersey Gen. Oblig. 5.25% Aa1 8,745 8,996
3/1/07

New Jersey Health Care A3 3,500 3,650
Facilities Fing. Auth. Rev.
Rfdg. (Atlantic City Med.
Ctr.) Series C, 6.45% 7/1/02

New Jersey Trans. Corp.
Series A:

5.25% 9/1/01 (FSA Insured) Aaa 5,000 5,081

5.4% 9/1/02 (FSA Insured) Aaa 5,000 5,130

22,857

NEW MEXICO - 0.6%

Albuquerque Arpt. Rev. Rfdg.:

6.25% 7/1/00 (AMBAC Insured) Aaa 660 673
(e)

6.25% 7/1/01 (AMBAC Insured) Aaa 980 1,013
(e)

New Mexico Edl. Assistance Aaa 2,365 2,449
Foundation Student Ln.
Series IV A1, 6.5% 3/1/04 (e)

4,135

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

NEW YORK - 14.4%

Long Island Pwr. Auth. Elec.
Sys. Rev.:

Series A, 5.5% 12/1/06 (AMBAC Aaa $ 4,000 $ 4,189
Insured)

4.25% 4/1/00 Baa1 14,235 14,250

Muni. Assistance Corp. for
New York City:

Rfdg. Series E, 5.5% 7/1/01 Aa2 20,400 20,871

Series G, 5.5% 7/1/01 Aa2 5,000 5,116

New York City Gen. Oblig.:

Rfdg.:

Series A, 5.7% 8/1/02 A3 1,500 1,551

Series H, 5.4% 8/1/04 A3 3,935 4,058

Series D:

6.6% 2/1/03 A3 975 1,036

6.6% 2/1/03 (Escrowed to A3 25 27
Maturity) (f)

Series F:

8.1% 11/15/99 A3 285 287

8.1% 11/15/99 (Escrowed to Aaa 265 267
Maturity) (f)

Series H:

5% 8/1/05 A3 8,050 8,134

6.9% 2/1/01 A3 265 274

6.9% 2/1/01 (Escrowed to Aaa 135 140
Maturity) (f)

Series J, 6% 2/15/04 A3 3,000 3,151

New York State Dorm. Auth. A3 1,500 1,536
Rev. (Mental Health Svcs.
Facilities) Series A, 6%
2/15/01

New York State Envir. Baa1 5,000 5,114
Facilities Corp. Resource
Recovery Rev. (Huntington
Proj.) Series A, 7.5%
10/1/12 (Pre-Refunded to
10/1/99 @ 102) (e)(f)

New York State Local Govt.
Assistance Corp.:

Rfdg. Series A, 5.5% 4/1/04 Aaa 2,700 2,811
(AMBAC Insured)

Series B, 7.5% 4/1/20 Aaa 10,500 11,250
(Pre-Refunded to 4/1/01 @
102) (f)

New York State Med. Care Aaa 1,785 1,925
Facilities Fin. Agcy. Rev.
(Mental Health Services
Facilities) Series C, 7.3%
2/15/21 (Pre-Refunded to
8/15/01 @ 102) (f)

New York State Thruway Auth. AAA 4,495 4,577
Hwy. & Bridge Trust Fund
Series B, 5% 4/1/05 (FGIC
Insured)

New York State Thruway Auth.
Svc. Contract Rev. (Local
Hwy. & Bridge):

5.4% 4/1/03 Baa1 2,750 2,814

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

NEW YORK - CONTINUED

New York State Thruway Auth.
Svc. Contract Rev. (Local
Hwy. & Bridge): - continued

6% 4/1/01 Baa1 $ 1,100 $ 1,127

6% 4/1/03 Baa1 2,300 2,399

Triborough Bridge & Tunnel Aa3 3,885 4,072
Auth. Rev. Rfdg. Series B,
6% 1/1/03

100,976

NORTH CAROLINA - 4.1%

North Carolina Eastern Muni.
Pwr. Agcy. Pwr. Sys. Rev.
Rfdg.:

Series A:

5.2% 1/1/01 Baa1 3,000 3,002

7.875% 1/1/02 Baa1 9,255 9,778

Series B, 5.5% 1/1/02 Baa3 1,000 1,005

North Carolina Gen. Oblig.
(Pub. School Bldg. Proj.):

4.5% 4/1/01 Aaa 10,000 10,062

4.6% 4/1/03 Aaa 4,000 4,037

North Carolina Muni. Pwr. Baa1 1,000 1,011
Agcy. #1 Catawba Elec. Rev.
Rfdg. 5.75% 1/1/02

28,895

OHIO - 4.2%

Butler County Trans. Impt. Aaa 2,605 2,661
District Series A, 5%
4/1/04 (FSA Insured)

Cleveland Arpt. Sys. Rev. Aaa 1,000 1,033
Series A, 5.5% 1/1/05 (FSA
Insured) (e)

Franklin County Gen. Oblig. - 3,800 4,043
(Courthouse) 6.375% 12/1/17
(Pre-Refunded to 12/1/01 @
102) (f)

Ohio Bldg. Auth.:

(Administration Bldg. Fund) Aa2 2,175 2,235
Series A, 5.5% 10/1/01

Rfdg. (State Correctional Aa2 5,600 5,995
Facilities Proj.) Series A,
6% 10/1/05

Ohio Wtr. Dev. Auth. Poll.
Cont. Faclilties Rev.:

(Wtr. Cont. Ln. Fund) 5.25% Aaa 2,310 2,381
6/1/06 (MBIA Insured)

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

OHIO - CONTINUED

Ohio Wtr. Dev. Auth. Poll.
Cont. Faclilties Rev.: -
continued

Rfdg. (Ohio Edison Co. Proj.) Baa3 $ 10,000 $ 9,905
Series A, 4.25%, tender
6/1/01

Ohio Wtr. Dev. Auth. Rev. Aaa 1,350 1,401
(Fresh Wtr. Svc.) 5.4%
6/1/05 (AMBAC Insured)

29,654

PENNSYLVANIA - 1.9%

Pennsylvania Higher Edl. A2 4,000 4,016
Facilities Auth. Health
Svcs. Rev. Rfdg. (Univ. of
Pennslyvania) Series A,
5.125% 1/1/01

Philadelphia Gas Works Rev. Aaa 5,000 5,122
Series A, 5.25% 7/1/05 (FSA
Insured)

Somerset County Gen. Auth. Aaa 4,000 4,171
Commonwealth Lease Rev.
6.25% 10/15/11 (FGIC
Insured) (Pre-Refunded to
10/15/01 @ 100) (f)

13,309

SOUTH CAROLINA - 4.1%

Charleston County School Aa1 5,000 4,991
District 4% 2/1/01

Richland County School Aaa 1,100 1,131
District #2 Series B, 5.6%
3/1/02 (MBIA Insured)

South Carolina Ed. Assistance
Auth. Rev.:

(Insured Student Ln.):

6.3% 9/1/01 (e) - 1,400 1,439

6.6% 9/1/99 (e) - 2,845 2,845

Rfdg. (Guaranteed Student A 7,045 7,045
Ln.) Sub Lien B, 5% 9/1/99
(e)

South Carolina Gen. Oblig. Aaa 5,000 5,153
(Cap. Impt. Proj.) Series B,
5.75% 8/1/01

South Carolina Pub. Svc.
Auth. Rev. Rfdg.:

(Santee Cooper Proj.) Series Aaa 4,145 4,394
B, 6.5% 7/1/26 (Pre-Refunded
to 7/1/01 @ 102) (f)

Series A, 6.25% 1/1/01 (AMBAC Aaa 2,005 2,058
Insured)

29,056

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

TENNESSEE - 0.3%

Memphis-Shelby County Arpt.
Auth. Arpt. Rev. Rfdg.
Series A:

5.25% 2/15/01 (MBIA Insured) Aaa $ 800 $ 810
(e)

5.25% 2/15/02 (MBIA Insured) Aaa 1,000 1,015
(e)

1,825

TEXAS - 7.7%

Alamo Cmnty. College District Aaa 3,350 3,293
Rfdg. (Cap. Appreciation) 0%
2/15/00 (AMBAC Insured)

Alief Independent School Aaa 1,000 899
District Rfdg. (Cap.
Appreciation) 0% 2/15/02

Conroe Independent School Aaa 1,190 1,172
District Rfdg. (Schoolhouse)
0% 2/1/00 (MBIA Insured)

Corpus Christi Independant Aaa 1,600 1,474
School District Rfdg. (Cap.
Appreciation) 0% 8/15/01

Dallas County Gen. Oblig. 7% Aaa 1,750 1,842
8/15/01

Deer Park Independent School Aaa 2,240 1,918
District Rfdg. 0% 2/15/03

Harris County Gen. Oblig. Sub Aa1 3,490 3,215
Lien Rev. Rfdg. (Cap.
Appreciation) (Toll Road) 0%
8/1/01

Houston Wtr. & Swr. Sys. Rev. Aaa 3,170 3,425
Series A, 6.375% 12/1/22
(MBIA Insured) (Pre-Refunded
to 12/1/02 @ 102) (f)

Irving Independent School
District:

(Cap. Appreciation) 0% 2/15/04 Aaa 3,985 3,234

Rfdg. (Cap. Appreciation) 0% Aaa 3,100 2,654
2/15/03

Klein Independent School
District Rfdg.:

5.25% 8/1/05 Aaa 1,600 1,650

5.25% 8/1/06 Aaa 2,000 2,056

North Health Facilities Dev. Aaa 2,050 2,052
Corp. Hosp. Rev. Rfdg.
(United Reg'l. Health Care
Sys. Proj.) 4.5% 9/1/02
(MBIA Insured)

San Antonio Gen. Oblig.
Series 2000:

4.5% 2/1/05 (b) Aa2 1,035 1,022

5% 2/1/06 (b) Aa2 1,085 1,095

5% 2/1/07 (b) Aa2 1,135 1,147

San Antonio Wtr. Rev. 6.2% Aaa 4,665 4,940
5/15/03 (FGIC Insured)

Texas A & M Univ. Rev. Rfdg. Aa2 2,300 2,343
(Fing. Sys.) 5.25% 5/15/01

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

TEXAS - CONTINUED

Texas Gen. Oblig. Rfdg. (Cap.
Appreciation):

(Pub. Fin. Auth.) Series A, Aaa $ 9,000 $ 8,249
0% 10/1/01 (AMBAC Insured)

(Superconducting) Series C, Aaa 2,750 2,458
0% 4/1/02 (FGIC Insured)

Univ. of Texas Permanent Aaa 4,000 4,127
Univ. Fund 5.25% 7/1/06

54,265

UTAH - 4.7%

Intermountain Pwr. Agcy. Pwr.
Supply Rev.:

Rfdg.:

(Cap. Appreciation) Series B:

0% 7/1/00 (MBIA Insured) Aaa 3,500 3,392

0% 7/1/01 (AMBAC Insured) Aaa 5,000 4,630

Series C, 6% 7/1/01 (MBIA Aaa 2,000 2,064
Insured)

Series 1, 0% 7/1/15 Aaa 7,500 7,338
(Pre-Refunded to 7/1/00 @
101) (f)

Series B, 5.5% 7/1/01 (MBIA Aaa 13,825 14,144
Insured)

Salt Lake City Wtr. & Swr. Aaa 1,650 1,691
Rev. Rfdg. 6% 2/1/01 (AMBAC
Insured)

33,259

VIRGINIA - 2.7%

Fairfax County Gen. Oblig.
Rfdg. (Pub. Impt. Proj.)
Series A:

4.75% 6/1/03 Aaa 3,595 3,648

5% 6/1/07 Aaa 10,990 11,173

Virginia Gen. Oblig. 6% 6/1/02 Aaa 1,810 1,892

Virginia Pub. School Auth. Aa1 2,000 2,093
Series A, 6% 8/1/02

18,806

WASHINGTON - 4.3%

Clark County Pub. Util. # 1 Aaa 2,000 2,069
Generating Sys. Rev. 6%
1/1/02 (FGIC Insured)

Pierce County School District Aaa 11,295 11,500
No. 10 (Tacoma Proj.) 5%
12/1/02 (FSA Insured)

Washington Gen. Oblig. Rfdg. Aa1 1,000 1,038
Series R96B, 5.5% 7/1/03

Washington Pub. Pwr. Supply Aa1 3,000 3,147
Sys. Rfdg. (Nuclear Proj.
#1) Series A, 6.5% 7/1/02

MUNICIPAL BONDS - CONTINUED

MOODY'S RATINGS (UNAUDITED) (A) PRINCIPAL AMOUNT (000S) VALUE (NOTE 1) (000S)

WASHINGTON - CONTINUED

Washington Pub. Pwr. Supply
Sys. Rev. Rfdg.:

(Nuclear Proj. #2):

Series A:

4.8% 7/1/04 Aa1 $ 3,000 $ 2,999

6.5% 7/1/02 Aa1 2,220 2,329

Series B, 5.5% 7/1/03 Aa1 2,000 2,053

(Nuclear Proj. #3) Series C, Aaa 5,000 5,057
5% 7/1/06 (FSA Insured)

30,192

WISCONSIN - 0.7%

Wisconsin Gen. Oblig. Series Aa2 1,370 1,394
C, 5.25% 5/1/01

Wisconsin Health & Edl. Aaa 3,000 3,221
Facilities Auth. Rev. (St.
Lukes Med. Ctr. Proj.) 7.1%
8/15/11 (MBIA Insured)
(Pre-Refunded to 8/15/01 @
102) (f)

4,615

TOTAL MUNICIPAL BONDS 675,425
(Cost $675,424)

CASH EQUIVALENTS - 3.6%

Municipal Central Cash Fund, 25,118,163 25,118
3.30% (c)(d) (Cost $25,118)

TOTAL INVESTMENT IN $ 700,543
SECURITIES - 100%
(Cost $700,542)

</TABLE>

LEGEND

(a) Standard & Poor's (registered trademark) credit ratings are used
in the absence of a rating by Moody's Investors Service, Inc.

(b) Security purchased on a delayed delivery or when-issued basis.

(c) Information in this report regarding holdings by state and
security types does not reflect the holdings of the Municipal Central
Cash Fund. A listing of the Municipal Central Cash Fund's holdings as
of its most recent fiscal period end is available upon request.

(d) The rate quoted is the annualized seven-day yield of the fund at
period end.

(e) Private activity obligations whose interest is subject to the
federal alternative minimum tax for individuals.

(f) Security collateralized by an amount sufficient to pay interest
and principal.

OTHER INFORMATION

The composition of long-term debt holdings as a percentage of total
value of investments in securities, is as follows (ratings are
unaudited):

MOODY'S RATINGS S&P RATINGS

Aaa, Aa, A 83.4% AAA, AA, A 82.1%

Baa 8.2% BBB 4.8%

Ba 0.0% BB 0.0%

B 0.0% B 0.0%

Caa 0.0% CCC 0.0%

Ca, C 0.0% CC, C 0.0%

D 0.0%

The percentage not rated by Moody's or S&P amounted to 1.2%.

The distribution of municipal securities by revenue source, as a
percentage of total value of investments in securities, is as follows:

General Obligations 38.7%

Electric Utilities 19.2

Escrowed/Pre-Refunded 10.0

Education 9.0

Special Tax 7.6

Others (individually less 15.5
than 5%)

100.0%

INCOME TAX INFORMATION

At August 31, 1999, the aggregate cost of investment securities for
income tax purposes was $700,542,000. Net unrealized appreciation
aggregated $1,000, of which $3,816,000 related to appreciated
investment securities and $3,815,000 related to depreciated investment
securities.

The fund hereby designates approximately $649,000 as a capital gain
dividend for the purpose of the dividend paid deduction.

FINANCIAL STATEMENTS

STATEMENT OF ASSETS AND LIABILITIES
AMOUNTS IN THOUSANDS (EXCEPT
PER-SHARE AMOUNT) AUGUST 31, 1999

ASSETS

Investment in securities, at $ 700,543
value (cost $700,542) - See
accompanying schedule

Cash 12

Receivable for investments 11,423
sold

Receivable for fund shares 191
sold

Interest receivable 8,695

Other receivables 1

TOTAL ASSETS 720,865

LIABILITIES

Payable for investments $ 17,989
purchased Regular delivery

Delayed delivery 3,324

Payable for fund shares 1,042
redeemed

Distributions payable 408

Accrued management fee 324

Other payables and accrued 6
expenses

TOTAL LIABILITIES 23,093

NET ASSETS $ 697,772

Net Assets consist of:

Paid in capital $ 697,222

Accumulated undistributed net 549
realized gain (loss) on
investments

Net unrealized appreciation 1
(depreciation) on investments

NET ASSETS, for 69,792 shares $ 697,772
outstanding

NET ASSET VALUE, offering $10.00
price and redemption price
per share ($697,772 (divided
by) 69,792 shares)

STATEMENT OF OPERATIONS
AMOUNTS IN THOUSANDS YEAR
ENDED AUGUST 31, 1999

INTEREST INCOME $ 29,672

EXPENSES

Management fee $ 3,673

Non-interested trustees' 2
compensation

Total expenses before 3,675
reductions

Expense reductions (7) 3,668

NET INTEREST INCOME 26,004

REALIZED AND UNREALIZED GAIN
(LOSS)
Net realized gain (loss) on:

Investment securities 2,768

Futures contracts (91) 2,677

Change in net unrealized (13,114)
appreciation (depreciation)
on investment securities

NET GAIN (LOSS) (10,437)

NET INCREASE (DECREASE) IN $ 15,567
NET ASSETS RESULTING FROM
OPERATIONS

<TABLE>
<CAPTION>
<S> <C> <C>
STATEMENT OF CHANGES IN NET ASSETS

AMOUNTS IN THOUSANDS YEAR ENDED AUGUST 31, 1999 YEAR ENDED AUGUST 31, 1998

INCREASE (DECREASE) IN NET
ASSETS

Operations Net interest income $ 26,004 $ 28,736

Net realized gain (loss) 2,677 3,674

Change in net unrealized (13,114) 3,903
appreciation (depreciation)

NET INCREASE (DECREASE) IN 15,567 36,313
NET ASSETS RESULTING FROM
OPERATIONS

Distributions to shareholders (26,004) (28,736)
from net interest income

Share transactions Net 337,840 218,070
proceeds from sales of shares

Reinvestment of distributions 20,370 23,954

Cost of shares redeemed (299,020) (326,250)

NET INCREASE (DECREASE) IN 59,190 (84,226)
NET ASSETS RESULTING FROM
SHARE TRANSACTIONS

TOTAL INCREASE (DECREASE) 48,753 (76,649)
IN NET ASSETS

NET ASSETS

Beginning of period 649,019 725,668

End of period $ 697,772 $ 649,019

OTHER INFORMATION
Shares

Sold 33,370 21,596

Issued in reinvestment of 2,011 2,373
distributions

Redeemed (29,541) (32,320)

Net increase (decrease) 5,840 (8,351)

</TABLE>

<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
FINANCIAL HIGHLIGHTS

YEARS ENDED AUGUST 31, 1999 1998 1997 1996 1995

SELECTED PER-SHARE DATA

Net asset value, beginning of $ 10.150 $ 10.040 $ 9.930 $ 9.980 $ 9.840
period

Income from Investment .395 .419 .425 .418 .429
Operations Net interest
income

Net realized and unrealized (.150) .110 .110 (.050) .140
gain (loss)

Total from investment .245 .529 .535 .368 .569
operations

Less Distributions

From net interest income (.395) (.419) (.425) (.418) (.429)

Net asset value, end of period $ 10.000 $ 10.150 $ 10.040 $ 9.930 $ 9.980

TOTAL RETURN A 2.44% 5.37% 5.49% 3.75% 5.95%

RATIOS AND SUPPLEMENTAL DATA

Net assets, end of period $ 698 $ 649 $ 726 $ 791 $ 909
(in millions)

Ratio of expenses to average .55% .55% .55% .54% B .55%
net assets

Ratio of net interest income 3.89% 4.15% 4.25% 4.17% 4.38%
to average net assets

Portfolio turnover rate 66% 33% 32% 78% 51%

</TABLE>

NOTES TO FINANCIAL STATEMENTS
For the period ended August 31, 1999

1. SIGNIFICANT ACCOUNTING POLICIES.

Spartan Short-Intermediate Municipal Income Fund (the fund) is a fund
of Fidelity Union Street Trust (the trust) and is authorized to issue
an unlimited number of shares. The trust is registered under the
Investment Company Act of 1940, as amended, as an open-end management
investment company organized as a Massachusetts business trust. The
financial statements have been prepared in conformity with generally
accepted accounting principles which require management to make
certain estimates and assumptions at the date of the financial
statements. The following summarizes the significant accounting
policies of the fund:

INTEREST INCOME. Interest income, which includes amortization of
premium and accretion of original issue discount, is accrued as
earned.

EXPENSES. Most expenses of the trust can be directly attributed to a
fund. Expenses which cannot be directly attributed are apportioned
among the funds in the trust.

DISTRIBUTIONS TO SHAREHOLDERS. Distributions are declared daily and
paid monthly from net interest income. Distributions from realized
gains, if any, are recorded on the ex-dividend date.

Income and capital gain distributions are determined in accordance
with income tax regulations which may differ from generally accepted
accounting principles. These differences, which may result in
distribution reclassifications, are primarily due to differing
treatments for futures transactions and capital loss carryforwards.
The fund also utilized earnings and profits distributed to
shareholders on redemption of shares as a part of the dividends paid
deduction for income tax purposes.

1. SIGNIFICANT ACCOUNTING
POLICIES - CONTINUED

DISTRIBUTIONS TO SHAREHOLDERS -
CONTINUED

investments may include temporary book and tax basis differences which
will reverse in a subsequent period. Any taxable gain remaining at
fiscal year end is distributed in the following year.

SECURITY TRANSACTIONS. Security transactions are accounted for as of
trade date. Gains and losses on securities sold are determined on the
basis of identified cost.

2. OPERATING POLICIES.

MUNICIPAL CENTRAL CASH FUND. Pursuant to an Exemptive Order issued by
the Securities and Exchange Commission, the fund may invest in the
Municipal Central Cash Fund (the Cash Fund) managed by Fidelity
Investments Money Management, Inc. (FIMM), an affiliate of Fidelity
Management & Research Company (FMR). The Cash Fund is an open-end
money market fund available only to investment companies and other
accounts managed by FMR and its affiliates. The Cash Fund seeks
preservation of capital, liquidity, and current income by investing in
high-quality, short-term municipal securities of various states and
municipalities. Income distributions from the Cash Fund are declared
daily and paid monthly from net interest income. Income distributions
earned by the fund are recorded as interest income in the accompanying
financial statements.

DELAYED DELIVERY TRANSACTIONS. The fund may purchase or sell
securities on a delayed delivery basis. Payment and delivery may take
place after the customary settlement period for that security. The
price of the underlying securities and the date when the securities
will be delivered and paid for are fixed at the time the transaction
is negotiated. The market values of the securities purchased on a
delayed delivery basis are identified as such in the fund's schedule
of investments. The fund may receive compensation for interest forgone
in the purchase of a delayed delivery security. With respect to
purchase commitments, the fund identifies securities as segregated in
its records with a value at least equal to the amount of the
commitment. Losses may arise due to changes in the market value of the
underlying securities or if the counterparty does not perform under
the contract.

3. PURCHASES AND SALES OF INVESTMENTS.

Purchases and sales of securities, other than short-term securities,
aggregated $441,004,000 and $430,720,000, respectively.

The market value of futures contracts opened and closed during the
period amounted to $23,266,000 and $23,402,000, respectively.

4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.

MANAGEMENT FEE. As the fund's investment adviser, FMR pays all
expenses, except the compensation of the non-interested Trustees and
certain exceptions such as interest, taxes, brokerage commissions and
extraordinary expenses. FMR receives a fee that is computed daily at
an annual rate of .55% of the fund's average net assets. The
management fee paid to FMR by the fund is reduced by an amount equal
to the fees and expenses paid by the fund to the non-interested
Trustees.

SUB-ADVISER FEE. FMR, on behalf of the fund, has entered into a
sub-advisory agreement(effective January 1, 1999) with FIMM, a wholly
owned subsidiary of FMR. For its services, FIMM receives a fee from
FMR of 50% of the management fee payable to FMR. The fee is paid prior
to any voluntary expense reimbursements which may be in effect.

5. EXPENSE REDUCTIONS.

FMR has entered into arrangements on behalf of the fund with the
fund's custodian and transfer agent whereby credits realized as a
result of uninvested cash balances were used to reduce a portion of
the fund's expenses. During the period, the fund's expenses were
reduced by $7,000 under these arrangements.

REPORT OF INDEPENDENT ACCOUNTANTS

To the Trustees of Fidelity Union Street Trust and the Shareholders of
Spartan Short-Intermediate Municipal Income Fund:

In our opinion, the accompanying statement of assets and liabilities,
including the schedule of investments, and the related statements of
operations and of changes in net assets and the financial highlights
present fairly, in all material respects, the financial position of
Spartan Short-Intermediate Municipal Income Fund (a fund of Fidelity
Union Street Trust) at August 31, 1999, and the results of its
operations, the changes in its net assets and the financial highlights
for the periods indicated, in conformity with generally accepted
accounting principles. These financial statements and financial
highlights (hereafter referred to as "financial statements") are the
responsibility of the Spartan Short-Intermediate Municipal Income
Fund's management; our responsibility is to express an opinion on
these financial statements based on our audits. We conducted our
audits of these financial statements in accordance with generally
accepted auditing standards which require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements, assessing the accounting
principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe
that our audits, which included confirmation of securities at August
31, 1999 by correspondence with the custodian and brokers, provide a
reasonable basis for the opinion expressed above.

/s/PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP

Boston, Massachusetts
October 6, 1999

DISTRIBUTIONS

During fiscal year ended 1999, 100% of the fund's income dividends was
free from federal income tax, and 9.98% of the fund's income dividends
was subject to the federal alternative minimum tax.

OF SPECIAL NOTE

INTRODUCING FIDELITY'S NEW, REORGANIZED PROSPECTUS

We invite you to spend a moment and review our new prospectus. It is
designed to help make your investment decision easier, no matter which
of the Fidelity funds you invest in.

MANAGING YOUR INVESTMENTS

BY PHONE

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Fidelity Investments
P.O. Box 770001
Cincinnati, OH 45277-0003

SELLING SHARES

Fidelity Investments
P.O. Box 660602
Dallas, TX 75266-0602

OVERNIGHT EXPRESS
Fidelity Investments
Attn: Redemptions - CP6R
400 East Las Colinas Blvd.
Irving, TX 75039-5587

GENERAL CORRESPONDENCE

Fidelity Investments
P.O. Box 500
Merrimack, NH 03054-0500

TO VISIT FIDELITY

For directions and hours,
please call 1-800-544-9797.

ARIZONA

7373 N. Scottsdale Road
Scottsdale, AZ

CALIFORNIA

815 East Birch Street
Brea, CA

851 East Hamilton Avenue
Campbell, CA

527 North Brand Boulevard
Glendale, CA

19200 Von Karman Avenue
Irvine, CA

10100 Santa Monica Blvd.
Los Angeles, CA

251 University Avenue
Palo Alto, CA

1760 Challenge Way
Sacramento, CA

7676 Hazard Center Drive
San Diego, CA

455 Market Street
San Francisco, CA

950 Northgate Drive
San Rafael, CA

1400 Civic Drive
Walnut Creek, CA

6300 Canoga Avenue
Woodland Hills, CA

COLORADO

1625 Broadway
Denver, CO

CONNECTICUT

48 West Putnam Avenue
Greenwich, CT

265 Church Street
New Haven, CT

300 Atlantic Street
Stamford, CT

29 South Main Street
West Hartford, CT

DELAWARE

222 Delaware Avenue
Wilmington, DE

FLORIDA

4400 N. Federal Highway
Boca Raton, FL

90 Alhambra Plaza
Coral Gables, FL

4090 N. Ocean Boulevard
Ft. Lauderdale, FL

1907 West State Road 434
Longwood, FL

8880 Tamiami Trail, North
Naples, FL

2401 PGA Boulevard
Palm Beach Gardens, FL

8065 Beneva Road
Sarasota, FL

1502 N. Westshore Blvd.
Tampa, FL

GEORGIA

3445 Peachtree Road, N.E.
Atlanta, GA

1000 Abernathy Road
Atlanta, GA

ILLINOIS

One North Franklin Street
Chicago, IL

1415 West 22nd Street
Oak Brook, IL

1700 East Golf Road
Schaumburg, IL

3232 Lake Avenue
Wilmette, IL

INDIANA

4729 East 82nd Street
Indianapolis, IN

MAINE

3 Canal Plaza
Portland, ME

MARYLAND

7401 Wisconsin Avenue
Bethesda, MD

1 West Pennsylvania Ave.
Towson, MD

MASSACHUSETTS

470 Boylston Street
Boston, MA

155 Congress Street
Boston, MA

25 State Street
Boston, MA

300 Granite Street
Braintree, MA

44 Mall Road
Burlington, MA

416 Belmont Street
Worcester, MA

MICHIGAN

280 North Woodward Ave.
Birmingham, MI

29155 Northwestern Hwy.
Southfield, MI

MINNESOTA

7600 France Avenue South
Edina, MN

MISSOURI

700 West 47th Street
Kansas City, MO

8885 Ladue Road
Ladue, MO

200 North Broadway
St. Louis, MO

NEW JERSEY

150 Essex Street
Millburn, NJ

56 South Street
Morristown, NJ

501 Route 17, South
Paramus, NJ

NEW YORK

1055 Franklin Avenue
Garden City, NY

999 Walt Whitman Road
Melville, L.I., NY

1271 Avenue of the Americas
New York, NY

71 Broadway
New York, NY

350 Park Avenue
New York, NY

NORTH CAROLINA

4611 Sharon Road
Charlotte, NC

OHIO

600 Vine Street
Cincinnati, OH

28699 Chagrin Boulevard
Woodmere Village, OH

OREGON

16850 SW 72 Avenue
Tigard, OR

PENNSYLVANIA

1735 Market Street
Philadelphia, PA

439 Fifth Avenue
Pittsburgh, PA

TENNESSEE

6150 Poplar Road
Memphis, TN

TEXAS

10000 Research Boulevard
Austin, TX

4017 Northwest Parkway
Dallas, TX

1155 Dairy Ashford Street
Houston, TX

2701 Drexel Drive
Houston, TX

400 East Las Colinas Blvd.
Irving, TX

14100 San Pedro
San Antonio, TX

19740 IH 45 North
Spring, TX

UTAH

215 South State Street
Salt Lake City, UT

VIRGINIA

8180 Greensboro Drive
McLean, VA

WASHINGTON

411 108th Avenue, N.E.
Bellevue, WA

511 Pine Street
Seattle, WA

WASHINGTON, DC

1900 K Street, N.W.
Washington, DC

WISCONSIN

595 North Barker Road
Brookfield, WI

INVESTMENT ADVISER

Fidelity Management & Research Company
Boston, MA

INVESTMENT SUB-ADVISER

Fidelity Investments Money
Management, Inc.
Merrimack, NH

OFFICERS

Edward C. Johnson 3d, President
Robert C. Pozen, Senior Vice President
Fred L. Henning, Jr., Vice President
Dwight D. Churchill, Vice President
Norman U. Lind, Vice President
Eric D. Roiter, Secretary
Richard A. Silver, Treasurer
Stanley N. Griffith, Assistant Vice President
Matthew N. Karstetter, Deputy Treasurer
John H. Costello, Assistant Treasurer
Thomas J. Simpson, Assistant Treasurer

BOARD OF TRUSTEES

ADVISORY BOARD

J. Gary Burkhead

GENERAL DISTRIBUTOR

Fidelity Distributors Corporation
Boston, MA

* INDEPENDENT TRUSTEES

STM-ANN-1099 85823
1.536709.102

TRANSFER AND SHAREHOLDER
SERVICING AGENTS

Citibank, N.A.
New York, NY and
Fidelity Service Company, Inc.
Boston, MA

CUSTODIAN

Citibank, N.A.
New York, NY

FIDELITY'S MUNICIPAL BOND FUNDS

THE FIDELITY TELEPHONE CONNECTION
MUTUAL FUND 24-HOUR SERVICE

(fidelity_logo)(registered trademark)
Corporate Headquarters
82 Devonshire St., Boston, MA 02109
www.fidelity.com