LETTER TO SHAREHOLDERS
Dear Shareholder:
The bond markets continue to be victimized by a strengthening economy,
fears of rising inflation and a weakening U.S. dollar. As a result of these
influences, interest rates have risen much faster this year than most
economists had forecast. Prices of municipal bonds reached their low points
early in the second quarter; since then, they have edged modestly higher,
eliminating a portion of the losses registered previously.
For the six-month period ended August 31, 1994, the General Municipal
Bond Fund lost approximately $.82 per share (adjusted for capital gain
distributions). Partially offsetting this loss of principal were income
dividends paid of approximately $.44 per share, equating to an annualized,
tax-free distribution rate per share of 5.93%, based on the August 31, 1994
closing net asset value per share of $14.52, adjusted for capital gain
distributions. (All income distributed was exempt from Federal income taxes.*)
When it became apparent last summer that the economy was gathering
momentum, we began to put in place a more defensive investment strategy
(e.g., shortening the maturity of our holdings, selling derivatives, etc.) in
order to reduce the portfolio's volatility potential, which was increasing.
As witnessed earlier this year, the markets reacted more dramatically to the
economic data than was generally anticipated. The challenge when employing
such a plan is to balance the income needs of shareholders with the desire to
take a more cautious market stance.
While we continue to be very cautious in our investment strategy, we are
hopeful that the series of Fed moves to tighten interest rates that began in
February will result in more favorable economic news for the markets. One
factor working to its advantage is the municipal market's favorable technical
position (i.e., good demand for tax exempt securities combined with a sharp
reduction in the supply of new issuance this year). While we view the
municipal market more favorably today than we have in months, we are wary of
the strong influence exerted by the price of alternative taxable securities.
Should a clearer picture emerge, we are poised to alter our investment
strategy accordingly.
After enjoying a number of years of strong market performance, it is
unsettling, to say the least, to be faced with such an uncertain environment.
With the benefit of hindsight, many investors might have opted earlier this
year to redeploy their investment holdings into more defensive securities as
a hedge against rising rates. While falling prices earlier this year reduced
the value of the portfolio, the level of tax-free dividends remained stable.
We believe that there are two fundamental reasons to invest in a municipal
bond fund: tax exempt income and solid long-term performance. Focusing too
intently on short-term results can be detrimental. For this reason, we
continue to direct our management efforts toward providing high current tax
exempt income each year, and delivering strong long-term performance results.
We trust that our philosophy is in concert with yours.
Very truly yours,
(Richard J. Moynihan Signature Logo)
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
September 15, 1994
New York, N.Y.
* Some income may be subject to the Federal Alternative Minimum Tax
(AMT) for certain shareholders. Income is subject to state and local taxes.
Capital gains are generally subject to Federal, state and local taxes.
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GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS AUGUST 31, 1994 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS--97.3% AMOUNT VALUE
---------------- --------------
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ALABAMA--1.2%
Birmingham North Medical Clinic Board, Revenue
(Carraway Methodist Hospitals Project) 8%, 7/1/2015..................... $ 2,000,000 $ 2,143,000
Courtland Township Industrial Development Board, SWDR
(Champion International Corp. Project) 7%, 6/1/2022..................... 10,000,000 10,103,600
ARIZONA--2.3%
Maricopa County Unified School District Number 41, Revenue, Refunding
(Gilbert School District) Zero Coupon, 7/1/2005 (Insured; FGIC)......... 5,965,000 3,220,861
Salt River Project Agricultural Improvement and Power District,
Electric System Revenue:
5.05%, 1/1/2011....................................................... 10,000,000 8,671,700
5.05%, 1/1/2012....................................................... 13,000,000 11,300,510
CALIFORNIA--2.3%
California Public Works Board, Lease Revenue (Department of Corrections -
Susanville) 5.375%, 6/1/2018 (Insured; MBIA)............................ 10,000,000 8,957,600
Los Angeles Department of Water and Power, Electric Plant Revenue, Sinking Fund
6.125%, 1/15/2033....................................................... 9,770,000 9,280,132
San Marcos Public Facilities Authority, Public Improvement Revenue, Refunding
(Civic Center) 6.15%, 8/1/2013.......................................... 5,500,000 5,236,935
COLORADO--6.0%
Colorado Health Facilities Authority, Retirement Facilities Revenue
(Liberty Heights) Zero Coupon, 7/15/2022................................ 47,350,000 6,682,506
Colorado Housing Finance Authority, Single Family Program 7.55%, 8/1/2023... 3,780,000 3,896,500
Dawson Ridge Metropolitan District Number 1, Refunding:
Zero Coupon, 10/1/2017.................................................. 7,260,000 1,466,665
Zero Coupon, Series A, 10/1/2022........................................ 5,880,000 840,076
Zero Coupon, Series B, 10/1/2022........................................ 47,535,000 6,791,325
Denver City and County, Airport System Revenue:
6.50%, 11/15/2006....................................................... 5,000,000 4,602,750
7.25%, 11/15/2007....................................................... 6,250,000 6,115,812
7.25%, 11/15/2012....................................................... 5,100,000 4,957,098
8.25%, 11/15/2012....................................................... 4,505,000 4,635,555
7.75%, 11/15/2021....................................................... 6,760,000 6,729,377
7.25%, 11/15/2023....................................................... 5,185,000 4,944,053
8.75%, 11/15/2023....................................................... 3,250,000 3,456,018
8%, 11/15/2025.......................................................... 5,250,000 5,318,617
CONNECTICUT--.9%
Eastern Connecticut Resource Recovery Authority, Solid Waste Revenue
(Wheelabrator Lisbon Project) 5.50%, 1/1/2014........................... 10,250,000 8,822,893
DISTRICT OF COLUMBIA--1.6%
District of Columbia, Refunding 5.875%, 6/1/2008............................ 10,000,000 9,862,900
Metropolitan Airports Authority, General Airport Revenue
5.50%, 10/1/2024 (Insured; MBIA)........................................ 6,750,000 5,959,305
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) AUGUST 31, 1994 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- --------------
FLORIDA-- 1.6%
Leon County Educational Facilities Authority (Southgate Residence Hall Project):
3.75%, 12/1/1995........................................................ $ 198,120 $ 196,747
COP 9%, 9/1/2014 (a).................................................... 4,000,000 2,800,000
Palm Beach County, Solid Waste IDR (Osceola Power Ltd. Partnership)
6.95%, 1/1/2022......................................................... 3,000,000 2,993,130
Polk County Industrial Development Authority, IDR 7.525%, 1/1/2015.......... 10,150,000 10,429,125
GEORGIA--1.5%
Georgia Housing and Finance Authority, Home Ownership Mortgage Revenue
Zero Coupon, 12/1/2031 (Insured; FHA)................................... 23,705,000 1,610,992
Macon-Bibb County Industrial Authority, Industrial Revenue (Weyerhaeuser Co. Project)
9%, 10/1/2007........................................................... 1,000,000 1,289,430
Savannah Hospital Authority, Revenue, Refunding and Improvement (Candler Hospital)
7%, 1/1/2011............................................................ 9,300,000 9,331,155
Wayne County Development Authority, PCR, Refunding (ITT Rayonier Inc. Project)
6.10%, 11/1/2007........................................................ 3,205,000 3,230,800
IDAHO--.7%
Idaho Housing Agency:
Housing Revenue (Blue Meadows Project) 7.20%, 7/1/2033 (Insured; FHA)... 3,500,000 3,605,385
Single Family Mortgage 7.875%, 7/1/2024................................. 3,675,000 3,831,004
ILLINOIS--5.5%
Chicago, Gas Supply Revenue (People's Gas Light and Coke Co.) 8.10%, 5/1/2020 3,000,000 3,379,980
Chicago Metropolitan Water Reclamation District of Greater Chicago, Refunding
6.05%, 12/1/2009........................................................ 3,000,000 3,029,460
Chicago-O'Hare International Airport, Special Facility Revenue:
(American Airlines Inc. Project) 7.875%, 11/1/2025...................... 2,725,000 2,779,064
(United Airlines Inc.):
8.40%, 5/1/2018....................................................... 2,910,000 3,084,280
8.50%, 5/1/2018....................................................... 2,500,000 2,656,125
8.85%, 5/1/2018....................................................... 6,540,000 7,164,570
Illinois Development Finance Authority, Revenue:
(Community Rehabilitation Providers Facility Acquisition) 8.75%, 3/1/2010 2,305,000 2,449,892
Pollution Control, Refunding (Commonwealth Edison Co. Project) 5.70%, 1/15/2009 6,000,000 5,726,880
Retirement Housing:
Zero Coupon, 4/15/2020................................................ 31,745,000 5,182,689
Zero Coupon, 7/15/2025................................................ 34,125,000 3,730,204
Illinois Health Facilities Authority, Revenue:
(Beverly Farm Foundation) 9.125%, 12/15/2015............................ 2,000,000 2,179,860
(Residential Centers Inc.) 8.50%, 8/15/2016............................. 6,015,000 6,178,187
Village of Romeoville 8.375%, 1/1/2010...................................... 7,495,000 8,227,187
INDIANA--1.7%
Fishers, Economic Development Revenue, First Mortgage (United Student Funds Inc.)
8.375%, 9/1/2014........................................................ 2,000,000 2,124,300
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) AUGUST 31, 1994 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- --------------
INDIANA (CONTINUED)
Indiana Health Facility Financing Authority, HR, Refunding
(Saint Anthony Medical Center Project) 7%, 10/1/2012.................... $ 4,025,000 $ 4,152,069
Indianapolis Local Public Improvement Bond Bank 6.75%, 2/1/2014............. 4,935,000 5,315,834
City of Sullivan, PCR, Refunding (Indiana Michigan Power Co. Project)
5.95%, 5/1/2009......................................................... 6,000,000 5,779,620
IOWA--.5%
Iowa Student Loan Liquidity Corp., Student Loan Revenue, Refunding 5.80%,
12/1/2008............................................................... 5,000,000 5,014,800
KENTUCKY--3.3%
Kenton County Airport Board, Airport Revenue
(Special Facilities - Delta Airlines Project):
7.50%, 2/1/2012....................................................... 13,800,000 13,863,066
7.125%, 2/1/2021...................................................... 8,130,000 7,789,760
City of Mount Sterling, Revenue (Kentucky League of Cities Funding Trust Lease
Program) 6.10%, 3/1/2018................................................ 5,500,000 5,262,290
Pendleton County, Multi-County Lease Revenue (Kentucky Association of
Counties
Leasing Trust Program) 6.40%, 3/1/2019.................................. 3,000,000 2,971,530
Trimble County, PCR (Louisville Gas and Electric Co.) 7.625%, 11/1/2020..... 2,645,000 2,875,961
LOUISIANA--4.9%
Lake Charles Harbor and Terminal District, Port Facilities Refunding, Revenue
(Occidental Petroleum Corp. Project) 7.20%, 12/1/2020................... 3,000,000 3,122,250
Lake Charles Non-Profit Housing Development Corp., First Mortgage Revenue, Refunding
(Section 8 Assisted Chateau Project) 7.875%, 2/15/2025 (Insured; FHA)... 1,000,000 1,004,330
Louisiana Public Facilities Authority, HR:
(Louisiana Association of Independent Colleges and Universities Facilities Loan
Program) 7%, 12/1/2017................................................ 6,195,000 6,407,488
Refunding (Our Lady of the Lake Regional Medical Center Project)
8.664%, 11/28/2014 (Insured.; MBIA)(b)................................ 13,000,000 12,886,250
Parish of Calcasieu Industrial Development Board, Environmental Revenue
(Citgo Petroleum Corp. Project) 6%, 7/1/2023............................ 10,000,000 8,846,300
Parish of Saint James, SWDR (Freeport-McMoRan Partnership
Project) 7.70%, 10/1/2022............................................... 4,140,000 4,194,855
Parish of West Feliciana, PCR (Gulf States Utilities Co. Project):
7.70%, Series II, 12/1/2014............................................. 9,500,000 10,325,455
7.70%, Series III, 12/1/2014............................................ 2,000,000 2,173,780
MAINE--.3%
Maine Public Utility Financing Bank, Public Utility Revenue (Maine Public Services
Co. Project) 7.875%, 4/1/2021 (LOC; Barclays Bank p.l.c.)(c)............ 2,750,000 2,903,423
MARYLAND--.3%
Montgomery County Housing Opportunities Commission, MFMR 7.375%, 7/1/2032... 2,635,000 2,704,142
MASSACHUSETTS--1.4%
Massachusetts Health and Educational Facilities Authority, Revenue:
(New England Deaconess Hospital Issue) 7.20%, 4/1/2022.................. 6,000,000 6,137,940
(New England Medical Center Hospitals) 5.375%, 7/1/2024................. 5,100,000 4,468,365
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) AUGUST 31, 1994 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- --------------
MASSACHUSETTS (CONTINUED)
Massachusetts Port Authority, Special Project Revenue (Harborside Hyatt Project)
10%, 3/1/2026........................................................... $ 3,000,000 $ 3,270,000
MICHIGAN--6.4%
City of Detroit, Revenue:
Sewage Disposal 5.70%, 7/1/2023 (Insured; FGIC)......................... 20,000,000 18,612,200
Water Supply System:
9.171%, 7/1/2002 (Insured; FGIC)(b)................................... 7,100,000 8,280,375
9.171%, 7/1/2022 (Insured; FGIC)(b)................................... 2,900,000 2,947,125
Flint Tax Increment Finance Authority, Refunding 6.125%, 6/1/2006........... 3,900,000 3,927,534
Greater Detroit Resource Recovery Authority, Revenue:
9.25%, Series B, 12/13/2008 ............................................ 6,000,000 6,387,540
9.25%, Series G, 12/13/2008 ............................................ 3,750,000 3,992,212
Lapeer Economic Development Corp., Limited Obligation Revenue
(Lapeer Health Services Project) 8.625%, 2/1/2020....................... 1,670,000 1,980,486
Michigan Strategic Fund, Limited Obligation Revenue (WMX Technologies Inc. Project)
6%, 12/1/2013........................................................... 14,000,000 13,533,660
Romulus Economic Development Corp., Economic Development Revenue, Refunding
(HIR Limited Partnership Project)
7%, 11/1/2015 (Surety Bond; ITT Lydon Property Co. Inc.)................ 5,000,000 5,168,100
MONTANA--.6%
Montana Board of Housing, Single Family Program 6.90%, 6/1/2025............. 5,600,000 5,649,840
NEBRASKA--1.2%
Nebraska Higher Education Loan Program Inc., Revenue 6.40%, 6/1/2013........ 12,500,000 12,511,875
NEVADA--1.5%
Clark County:
IDR (Southwest Gas Corp.) 7.50%, 9/1/2032............................... 5,000,000 5,123,500
Passenger Facility Charge Revenue (Las Vegas McCarran International Airport)
6.25%, 7/1/2008....................................................... 9,420,000 9,782,105
NEW HAMPSHIRE--1.6%
New Hampshire Higher Educational and Health Facilities Authority, Revenue
(Crotched Mountain Rehabilitation Center) 7.75%, 1/1/2020............... 2,200,000 2,411,684
New Hampshire Housing Finance Authority, Single Family Residential Mortgage:
7.75%, 7/1/2023......................................................... 7,285,000 7,518,411
7.70%, 7/1/2029......................................................... 4,795,000 4,945,515
New Hampshire Industrial Development Authority, PCR (United Illuminating)
8%, 12/1/2014........................................................... 1,000,000 1,073,940
NEW JERSEY--1.3%
Hudson County Improvement Authority, Solid Waste System Revenue 7.10%, 1/1/2020 3,275,000 3,333,295
New Jersey Economic Development Authority, Solid Waste Disposal Facility Revenue
(Garden State Paper Co. Inc. Project) 7.125%, 4/1/2022
(Guaranteed; Media General, Inc., LOC; Toronto-Dominion Bank)(b)........ 4,500,000 4,882,050
Passaic County Utilities Authority, Solid Waste System Revenue 7%, 11/15/2007 5,000,000 5,035,300
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) AUGUST 31, 1994 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ----------------
NEW YORK--9.8%
New York City:
7.50%, 2/1/2006......................................................... $ 7,000,000 $ 7,657,860
7.65%, 2/1/2006......................................................... 2,000,000 2,207,520
7.65%, 2/1/2007......................................................... 6,000,000 6,599,940
7.75%, 8/15/2007........................................................ 6,400,000 7,180,928
8.25%, 11/15/2010....................................................... 5,000,000 5,835,850
New York City Industrial Development Agency, Special Facility Revenue
(American Airlines Inc. Project) 8%, 7/1/2020........................... 1,325,000 1,393,529
New York State Dormitory Authority, Revenue:
(City University System):
5.75%, 7/1/2009....................................................... 7,000,000 6,770,330
7.50%, 7/1/2010....................................................... 4,500,000 5,109,615
(State University Educational Facilities) 7.50%, 5/15/2013.............. 2,500,000 2,883,450
New York State Energy Research and Development Authority, Electric Facilities Revenue
(Long Island Lighting Co. Project) 6.90%, 8/1/2022...................... 5,050,000 5,006,267
New York State Local Government Assistance Corp. 5%, 4/1/2023............... 16,000,000 13,221,600
New York State Medical Care Facilities Finance Agency 6.115%, 8/15/2010 (b,d) 6,055,000 5,782,525
New York State Thruway Authority, Local Highway and Bridge, Service Contract Revenue
7.25%, 1/1/2010......................................................... 5,000,000 5,354,500
New York State Urban Development Corp., Revenue:
7.50%, 4/1/2020......................................................... 11,000,000 11,948,200
(Correctional Capital Facilities) 6.50%, 1/1/2009....................... 4,075,000 4,188,163
Triborough Bridge and Tunnel Authority (Convention Center Project) 7.25%, 1/1/2010 6,950,000 7,703,519
NORTH CAROLINA--1.5%
North Carolina Eastern Municipal Power Agency, Power System Revenue:
5.75%, 12/1/2016........................................................ 6,645,000 6,040,438
Refunding:
6.125%, 1/1/2009...................................................... 5,000,000 4,954,850
6.50%, 1/1/2018....................................................... 4,030,000 4,053,656
NORTH DAKOTA--1.3%
North Dakota Housing Finance Agency, SFMR:
7.30%, 7/1/2024......................................................... 7,050,000 7,274,966
7.75%, 7/1/2024 (Insured; MBIA)......................................... 5,675,000 5,914,031
OHIO--1.1%
Cleveland, Parking Facilities Improvement Revenue 8.10%, 9/15/2022.......... 5,300,000 5,756,542
Ohio Water Development Authority, Pollution Control Facilities Revenue
(Toledo Edison Co. Project) 7.40%, 11/1/2022............................ 5,000,000 5,056,050
OKLAHOMA--3.2%
McGee Creek Authority, Water Revenue:
6%, 1/1/2013 (Insured; MBIA)............................................ 6,025,000 5,991,260
6%, 1/1/2023 (Insured; MBIA)............................................ 6,675,000 6,558,321
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) AUGUST 31, 1994 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- --------------
OKLAHOMA (CONTINUED)
Trustees of the Tulsa Municipal Airport Trust, Revenue (American Airlines Inc. Project):
9.50%, 6/1/2020......................................................... $ 1,000,000 $ 1,062,200
7.375%, 12/1/2020 (Guaranteed; AMR Corp.)............................... 7,000,000 6,970,950
7.60%, 12/1/2030........................................................ 12,000,000 12,047,280
PENNSYLVANIA--6.1%
Blair County Hospital Authority, Revenue (Altoona Hospital Project)
6.375%, 7/1/2013 (Insured; AMBAC)....................................... 3,300,000 3,351,381
Greene County General Facilities Authority, Lease Revenue 7%, 7/1/2011...... 2,825,000 3,119,393
Lancaster County Hospital Authority, Health Center Revenue
(United Church Homes Project) 9.125%, 10/1/2014......................... 2,000,000 2,229,220
Borough of Langhorne Manor Higher Education and Health Authority, HR
(The Lower Bucks Hospital) 7.30%, 7/1/2012.............................. 3,400,000 3,526,956
Lehigh County General Purpose Authority, Revenue (Wiley House) 9.50%, 11/1/2016 3,500,000 3,430,000
Luzerne County Industrial Development Authority, Exempt Facilities Revenue, Refunding
(Pennsylvania Gas and Water Co. Project) 7.20%, 10/1/2017............... 9,000,000 9,146,340
Montgomery County Higher Education and Health Authority, Revenue
(Northwestern Corp.) 8.50%, 6/1/2016.................................... 3,000,000 3,147,330
Pennsylvania Convention Center Authority, Revenue, Refunding
6.75%, 9/1/2019......................................................... 2,550,000 2,510,654
Pennsylvania Higher Education Assistance Agency, Student Loan Revenue
7.15%, 9/1/2021 (Insured; AMBAC)........................................ 5,500,000 5,740,680
Philadelphia, Revenue:
Gas Works:
7.70%, 6/15/2001...................................................... 2,745,000 3,187,192
7.70%, 6/15/2011...................................................... 1,255,000 1,459,979
Water and Sewer 7.35%, 9/1/2004......................................... 3,990,000 4,515,323
Water and Wastewater Refunding 5.625%, 6/15/2008 (Insured; FSA)......... 9,570,000 9,447,217
Schuykill County Industrial Development Authority, RRR (Schuykill Energy Resources Inc.)
6.50%, 1/1/2010......................................................... 7,000,000 6,639,710
RHODE ISLAND--2.9%
Rhode Island Depositors Economic Protection Corp., Special Obligation Refunding
5.875%, 8/1/2011 (Insured; FSA)......................................... 12,885,000 12,248,996
Rhode Island Housing and Mortgage Finance Corp.:
(Homeownership 1-D) 7.875%, 10/1/2022................................... 5,855,000 6,080,418
(Homeownership E-1) 7.55%, 10/1/2022.................................... 7,305,000 7,577,988
(Rental Housing Program) 7.95%, 10/1/2020............................... 3,195,000 3,293,182
SOUTH CAROLINA--3.3%
Calhoun County, Solid Waste Disposal Facilities Revenue (Eastman Kodak Co. Project)
6.75%, 5/1/2017......................................................... 5,000,000 5,319,150
Richland County, Solid Waste Disposal Facilities Revenue (Union Camp Corp. Project)
7.125%, 9/1/2021........................................................ 5,000,000 5,297,700
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) AUGUST 31, 1994 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- --------------
SOUTH CAROLINA (CONTINUED)
South Carolina Public Service Authority, Revenue, Refunding:
5%, 1/1/2018 (Insured; FGIC)............................................ $ 5,000,000 $ 4,205,100
5%, 1/1/2025 (Insured; FGIC)............................................ 13,400,000 10,962,272
5.125%, 1/1/2032........................................................ 4,750,000 3,842,560
Sumter County, School District Number 2, COP 8.125%, 4/1/2010............... 3,135,000 3,356,268
TENNESSEE--.5%
McMinn County Industrial Devlopment Board, PCR (Calhoun Newsprint Co. Project)
7.625%, 3/1/2016........................................................ 4,500,000 4,743,495
TEXAS--10.3%
Alliance Airport Authority Inc., Special Facilities Revenue (American Airlines Inc. Project):
7%, 12/1/2011 (Guaranteed; AMR Corp.)................................... 13,900,000 13,674,264
7.50%, 12/1/2029........................................................ 5,500,000 5,484,435
Austin, Convention Center Revenue:
8.25%, 11/15/2014....................................................... 9,750,000 11,248,868
Refunding 6%, 11/15/2005................................................ 2,000,000 2,026,720
Bell County Health Facilities Development Corp., Revenue
(Southern Healthcare-Southview) 10.50%, 3/1/2020........................ 2,925,000 3,227,328
Brazos River Authority, PCR (Collateral Texas Utilities Electric Co. Project)
7.875%, 3/1/2021........................................................ 2,955,000 3,220,241
Brazos River Harbor Navigation District, Brazoria County PCR (BASF Corp. Project)
6.75%, 2/1/2010......................................................... 5,000,000 5,285,450
Dallas - Fort Worth International Airport Facility Improvement Corp., Revenue:
(American Airlines Inc.) 7.50%, 11/1/2025............................... 2,500,000 2,493,450
(Delta Airlines Inc.) 7.625%, 11/1/2021................................. 2,200,000 2,198,394
Dickens County, Lease Obligation (Jail and Detention Facility Project)
8.875%, 4/1/2005........................................................ 3,950,000 4,236,375
Fort Bend County, Municipal Utility District Number 42, Refunding 8.30%, 4/1/2009 1,500,000 1,639,065
Gulf Coast Waste Disposal Authority:
Multi-Modal Interchangeable Rate Revenue (Champion International Corp. Project)
7.45%, 5/1/2026....................................................... 15,000,000 15,734,700
SWDR (Champion International Corp. Project) 7.25%, 4/1/2017............. 4,735,000 4,891,397
Harris County Industrial Development Corp., Marine Terminal Revenue, Refunding
(GATX Terminals Corp. Project) 6.95%, 2/1/2022.......................... 3,250,000 3,356,015
Montgomery County Health Facilities Development Corp., Hospital Mortgage Revenue
(Woodlands Medical Center Project) 8.85%, 8/15/2014..................... 6,940,000 7,745,109
Orange County Navigation and Port District Industrial Development Corp., IDR
(North Star Steel Project) 9.50%, 12/1/2004............................. 1,000,000 1,083,940
Red River Authority, PCR (Hoechst Celanese Corp. Project) 6.875%, 4/1/2017.. 5,700,000 5,883,027
Texas Department of Housing and Community Affairs, Collateralized Home Mortgage
Revenue 10.393%, 7/2/2024 (Insured; FNMA)(b)............................ 10,000,000 10,400,000
UTAH--1.0%
Carbon County, SWDR, Refunding (Sunnyside Cogeneration)
9.25%, 7/1/2018......................................................... 8,000,000 8,607,920
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) AUGUST 31, 1994 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ----------------
UTAH (CONTINUED)
Utah Housing Finance Agency, Single Family Mortgage 7.70%, 7/1/2015......... $ 1,355,000 $ 1,389,539
VIRGINIA--3.1%
Fairfax County Industrial Development Authority, Revenue, Refunding
(Inova Health System Hospitals Project) 5%, 8/15/2023................... 9,355,000 7,586,250
Fairfax County Water Authority, Water Revenue, Refunding 5.75%, 4/1/2029.... 14,400,000 13,403,376
Peninsula Ports Authority, Coal Terminal Revenue, Refunding (Dominion Terminal
Association Project) 7.375%, 6/1/2020 (Guaranteed; The Pittston Co.).... 10,000,000 10,395,200
WASHINGTON--3.9%
Chelan County Public Utility District Number 001, Consolidated Revenue
(Chelan Hydroelectric):
5.70%, 7/1/2008....................................................... 5,650,000 5,394,564
7.50%, 7/1/2011....................................................... 4,155,000 4,579,142
6.55%, 7/1/2026....................................................... 7,000,000 6,897,870
Port of Longview Industrial Development Corp., SWDR
(Weyerhaeuser Co. Project) 6.875%, 10/1/2008............................ 6,000,000 6,364,680
Port Moses Lake Public Corp., PCR (Union Carbide Co. Project) 7.875%, 8/1/2006 2,100,000 2,292,927
Washington Health Care Facilities Authority, Revenue (Yamika Valley Memorial Hospital
Association) 7.25%, 1/1/2021............................................ 3,500,000 3,721,900
Washington Public Power Supply System, Revenue, Refunding:
(Nuclear Project Number 1) 5.375%, 7/1/2015............................. 10,000,000 8,766,100
(Nuclear Project Number 3) Zero Coupon, 7/1/2017........................ 6,750,000 1,492,290
WEST VIRGINIA--.7%
Kanawha County, IDR (Union Carbide Chemical and Plastics) 8%, 8/1/2020...... 1,930,000 2,081,640
South Charleston, PCR, Refunding (Union Carbide Co. Project) 7.625%, 8/1/2005 4,500,000 4,877,505
----------------
TOTAL LONG-TERM MUNICIPAL INVESTMENTS
(Cost $962,340,252)..................................................... $ 980,355,014
===============
SHORT-TERM MUNICIPAL INVESTMENTS--2.7%
CALIFORNIA--1.1%
California Statewide Communities Development Authority, Revenue, COP, VRDN
3.10%, (Insured; MBIA)(e)............................................... $ 500,000 $ 500,000
Loma Linda, Hospital Revenue, VRDN (Loma Linda University Medical Center)
2.75% (LOC; Industrial Bank of Japan)(c,e).............................. 8,000,000 8,000,000
Los Angeles, Multi-Family Revenue, VRDN (Loans to Lender Program)
3.40% (LOC; Federal Home Loan Bank of San Francisco)(c,e)............... 3,000,000 3,000,000
NEW JERSEY--.7%
New Jersey Turnpike Authority, Turnpike Revenue, Refunding, VRDN
2.95% (Insured; FGIC, SBPA; Societe Generale)(e)........................ 1,100,000 1,100,000
Port Authority of New York and New Jersey, Special Obligation Revenue, VRDN
3.30% (LOC: The Bank of Tokyo; Sanwa Bank and Sumitomo Bank;)(c,e)...... 6,000,000 6,000,000
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) AUGUST 31, 1994 (UNAUDITED)
PRINCIPAL
SHORT-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- --------------
OHIO--.1%
Montgomery County, IDR, VRDN (Modern Industrial Plastics Project)
3.52% (LOC; Industrial Bank of Japan Ltd.)(c,e)......................... $ 500,000 $ 500,000
TEXAS--.4%
Brazos River Harbor Navigation District, Revenue, VRDN (Dow Chemical Co. Project)
3.35% (e)............................................................... 3,700,000 3,700,000
U. S. RELATED--.4%
Puerto Rico Electric Power Authority, Power Revenue, VRDN
3% (Insured; FSA)(e).................................................... 3,900,000 3,900,000
----------------
TOTAL SHORT-TERM MUNICIPAL INVESTMENTS
(cost $26,700,000)...................................................... $ 26,700,000
================
TOTAL INVESTMENTS--100%
(cost $989,040,252)..................................................... $1,007,055,014
================
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF ABBREVIATIONS
<S> <C> <S> <C>
AMBAC American Municipal Bond Assurance Corporation MBIA Municipal Bond Insurance Association
COP Certificate of Participation MFMR Multi-Family Mortgage Revenue
FGIC Financial Guaranty Insurance Corporation PCR Pollution Control Revenue
FHA Federal Housing Administration RRR Resources Recovery Revenue
FNMA Federal National Mortgage Association SBPA Standby Bond Purchase Agreeement
FSA Financial Security Assurance SFMR Single Family Mortgage Revenue
HR Hospital Revenue SWDR Solid Waste Disposal Revenue
IDR Industrial Development Revenue VRDN Variable Rate Demand Notes
LOC Letter of Credit
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF COMBINED RATINGS
FITCH (F) OR MOODY'S OR STANDARD & POOR'S PERCENTAGE OF VALUE
- --------- --------- -------------------- -----------------------
<S> <C> <S> <C>
AAA Aaa AAA 16.0%
AA Aa AA 17.6
A A A 19.8
BBB Baa BBB 30.9
BB Ba BB 3.9
F1 MIG1 SP1 2.6
Not Rated Not Rated Not Rated 9.2
--------
100.0%
=======
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS:
(a) Non-income accruing security. The valuation of this security has
been determined in good faith under the direction of the Board of
Directors.
(b) Inverse floater security - the interest rate is subject to change
periodically.
(c) Secured by letters of credit.
(d) Security exempt from registration under Rule 144A of the Securities
Act of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers. At August 31,
1994, this security amounted to $5,782,525 or .6% of net assets.
(e) Securities payable on demand. The interest rate, which is subject to
change, is based upon bank prime rates or an index of market interest
rates.
(f) Fitch currently provides creditworthiness information for a limited
number of investments.
See independent accountants' review report and notes to financial statements.
<TABLE>
<CAPTION>
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES AUGUST 31, 1994 (UNAUDITED)
ASSETS:
<S> <C> <C>
Investments in securities, at value
(cost $989,040,252)-see statement..................................... $1,007,055,014
Cash.................................................................... 11,942,528
Interest receivable..................................................... 16,264,606
Recievable for subscriptions to Common Stock............................ 44,422
Prepaid expenses........................................................ 48,582
----------------
1,035,355,152
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $468,660
Payable for Common Stock redeemed....................................... 14,523
Accrued expenses........................................................ 343,930 827,113
---------- -------------
NET ASSETS ................................................................ $1,034,528,039
===============
REPRESENTED BY:
Paid-in capital......................................................... $1,018,114,984
Accumulated net realized capital losses and distribution in excess of
net realized gain on investments...................................... (1,601,707)
Accumulated net unrealized appreciation on investments-Note 3(b)........ 18,014,762
----------------
NET ASSETS at value applicable to 71,225,882 outstanding shares of Common
Stock, equivalent to $14.52 per share (150 million shares of $.01 par
value authorized)....................................................... $1,034,528,039
===============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF OPERATIONS SIX MONTHS ENDED AUGUST 31, 1994 (UNAUDITED)
INVESTMENT INCOME:
<S> <C> <C>
INTEREST INCOME......................................................... $ 35,610,529
EXPENSES:
Management fee--Note 2(a)............................................. $2,891,602
Shareholder servicing costs-Note 2(b)................................. 1,408,229
Custodian fees........................................................ 43,827
Professional fees..................................................... 35,251
Registration fees..................................................... 31,448
Prospectus and shareholders' reports.................................. 22,638
Directors' fees and expenses-Note 2(c)................................ 17,812
Miscellaneous......................................................... 87,184
------------
TOTAL EXPENSES.................................................. 4,537,991
--------------
INVESTMENT INCOME--NET.......................................... 31,072,538
--------------
REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS:
Net realized (loss) on investments--Note 3(a)........................... $ (776,305)
Net realized (loss) on financial futures-Note 3(a)...................... (821,567)
------------
NET REALIZED (LOSS)................................................... (1,597,872)
Net unrealized (depreciation) on investments............................ (59,196,123)
--------------
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS............... (60,793,995)
--------------
NET (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS...................... $ (29,721,457)
==============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
GENERAL MUNICIPAL BOND FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED SIX MONTHS ENDED
FEBRUARY 28, AUGUST 31, 1994
1994 (UNAUDITED)
---------------- -------------------
OPERATIONS:
<S> <C> <C>
Investment income--net............................................ $ 73,137,663 $ 31,072,538
Net realized gain (loss) investments.............................. 23,966,089 (1,597,872)
Net unrealized (depreciation) on investments for the period....... (20,709,885) (59,196,123)
---------------- ----------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS. 76,393,867 (29,721,457)
---------------- ----------------
DIVIDENDS TO SHAREHOLDERS:
From investment income--net....................................... (73,540,228) (31,072,538)
From net realized gain on investments............................. (18,210,546) (8,389,176)
In excess of net realized gain on investments..................... ------ (3,835)
---------------- ----------------
TOTAL DIVIDENDS................................................. (91,750,774) (39,465,549)
---------------- ----------------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold..................................... 1,964,133,330 797,666,997
Dividends reinvested.............................................. 68,036,992 28,464,474
Cost of shares redeemed........................................... (2,014,289,167) (963,231,859)
---------------- ----------------
INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL STOCK TRANSACTIONS 17,881,155 (137,100,388)
---------------- ----------------
TOTAL INCREASE (DECREASE) IN NET ASSETS..................... 2,524,248 (206,287,394)
NET ASSETS:
Beginning of period............................................... 1,238,291,185 1,240,815,433
---------------- ----------------
End of period .................................................... $1,240,815,433 $1,034,528,039
================ ================
SHARES SHARES
---------------- ----------------
CAPITAL SHARE TRANSACTIONS:
Shares sold....................................................... 124,762,916 54,086,585
Shares issued for dividends reinvested............................ 4,309,637 1,952,493
Shares redeemed................................................... (127,518,879) (65,052,351)
---------------- ----------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING................... 1,553,674 (9,013,273)
================ ================
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
GENERAL MUNICIPAL BOND FUND, INC.
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Common Stock outstanding, total investment return, ratios to average net
assets and other supplemental data for each period indicated. This
information has been derived from the Fund's financial statements.
SIX MONTHS ENDED
FISCAL YEAR ENDED FEBRUARY, AUGUST 31, 1994
----------------------------------------------------------
PER SHARE DATA: 1990 1991 1992 1993 1994 (UNAUDITED)
------ ------ ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $13.49 $13.90 $14.02 $14.60 $15.74 $15.46
------ ------ ------ ------ ------ ------
INVESTMENT OPERATIONS:
Investment income--net.............. 1.03 1.08 1.06 .97 .90 .44
Net realized and unrealized gain (loss)
on investments.................... .41 .12 .62 1.29 (.04) (.82)
------ ------ ------ ------ ------ ------
TOTAL FROM INVESTMENT OPERATIONS.. 1.44 1.20 1.68 2.26 .86 (.38)
------ ------ ------ ------ ------ ------
DISTRIBUTIONS:
Dividends from investment income--net (1.03) (1.08) (1.06) (.97) (.91) (.44)
Dividends from net realized gain
on investments.................... -- -- (.04) (.15) (.23) (.12)
Dividends in excess of net realized gain
on investments.................... -- -- -- -- -- --
------ ------ ------ ------ ------ ------
TOTAL DISTRIBUTIONS............... (1.03) (1.08) (1.10) (1.12) (1.14) (.56)
------ ------ ------ ------ ------ ------
Net asset value, end of period...... $13.90 $14.02 $14.60 $15.74 $15.46 $14.52
====== ====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN 10.98% 9.04% 12.34% 16.13% 5.50% (4.80%)(1)
RATIOS / SUPPLEMENTAL DATA:
Ratio of expenses to average net assets .28% -- .01% .41% .82% .86%(1)
Ratio of net investment income to
average net assets................ 7.58% 7.83% 7.30% 6.46% 5.71% 5.91%(1)
Decrease reflected in above expense ratios
due to undertakings by the Manager .89% .92% .75% .35% .03% --
Portfolio Turnover Rate............. 109.92% 50.18% 38.15% 64.98% 59.19% 32.15%(2)
Net Assets, end of period (000's Omitted) $108,846 $308,580 $720,395 $1,238,291 $1,240,815 $1,034,528
- ---------------------
(1) Annualized.
(2) Not annualized.
See independent accountants' review report and notes to financial statements.
</TABLE>
GENERAL MUNICIPAL BOND FUND, INC.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1--SIGNIFICANT ACCOUNTING POLICIES:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a diversified open-end management investment company. Dreyfus Service
Corporation, until August 24, 1994, acted as the distributor of the Fund's
shares which are sold to the public without a sales load. Dreyfus Service
Corporation is a wholly-owned subsidiary of The Dreyfus Corporation
("Manager"). Effective August 24, 1994, the Manager became a direct
subsidiary of Mellon Bank, N.A.
On August 24, 1994, Premier Mutual Fund Services, Inc. ("Premier") was
engaged as the Fund's distributor. Premier, located at One Exchange Place,
Boston, Massachusetts 02109, is a wholly-owned subsidiary of Institutional
Administration Services, Inc., a provider of mutual fund administration
services, the parent company of which is Boston Institutional Group, Inc.
(A) PORTFOLIO VALUATION: The Fund's investments (excluding options and
financial futures on municipal and U.S. treasury securities) are valued each
business day by an independent pricing service ("Service") approved by the
Board of Directors. Investments for which quoted bid prices are readily
available and are representative of the bid side of the market in the
judgement of the Service are valued at the mean between the quoted bid prices
(as obtained by the Service from dealers in such securities). Other
investments (which constitute a majority of the portfolio securities) are
carried at fair value as determined by the Service, based on methods which
include consideration of: yields or prices of municipal securities of
comparable quality, coupon, maturity and type; indications as to values from
dealers; and general market conditions. Options and financial futures on
municipal and U.S. treasury securities are valued at the last sales price on
the securities exchange on which such securities are primarily traded or at
the last sales price on the national securities market on each business day.
Investments not listed on an exchange or the national securities market, or
securities for which there were no transactions, are valued at the average of
the most recent bid and asked prices. Bid price is used when no asked price
is available.
(B) SECURITIES TRANSACTIONS AND INVESTMENT INCOME: Securities
transactions are recorded on a trade date basis. Realized gain and loss from
securities transactions are recorded on the identified cost basis. Interest
income, adjusted for amortization of premiums and original issue discounts on
investments, is earned from settlement date and recognized on the accrual
basis. Securities purchased or sold on a when-issued or delayed-delivery
basis may be settled a month or more after the trade date.
(C) DIVIDENDS TO SHAREHOLDERS: It is the policy of the Fund to declare
dividends daily from investment income-net. Such dividends are paid monthly.
Dividends from net realized capital gain are normally declared and paid
annually, but the Fund may make distributions on a more frequent basis to
comply with the distribution requirements of the Internal Revenue Code. To
the extent that net realized capital gain can be offset by capital loss
carryovers, if any, it is the policy of the Fund not to distribute such gain.
(D) FEDERAL INCOME TAXES: It is the policy of the Fund to continue to
qualify as a regulated investment company, which can distribute tax exempt
dividends, by complying with the applicable provisions of the Internal
Revenue Code, and to make distributions of income and net realized capital
gain sufficient to relieve it from substantially all Federal income and
excise taxes.
GENERAL MUNICIPAL BOND FUND, INC.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
NOTE 2--MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(A) Pursuant to a management agreement ("Agreement") with the Manager,
the management fee is computed at the annual rate of .55 of 1% of the average
daily value of the Fund's net assets and is payable monthly. The Agreement
provides for an expense reimbursement from the Manager should the Fund's
aggregate expenses, exclusive of taxes, brokerage, interest on borrowings and
extraordinary expenses, exceed 1 1/2% of the average value of the Fund's net
assets for any full fiscal year. There was no expense reimbursement for the
six months ended August 31, 1994.
(B) On August 3, 1994, Fund shareholders approved the adoption of a new
Service Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Pursuant to
the Plan, effective August 24, 1994, the Fund (a) reimburses Premier for
payments to third parties for distributing the Fund's shares and servicing
shareholder accounts and (b) pays the Manager, Dreyfus Service Corporation or
any affiliate (collectively "Dreyfus") for advertising and marketing relating
to the Fund and servicing Shareholders accounts, at an aggregate annual rate
of .20 of 1% of the value of the Fund's average daily net assets. Each of
Premier and Dreyfus may pay Service Agents (a securities dealer, financial
institution or other industry professional) a fee in respect of the Fund's
shares owned by shareholders with whom the Service Agent has a servicing
relationship or for whom the Service Agent is the dealer or holder of record.
Each of Premier and Dreyfus determine the amounts to be paid to Service
Agents to which it will make payments and the basis on which such payments
are made. The Plan also separately provides for the Fund to bear the costs of
preparing, printing and distributing certain of the Fund's prospectuses and
statements of additional information and costs associated with implementing
and operating the Plan, not to exceed the greater of $100,000 or .005 of 1%
of the Fund's average daily net assets for any full fiscal year.
Prior to August 24, 1994, the Fund's Service Plan ("prior Service Plan")
provided that the Fund pay Dreyfus Service Corporation at an annual rate of
.20 of 1% of the value of the Fund's average daily net assets, for costs and
expenses in connection with advertising, marketing and distributing the
Fund's shares and for servicing shareholder accounts. Dreyfus Service
Corporation made payments to one or more Service Agents based on the value of
the Fund's shares owned by clients of the Service Agent. The prior Service
Plan also separately provided for the Fund to bear the costs of preparing,
printing and distributing certain of the Fund's prospectuses and statements
of additional information and costs associated with implementing and
operating the prior Service Plan, not to exceed the greater of $100,000 or
.005 of 1% of the Funds daily net assets for any full fiscal year.
During the six months ended August 31, 1994, $44,225 was charged to the
Fund pursuant to the Plan and $1,019,821 was charged pursuant to the
prior Service Plan.
In addition, during the six months ended August 31, 1994, the Fund was
charged an aggregate of $28,853 by the Manager and Dreyfus Service
Corporation for certain shareholder servicing costs.
(C) Prior to August 24, 1994 certain officers and directors of the Fund
were "affiliated persons," as defined in the Act, of the Manager and/or
Dreyfus Service Corporation. Each director who is not an "affiliated person"
receives an annual fee of $4,500 and an attendance fee of $500 per meeting.
GENERAL MUNICIPAL BOND FUND, INC.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
NOTE 3--SECURITIES TRANSACTIONS:
(A) The aggregate amount of purchases and sales of investment securities
amounted to $828,406,704 and $899,100,359, respectively, for the six months
ended August 31, 1994, and consisted entirely of long-term and short-term
municipal investments.
The Fund is engaged in trading financial futures contracts. The Fund is
exposed to market risk as a result of changes in the value of the underlying
financial instruments. Investments in financial futures require the Fund to
"mark to market" on a daily basis, which reflects the change in the market
value of the contract at the close of each day's trading. Accordingly,
variation margin payments are made or received to reflect daily unrealized
gains or losses. When the contracts are closed, the fund recognizes a
realized gain or loss. These investments require initial margin deposits with
a custodian, which consist of cash or cash equivalents, up to approximately
10% of the contract amount. The amount of these deposits is determined by the
exchange or Board of Trade on which the contract is traded and is subject to
change. For the six months ended August 31, 1994, there were no financial
futures contracts outstanding.
(B) At August 31, 1994, accumulated net unrealized appreciation on
investments was $18,014,762, consisting of $34,171,958 gross unrealized
appreciation and $16,157,196 gross unrealized depreciation.
At August 31, 1994, the cost of investments for Federal income tax
purposes was substantially the same as the cost for financial reporting
purposes (see the Statement of Investments).
GENERAL MUNICIPAL BOND FUND, INC.
REVIEW REPORT OF ERNST & YOUNG LLP, INDEPENDENT ACCOUNTANTS
SHAREHOLDERS AND BOARD OF DIRECTORS
GENERAL MUNICIPAL BOND FUND, INC.
We have reviewed the accompanying statement of assets and liabilities of
General Municipal Bond Fund, Inc., including the statement of investments, as
of August 31, 1994, and the related statements of operations and changes in
net assets and financial highlights for the six month period ended August 31,
1994. These financial statements and financial highlights are the
responsibility of the Fund's management.
We conducted our review in accordance with standards established by the
American Institute of Certified Public Accountants. A review of interim
financial information consists principally of applying analytical procedures
to financial data, and making inquiries of persons responsible for financial
and accounting matters. It is substantially less in scope than an audit
conducted in accordance with generally accepted auditing standards, which
will be performed for the full year with the objective of expressing an
opinion regarding the financial statements and financial highlights taken as
a whole. Accordingly, we do not express such an opinion.
Based on our review, we are not aware of any material modifications that
should be made to the interim financial statements and financial highlights
referred to above for them to be in conformity with generally accepted
accounting principles.
We have previously audited, in accordance with generally accepted
auditing standards, the statement of changes in net assets for the year ended
February 28, 1994 and financial highlights for each of the five years in the
period ended February 28, 1994 and in our report dated April 6, 1994, we
expressed an unqualified opinion on such statement of changes in net assets
and financial highlights.
(Ernst & Young LLP Signature Logo)
New York, New York
September 30, 1994
(Dreyfus Logo)
General Municipal
Bond Fund, Inc.
Semi-Annual
Report
August 31, 1994
(Dreyfus Lion Logo)
(Dreyfus `D' Logo)
GENERAL MUNICIPAL
BOND FUND, INC.
144 Glenn Curtiss Boulevard
Uniondale, NY 11556
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
90 Washington Street
New York, NY 10286
TRANSFER AGENT &
DIVIDEND DISBURSING AGENT
The Shareholder Services Group, Inc.
P.O. Box 9671
Providence, RI 02940
Further information is contained
in the Prospectus, which must
precede or accompany this report.
Printed in U.S.A. 106SA948
