ALLIANCE MUNICIPAL TRUST
- -CALIFORNIA PORTFOLIO
ALLIANCECAPITAL
SEMI-ANNUAL REPORT
DECEMBER 31, 1995
(UNAUDITED)
STATEMENT OF NET ASSETS
DECEMBER 31, 1995 (UNAUDITED) ALLIANCE MUNICIPAL TRUST - CALIFORNIA PORTFOLIO
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) SECURITY+ YIELD VALUE
- ---------------------------------------------------------------------------
MUNICIPAL BONDS-88.1%
CALIFORNIA-88.1%
ALAMEDA COUNTY IDB
(Ream Enterprises Project)
Series A AMT VRDN*
$ 1,300 11/01/20 5.45% $ 1,300,000
ALAMEDA COUNTY IDR
(Heat Control Project)
Series '95A AMT VRDN*
4,600 11/01/25 5.45 4,600,000
ALAMEDA COUNTY IDR
(JMS Family Partnership Proj.)
Series '95A AMT VRDN*
2,600 10/01/25 5.45 2,600,000
ALAMEDA COUNTY TRAN
(Board of Education)
5,000 7/05/96 4.00 5,012,066
ALAMEDA COUNTY TRAN
(Unified School District)
4,335 7/05/96 3.81 4,349,056
ASSOCIATION OF BAY AREA GOVERNMENT IDR
(Reliance Tech Services, Inc.)
Series '95A AMT VRDN*
3,300 10/01/19 5.65 3,300,000
CALIFORNIA COMM. DEV. CORP. IDR
Howard Leight and Associates
Series B AMT VRDN*
3,500 7/01/20 5.75 3,500,000
CALIFORNIA ECON. DEV. AUTH. IDR
(National R.V. Inc.)
Series '95 AMT VRDN*
4,000 12/01/20 5.75 4,000,000
CALIFORNIA ECON. DEV. FIN. AUTH.
(Inland Empire Venture L.L.C.)
Series '95 AMT VRDN*
2,500 7/01/25 5.25 2,500,000
CALIFORNIA ECON. DEV. FIN. AUTH.
(Valley Plating Works, Inc.)
Series '95 AMT VRDN*
6,100 10/01/20 5.55 6,100,000
CALIFORNIA GO RAW
Series C
10,000 4/25/96 3.40-3.83 10,063,161
CALIFORNIA HFA SFMR
(Home Mortgage) Series '95E AMT PPB*
3,500 8/01/27 4.60 3,500,000
CALIFORNIA PCFA
(Western Waste Industries Project)
Series '94A AMT VRDN*
9,600 10/01/06 5.20 9,600,000
CALIFORNIA PCFA PCR
(Wadham Energy Project)
Series B AMT VRDN*
1,700 11/01/17 5.15 1,700,000
CALIFORNIA PCFA SOLID WASTE
(Athens Disposal Co. Project)
Series '95 AMT VRDN*
5,000 12/01/16 5.20 5,000,000
CALIFORNIA PCFA SOLID WASTE
(Burrtec Waste Project)
Series A AMT VRDN*
2,000 10/01/02 5.25 2,000,000
CALIFORNIA PCFA SOLID WASTE
(CR&R Inc. Project)
Series '95A AMT VRDN*
2,000 10/01/10 5.20 2,000,000
CALIFORNIA PCFA SOLID WASTE
(Gilton Solid Waste Management)
Series '95A AMT VRDN*
2,900 1/01/05 5.25 2,900,000
CALIFORNIA STATEWIDE COMM. DEV. CORP.
(Chino Basin Municipal Water)
Series '90 AMT VRDN*
2,315 8/01/10 5.40 2,315,000
CALIFORNIA STATEWIDE COMM. DEV.
CORP. IDR
(K.U.M. Ltd.) AMT VRDN*
2,000 6/01/22 5.55 2,000,000
CHULA VISTA IDR
(Home Depot Project) VRDN*
2,900 12/01/10 5.10 2,900,000
1
STATEMENT OF NET ASSETS (CONTINUED)
ALLIANCE MUNICIPAL TRUST - CALIFORNIA PORTFOLIO
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) SECURITY+ YIELD VALUE
- ---------------------------------------------------------------------------
CONTRA COSTA COUNTY MFHR
(Park Regency Apts.)
Series '92A AMT VRDN*
$ 7,000 8/01/32 5.30% $ 7,000,000
GRAND TERRACE MFHR
(Mt. Vernon Villas) Series '85A VRDN*
1,435 12/01/11 5.20 1,435,000
INDIO HOUSING AUTH. MFHR
(Smoketree Apts.) Series A VRDN*
6,400 12/01/07 5.55 6,400,000
LONG BEACH
Res. Rec.: Southeast Fac. Auth.
Lease Rev. Series '95B AMT VRDN*
18,500 12/01/18 5.30 18,500,000
LOS ANGELES
(Channel Gateway Apts.)
Series '89B AMT VRDN*
10,600 8/01/19 5.45 10,600,000
LOS ANGELES COUNTY RAN
Metropolitan Transportation
Authority Series A
3,000 4/25/96 4.23 3,006,957
LOS ANGELES COUNTY TRAN
(Community College Dist.)
3,000 7/31/96 3.95 3,009,217
LOS ANGELES COUNTY TRAN
Series '95
10,000 7/01/96 3.73 10,037,041
LOS ANGELES MFHR
(Poinsettia Apartment Project)
Series '89A AMT VRDN*
5,450 7/01/19 5.35 5,450,000
LOS ANGELES TRAN
(Unified School District)
10,500 7/03/96 3.93 10,528,132
MARIN COUNTY HOUSING AUTH. MFHR
(Crest Marin II Apt.)
Series A AMT VRDN*
7,000 10/15/29 5.45 7,000,000
MIDPENINSULA CALIFORNIA
(Regional Open Space District)
Series '88A VRDN*
3,275 2/01/08 5.30 3,275,000
MONROVIA REDEV. AGY.
(Holiday Inn) Series '84 VRDN*
4,600 12/01/14 4.15 4,600,000
MORGAN HILL REDEV. AGY.
(Kent Trust) VRDN*
$ 2,560 12/01/14 5.53% $2,560,000
MORGAN HILL REDEV. AGY.
(Nob Hill Venture Investors) VRDN*
1,755 12/01/09 5.53 1,755,000
OCEANSIDE MFHR
(Riverview Springs Apts.)
Series '90A AMT VRDN*
10,320 7/01/20 5.60 10,320,000
PANAMA BEUNA VISTA
(Unified School District
Capital Improvement
Financing Project) VRDN*
5,000 6/01/24 5.45 5,000,000
RIVERSIDE HOUSING AUTHORITY
(Amanda Park Apartments)
Series '89B AMT VRDN*
5,400 5/01/19 5.70 5,400,000
SACRAMENTO COUNTY GO TRAN
8,000 10/04/96 3.72 8,056,643
SACRAMENTO TRAN
(Unified School District)
5,000 11/29/96 3.65 5,015,327
SAN BERNARDINO COUNTY GO TRAN
Series '95
5,000 7/05/96 3.95 5,013,439
SAN FRANCISCO CITY & COUNTY IDR
(Hoefer Scientific Project)
Series '92A AMT VRDN*
960 8/01/07 5.80 960,000
SAN JOSE TRAN
(Unified School District) Series '95
8,883 9/19/96 4.05 8,925,721
SANTA ANA IDR
(Newport Electronics Project)
Series '88A AMT VRDN*
1,500 11/01/18 5.25 1,500,000
SANTA CLARA GO TRAN
(Unified Shool District) Series '95
3,000 7/10/96 4.00 3,007,520
SANTA FE SPRINGS IDR
(Metal Center Project)
Series '89A AMT VRDN*
3,650 7/01/14 5.25 3,650,000
2
ALLIANCE MUNICIPAL TRUST - CALIFORNIA PORTFOLIO
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) SECURITY+ YIELD VALUE
- ---------------------------------------------------------------------------
UPLAND COMM. REDEV. AGY MFHR
(Northwoods 156) Series A VRDN*
$ 5,100 3/01/14 5.55% $ 5,100,000
UPLAND COMM. REDEV. AGY. MFHR
(Northwoods 168) Series B VRDN*
925 3/01/14 5.55 925,000
Total Municipal Bonds
(amortized cost $239,269,280) 239,269,280
COMMERCIAL PAPER-10.9%
CALIFORNIA-10.9%
ANAHEIM ELECTRIC RAN
2,000 2/13/96 3.60 2,000,000
CALIFORNIA PCFA PCR
(Pacific Gas & Electric)
Series '88A AMT
2,500 2/23/96 3.70 2,500,000
CALIFORNIA PCFA PCR
(Pacific Gas & Electric)
Series '88A AMT
2,500 1/30/96 3.75 2,500,000
CALIFORNIA PCFA PCR
(Pacific Gas & Electric)
Series '88D AMT
4,500 2/23/96 3.80 4,500,000
LONG BEACH
(Harbor & Terminal Project) AMT
6,000 2/15/96 3.75 6,000,000
TUSTIN ASSESSMENT DISTRICT 85-1
12,000 1/17/96 4.30 12,000,000
Total Commercial Paper
(amortized cost $29,500,000) 29,500,000
TOTAL INVESTMENTS-99.0%
(amortized cost $268,769,280) 268,769,280
Other assets less liabilities-1.0% 2,728,205
NET ASSETS-100%
(offering and redemption
price of $1.00 per share;
271,521,585 shares outstanding) $271,497,485
+ All securities either mature or their interest rate changes in one year or
less.
* Variable Rate Demand Notes (VRDN) are instruments whose interest rates
change on a specified date (such as a coupon date or interest payment date) or
whose interest rates vary with changes in a designated base rate (such as the
prime interest rate). These instruments are payable on demand and are secured
by letters of credit or other credit support agreements from major banks.
Periodic Put Bonds (PPB) are payable on demand quarterly, semi-annually or
annually and their interest rates change less frequently than rates on Variable
Rate Demand Notes.
Glossary of Terms:
AMT Alternative Minimum Tax
GO General Obligation
HFA Housing Finance Agency/Authority
IDB Industrial Development Board
IDR Industrial Development Revenue
MFHR Multi-Family Housing Revenue
PCFA Pollution Control Financing Authority
PCR Pollution Control Revenue
PPB Periodic Put Bond
RAN Revenue Anticipation Note
RAW Revenue Anticipation Warrants
SFMR Single Family Mortgage Revenue
TRAN Tax & Revenue Anticipation Note
VRDN Variable Rate Demand Note
See notes to financial statements.
3
STATEMENT OF OPERATIONS
SIX MONTHS ENDED DECEMBER 31, 1995 (UNAUDITED)
ALLIANCE MUNICIPAL TRUST - CALIFORNIA PORTFOLIO
_______________________________________________________________________________
INVESTMENT INCOME
Interest $5,301,932
EXPENSES
Advisory fee (Note B) $ 672,890
Distribution assistance and administrative
service (Note C) 427,224
Transfer agency 128,480
Custodian fees 66,207
Printing 24,920
Registration fees 13,149
Audit and legal fees 8,101
Miscellaneous 4,808
Total expenses 1,345,779
Less: fee waiver (94,204)
1,251,575
Net investment income 4,050,357
REALIZED AND UNREALIZED GAIN (LOSS)ON INVESTMENTS
Net realized gain on investments 8,349
Net change in unrealized appreciation of investments (7,104)
Net gain on investments 1,245
NET INCREASE IN NET ASSETS FROM OPERATIONS $4,051,602
STATEMENTS OF CHANGES IN NET ASSETS
_______________________________________________________________________________
SIX MONTHS ENDED
DECEMBER 31,1995 YEAR ENDED
(UNAUDITED) JUNE 30,1995
-------------- -------------
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS
Net investment income $ 4,050,357 $ 6,199,924
Net realized gain (loss) on investments 8,349 (12,411)
Net change in unrealized appreciation of
investments (7,104) 7,104
Net increase in net assets from operations 4,051,602 6,194,617
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income (4,050,357) (6,199,924)
TRANSACTIONS IN SHARES OF BENEFICIAL INTEREST
Net increase 35,016,859 16,811,556
Total increase 35,018,104 16,806,249
NET ASSETS
Beginning of period 236,479,381 219,673,132
End of period $271,497,485 $236,479,381
See notes to financial statements.
4
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 1995 (UNAUDITED) ALLIANCE MUNICIPAL TRUST - CALIFORNIA PORTFOLIO
_______________________________________________________________________________
NOTE A: SIGNIFICANT ACCOUNTING POLICIES
Alliance Municipal Trust (the 'Fund') is registered under the Investment
Company Act of 1940, as amended, as an open-end investment company. The Fund
operates as a series company currently issuing seven classes of shares of
beneficial interest: Alliance Municipal Trust-General Portfolio, Alliance
Municipal Trust-New York Portfolio, Alliance Municipal Trust-California
Portfolio (the 'Portfolio'), Alliance Municipal Trust-Connecticut Portfolio,
Alliance Municipal Trust-New Jersey Portfolio, Alliance Municipal
Trust-Virginia Portfolio and Alliance Municipal Trust-Florida Portfolio. Each
series is considered to be a separate entity for financial reporting and tax
purposes. The following is a summary of significant accounting policies
followed by the Portfolio.
1. VALUATION OF SECURITIES
Securities in which the Portfolio invests are traded primarily in the
over-the-counter market and are valued at amortized cost, under which method a
portfolio instrument is valued at cost and any premium or discount is amortized
on a constant basis to maturity. Amortization of premium is charged to income.
Accretion of market discount is credited to unrealized gains.
2. TAXES
It is the Portfolio's policy to comply with the requirements of the Internal
Revenue Code applicable to regulated investment companies and to distribute all
of its investment company taxable income and net realized gains, if applicable,
to its shareholders. Therefore, no provisions for federal income or excise
taxes are required.
3. DIVIDENDS
The Portfolio declares dividends daily from net investment income and
automatically reinvests such dividends in additional shares at net asset value.
Net realized capital gains on investments, if any, are expected to be
distributed near year end. Dividends paid from net investment income for the
six months ended December 31, 1995 are exempt from federal income taxes.
However, certain shareholders may be subject to the alternative minimum tax
(AMT).
4. GENERAL
Interest income is accrued daily. Security transactions are recorded on the
date securities are purchased or sold. Realized gain (loss) from security
transactions is recorded on the identified cost basis.
NOTE B: ADVISORY FEE AND TRANSACTIONS WITH AN AFFILIATE OF THE ADVISER
The Portfolio pays its Adviser, Alliance Capital Management L.P., an advisory
fee at the annual rate of .50 of 1% on the first $1.25 billion of average daily
net assets; .49 of 1% on the next $.25 billion; .48 of 1% on the next $.25
billion; .47 of 1% on the next $.25 billion; .46 of 1% on the next $1 billion;
and .45 of 1% in excess of $3 billion. The Adviser has agreed, pursuant to the
advisory agreement, to reimburse the Portfolio to the extent that its annual
aggregate expenses (excluding taxes, brokerage, interest and, where permitted,
extraordinary expenses) exceed 1% of its average daily net assets for any
fiscal year. The Adviser also voluntarily agreed to reimburse the Portfolio for
the six months ended December 31, 1995 for expenses exceeding .93 of 1% of its
average daily net assets. No reimbursement was required for the six months
ended December 31, 1995. The Portfolio compensates Alliance Fund Services, Inc.
(a wholly-owned subsidiary of the Adviser) for providing personnel and
facilities to perform transfer agency services for the Portfolio. Such
compensation amounted to $68,128 for the six months ended December 31, 1995.
NOTE C: DISTRIBUTION ASSISTANCE AND ADMINISTRATIVE SERVICES PLAN
Under this Plan, the Portfolio pays a distribution fee to the Adviser at an
annual rate of up to .25 of 1% of the Portfolio's average daily net assets.
The Plan provides that the Adviser will use such payments in their entirety for
distribution assistance and promotional activities. For the six months ended
December 31, 1995, the distribution amounted to $336,444 of which $94,204 was
waived. In addition, the Portfolio reimbursed certain broker-dealers for
administrative costs incurred in connection with providing shareholder
services, accounting, bookkeeping, legal and compliance support.
5
NOTES TO FINANCIAL STATEMENTS
(CONTINUED) ALLIANCE MUNICIPAL TRUST - CALIFORNIA PORTFOLIO
_______________________________________________________________________________
For the six months ended December 31, 1995, such payments by the Portfolio
amounted to $90,780 of which $48,500 was paid to the Adviser.
NOTE D: INVESTMENT TRANSACTIONS
At December 31, 1995, the cost of securities for federal income tax purposes
was the same as the cost for financial reporting purposes. At June 30, 1995,
the Portfolio had a capital loss carryforward of $32,449, of which $6,234
expires in the year 2000, $13,804 expires in the year 2002 and $12,411 expires
in the year 2003.
NOTE E: TRANSACTIONS IN SHARES OF BENEFICIAL INTEREST
An unlimited number of shares ($.01 par value) are authorized. At December 31,
1995, capital paid-in aggregated $271,521,585. Transactions, all at $1.00 per
share, were as follows:
SIX MONTHS ENDED YEAR ENDED
DECEMBER 31,1995 JUNE 30,
(UNAUDITED) 1995
---------------- -------------
Shares sold 537,674,741 865,677,866
Shares issued on reinvestments of dividends 4,050,357 6,199,924
Shares redeemed (506,708,239) (855,066,234)
Net increase 35,016,859 16,811,556
NOTE F: FINANCIAL HIGHLIGHTS
Per share operating performance for a share outstanding throughout each period.
<TABLE>
<CAPTION>
SIX MONTHS
ENDED
DECEMBER 31, YEAR ENDED JUNE 30,
1995 -----------------------------------------------------
(UNAUDITED) 1995 1994 1993 1992 1991
------------ --------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
INCOME FROM INVESTMENT OPERATIONS
Net investment income .015 .027 .018 .020 .032 .043
LESS: DISTRIBUTIONS
Dividends from net investment income (.015) (.027) (.018) (.020) (.032) (.043)
Net asset value, end of period $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
TOTAL RETURNS
Total investment return based on net
asset value (a) 3.02%(b) 2.78% 1.83% 2.05% 3.26% 4.43%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period(000's omitted) $271,497 $236,479 $219,673 $156,200 $121,317 $111,957
Ratio to average net assets of:
Expenses, net of waivers and
reimbursements .93%(b) .93% .93% .93% .95% 1.00%
Expenses, before waivers and
reimbursements 1.00%(b) 1.01% 1.02% 1.02% 1.05% 1.10%
Net investment income (c) 3.01%(b) 2.75% 1.82% 2.01% 3.18% 4.32%
</TABLE>
(a) Total investment return is calculated assuming an initial investment made
at the net asset value at the beginning of the period, reinvestment of all
dividends and distributions at net asset value during the period, and
redemption on the last day of the period.
(b) Annualized.
(c) Net of expenses reimbursed or waived by the Adviser.
6
ALLIANCE MUNICIPAL TRUST - CALIFORNIA PORTFOLIO
_______________________________________________________________________________
TRUSTEES
DAVE H. WILLIAMS, CHAIRMAN
JOHN D. CARIFA
SAM Y. CROSS
CHARLES H.P. DUELL
WILLIAM H. FOULK, JR.
ELIZABETH J. MCCORMACK
DAVID K. STORRS
SHELBY WHITE
JOHN WINTHROP
OFFICERS
RONALD M. WHITEHILL, PRESIDENT
JOHN R. BONCZEK, SENIOR VICE PRESIDENT
KATHLEEN A. CORBET, SENIOR VICE PRESIDENT
ROBERT I. KURZWEIL, SENIOR VICE PRESIDENT
WAYNE D. LYSKI, SENIOR VICE PRESIDENT
PATRICIA NETTER, SENIOR VICE PRESIDENT
RONALD R. VALEGGIA, SENIOR VICE PRESIDENT
DREW BIEGEL, VICE PRESIDENT
DORIS T. CILIBERTI, VICE PRESIDENT
WILLIAM J. FAGAN, VICE PRESIDENT
JOSEPH R. LASPINA, VICE PRESIDENT
LINDA D. NEIL, VICE PRESIDENT
WILLIAM E. OLIVER, VICE PRESIDENT
RAYMOND J. PAPERA, VICE PRESIDENT
EDMUND P. BERGAN, JR., SECRETARY
MARK D. GERSTEN, TREASURER & CHIEF FINANCIAL OFFICER
JOSEPH J. MANTINEO, CONTROLLER
CUSTODIAN
STATE STREET BANK AND TRUST COMPANY
P.O. Box 1912
Boston, MA 02105
LEGAL COUNSEL
SEWARD & KISSEL
One Battery Park Plaza
New York, NY 10004
AUDITORS
MCGLADREY & PULLEN, LLP
555 Fifth Avenue
New York, NY 10017
TRANSFER AGENT
ALLIANCE FUND SERVICES, INC.
P.O. Box 1520
Secaucus, NJ 07096-1520
DISTRIBUTOR
ALLIANCE FUND DISTRIBUTORS, INC.
1345 Avenue of the Americas
New York, NY 10105
7
ALLIANCE MUNICIPAL TRUST - CALIFORNIA PORTFOLIO
1345 Avenue of the Americas, New York, NY 10105
Toll free 1 (800) 221-5672
YIELDS. For current recorded yield information on Alliance
Municipal Trust, call on a touch-tone telephone toll-free
(800) 251-0539 and press the following sequence of keys:
1 # 1 # 3 0 #
For non-touch-tone telephones, call toll-free (800) 221-9513
ALLIANCECAPITAL
DISTRIBUTION OF THIS REPORT OTHER THAN TO SHAREHOLDERS MUST
BE PRECEDED OR ACCOMPANIED BY THE FUND'S CURRENT PROSPECTUS,
WHICH CONTAINS FURTHER INFORMATION ABOUT THE FUND.
R THESE REGISTERED SERVICE MARKS USED UNDER LICENSE FROM
THE OWNER, ALLIANCE CAPITAL MANAGEMENT L.P.
ALC301996
ACASR
