ALLIANCE MUNICIPAL TRUST -FLORIDA PORTFOLIO
ALLIANCE CAPITAL
ANNUAL REPORT
JUNE 30, 1998
STATEMENT OF NET ASSETS
JUNE 30, 1998
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) SECURITY# YIELD VALUE
- -------------------------------------------------------------------------
MUNICIPAL BONDS-94.6%
FLORIDA-94.6%
ALACHUA CITY IDA
(Sabine Inc. Project)
Series '95 AMT VRDN (a)
$ 2,145 9/01/15 3.70% $2,145,000
ALACHUA COUNTY IDR
(Florida Rock Industries Inc.)
AMT VRDN (a)
5,000 11/01/22 3.55 5,000,000
BROWARD COUNTY HFA MFHR
(Margate Investments Project)
VRDN (a)
1,900 11/01/05 3.60 1,900,000
BROWARD COUNTY IDR
(Education Resident and
Training Authority)
Series '97 VRDN (a)
1,000 8/01/04 3.65 1,000,000
CITRUS PARK COMMUNITY
DEVELOPMENT AUTHORITY
Series '96 VRDN (a)
4,800 11/01/16 3.50 4,800,000
COLLIER COUNTY CAPITAL
IMPROVEMENT REVENUE
MBIA
1,000 10/01/98 3.60 1,002,141
DADE COUNTY
(Aviation Facilities)
Series '84A VRDN (a)
5,500 10/01/09 3.50 5,500,000
DADE COUNTY
(Water & Sewer Systems)
Series '94 FGIC VRDN (a)
4,100 10/05/22 3.40 4,100,000
DADE COUNTY
Capital Asset Series '90 VRDN (a)
3,600 10/01/10 3.95 3,600,000
DADE COUNTY HOSPITAL REVENUE
(Miami Childrens Hospital)
Series '95 AMBAC VRDN (a)
3,400 9/01/25 3.40 3,400,000
DADE COUNTY IDA
(Florida Convalescent
Association Project)
Series '86 AMT VRDN (a)
2,115 12/01/11 4.10 2,115,000
FLORIDA HFA MFHR
(Banyan Bay Apts.)
Series '95L AMT VRDN (a)
5,275 12/01/25 3.85 5,275,000
FLORIDA HFA MFHR
(EEE-Carlton Arms II) VRDN (a)
1,545 12/01/08 3.65 1,545,000
FLORIDA HFA MFHR
(Homeowner Mortgage)
Series 5 PPB (a)
5,000 6/15/99 3.80 5,000,000
FLORIDA HFA MFHR
(Lakes of Northdale Project)
Series '84D VRDN (a)
1,000 6/01/07 3.70 1,000,000
FLORIDA HFA MFHR
(Oaks at Orange Park Project)
Series '90 VRDN (a)
2,140 7/01/07 3.60 2,140,000
HIGHLANDS COUNTY
HEALTH FACILITY
(Adventist/Sunbelt)
Series A VRDN (a)
4,300 11/15/26 3.55 4,300,000
HILLSBOROUGH COUNTY HFA
(Brandon Crossing)
Series '98A AMT VRDN (a)
2,700 12/01/29 3.75 2,700,000
1
STATEMENT OF NET ASSETS (CONTINUED)
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) SECURITY# YIELD VALUE
- -------------------------------------------------------------------------
HILLSBOROUGH COUNTY IDA
(Seaboard System)
Series '83 VRDN (a)
100 10/15/99 3.70% $ 100,000
HILLSBOROUGH COUNTY IDA
(Seaboard Tampa)
AMT VRDN (a)
2,000 12/01/16 3.55 2,000,000
HILLSBOROUGH COUNTY PCR
(Tampa Electric Project)
Series '93 AMT VRDN (a)
5,400 11/01/20 3.95 5,400,000
JACKSONVILLE IDR
(Pavilion Associates Project)
Series '96 VRDN (a)
1,000 1/01/15 3.60 1,000,000
JACKSONVILLE IDR
(St. John's Medical Investors)
Series '96 VRDN (a)
2,030 1/01/15 3.60 2,030,000
JACKSONVILLE IDR
(University of Florida
Health Science Center)
Series '89 VRDN (a)
900 7/01/19 3.75 900,000
LEE COUNTY IDA
(Christian & Missionary
Project) VRDN (a)
2,400 4/01/10 3.63 2,400,000
LEE COUNTY IDA
(Cypress Cove Healthpark)
Series '97C VRDN (a)
2,700 10/01/04 3.50 2,700,000
MANATEE COUNTY HFA MFHR
(Harbour Project)
Series '90B VRDN (a)
1,800 12/01/07 3.60 1,800,000
ORANGE COUNTY HFA MFHR
(Sundown Assoc. II)
Series B VRDN (a)
1,000 6/01/04 3.65 1,000,000
PALM BEACH COUNTY
Water & Sewer Revenue VRDN (a)
4,445 10/01/11 4.45 4,445,000
PALM BEACH COUNTY HFA MFHR
(Haverhill) Series '97A VRDN (a)
4,100 10/01/27 3.60 4,100,000
PALM BEACH COUNTY SFMR
Series '97B AMT PPB (a)
2,500 7/01/98 3.95 2,500,000
PALM BEACH COUNTY SFMR
Series '98B AMT PPB (a)
3,000 7/01/99 3.75 3,000,000
PALM BEACH IDR
(Florida Convalescent Center
Project) AMT VRDN (a)
2,565 11/01/11 4.10 2,565,000
PINELLAS COUNTY HEALTH FACILITIES
(Mease Manor Inc.)
Series '95 VRDN (a)
4,150 11/01/15 3.60 4,150,000
PINELLAS COUNTY HFA SFMR
(Multi County Program)
Series D AMT PPB (a)
3,500 8/01/98 4.00 3,500,000
ST. LUCIE PCR
(Florida Power & Light)
Series '93 AMT VRDN (a)
3,100 1/01/27 3.90 3,100,000
2
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
_______________________________________________________________________________
PRINCIPAL
AMOUNT
(000) SECURITY# YIELD VALUE
- -------------------------------------------------------------------------
VOLUSIA COUNTY HFA MFHR
(Ocean Oaks Apartments)
Series '97B VRDN (a)
$ 3,795 10/01/27 3.60% $ 3,795,000
Total Municipal Bonds
(amortized cost $107,007,141) 107,007,141
COMMERCIAL PAPER-5.3%
FLORIDA-5.3%
FLORIDA LOCAL GOVERNMENT COMMISSION
(Assoc. of Counties)
2,000 9/01/98 3.60 2,000,000
INDIAN RIVER HOSPITAL DISTRICT
Series '90
4,000 9/15/98 3.65 4,000,000
Total Commercial Paper
(amortized cost $6,000,000) 6,000,000
TOTAL INVESTMENTS-99.9%
(amortized cost $113,007,141) 113,007,141
Other assets less liabilities-0.1% 87,855
NET ASSETS-100%
(offering and redemption
price of $1.00 per share;
113,095,100 shares outstanding) $113,094,996
# All securities either mature or their interest rate changes in one year or
less.
(a) Variable Rate Demand Notes (VRDN) are instruments whose interest rates
change on a specified date (such as 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:
AMBAC American Municipal Bond Assurance Corporation
AMT Alternative Minimum Tax
FGIC Financial Guaranty Insurance Co.
HFA Housing Finance Agency/Authority
IDA Industrial Development Authority
IDR Industrial Development Revenue
MBIA Municipal Bond Investors Assurance
MFHR Multi-Family Housing Revenue
PCR Pollution Control Revenue
SFMR Single Family Mortgage Revenue
See notes to financial statements.
3
STATEMENT OF OPERATIONS
YEAR ENDED JUNE 30, 1998
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
_______________________________________________________________________________
INVESTMENT INCOME
Interest $4,222,277
EXPENSES
Advisory fee (Note B) $ 563,331
Distribution assistance and
administrative service (Note C) 469,417
Custodian fees 69,833
Transfer agency (Note B) 48,478
Printing 16,699
Registration fees 12,046
Audit and legal fees 10,619
Amortization of organization expense 4,329
Trustees' fees 2,436
Miscellaneous 2,537
Total expenses 1,199,725
Less: expense reimbursement and fee waiver (151,961)
Net expenses 1,047,764
Net investment income 3,174,513
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain on investment transactions 1,873
Net change in unrealized appreciation of investments (791)
Net gain on investment transactions 1,082
NET INCREASE IN NET ASSETS FROM OPERATIONS $3,175,595
See notes to financial statements.
4
STATEMENT OF CHANGES IN NET ASSETS
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
_______________________________________________________________________________
YEAR ENDED YEAR ENDED
JUNE 30,1998 JUNE 30,1997
------------- ------------
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS
Net investment income $ 3,174,513 $ 3,171,608
Net realized gain on investment transactions 1,873 -0-
Net change in unrealized appreciation
of investments (791) 791
Net increase in net assets from operations 3,175,595 3,172,399
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income (3,174,513) (3,171,608)
TRANSACTIONS IN SHARES OF BENEFICIAL INTEREST
Net increase (decrease) (Note E) 23,944,984 (2,031,246)
Total increase (decrease) 23,946,066 (2,030,455)
NET ASSETS
Beginning of year 89,148,930 91,179,385
End of year $113,094,996 $89,148,930
See notes to financial statements.
5
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 1998
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
_______________________________________________________________________________
NOTE A: SIGNIFICANT ACCOUNTING POLICIES
Alliance Municipal Trust (the "Fund") is registered under the Investment
Company Act of 1940 as an open-end investment company. The Fund operates as a
series company currently consisting of: Alliance Municipal Trust-General
Portfolio, Alliance Municipal Trust-New York Portfolio, Alliance Municipal
Trust-California Portfolio, Alliance Municipal Trust-Connecticut Portfolio,
Alliance Municipal Trust-New Jersey Portfolio, Alliance Municipal
Trust-Virginia Portfolio, Alliance Municipal Trust-Florida Portfolio (the
"Portfolio") and Alliance Municipal Trust-Massachusetts Portfolio. Each series
is considered to be a separate entity for financial reporting and tax purposes.
The Portfolio pursues its objectives by maintaining a portfolio of high-quality
money market securities all of which, at the time of investment, have remaining
maturities of 397 days or less. The financial statements have been prepared in
conformity with generally accepted accounting principles which require
management to make certain estimates and assumptions that affect the reported
amounts of assets and liabilities in the financial statements and amounts of
income and expenses during the reporting period. Actual results could differ
from those estimates. 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. ORGANIZATION EXPENSES
The organization expenses of the Portfolio are being amortized against income
on a straight-line basis through July, 2000.
3. TAXES
It is the Portfolio's policy to meet 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 any, to its
shareholders. Therefore, no provisions for federal income or excise taxes are
required.
4. 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
year ended June 30, 1998, are exempt from federal income taxes. However,
certain shareholders may be subject to the alternative minimum tax.
5. INVESTMENT INCOME AND INVESTMENT TRANSACTIONS
Interest income is accrued as earned. Investment transactions are recorded on a
trade date basis. Realized gain (loss) from investment 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% on the first $1.25 billion of average daily net
assets; .49% on the next $.25 billion; .48% on the next $.25 billion; .47% on
the next $.25 billion; .46% on the next $1 billion; and .45% 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 from July 1, 1997 to
July 31, 1997 for expenses exceeding .75% of its average daily net assets, from
August 1, 1997 to October 26, 1997 for expenses exceeding .80% of its average
daily net assets and from October 27, 1997 to November 19, 1997 for expenses
exceeding .85% of its average daily net assets. For the year ended June 30,
1998, the reimbursement amounted to $112,733.
6
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
_______________________________________________________________________________
The Portfolio compensates Alliance Fund Services, Inc., a wholly-owned
subsidiary of the Adviser, under a Transfer Agency Agreement for providing
personnel and facilities to perform transfer agency services for the Portfolio.
Such compensation amounted to $26,522 for the year ended June 30, 1998.
NOTE C: DISTRIBUTION ASSISTANCE AND ADMINISTRATIVE SERVICES PLAN
Under this Plan, the Portfolio pays the Adviser a distribution fee at the
annual rate of up to .25% of the average daily value of the Portfolio's net
assets. The Plan provides that the Adviser will use such payments in their
entirety for distribution assistance and promotional activities. For the year
ended June 30, 1998, the distribution fee amounted to $281,666, of which
$39,228 was waived. In addition, the Portfolio may reimburse certain
broker-dealers for administrative costs incurred in connection with providing
shareholder services, and may reimburse the Adviser for accounting and
bookkeeping, and legal and compliance support. For the year ended June 30,
1998, such payments by the Portfolio amounted to $187,751, of which $92,000 was
paid to the Adviser.
NOTE D: INVESTMENT TRANSACTIONS
At June 30, 1998, the cost of investments for federal income tax purposes was
the same as the cost for financial reporting purposes. At June 30, 1998, the
Portfolio had a capital loss carry forward of $104 which expires in the year
2005.
NOTE E: TRANSACTIONS IN SHARES OF BENEFICIAL INTEREST
An unlimited number of shares ($.01 par value) are authorized. At June 30,
1998, capital paid-in aggregated $113,095,100. Transactions, all at $1.00 per
share, were as follows:
YEAR ENDED YEAR ENDED
JUNE 30, JUNE 30,
1998 1997
------------- -------------
Shares sold 542,347,808 509,670,004
Shares issued on reinvestments of dividends 3,174,513 3,171,608
Shares redeemed (521,577,337) (514,872,858)
Net increase (decrease) 23,944,984 (2,031,246)
7
FINANCIAL HIGHLIGHTS
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
_______________________________________________________________________________
SELECTED DATA FOR A SHARE OF BENEFICIAL INTEREST OUTSTANDING THROUGHOUT EACH
PERIOD
JULY 28,
1995(A)
YEAR ENDED JUNE 30, THROUGH
--------------------- JUNE 30,
1998 1997 1996
--------- ---------- ------------
Net asset value, beginning of period $1.00 $1.00 $1.00
INCOME FROM INVESTMENT OPERATIONS
Net investment income (b) .028 .030 .030
LESS: DIVIDENDS
Dividends from net investment income (.028) (.030) (.030)
Net asset value, end of period $1.00 $1.00 $1.00
TOTAL RETURN
Total investment return based on
net asset value (c) 2.87% 3.03% 3.32%(d)
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (000's omitted) $113,095 $89,149 $91,179
Ratios to average net assets of:
Expenses, net of waivers and
reimbursements .93% .65% .58%(d)
Expenses, before waivers and
reimbursements 1.06% 1.10% 1.24%(d)
Net investment income (b) 2.82% 2.97% 3.12%(d)
(a) Commencement of operations.
(b) Net of expenses reimbursed or waived by the Adviser.
(c) 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.
(d) Annualized.
8
INDEPENDENT AUDITOR'S REPORT
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
_______________________________________________________________________________
TO THE BOARD OF TRUSTEES AND SHAREHOLDERS
ALLIANCE MUNICIPAL TRUST - FLORIDA PORTFOLIO
We have audited the accompanying statement of net assets of the Florida
Portfolio of Alliance Municipal Trust as of June 30, 1998 and the related
statements of operations, changes in net assets, and financial highlights for
the periods indicated in the accompanying financial statements. These financial
statements and financial highlights are the responsibility of the Portfolio's
management. Our responsibility is to express an opinion on these financial
statements and financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned as of June
30, 1998, by correspondence with the custodian.
An audit also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of the
Florida Portfolio of Alliance Municipal Trust as of June 30, 1998, and the
results of its operations, changes in its net assets, and its financial
highlights for the periods indicated, in conformity with generally accepted
accounting principles.
McGladrey & Pullen, LLP
New York, New York
July 24, 1998
9
ALLIANCE MUNICIPAL TRUST - FLORIDA 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 # 6 6 #
For non-touch-tone telephones, call toll-free (800) 221-9513
ALLIANCE CAPITAL
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.
AFLAR
