LETTER TO SHAREHOLDERS
Dear Shareholder:
Since our last report to shareholders on November 30, 1993, the
fixed-income markets have experienced considerable volatility. Interest rates
rallied to a cyclical low during October, but have been on an upward trend
ever since. The Fund's net asset value declined by approximately $.63 per
share (adjusted for capital gain distributions) to $15.06, during the year
ended May 31, 1994. For this time period, income dividends of approximately
$.89 per share were paid. This translates into an annualized distribution
rate of 5.69% per share, based upon the closing net asset value per share,
adjusted for capital gain distributions. As has been true since the Fund's
inception, all interest income paid to you has been exempt from Federal, New
York State and New York City income taxes.*
It appears that 1994 will be remembered as the end of five years of
accommodative Federal Reserve Board policy. Since February, the Federal Funds
rate has been raised four times. Generally, it is anticipated that further
rate hikes will be forthcoming should the economy continue to signal an
unacceptable rate of growth; with such a heightened degree of nervousness
influencing both bonds and stocks, the markets could remain volatile.
Higher bond yields have had an effect on the supply of new municipal
bonds; 1993 was a record year for bond issuance, but new issuance has fallen
dramatically this year. At the same time, the appetite of individual
investors for tax exempt investments has been tempered. However, should
inflation concerns subside and interest rates stabilize, attractive
investment opportunities could emerge in municipal securities: new issuance
has been reduced, the highest marginal Federal tax rate has been increased to
nearly 40%, and municipal bonds are yielding substantially more than they
were only a few months ago. However, at this juncture, it is still uncertain
as to if and when such a scenario may unfold.
After a protracted recession, the New York economy is finally on the
rebound. The State has lost over 500,000 jobs since the recession began and
with employment growth projected at approximately 1.4% for 1994, it will take
a considerable amount of time to recover to pre-recession job levels. It
appears that the outlook for the State's credit rating has turned positive
and we are looking for an upgrade within the next year.
Last year, when interest rates were reaching their cyclical lows, we
began to take a conservative stance on the market. Given the tight yield
spread, we focused much of our investment activity in the 20- (rather than
30-) year range. As we approached year-end, instead of chasing an already
expensive market, we opted to increase our cash reserve position in order to
offset the adverse impact that expected higher rates would have on the Fund.
It appears that the worst part of the retrenchment may have passed and, if
so, current levels would present an attractive buying opportunity.
As we have witnessed in recent weeks, negative influences on the markets
can be quite powerful. The potential still exists for further market
volatility and higher yields before bond prices begin to rise again. We want
to assure you that we are at all times working in the Fund's best interest,
and we appreciate your investment in the Fund.
Very truly yours,
(Logo Signature)
Richard J. Moynihan
President
July 1, 1994
New York, N.Y.
* Some income may be subject to the Federal Alternative Minimum Tax (AMT) for
certain shareholders.
PERFORMANCE
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN DREYFUS NEW YORK TAX
EXEMPT BOND FUND, INC. AND THE LEHMAN BROTHERS MUNICIPAL BOND INDEX
(Exhibit A)
$28,642
Lehman Brothers
Municipal Bond Index*
$25,529
Dreyfus New York
Tax Exempt
Bond Fund
In Dollars
*Source: Lehman Brothers
AVERAGE ANNUAL TOTAL RETURN
<TABLE>
ONE YEAR ENDED FIVE YEARS ENDED TEN YEARS ENDED
MAY 31, 1994 MAY 31, 1994 MAY 31, 1994
----------------- ------------------ ------------------
<S> <C> <C> <C>
1.42% 7.68% 9.82%
</TABLE>
Past performance is not predictive of future performance.
The above graph compares a $10,000 investment made in the Dreyfus New York
Tax Exempt Bond Fund on 5/31/84 to a $10,000 investment made in the Lehman
Brothers Municipal Bond Index on that date. All dividends and capital gain
distributions are reinvested.
The Fund invests primarily in New York municipal securities and its
performance takes into account fees and expenses. Unlike the Fund, the Lehman
Brothers Municipal Bond Index is an unmanaged total return performance
benchmark for the long-term, investment-grade tax exempt bond market,
calculated by using municipal bonds selected to be representative of the
market. As such, the Fund's performance directly reflects economic events
existing in the State of New York while the Index reflects them to a much less
er extent, if at all. The Index also does not take into account charges, fees
and other expenses. Further information relating to Fund performance,
including expense reimbursements, if applicable, is contained in the
Condensed Financial Information section of the Prospectus and elsewhere in
this report.
<TABLE>
<CAPTION>
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS MAY 31,1994
PRINCIPAL
MUNICIPAL BONDS--94.1% AMOUNT VALUE
---------------- -------------
<S> <C> <C>
NEW YORK--83.7%
Allegany County Industrial Development Agency, Solid Waste Disposal Facility
Revenue
(Atlantic Richfield Co. Facility) 6.625%, 9/1/2016...................... $ 3,000,000 $ 3,090,690
Battery Park City Authority, Senior Revenue Refunding 5.25%, 11/1/2017...... 16,650,000 14,671,147
Cohoes Industrial Development Agency, IDR (Norlite Corp. Project)
6.75%, 5/1/2009(LOC; Dresdner Bank) (a)................................. 5,000,000 5,111,900
Housing Corp., Revenue:
9%, 11/1/2017........................................................... 13,250,000 15,313,555
Refunding 5%, 11/1/2013................................................. 6,500,000 5,554,055
Metropolitan Transportation Authority:
Service Contract:
Commuter Facilities 5.75%, 7/1/2013................................... 8,825,000 8,339,360
Transit Facilities:
7.125%, 7/1/2009.................................................. 5,000,000 5,367,750
5.75%, 7/1/2013................................................... 3,900,000 3,685,383
Transit Facilities Revenue 7.304%, 7/1/2022(b,c)........................ 12,000,000 9,645,000
Monroe County Industrial Development Agency, Revenue
(Genesee Hospital Civic Facility)7%, 11/1/2018.......................... 6,900,000 7,228,647
Municipal Assistance Corp. for the City of New York 7.30%, 7/1/2008......... 6,000,000 6,603,300
Nassau County Industrial Development Agency, IDR
(Hofstra University Project) 8.25%, 7/1/2003............................ 3,000,000 3,388,950
New York City:
7.875%, 8/1/2000........................................................ 3,000,000 3,341,280
6.25%, 8/1/2002 (Insured; FSA).......................................... 3,950,000 4,280,970
7.50%, 2/1/2003......................................................... 3,500,000 3,914,330
7.50%, 2/1/2006......................................................... 10,000,000 11,046,500
8.25%, 6/1/2006......................................................... 2,750,000 3,247,282
6%, 8/1/2006............................................................ 5,000,000 4,907,400
6%, 5/15/2007........................................................... 15,000,000 14,722,200
6.50%, 8/1/2007......................................................... 10,350,000 10,538,680
7.50%, 3/15/2009........................................................ 2,500,000 2,716,150
7.50%, 3/15/2010........................................................ 10,000,000 10,864,600
7%, 10/1/2010........................................................... 3,955,000 4,207,092
6.25%, 8/1/2011 (Insured; FSA).......................................... 1,050,000 1,071,252
6.72%, 8/1/2011(b)...................................................... 18,775,000 16,252,579
5.75%, 8/15/2011........................................................ 11,870,000 11,135,722
7.20%, 2/1/2013......................................................... 30,000,000 32,286,600
5.75%, 8/15/2013........................................................ 8,035,000 7,365,443
6.85%, 10/1/2013........................................................ 5,000,000 5,135,750
7.20%, 2/1/2014......................................................... 10,000,000 10,762,200
7%, 6/1/2015............................................................ 6,100,000 6,490,400
7%, 8/1/2016............................................................ 4,200,000 4,432,428
7.50%, 2/1/2017......................................................... 7,000,000 7,660,240
7%, 2/1/2019............................................................ 2,000,000 2,108,440
7.50%, 8/1/2021......................................................... 5,000,000 5,490,900
New York City Health and Hospital Corp., Revenue:
6%, 2/15/2005........................................................... 8,000,000 7,989,600
5.396%, 2/15/2011(b).................................................... 24,000,000 22,568,880
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31,1994
PRINCIPAL
MUNICIPAL BONDS (CONTINUED) AMOUNT VALUE
---------------- -------------
NEW YORK (CONTINUED)
New York City Housing Development Corp., MFHR 5.70%, 11/1/2013.............. $ 5,125,000 $ 4,788,390
New York City Municipal Water Finance Authority, Water and Sewer Systems
Revenue:
6.50%, 6/15/1997 (Insured; AMBAC)....................................... 3,800,000 4,066,646
7%, Ser.A, 6/15/2001.................................................... 2,440,000 2,739,095
7%, 6/15/2001........................................................... 5,655,000 6,348,190
7%, 6/15/2009........................................................... 19,175,000 20,490,980
7%, 6/15/2015........................................................... 8,305,000 8,760,612
6.75%, 6/15/2017........................................................ 29,290,000 30,259,206
7.75%, 6/15/2020........................................................ 11,750,000 13,748,675
6.50%, 6/15/2021 (Insured; AMBAC)....................................... 26,200,000 26,708,542
6.375%, 6/15/2022....................................................... 9,370,000 9,442,149
Refunding 6%, 6/15/2017................................................. 44,000,000 42,821,680
State of New York:
5.50%, 3/1/2010......................................................... 5,265,000 5,014,070
COP:
Commissioner General Services of the Executive Department 6.90%, 3/1/1998 2,030,000 2,211,320
Commissioner Office of Mental Health 8.30%, 9/1/2012.................. 4,000,000 4,399,640
Refunding 6.125%, 11/15/2011............................................ 11,630,000 11,759,209
New York State Dormitory Authority, Revenues:
(City University Systems):
8.125%, 7/1/1997...................................................... 2,950,000 3,295,946
7.875%, 7/1/2007...................................................... 5,000,000 5,802,550
8.125%, 7/1/2007...................................................... 10,000,000 11,015,700
6.375%, 7/1/2008...................................................... 5,625,000 5,717,194
7%, 7/1/2009.......................................................... 8,500,000 9,250,125
5.60%, 7/1/2010....................................................... 12,000,000 11,479,080
7.50%, 7/1/2010 (Insured; FGIC)....................................... 5,000,000 5,811,900
5.50%, 7/1/2012....................................................... 30,025,000 27,287,020
5.75%, 7/1/2013....................................................... 10,000,000 9,428,600
10.875%, 7/1/2014..................................................... 24,500,000 25,124,750
5%, 7/1/2020.......................................................... 10,000,000 8,161,800
Refunding:
5.75%, 7/1/2012................................................... 2,500,000 2,364,000
8.20%, 7/1/2012................................................... 5,250,000 5,959,065
(Cornell University) 7.375%, 7/1/2030................................... 11,785,000 12,909,760
Court Facilities Lease:
5.50%, 5/15/2010...................................................... 15,000,000 13,869,000
5.50%, 5/15/2023...................................................... 13,170,000 11,507,156
Department Health, Refunding 5.50%, 7/1/2014............................ 10,000,000 9,024,900
Judicial Facilities Lease (Suffolk County Issue) 9.50%, 4/15/2014....... 4,500,000 5,266,485
(New York Medical College) 6.875%, 7/1/2021 (Insured; Asset Guaranty)... 19,310,000 20,200,963
(Park Ridge Housing Inc. Project) 7.85%, 2/1/2029....................... 7,720,000 8,494,470
(Rochester General Hospital) 8.75%, 2/1/2025 (Insured; FHA)............. 4,645,000 4,989,241
(Rochester Institute of Technology) 9.375%, 7/1/2003 (Collateralized; GNMA) 6,010,000 6,529,925
(State University):
7.60%, 7/1/2018....................................................... 3,000,000 3,241,410
Educational Facilities:
7%, 5/15/2000..................................................... 7,010,000 7,859,963
7.375%, 5/15/2000................................................. 10,155,000 11,601,174
7.25%, 5/15/2002.................................................. 16,065,000 18,378,360
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31,1994
PRINCIPAL
MUNICIPAL BONDS (CONTINUED) AMOUNT VALUE
---------------- -------------
NEW YORK (CONTINUED)
New York State Dormitory Authority, Revenues (continued):
(State University) (continued):
Educational Facilities (continued):
5.50%, 5/15/2008.................................................. $ 12,150,000 $ 11,546,388
7.25%, 5/15/2008.................................................. 11,590,000 13,080,590
5.875%, 5/15/2011................................................. 15,000,000 14,514,300
7.50%, 5/15/2011.................................................. 3,750,000 4,274,250
5.50%, 5/15/2013.................................................. 6,330,000 5,802,648
7%, 5/15/2018..................................................... 9,050,000 10,146,769
7.25%, 5/15/2018.................................................. 2,055,000 2,350,920
Refunding:
7.375%, 5/15/2014................................................. 12,945,000 13,984,354
7%, 5/15/2016 .................................................... 17,240,000 18,144,238
New York State Energy Research and Development Authority:
Electric Facilities Revenue:
(Consolidated Edison Co. Project):
7.375%, 7/1/2024.................................................. 7,000,000 7,395,850
7.50%, 7/1/2025................................................... 8,000,000 8,552,400
6.75%, 1/15/2027.................................................. 8,015,000 8,192,532
(Long Island Lighting Co. Project):
7.15%, 6/1/2020................................................... 15,000,000 14,964,600
6.90%, 8/1/2022................................................... 11,975,000 11,654,429
Facilities Revenue (Consolidated Edison Co. Project):
6.375%, 12/1/2027..................................................... 23,715,000 23,698,637
8.089%, 3/15/2028 (b,c)............................................... 16,300,000 13,773,500
Gas Facilities Revenue (Brooklyn Union Gas Co. Project) 8.75%, 7/1/2015. 19,750,000 21,083,718
PCR (Orange and Rockland Utilities, Inc. Project) 9%, 8/1/2015.......... 2,000,000 2,147,760
New York State Environmental Facilities Corp.:
Riverbank State Park Special Obligation 7.375%, 4/1/2022................ 5,500,000 5,971,845
State Water Pollution Control Revolving Fund Revenue
(New York City Municipal Water Finance Authority Project):
6.875%, 6/15/2010................................................. 21,340,000 22,673,323
7.25%, 6/15/2010.................................................. 16,065,000 17,463,780
7.50%, 3/15/2011.................................................. 1,000,000 1,089,220
7%, 6/15/2012..................................................... 21,660,000 23,153,457
7.50%, 6/15/2012.................................................. 20,700,000 22,819,473
6.50%, 6/15/2014.................................................. 16,680,000 17,278,312
New York State Housing Finance Agency, Revenue:
(Adult Care) 7.85%, 2/15/2030 (Insured; FHA)............................ 2,060,000 2,295,479
Insured Multi-Family Mortgage:
6.95%, 8/15/2012...................................................... 1,300,000 1,362,738
7%, 8/15/2022......................................................... 4,495,000 4,616,275
Multi-Family Housing Second Mortgage 6.95%, 8/15/2024................... 3,000,000 3,065,490
Service Contract Obligation:
5.875%, 3/15/2011..................................................... 7,945,000 7,765,364
7.375%, 9/15/2021..................................................... 6,500,000 7,495,995
Refunding 5.375%, 9/15/2011........................................... 7,395,000 6,684,266
New York State Local Government Assistance Corp.:
7%, 4/1/2005............................................................ 4,300,000 4,670,832
7%, 4/1/2011............................................................ 2,500,000 2,637,775
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31,1994
PRINCIPAL
MUNICIPAL BONDS (CONTINUED) AMOUNT VALUE
---------------- -------------
NEW YORK (CONTINUED)
New York State Local Government Assistance Corp. (continued):
Refunding:
5.625%, 4/1/2013...................................................... $ 10,970,000 $ 10,262,106
6%, 4/1/2014.......................................................... 5,125,000 5,083,436
New York State Medical Care Facilities Finance Agency, Revenue:
Hospital and Nursing Home Insured Mortgage:
6.45%, 2/15/2009 (Insured; FHA)....................................... 6,705,000 6,860,221
6.35%, 2/15/2012 (Insured; FHA)....................................... 15,000,000 15,260,400
6.85%, 2/15/2012 (Insured; FHA)....................................... 6,000,000 6,457,260
6.25%, 8/15/2012 (Insured; FHA)....................................... 5,425,000 5,460,859
6.125%, 2/15/2014 (Insured; FHA)...................................... 8,200,000 8,059,698
6.30%, 8/15/2023 (Insured; FHA)....................................... 6,500,000 6,430,710
7.45%, 8/15/2031 (Insured; FHA)....................................... 4,250,000 4,593,655
6.875%, 2/15/2032 (Insured; FHA)...................................... 5,000,000 5,224,200
Hospital and Nursing Home Mortgage (Saint Vincent's Hospital)
8%, 2/15/2027 (Insured; FHA).......................................... 2,500,000 2,760,425
Insured Hospital Mortgage:
10.125%, 1/15/2024 (Insured; FHA)..................................... 5,000,000 5,150,750
(Catholic Medical Center) 8.30%, 2/15/2022 (Insured; FHA)............. 14,000,000 15,929,900
(Hospital and Nursing Home Project) 10%, 11/1/2006.................... 4,585,000 4,838,963
(Kingston Hospital) 8.875%, 11/15/2017................................ 7,160,000 7,719,053
Insured Long Term Health Care 6.45%, 11/1/2010 (Insured; FHA)........... 11,660,000 12,217,698
Mental Health Services 5.375%, 8/15/2013................................ 10,000,000 8,789,800
Mental Health Services Facilities Improvement:
5.375%, 2/15/2014..................................................... 16,000,000 14,199,520
5.25%, 2/15/2019...................................................... 6,990,000 5,931,085
Mortgage
(Saint Luke's Hospital) 7.45%, 2/15/2029 (Insured; FHA)............... 10,000,000 11,325,200
New York State Mortgage Agency, Revenue Mortgage:
Homeowner:
7.375%, 10/1/2011..................................................... 13,260,000 13,709,249
6%, 10/1/2017......................................................... 8,945,000 8,523,869
5.50%, 4/1/2019....................................................... 5,000,000 4,672,750
6.45%, 10/1/2020...................................................... 19,115,000 19,334,631
6.65%, 4/1/2022....................................................... 10,000,000 10,070,400
Homeownership:
7.50%, 10/1/2017...................................................... 7,500,000 7,982,775
7.85%, 4/1/2022....................................................... 5,000,000 5,183,750
New York State Power Authority, General Purpose:
6.625%, 1/1/2012........................................................ 5,690,000 5,958,625
6.75%, 1/1/2018......................................................... 11,270,000 11,733,986
6.50%, 1/1/2019......................................................... 15,500,000 15,831,080
New York State Township Authority, Service Contract Revenue
(Local Highway and Bridge):
7.25%, 1/1/2010....................................................... 13,000,000 13,976,300
6%, 4/1/2010.......................................................... 5,980,000 5,904,413
New York State Urban Development Corp., Revenue:
7.50%, 4/1/2020......................................................... 11,645,000 12,704,462
(Cornell Center Project) 6%, 1/1/2014................................... 4,500,000 4,316,085
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31,1994
PRINCIPAL
MUNICIPAL BONDS (CONTINUED) AMOUNT VALUE
---------------- -------------
NEW YORK (CONTINUED)
New York State Urban Development Corp., Revenue (continued):
(Correctional Facilities):
5.625%, 1/1/2007...................................................... $ 12,100,000 $ 11,479,270
5.75%, 1/1/2013....................................................... 23,830,000 22,266,514
Onondaga County Industrial Development Agency, IDR
(Weyerhaeuser Project) 9%, 10/1/2007.................................... 1,000,000 1,245,580
Port Authority of New York and New Jersey:
(Consolidated Bond 53rd Series) 8.70%, 7/15/2020........................ 15,500,000 16,622,355
(Consolidated Bond 76th Series) 6.50%, 11/1/2026........................ 14,005,000 14,230,481
Triborough Bridge and Tunnel Authority:
Capital Appreciation General Purpose:
Zero Coupon, 1/1/2012................................................. 3,835,000 1,295,118
Zero Coupon, 1/1/2013................................................. 3,925,000 1,248,425
(Convention Center Project) 7.25%, 1/1/2010............................. 17,500,000 19,509,350
Revenues:
7.375%, 1/1/2016...................................................... 8,280,000 9,356,069
General Purpose:
6%, 1/1/2012...................................................... 7,400,000 7,415,466
5%, 1/1/2014...................................................... 10,750,000 9,475,588
6%, 1/1/2014...................................................... 6,375,000 6,295,121
6.50%, 1/1/2015................................................... 8,525,000 9,188,160
4.75%, 1/1/2019................................................... 27,140,000 22,001,312
6.50%, 1/1/2019................................................... 18,545,000 18,914,231
5%, 1/1/2024...................................................... 5,375,000 4,473,774
Special Obligation Refunding 7.10%, 1/1/2010............................ 8,000,000 8,662,480
U.S. RELATED--10.4%
Commonwealth of Puerto Rico:
Public Improvement:
7.70%, 7/1/2008....................................................... 3,000,000 3,421,530
5.85%, 7/1/2011....................................................... 6,980,000 6,791,610
5.50%, 7/1/2013....................................................... 11,490,000 10,576,660
6.45%, 7/1/2017....................................................... 10,800,000 10,986,192
7.75%, 7/1/2017....................................................... 4,850,000 5,542,386
6.80%, 7/1/2021....................................................... 23,140,000 25,904,304
Guam Airport Authority, Revenue:
6.60%, 10/1/2010........................................................ 4,000,000 4,095,160
6.70%, 10/1/2023........................................................ 12,200,000 12,284,058
Puerto Rico Aqueduct and Sewer Authority, Revenue 10.25%, 7/1/2009.......... 13,750,000 18,821,550
Puerto Rico Electric Power Authority:
Power Revenue 6.375%, 7/1/2024.......................................... 5,000,000 5,027,550
Refunding:
6.10%, 7/1/2003....................................................... 5,000,000 5,204,050
8.375%, 7/1/2007...................................................... 4,950,000 5,596,272
8.40%, 7/1/2015....................................................... 6,700,000 7,579,509
Puerto Rico Highway and Transportation Authority,
Highway Revenue Refunding 6.6002%, 7/1/2005(b).......................... 8,950,000 8,155,688
Puerto Rico Highway Authority, Highway Revenue 8.125%, 7/1/2013............. 6,750,000 7,705,732
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31,1994
PRINCIPAL
MUNICIPAL BONDS (CONTINUED) AMOUNT VALUE
---------------- -------------
U.S. RELATED (CONTINUED)
Puerto Rico Housing Finance Corp.:
MFMR:
7.50%, 10/1/2015 (LOC; Government Development Bank Puerto Rico) (a)... $ 6,515,000 $ 6,757,619
7.50%, 4/1/2022 (LOC; Government Development Bank Puerto Rico) (a).... 5,260,000 5,494,649
SFMR 9.535%, 8/4/2025 (b)............................................... 3,000,000 3,000,000
Puerto Rico Public Building Authority, Refunding
Public Education and Health Facilities 5.75%, 7/1/2010.................. 35,355,000 34,254,399
Virigin Islands Public Finance Authority, Revenue Refunding Matching Fund
Loan Note
7.25%, 10/1/2018........................................................ 10,900,000 11,692,757
----------------
TOTAL MUNICIPAL BONDS
(cost $1,741,072,857)................................................... $1,802,045,386
==============
SHORT-TERM MUNICIPAL INVESTMENTS--5.9%
NEW YORK--5.7%
New York City:
ARRN, 2.85% (b)......................................................... $ 12,050,000 $ 12,050,000
VRDN:
2.95% (d)............................................................. 8,400,000 8,400,000
3.05% (d)............................................................. 20,000,000 20,000,000
3.10% (LOC; Industrial Bank of Japan, Ltd.)(a,d)...................... 5,700,000 5,700,000
3.10% (LOC; The Sumitomo Bank, Ltd.)(a,d)............................. 2,100,000 2,100,000
3.20% (LOC; Chemical Bank)(a,d)....................................... 8,850,000 8,850,000
New York City Health and Hospital Corp., Revenue ARRN 2.46% (Insured; AMBAC)(b) 3,600,000 3,600,000
New York City Housing Development Corp., Mortgage Revenue, MFHR, VRDN
2.95% (LOC; Citibank)(a,d).............................................. 7,200,000 7,200,000
New York City Municipal Water Finance Authority,
Water and Sewer System Revenue ARRN 3.25% (b)........................... 3,000,000 3,000,000
New York State Dormitory Authority, Revenue VRDN (Saint Francis Center at the
Knolls)
3.20% (LOC; Banque Paribas)(a,d)........................................ 11,300,000 11,300,000
New York State Energy Research and Development Authority, ARRN 3.40% (b).... 8,600,000 8,600,000
New York State Housing Finance Agency, Revenue VRDN
(Normandie Connecticut I Project) 2.95% (LOC; Societe Generale)(a,d).... 18,300,000 18,300,000
U.S. RELATED--.2%
Commonwealth of Puerto Rico, ARRN 3.03% (Insured; AMBAC)(b) ................ 1,500,000 1,500,000
Puerto Rico Electric Power Authority, Revenue ARRN 2.94% (Insured; FSA)(b).. 3,100,000 3,100,000
----------------
TOTAL SHORT-TERM INVESTMENTS
(cost $113,700,000)..................................................... $ 113,700,000
==============
TOTAL INVESTMENTS--100.0%
(cost $1,854,772,857).................................................... $1,915,745,386
==============
</TABLE>
<TABLE>
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
SUMMARY OF ABBREVIATIONS
<S> <C> <C> <C>
AMBAC American Municipal Bond Assurance Corporation IDR Industrial Development Revenue
ARRN Adjustable Rate Receipt Notes LOC Letter of Credit
COP Certificate of Participation MFHR Multi-Family Housing Revenue
FGIC Financial Guaranty Insurance Corporation MFMR Multi-Family Mortgage Revenue
FHA Federal Housing Administration PCR Pollution Control Revenue
FSA Financial Security Assurance SFMR Single Family Mortgage Revenue
GNMA Government National Mortgage Association VRDN Variable Rate Demand Notes
</TABLE>
<TABLE>
SUMMARY OF COMBINED RATINGS (UNAUDITED)
FITCH(E) OR MOODY'S OR STANDARD & POOR'S PERCENTAGE OF VALUE
- --------- --------- -------------------- ----------------------
<S> <C> <C> <C>
AAA Aaa AAA 14.3%
AA Aa AA 28.7
A A A 29.3
BBB Baa BBB 22.8
F1 MIG1 SP1 4.3
Not Rated Not Rated Not Rated .6
--------
100.0%
=========
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS:
(a) Secured by letters of credit.
(b) Residual interest security - the interest rate is subject to change
periodically.
(c) 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 May 31,
1994, these securities amounted to $23,418,500 or 1.2% of net assets.
(d) The interest rate, which is subject to change, is based upon bank
prime rates or an index of market interest rates.
(e) Fitch currently provides creditworthiness information for a limited
number of investments.
See notes to financial statements.
<TABLE>
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES MAY 31, 1994
<S> <C> <C>
ASSETS:
Investments in securities, at value
(cost $1,854,772,857)-see statement................................... $1,915,745,386
Interest receivable..................................................... 38,063,053
Receivable for investment securities sold............................... 6,969,207
Prepaid expenses........................................................ 95,773
---------------
1,960,873,419
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $ 987,686
Due to Custodian........................................................ 3,632,336
Payable for investment securities purchased............................. 14,780,676
Accrued expenses........................................................ 239,687 19,640,385
------------- ---------------
NET ASSETS.................................................................. $1,941,233,034
==============
REPRESENTED BY:
Paid-in capital......................................................... $1,870,060,645
Accumulated undistributed net realized gain on investments.............. 10,199,860
Accumulated net unrealized appreciation on investments_Note 3........... 60,972,529
---------------
NET ASSETS at value applicable to 128,912,347 shares outstanding
(300 million shares of $.01 par value Common Stock authorized).......... $1,941,233,034
==============
NET ASSET VALUE, offering and redemption price per share
($1,941,233,034 / 128,912,347 shares)................................... $15.06
======
</TABLE>
<TABLE>
STATEMENT OF OPERATIONS YEAR ENDED MAY 31, 1994
<S> <C> <C>
INVESTMENT INCOME:
INTEREST INCOME......................................................... $ 129,450,292
EXPENSES:
Management fee--Note 2(a)............................................. $ 12,540,757
Shareholder servicing costs--Note 2(b)................................ 1,809,006
Custodian fees........................................................ 136,918
Professional fees..................................................... 93,473
Prospectus and shareholders' reports.................................. 45,660
Directors' fees and expenses_Note 2(c)................................ 30,759
Registration fees..................................................... 24,448
Miscellaneous......................................................... 102,757
-------------
TOTAL EXPENSES.................................................... 14,783,778
---------------
INVESTMENT INCOME--NET............................................ 114,666,514
REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS:
Net realized gain on investments--Note 3................................ $ 26,918,597
Net unrealized (depreciation) on investments............................ (107,463,939)
-------------
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS................. (80,545,342)
---------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $ 34,121,172
==============
See notes to financial statements.
</TABLE>
<TABLE>
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED MAY 31,
--------------------------------
1993 1994
---------------- ----------------
<S> <C> <C>
OPERATIONS:
Investment income--net.................................................. $ 120,365,011 $ 114,666,514
Net realized gain on investments........................................ 73,289,223 26,918,597
Net unrealized appreciation (depreciation) on investments............... 47,728,817 (107,463,939)
---------------- ---------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.................. 241,383,051 34,121,172
---------------- ---------------
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income--net.................................................. (120,073,025) (115,624,687)
Net realized gain on investments........................................ (28,272,823) (49,331,298)
---------------- ---------------
TOTAL DIVIDENDS....................................................... (148,345,848) (164,955,985)
---------------- ---------------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold........................................... 945,524,694 944,177,818
Dividends reinvested.................................................... 110,444,189 124,301,866
Cost of shares redeemed................................................. (948,741,406) (1,094,664,996)
---------------- ---------------
INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL STOCK TRANSACTIONS..... 107,227,477 (26,185,312)
---------------- ---------------
TOTAL INCREASE (DECREASE) IN NET ASSETS........................... 200,264,680 (157,020,125)
NET ASSETS:
Beginning of year....................................................... 1,897,988,479 2,098,253,159
---------------- ---------------
End of year (including undistributed investment income--net;
$958,173 in 1993)..................................................... $2,098,253,159 $1,941,233,034
============== ==============
SHARES SHARES
---------------- ---------------
CAPITAL SHARE TRANSACTIONS:
Shares sold............................................................. 60,164,762 59,571,940
Shares issued for dividends reinvested.................................. 7,045,202 7,764,706
Share redeemed.......................................................... (60,179,400) (69,044,234)
---------------- ---------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING......................... 7,030,564 (1,707,588)
============== ==============
See notes to financial statements.
</TABLE>
<TABLE>
DREYFUS NEW YORK TAX EXEMPT 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 year indicated. This information
has been derived from the Fund's financial statements.
YEAR ENDED MAY 31,
------------------------------------------------------------
PER SHARE DATA: 1990 1991 1992 1993 1994
------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year.............. $14.92 $14.65 $14.89 $15.36 $16.06
------- ------- ------- ------- -------
INVESTMENT OPERATIONS:
Investment income--net.......................... 1.06 1.04 1.01 .95 .88
Net realized and unrealized gain (loss) on investments (.27) .24 .47 .92 (.62)
------- ------- ------- ------- -------
TOTAL FROM INVESTMENT OPERATIONS.............. .79 1.28 1.48 1.87 .26
------- ------- ------- ------- -------
DISTRIBUTIONS:
Dividends from investment income--net........... (1.06) (1.04) (1.01) (.95) (.89)
Dividends from net realized gain on investments. -_ -_ -_ (.22) (.37)
------- ------- ------- ------- -------
TOTAL DISTRIBUTIONS........................... (1.06) (1.04) (1.01) (1.17) (1.26)
------- ------- ------- ------- -------
Net asset value, end of year.................... $14.65 $14.89 $15.36 $16.06 $15.06
------- ------- ------- ------- -------
TOTAL INVESTMENT RETURN 5.43% 9.06% 10.23% 12.63% 1.42%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets......... .70% .70% .69% .70% .71%
Ratio of net investment income to average net assets 7.12% 7.08% 6.69% 6.03% 5.49%
Portfolio Turnover Rate......................... 31.22% 26.19% 40.05% 51.20% 35.66%
Net Assets, end of year (000's Omitted)......... $1,681,206 $1,752,334 $1,897,988 $2,098,253 $1,941,233
</TABLE>
See notes to financial statements.
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SIGNIFICANT ACCOUNTING POLICIES:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a non-diversified open-end management investment company. Dreyfus Service
Corporation ("Distributor") acts as the exclusive distributor of the Fund's
shares, which are sold to the public without a sales charge. The Distributor
is a wholly-owned subsidiary of The Dreyfus Corporation ("Manager").
(A) PORTFOLIO VALUATION: The Fund's investments 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 judgment of the
Service are valued at the mean between the quoted bid prices (as obtained by
the Service from dealers in such securities) and asked prices (as calculated
by the Service based upon its evaluation of the market for 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.
(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, when appropriate,
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.
The Fund follows an investment policy of investing primarily in municipal
obligations of one state. Economic changes affecting the state and certain of
its public bodies and municipalities may affect the ability of issuers within
the state to pay interest on, or repay principal of, municipal obligations
held by the Fund.
(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 taxes.
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 .60 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, interest on borrowings, brokerage
commissions and extraordinary expenses, exceed 11/2% of the average value of
the Fund's net assets for any full fiscal year. There was no expense
reimbursement for the year ended May 31, 1994.
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
(B) Pursuant to the Fund's Shareholder Services Plan, the Fund reimburses
the Distributor an amount not to exceed an annual rate of .25 of 1% of the
value of the Fund's average daily net assets for servicing shareholder
accounts. The services provided may include personal services relating to
shareholder accounts, such as answering shareholder inquiries regarding the
Fund and providing reports and other information, and services related to the
maintenance of shareholder accounts. During the year ended May 31, 1994, the
Fund was charged an aggregate of $774,417 pursuant to the Shareholder
Services Plan.
(C) Certain officers and directors of the Fund are "affiliated persons,"
as defined in the Act, of the Manager and/or the Distributor. Each director
who is not an "affiliated person" receives an annual fee of $4,500 and an
attendance fee of $500 per meeting.
(D) On December 5, 1993, the Manager entered into an agreement and Plan
of Merger (the "Merger Agreement") providing for the merger of the Manager
with a subsidiary of Mellon Bank Corporation ("Mellon").
Following the merger, it is planned that the Manager will be a direct
subsidiary of Mellon Bank, N.A. Closing of this merger is subject to a number
of contingencies, including receipt of certain regulatory approvals and
approvals of the stockholders of the Manager and of Mellon. The merger is
expected to occur in August 1994, but could occur later.
As a result of regulatory requirements and the terms of the Merger
Agreement, the Manager will seek various approvals from the Fund's
shareholders before completion of the merger. Proxy materials, approved by
the Fund's Board, recently have been mailed to Fund shareholders.
NOTE 3--SECURITIES TRANSACTIONS:
Purchases and sales of securities amounted to $1,907,022,148 and
$1,988,479,531, respectively, for the year ended May 31, 1994, and consisted
entirely of municipal bonds and short-term municipal investments.
At May 31, 1994, accumulated net unrealized appreciation on investments
was $60,972,529, consisting of $93,171,786 gross unrealized appreciation and
$32,199,257 gross unrealized depreciation.
At May 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).
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
REPORT OF ERNST & YOUNG, INDEPENDENT AUDITORS
SHAREHOLDERS AND BOARD OF DIRECTORS
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
We have audited the accompanying statement of assets and liabilities of
Dreyfus New York Tax Exempt Bond Fund, Inc., including the statement of
investments, as of May 31, 1994, and the related statement of operations for
the year then ended, the statement of changes in net assets for each of the
two years in the period then ended, and financial highlights for each of the
years indicated therein. These financial statements and financial highlights
are the responsibility of the Fund'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 May 31, 1994 by correspondence with the custodian and
brokers. 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 Dreyfus New York Tax Exempt Bond Fund, Inc. at May 31, 1994, the
results of its operations for the year then ended, the changes in its net
assets for each of the two years in the period then ended, and the financial
highlights for each of the indicated years, in conformity with generally
accepted accounting principles.
New York, New York
June 30, 1994, July 1, 1994, July 5, 1994, July 6, 1994, July 7, 1994
IMPORTANT TAX INFORMATION (UNAUDITED)
In accordance with Federal tax law, the Fund hereby makes the following
designations regarding its fiscal year ended May 31, 1994:
-- All the dividends paid from investment income-net are
"exempt-interest dividends" (not subject to regular Federal and, for
individuals who are New York residents, New York State and New York
City personal income taxes), and the portion of the $.3745 per share
paid by the Fund on December 8, 1993 representing a long-term capital
gain distribution is $.3300 per share.
-- As required by Federal tax law rules, shareholders will receive
notification of their portion of the Fund's taxable ordinary dividends
(if any) and capital gain distributions (if any) paid for the 1994
calendar year on Form 1099-DIV which will be mailed by January 31,
1995.
New York
Tax Exempt
Bond Fund, Inc.
Annual Report
May 31, 1994
DREYFUS NEW YORK
TAX EXEMPT BOND FUND, INC.
144 Glenn Curtiss Boulevard
Uniondale, NY 11556
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
DISTRIBUTOR
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
110 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. 980AR945
Registration Mark
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT
IN DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC. AND
THE LEHMAN BROTHERS MUNICIPAL BOND INDEX
EXHIBIT A:
_________________________________________________________
| | | DREYFUS |
| | LEHMAN BROTHERS | NEW YORK |
| PERIOD | MUNICIPAL | TAX EXEMPT |
| | BOND INDEX * | BOND FUND |
|--------------- | ----------------- | ----------------|
| 5/31/84 | 10,000 | 10,000 |
| 5/31/85 | 12,746 | 12,397 |
| 5/31/86 | 14,864 | 14,300 |
| 5/31/87 | 15,835 | 15,014 |
| 5/31/88 | 17,257 | 15,830 |
| 5/31/89 | 19,243 | 17,633 |
| 5/31/90 | 20,651 | 18,590 |
| 5/31/91 | 22,732 | 20,275 |
| 5/31/92 | 24,964 | 22,349 |
| 5/31/93 | 27,952 | 25,172 |
| 5/31/94 | 28,642 | 25,529 |
|--------------------------------------------------------|
*Source: Lehman Brothers
Average Annual Total Return
---------------------------------------------------------
One Year Ended Five Years Ended Ten Years Ended
May 31, 1994 May 31, 1994 May 31, 1994
--------------- ----------------- ----------------
1.42% 7.68% 9.82%
