LETTER TO SHAREHOLDERS
Dear Shareholder:
As your Fund ended its annual reporting period on May 31, 1995, its net
asset value was $15.19, an increase of approximately $1.37 from our
semi-annual report in November 1994, adjusted for capital gain distributions.
The total return for the Fund's fiscal year was 7.55%.* Income dividends of
approximately $.835 per share were paid during this period representing a
distribution rate per share of 5.46% based on the May 31 closing net asset
value, adjusted for capital gain distributions. All dividends paid from net
investment income during this period were exempt from Federal, New York State
and New York City income taxes, although certain shareholders may be subject
to the Federal Alternative Minimum Tax (AMT) on some portfolio income.
The economic environment in calendar year 1994 that resulted in the worst
bond market drop since the Depression has changed dramatically since our last
report. The Federal Reserve Board, in its efforts to control inflation and
keep the economy from overheating, raised the Federal Funds rate seven times
since February of 1994. The effect of this tightening brought long-maturity
U.S. Treasury yields to approximately 8.15% in November of 1994. The change
in market perception since then has been dramatic. While many economists
continued to focus on potentially higher rates, the market's fundamentals
were reacting to signs of a slowing economy and the fixed income markets
began a strong recovery. Indications of a slower, but not recessionary,
economy have brought fixed-income markets to current levels. It is still
uncertain as to whether the economy is experiencing a soft landing, or if the
effect of lower rates will reenergize the economy. Bond yields have dropped
worldwide, making it easier for U.S. rates to stabilize. High debt levels,
however, limit the ability of the consumer to help reignite the economy; car
sales remain slow, retail sales fell in May, and consumer sentiment is
flagging.
The financial markets are currently anticipating a cut in rates by the
Federal Reserve. Recent statements by the Fed's Chairman, Alan Greenspan,
have not been definitive, and we anticipate that the Fed may wait for further
evidence of a slowdown before taking action. At this juncture, we believe
that the market price of bonds in general is reflecting a market ease that
has not yet occurred, and we would expect the market to settle into a trading
range during the summer. An agreement by the President and Congress to reform
the Income Tax Code, downsize government operations and reduce the deficit
should also contribute to a lower interest rate scenario.
Since November, the municipal market has recovered most of the loss that
it experienced during 1994. Municipals continue to face a lack of supply and
a continuing loss of high-coupon paper due to prerefundings and active calls.
Under ordinary circumstances, these technicals would enable the municipal
market to stabilize; however, due to ongoing discussions of tax reform, the
municipal market undoubtedly will lag the Treasury market in overall
performance. Clearly the problem is the uncertainty, which will continue
until well into 1996.
The New York economy was hurt by the upturn in interest rates during
1994. New York City, in particular, had the early stages of recovery
curtailed by the higher rates and the subsequent loss of employment in the
financial sector. Even a new Governor has not been able to change New York
State's annual budget stalemate, and as a result, budget passage was over two
months late. The quest for tax cuts and the downsizing of government will be
a significant challenge going forward, and we would expect to see a
continuing decrease in the issuance of paper exempt from New York State
taxes.
The first half of 1994 was clearly very difficult for the bond market.
Last year as the yield curve flattened we tried to stay within the 20-year
range on the curve finding little advantage in going longer. We eliminated
our derivative holdings, and we took advantage of the inefficiencies in the
market and invested a portion of the portfolio in out-of-favor OIDs (original
issue discount bonds); late in the year we began to extend the duration of
the portfolio, anticipating that the worst of the market had been seen. We
expect that, going forward, the municipal market will continue to fluctuate
due to the uncertainties of the various tax reform proposals now being aired:
at this juncture, we choose to take a more conservative position by
shortening our duration and moving to a more defensive position.
We have included a current Statement of Investments and recent financial
statements for your review. We hope that this Fund continues to help you meet
your investment objective.
Very truly yours,
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
June 28, 1995
New York, N.Y.
* Total return represents the change during the period in a hypothetical
account with dividends reinvested.
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC. MAY 31, 1995
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
In Dollars
$24,519
Lehman Brothers Municipal Bond Index*
$22,145
Dreyfus New York Tax Exempt Bond Fund
*Source: Lehman Brothers
<TABLE>
<CAPTION>
<S> <C> <C> <C>
AVERAGE ANNUAL TOTAL RETURNS
ONE YEAR ENDED FIVE YEARS ENDED TEN YEARS ENDED
MAY 31, 1995 MAY 31, 1995 MAY 31, 1995
----------------- ------------------ -----------------
7.55% 8.11% 8.27%
</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 5/31/85 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 shown in the line graph 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,
geographically unrestricted tax exempt bond market, calculated by using
municipal bonds selected to be representative of the market. The Index
does not take into account charges, fees and other expenses. Also, unlike
the Fund which principally limits investments to New York municipal
obligations, the Index is not state-specific. 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, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS-94.1% AMOUNT VALUE
---------------- ----------------
<S> <C> <C>
NEW YORK-83.3%
Allegany County Industrial Development Agency, Solid Waste Disposal Facility
Revenue
(Atlantic Richfield Co. Facility) 6.625%, 9/1/2016...................... $ 5,600,000 $ 5,752,992
Cohoes Industrial Development Agency, IDR (Norlite Corp. Project)
6.75%, 5/1/2009 (LOC; Dresdner Bank)(a)................................. 5,000,000 5,227,600
Metropolitan Transportation Authority:
Service Contract, Transit Facilities 7.125%, 7/1/2009................... 5,000,000 5,461,950
Transit Facilities Revenue 5.50%, 7/1/2022 (Insured; FGIC).............. 24,000,000 23,534,880
Monroe County Industrial Development Agency, Revenue
(Genesee Hospital Civic Facility) 7%, 11/1/2018......................... 6,900,000 7,120,386
Municipal Assistance Corp. for the City of New York 7.30%, 7/1/2008......... 6,000,000 6,631,080
Nassau County Industrial Development Agency,IDR
(Hofstra University Project) 8.25%, 7/1/2003 (Prerefunded 7/1/1998)(b).. 3,000,000 3,343,170
New York City:
7.875%, 8/1/2000........................................................ 3,000,000 3,334,230
7.50%, 2/1/2003......................................................... 3,500,000 3,851,365
7.50%, 2/1/2006......................................................... 4,000,000 4,400,400
8.25%, 6/1/2006......................................................... 2,750,000 3,272,472
6.50%, 8/1/2007......................................................... 8,350,000 8,652,103
7.50%, 3/15/2009........................................................ 2,500,000 2,689,575
7.50%, 3/15/2010........................................................ 10,000,000 10,732,300
6.25%, 8/1/2010......................................................... 10,000,000 10,086,900
7%, 10/1/2010........................................................... 3,955,000 4,200,645
3.65%, 8/1/2011......................................................... 18,775,000 16,899,378
6.25%, 8/1/2011 (Insured; FSA) (Prerefunded 8/1/2002)(b)................ 3,950,000 4,386,514
5.75%, 8/15/2011........................................................ 11,870,000 11,350,806
6.85%, 10/1/2013........................................................ 5,000,000 5,144,200
7.50%, 8/1/2021......................................................... 5,000,000 5,446,600
New York City Health and Hospital Corp., Revenue
5.536%, 2/15/2011 (Insured; AMBAC)...................................... 24,000,000 23,691,120
New York City Housing Development Corp., MFHR 5.70%, 11/1/2013.............. 5,600,000 5,426,008
New York City Industrial Development Agency, Special Facility Revenue:
(Terminal One Group Assoc., L.P. Project) 6.125%, 1/1/2024.............. 48,325,000 47,584,661
New York City Municipal Water Finance Authority, Water and Sewer Systems
Revenue:
7%, 6/15/2015 (Prerefunded 6/15/2001)(b)................................ 5,655,000 6,431,940
5.50%, 6/15/2020........................................................ 29,210,000 27,763,521
6.20%, 6/15/2021 (Insured; AMBAC)....................................... 9,700,000 9,999,245
6.50%, 6/15/2021 (Insured; AMBAC)....................................... 8,200,000 8,557,930
6.50%, 6/15/2021 (Insured; AMBAC) (Prerefunded 6/15/1997)(b)............ 3,800,000 4,025,948
Refunding:
7%, 6/15/2015 (Prerefunded 6/15/2001)(b).............................. 2,440,000 2,775,232
6%, 6/15/2017......................................................... 8,000,000 8,032,880
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ----------------
NEW YORK (CONTINUED)
State of New York:
5.50%, 3/1/2010......................................................... $ 5,265,000 $ 5,191,343
5.875%, 3/15/2014....................................................... 3,000,000 3,028,920
6.125%, 6/15/2014....................................................... 20,965,000 21,565,647
5.875%, 3/15/2015....................................................... 7,205,000 7,256,011
COP:
Commissioner General Services of the Executive Department 6.90%, 3/1/1998 2,030,000 2,153,079
Commissioner Office of Mental Health 8.30%, 9/1/2012.................. 4,000,000 4,384,680
Refunding:
5.625%, 8/15/2009..................................................... 15,000,000 15,123,750
5.70%, 8/15/2011...................................................... 4,500,000 4,515,255
6.125%, 11/15/2011.................................................... 3,130,000 3,233,008
New York State Dormitory Authority, Revenues:
(City University Systems):
7.875%, 7/1/2007 (Prerefunded 7/1/2000)(b)............................ 5,000,000 5,841,100
6.375%, 7/1/2008...................................................... 7,070,000 7,277,999
7%, 7/1/2009.......................................................... 8,500,000 9,428,455
5.60%, 7/1/2010....................................................... 12,000,000 11,619,720
7.50%, 7/1/2010 (Insured; FGIC)....................................... 5,000,000 6,061,950
5.50%, 7/1/2012....................................................... 23,625,000 22,420,361
5.75%, 7/1/2013....................................................... 10,000,000 9,747,300
8.125%, 7/1/2017 (Prerefunded 7/1/1997)(b)............................ 2,950,000 3,231,990
5.75%, 7/1/2018....................................................... 9,600,000 9,289,920
5%, 7/1/2020.......................................................... 34,500,000 29,932,890
Refunding:
5.75%, 7/1/2012................................................... 2,500,000 2,446,675
8.20%, 7/1/2012................................................... 5,250,000 5,904,360
(Cornell University) 7.375%, 7/1/2030................................... 11,785,000 13,165,259
Court Facilities Lease:
5.50%, 5/15/2010...................................................... 5,000,000 4,774,250
5.625%, 5/15/2013..................................................... 3,500,000 3,356,780
5.25%, 5/15/2021...................................................... 12,000,000 10,779,480
Department of Health, Refunding 5.50%, 7/1/2014......................... 10,000,000 9,414,100
(New York Medical College) 6.875%, 7/1/2021 (Insured; Asset Guaranty)... 19,310,000 20,816,566
(Park Ridge Housing Inc. Project) 7.85%, 2/1/2029....................... 7,720,000 8,516,550
(Rochester General Hospital)
8.75%, 2/1/2025 (Insured; FHA) (Prerefunded 8/1/1995)(b).............. 3,145,000 3,233,406
(Rochester Institute of Technology)
9.375%, 7/1/2003 (Collateralized; GNMA) (Prerefunded 7/1/1995)(b)..... 5,620,000 5,813,609
(State University):
7.60%, 7/1/2018....................................................... 3,000,000 3,224,340
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ----------------
NEW YORK (CONTINUED)
New York State Dormitory Authority, Revenues (continued):
(State University) (continued):
Educational Facilities:
5.50%, 5/15/2008.................................................. $ 12,150,000 $ 11,853,054
7.25%, 5/15/2008 (Prerefunded 5/15/2000)(b)....................... 11,590,000 13,188,261
5.875%, 5/15/2011................................................. 20,000,000 19,968,400
7.50%, 5/15/2011.................................................. 3,750,000 4,356,112
5.50%, 5/15/2013.................................................. 3,000,000 2,852,160
6.25%, 5/15/2014.................................................. 18,000,000 18,255,780
6.375%, 5/15/2014................................................. 7,110,000 7,291,305
7.375%, 5/15/2014 (Prerefunded 5/15/2000)(b)...................... 10,155,000 11,621,077
6.25%, 5/15/2017.................................................. 9,000,000 9,112,680
7%, 5/15/2018 (Prerefunded 5/15/2000)(b).......................... 16,060,000 18,113,432
7.25%, 5/15/2018 (Prerefunded 5/15/2002)(b)....................... 16,065,000 18,782,073
5.40%, 5/15/2023.................................................. 20,390,000 18,663,579
5.75%, 5/15/2024.................................................. 15,140,000 14,562,258
Refunding 7.375%, 5/15/2014....................................... 12,945,000 14,012,574
New York State Energy Research and Development Authority:
Electric Facilities Revenue:
(Consolidated Edison Co. Project):
7.375%, 7/1/2024.................................................. 7,000,000 7,422,240
6.75%, 1/15/2027.................................................. 8,015,000 8,285,346
(Long Island Lighting):
7.15%, 9/1/2019................................................... 8,230,000 8,278,475
7.15%, 6/1/2020................................................... 4,000,000 4,023,560
Facilities Revenue (Consolidated Edison Co. Project):
6.375%, 12/1/2027..................................................... 23,715,000 24,048,433
6%, 3/15/2028......................................................... 32,600,000 32,273,348
7.125%, 12/1/2029..................................................... 13,000,000 14,123,460
Gas Facilities Revenue (Brooklyn Union Gas Co. Project):
8.75%, 7/1/2015....................................................... 19,750,000 20,212,545
7.125%,12/1/2020...................................................... 8,000,000 8,281,840
Solid Waste Disposal Revenue (New York State Electric and Gas Co.
Project)
5.70%, 12/1/2028...................................................... 17,320,000 16,841,102
New York State Environmental Facilities Corp.:
PCR 6.50%, 6/15/2014.................................................... 5,000,000 5,324,500
State Water Pollution Control Revolving Fund Revenue
(New York City Municipal Water Finance Authority Project):
6.875%, 6/15/2010................................................. 21,340,000 23,344,893
7.25%, 6/15/2010.................................................. 16,065,000 17,873,116
7%, 6/15/2012..................................................... 21,660,000 23,645,139
7.50%, 6/15/2012.................................................. 8,200,000 9,164,566
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ----------------
NEW YORK (CONTINUED)
New York State Housing Finance Agency, Revenue:
(Adult Care) 7.85%, 2/15/2030 (Insured; FHA)............................ $ 2,045,000 $ 2,309,439
Insured Multi-Family Mortgage:
6.95%, 8/15/2012...................................................... 1,300,000 1,389,063
7%, 8/15/2022......................................................... 4,495,000 4,740,562
Multi-Family Housing Second Mortgage 6.95%, 8/15/2024 (Insured; FHA).... 2,970,000 3,119,837
Service Contract Obligation:
5.875%, 3/15/2011..................................................... 7,945,000 7,867,616
5.50%, 9/15/2022...................................................... 4,000,000 3,712,480
Refunding 5.375%, 9/15/2011........................................... 7,395,000 6,947,233
New York State Local Government Assistance Corp.:
7%, 4/1/2005............................................................ 4,300,000 4,801,509
6%, 4/1/2016............................................................ 12,540,000 12,687,094
6%, 4/1/2018............................................................ 43,030,000 43,436,634
7.25%, 4/1/2018 (Prerefunded 4/1/2001)(b)............................... 7,405,000 8,544,926
6%, 4/1/2024............................................................ 12,125,000 12,226,001
Refunding:
6%, 4/1/2014.......................................................... 5,125,000 5,385,709
5.50%, 4/1/2021....................................................... 21,215,000 20,393,767
New York State Medical Care Facilities Finance Agency, Revenue:
Hospital and Nursing Home Insured Mortgage:
6.45%, 2/15/2009 (Insured; FHA)....................................... 6,520,000 7,071,462
6.85%, 2/15/2012 (Insured; FHA)....................................... 6,000,000 6,391,380
6.125%, 2/15/2015 (Insured; FHA)...................................... 13,270,000 13,642,754
6.125%, 8/15/2024 (Insured; FHA) ..................................... 15,000,000 15,303,000
6.20%, 2/15/2028 (Insured; FHA)....................................... 7,000,000 7,189,840
6.375%, 8/15/2029 (Insured; FHA)...................................... 5,000,000 5,175,250
7.45%, 8/15/2031 (Insured; FHA)....................................... 4,250,000 4,649,202
Hospital and Nursing Home Mortgage (Saint Vincent's Hospital)
8%, 2/15/2027 (Insured; FHA) (Prerefunded 8/15/1997)(b)............... 2,500,000 2,664,650
Insured Hospital Mortgage:
(Hospital and Nursing Home Project) 10%, 11/1/2006.................... 4,585,000 4,834,424
(Kingston Hospital) 8.875%, 11/15/2017................................ 7,160,000 7,433,584
Refunding (Presbyterian Hospital) 5.375%, 2/15/2025 (Insured; FHA).... 9,500,000 8,835,285
Insured Long Term Health Care 6.45%, 11/1/2010 (Insured; Capital Guaranty) 11,660,000 12,668,473
Mental Health Services:
5.375%, 8/15/2013 (Insured; FGIC)..................................... 10,000,000 9,601,000
Refunding:
5.375%, 2/15/2014................................................. 16,000,000 15,584,480
5.25%, 2/15/2019 (Insured; FGIC).................................. 6,990,000 6,574,444
Mental Health Services Facilities Improvement
6%, 2/15/2025 (Insured; MBIA)......................................... 6,000,000 6,115,620
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ----------------
NEW YORK (CONTINUED)
New York State Medical Care Facilities Finance Agency, Revenue (continued):
Mortgage:
(Montefiore Medical Center) 5.75%, 2/15/2015 (Insured: AMBAC,FHA)..... $ 8,750,000 $ 8,771,263
(New York Hospital) 6.50%, 8/15/2029 (Insured: AMBAC,FHA)............. 12,000,000 12,970,440
(Saint Lukes Hospital) 7.45%, 2/15/2029 (Insured; FHA)
(Prerefunded 2/15/2000)(b)........................................ 10,000,000 11,408,900
Secured Hospital 6.125%, 8/15/2013...................................... 10,000,000 9,800,200
New York State Mortgage Agency, Revenue Mortgage:
Homeowner:
7.375%, 10/1/2011..................................................... 13,260,000 14,266,036
5.50%, 4/1/2019....................................................... 5,000,000 4,760,650
6.60%, 10/1/2019...................................................... 10,685,000 11,074,468
6.45%, 10/1/2020...................................................... 18,235,000 18,701,451
6.65%, 4/1/2022 (Insured; FHA)........................................ 10,000,000 10,280,900
Homeownership 7.85%, 4/1/2022........................................... 5,000,000 5,303,050
New York State Power Authority, Revenue and General Purpose
6.625%, 1/1/2012........................................................ 5,690,000 6,151,630
New York State Thruway Authority:
General Revenue 6%, 1/1/2025 (Insured; FGIC)............................ 10,000,000 10,217,200
Service Contract Revenue (Local Highway and Bridge) 5.875%, 4/1/2014.... 5,200,000 5,126,732
New York State Township Authority, Service Contract Revenue
(Local Highway and Bridge):
7.25%, 1/1/2010....................................................... 13,000,000 14,017,900
6%, 4/1/2010.......................................................... 5,980,000 6,001,588
New York State Urban Development Corp., Revenue:
(Cornell Center Project) 6%, 1/1/2014................................... 4,500,000 4,479,750
(Correctional Facilities):
5.625%, 1/1/2007...................................................... 12,100,000 12,033,208
5.75%, 1/1/2013....................................................... 23,830,000 22,986,180
Onondaga County Industrial Development Agency, IDR (Weyerhaeuser Project)
9%, 10/1/2007........................................................... 1,000,000 1,255,670
Port Authority of New York and New Jersey:
(Consolidated Bond 53rd Series) 8.70%, 7/15/2020........................ 15,500,000 16,126,510
(Consolidated Bond 76th Series) 6.50%, 11/1/2026........................ 14,005,000 14,551,615
(Consolidated Bond 93rd Series) 6.125%, 6/1/2094........................ 14,500,000 15,074,200
Triborough Bridge and Tunnel Authority:
Capital Appreciation General Purpose:
Zero Coupon, 1/1/2012................................................. 3,835,000 1,496,417
Zero Coupon, 1/1/2013................................................. 3,925,000 1,434,980
Revenues:
7.375%, 1/1/2016 (Prerefunded 1/1/2000)(b)............................ 8,280,000 9,371,552
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ----------------
NEW YORK (CONTINUED)
Triborough Bridge and Tunnel Authority (continued):
Revenues (continued):
General Purpose:
6%, 1/1/2012...................................................... $ 6,900,000 $ 7,240,998
5%, 1/1/2014...................................................... 10,750,000 10,045,660
6%, 1/1/2014...................................................... 11,625,000 11,781,705
6.50%, 1/1/2015 (Prerefunded 1/1/1999)(b)......................... 8,525,000 9,233,342
Special Obligation Refunding 7.10%, 1/1/2010............................ 6,000,000 6,605,280
U.S. RELATED-10.8%
Guam Airport Authority, Revenue:
6.60%, 10/1/2010........................................................ 4,000,000 4,141,880
6.70%, 10/1/2023........................................................ 6,200,000 6,380,792
Commonwealth of Puerto Rico, Public Improvement:
5.50%, 7/1/2001 (Insured; AMBAC)........................................ 10,000,000 10,483,200
7.70%, 7/1/2008 (Prerefunded 7/1/1999)(b)............................... 3,000,000 3,406,860
5.85%, 7/1/2011......................................................... 6,980,000 7,067,808
7.75%, 7/1/2017 (Prerefunded 7/1/1999)(b)............................... 4,850,000 5,516,730
6.80%, 7/1/2021 (Prerefunded 7/1/2002)(b)............................... 23,140,000 26,498,540
5.375%, 7/1/2022 (Insured; MBIA)........................................ 7,500,000 7,240,425
Puerto Rico Aqueduct and Sewer Authority, Revenue 10.25%, 7/1/2009.......... 13,750,000 19,350,375
Puerto Rico Electric Power Authority, Refunding:
6.10%, 7/1/2003......................................................... 5,000,000 5,336,100
8.375%, 7/1/2007 (Prerefunded 7/1/1997)(b).............................. 4,950,000 5,471,730
8.40%, 7/1/2015 (Prerefunded 7/1/1997)(b)............................... 6,700,000 7,410,937
Puerto Rico Highway and Transportation Authority,
Highway Revenue Refunding:
5.35%, 7/1/2005....................................................... 17,900,000 17,680,188
5.50%,7/1/2013........................................................ 8,125,000 7,880,275
Puerto Rico Highway Authority, Highway Revenue
8.125%, 7/1/2013 (Prerefunded 7/1/1998)(b).............................. 6,750,000 7,616,633
Puerto Rico Housing Finance Corp.:
MFMR:
7.50%, 10/1/2015 (LOC; Government Development Bank Puerto Rico)(a).... 5,475,000 5,837,336
7.50%, 4/1/2022 (LOC; Government Development Bank Puerto Rico)(a)..... 4,420,000 4,701,068
SFMR 6.562%, 8/4/2025................................................... 6,000,000 5,999,880
Puerto Rico Public Building Authority, Refunding
Guaranteed Public Education and Health Facilities
5.75%, 7/1/2010 (Insured; AMBAC)........................................ 35,355,000 36,916,277
Virigin Islands Public Finance Authority, Revenue Refunding Matching Fund
Loan Note
7.25%, 10/1/2018........................................................ 4,900,000 5,213,453
----------------
TOTAL LONG-TERM MUNICIPAL INVESTMENTS
(cost $1,647,460,361)................................................... $1,738,348,772
================
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1995
PRINCIPAL
SHORT-TERM MUNICIPAL INVESTMENTS-5.9% AMOUNT VALUE
---------------- ----------------
NEW YORK-5.8%
New York City, VRDN:
4.40% (c)............................................................... $ 12,000,000 $ 12,000,000
4.10% (SBPA; Citibank, N.A.)(c)......................................... 4,900,000 4,900,000
4.10% (Insured; MBIA, SBPA; Bank Austria)(c)............................ 4,100,000 4,100,000
4.45% (Insured; MBIA, SBPA; Westdeutsche Landesbank)(c)................. 3,500,000 3,500,000
4.10% (LOC; The Sumitomo Bank)(a,c)..................................... 4,700,000 4,700,000
4% (LOC; State Street Bank and Trust Co., N.A.)(a,c).................... 5,300,000 5,300,000
4.10% (LOC; Industrial Bank Japan)(a,c)................................. 3,200,000 3,200,000
4.20% (LOC; Chemical Bank)(a,c)......................................... 7,600,000 7,600,000
4.20% (LOC; Fuji Bank)(a,c)............................................. 10,000,000 10,000,000
New York City Health and Hospital Corp., Revenue VRDN:
4.06% (Insured; AMBAC)(c)............................................... 1,900,000 1,900,000
4.08% (Insured; AMBAC)(c)............................................... 2,200,000 2,200,000
New York City Municipal Water Finance Authority,
Water and Sewer Systems Revenue VRDN:
4% (Insured; FGIC, SBPA; FGIC Securities Purchase Inc.)(c)............ 28,600,000 28,600,000
4.10% (Insured; FGIC)(c).............................................. 5,600,000 5,600,000
New York State Energy Research and Development Authority, PCR
(New York State Electrical and Gas Co. Project) VRDN
4.10% (LOC; Morgan Guaranty Trust Co.)(a,c)............................. 5,000,000 5,000,000
New York State Environmental Facilities Corp., RRR VRDN
(Equity Hunington Project) 4.20% (LOC; Union Bank of Switzerland)(a,c).. 3,000,000 3,000,000
New York State Job Development Authority, State Guaranteed, VRDN
(Special Purpose) 4.10% (LOC; The Sumitomo Bank)(a,c)................... 6,580,000 6,580,000
U.S. RELATED-.1%
Commonwealth of Puerto Rico, 3.56% (Insured; AMBAC)(c)...................... 1,500,000 1,500,000
----------------
TOTAL SHORT-TERM MUNICIPAL INVESTMENTS
(cost $109,680,000)..................................................... $ 109,680,000
----------------
TOTAL INVESTMENTS-100.0%
(cost $1,757,140,361)................................................... $1,848,028,772
================
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
SUMMARY OF ABBREVIATIONS
<S> <C> <S> <C>
AMBAC American Municipal Bond Assurance Corporation MFHR Multi-Family Housing Revenue
COP Certificate of Participation MFMR Multi-Family Mortgage Revenue
FGIC Financial Guaranty Insurance Company PCR Pollution Control Revenue
FHA Federal Housing Administration RRR Resources Recovery Revenue
FSA Financial Security Assurance SBPA Standby Bond Purchase Agreement
GNMA Government National Mortgage Association SFMR Single-Family Mortgage Revenue
IDR Industrial Development Revenue VRDN Variable Rate Demand Notes
LOC Letter of Credit
MBIA Municipal Bond Investors Assurance
Insurance Corporation
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF COMBINED RATINGS (UNAUDITED)
FITCH (D) OR MOODY'S OR STANDARD & POOR'S PERCENTAGE OF VALUE
--------- --------- -------------------- -----------------------
<S> <C> <C> <C>
AAA Aaa AAA 27.1%
AA Aa AA 21.0
A A A 28.2
BBB Baa BBB 17.7
BB Ba BB .7
F1 MIG1 SP1 5.0
Not Rated(e) Not Rated(e) Not Rated(e) .3
--------
100.0%
========
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS:
(a) Secured by letters of credit.
(b) Bonds which are prerefunded are collateralized by U.S. Government
securities which are held in escrow and are used to pay principal and
interest on the municipal issue and to retire the bonds in full at the
earliest refunding date.
(c) Security payable on demand. The interest rate, which is subject to
change, is based upon bank prime rates or an index of market interest
rates.
(d) Fitch currently provides creditworthiness information for a limited
number of investments.
(e) Securities which, while not rated by Fitch, Moody's, or Standard &
Poor's, have been determined by the Manager to be of comparable quality
to those rated securities in which the Fund may invest.
See notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES MAY 31, 1995
ASSETS:
<S> <C> <C>
Investments in securities, at value
(cost $1,757,140,361)-see statement................................... $1,848,028,772
Cash.................................................................... 11,419,905
Interest receivable..................................................... 33,033,063
Receivable for subscriptions to Common Stock............................ 20,000
Prepaid expenses........................................................ 17,944
----------------
1,892,519,684
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $ 970,481
Payable for investment securities purchased............................. 11,954,173
Payable for Common Stock redeemed....................................... 118,897
Accrued expenses........................................................ 279,251 13,322,802
--------------- ----------------
NET ASSETS ................................................................ $1,879,196,882
================
REPRESENTED BY:
Paid-in capital......................................................... $1,792,626,391
Accumulated net realized capital losses and distributions in excess of
net realized gain on investments-Note 1(c)............................ (4,317,920)
Accumulated net unrealized appreciation on investments-Note 3........... 90,888,411
----------------
NET ASSETS at value applicable to 123,705,510 shares outstanding
(300 million shares of $.01 par value Common Stock authorized).......... $1,879,196,882
================
NET ASSET VALUE, offering and redemption price per share
($1,879,196,882 / 123,705,510 shares)................................... $15.19
=======
See notes to financial statements.
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF OPERATIONS YEAR ENDED MAY 31, 1995
INVESTMENT INCOME:
INTEREST INCOME......................................................... $117,075,312
EXPENSES:
Management fee-Note 2(a).............................................. $10,933,374
Shareholder servicing costs-Note 2(b)................................. 1,855,811
Custodian fees........................................................ 127,151
Prospectus and shareholders' reports.................................. 70,522
Professional fees..................................................... 45,115
Directors' fees and expenses-Note 2(c)................................ 44,450
Registration fees..................................................... 28,689
Miscellaneous......................................................... 91,114
-------------
TOTAL EXPENSES.................................................... 13,196,226
--------------
INVESTMENT INCOME-NET............................................. 103,879,086
REALIZED AND UNREALIZED GAIN ON INVESTMENTS:
Net realized (loss) on investments-Note 3............................... $(1,930,409)
Net unrealized appreciation on investments.............................. 29,915,882
-------------
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS................... 27,985,473
--------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $131,864,559
==============
See notes to financial statements.
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED MAY 31,
-----------------------------------------
1994 1995
-------------------- ------------------
OPERATIONS:
Investment income-net................................................ $ 114,666,514 $ 103,879,086
Net realized gain (loss) on investments.............................. 26,918,597 (1,930,409)
Net unrealized appreciation (depreciation) on investments for the year (107,463,939) 29,915,882
-------------------- ------------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............... 34,121,172 131,864,559
-------------------- ------------------
DIVIDENDS TO SHAREHOLDERS:
From investment income-net........................................... (115,624,687) (103,879,086)
From net realized gain on investments................................ (49,331,298) (10,590,662)
In excess of net realized gain on investments........................ ---- (1,996,709)
-------------------- ------------------
TOTAL DIVIDENDS.................................................... (164,955,985) (116,466,457)
-------------------- ------------------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold........................................ 944,177,818 1,842,837,132
Dividends reinvested................................................. 124,301,866 84,285,040
Cost of shares redeemed.............................................. (1,094,664,996) (2,004,556,426)
-------------------- ------------------
(DECREASE) IN NET ASSETS FROM CAPITAL STOCK TRANSACTIONS........... (26,185,312) (77,434,254)
-------------------- ------------------
TOTAL (DECREASE) IN NET ASSETS................................. (157,020,125) (62,036,152)
NET ASSETS:
Beginning of year.................................................... 2,098,253,159 1,941,233,034
-------------------- ------------------
End of year.......................................................... $ 1,941,233,034 $ 1,879,196,882
==================== ==================
SHARES SHARES
-------------------- ------------------
CAPITAL SHARE TRANSACTIONS:
Shares sold.......................................................... 59,571,940 126,069,512
Shares issued for dividends reinvested............................... 7,764,706 5,780,551
Share redeemed....................................................... (69,044,234) (137,056,900)
-------------------- ------------------
NET (DECREASE) IN SHARES OUTSTANDING............................... (1,707,588) (5,206,837)
==================== ==================
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
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: 1991 1992 1993 1994 1995
------- -------- -------- -------- -------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year...................................$14.65 $14.89 $15.36 $16.06 $15.06
------- -------- -------- -------- -------
INVESTMENT OPERATIONS:
Investment income-net................................................ 1.04 1.01 .95 .88 .84
Net realized and unrealized gain (loss) on investments .24 .47 .92 (.62) .23
------- -------- -------- -------- -------
TOTAL FROM INVESTMENT OPERATIONS................................... 1.28 1.48 1.87 .26 1.07
------- -------- -------- -------- -------
DISTRIBUTIONS:
Dividends from investment income-net................................. (1.04) (1.01) (.95) (.89) (.84)
Dividends from net realized gain on investments -- -- (.22) (.37) (.08)
Dividends in excess of net realized gain
on investments..................................................... -- -- -- -- (.02)
------- -------- -------- -------- -------
TOTAL DISTRIBUTIONS................................................(1.04) (1.01) (1.17) (1.26) (.94)
------- -------- -------- -------- -------
Net asset value, end of year.........................................$14.89 $15.36 $16.06 $15.06 $15.19
======= ======== ======== ======== =======
TOTAL INVESTMENT RETURN.................................................. 9.06% 10.23% 12.63% 1.42% 7.55%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets.............................. .70% .69% .70% .71% .72%
Ratio of net investment income to average net assets 7.08% 6.69% 6.03% 5.49% 5.70%
Portfolio Turnover Rate.............................................. 26.19% 40.05% 51.20% 35.66% 49.03%
Net Assets, end of year (000's Omitted)..........................$1,752,334 $1,897,988 $2,098,253 $1,941,233 $1,879,197
See notes to financial statements.
</TABLE>
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, until August 24, 1994, acted as the exclusive distributor of the
Fund's shares, which are sold to the public without a sales charge. 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. (the
"Distributor") was engaged as the Fund's distributor. The Distributor,
located at One Exchange Place, Boston, Massachusetts 02109, is a wholly-owned
subsidiary of FDI Distribution Services, Inc., a provider of mutual fund
administration services, which in turn is a wholly-owned subsidiary of FDI
Holdings, Inc., the parent company of which is Boston Institutional Group,
Inc.
(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 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.
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.
Dividends in excess of net realized gain on investments for financial
statement purposes result primarily from distributions of realized gain
necessary to satisfy tax requirements.
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
(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.
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 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 year ended May 31, 1995.
(B) Pursuant to the Fund's Shareholder Services Plan, the Fund reimburses
Dreyfus Service Corporation 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, 1995, the Fund was charged an aggregate of $904,669 pursuant to the
Shareholder Services Plan.
(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.
The Chairman of the Board receives an additional 25% of such compensation.
NOTE 3-SECURITIES TRANSACTIONS:
The aggregate amount of purchases and sales of investment securities
amounted to $2,538,337,184 and $2,634,574,200, respectively, for the year
ended May 31, 1995, and consisted entirely of long-term and short-term
municipal investments.
At May 31, 1995, accumulated net unrealized appreciation on investments
was $90,888,411, consisting of $96,757,153 gross unrealized appreciation and
$5,868,742 gross unrealized depreciation.
At May 31, 1995, 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 LLP, 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, 1995, 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, 1995 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, 1995, 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.
(Ernst & Young LLP Signature Logo)
New York, New York
June 28, 1995
DREYFUS NEW YORK TAX EXEMPT BOND FUND, INC.
IMPORTANT TAX INFORMATION (UNAUDITED)
In accordance with Federal tax law, the Fund hereby makes the following
designations regarding its fiscal year ended May 31, 1995:
- 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 $.1022 per share paid by the Fund on December 14, 1994
represents a long-term capital gain distribution.
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 1995 calendar year
on Form 1099-DIV which will be mailed by January 31, 1996.
DREYFUS NEW YORK
TAX EXEMPT BOND FUND, INC.
200 Park Avenue
New York, NY 10166
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. 980AR955
New York
Tax Exempt
Bond Fund, Inc.
Annual Report
May 31, 1995
(Dreyfus Logo)
