Dreyfus
New York Tax Exempt
Bond Fund, Inc.
ANNUAL REPORT May 31, 2000
(reg.tm)
The views expressed herein are current to the date of this report. These views
and the composition of the fund's portfolio are subject to change at any time
based on market and other conditions.
* Not FDIC-Insured * Not Bank-Guaranteed * May Lose Value
Contents
THE FUND
--------------------------------------------------
2 Letter from the President
3 Discussion of Fund Performance
6 Fund Performance
7 Statement of Investments
17 Statement of Assets and Liabilities
18 Statement of Operations
19 Statement of Changes in Net Assets
20 Financial Highlights
21 Notes to Financial Statements
25 Report of Independent Auditors
26 Important Tax Information
FOR MORE INFORMATION
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Back Cover
The Fund
Dreyfus New York Tax Exempt Bond Fund, Inc.
LETTER FROM THE PRESIDENT
Dear Shareholder:
We are pleased to present this annual report for Dreyfus New York Tax Exempt
Bond Fund, Inc. covering the 12-month period from June 1, 1999 through May 31,
2000. Inside, you' ll find valuable information about how the fund was managed
during the reporting period, including a discussion with the fund's portfolio
manager, Samuel Weinstock.
When the reporting period began, evidence had emerged that the U.S. economy was
growing strongly in an environment characterized by high levels of consumer
spending and low levels of unemployment. Concerns that inflationary pressures
might reemerge caused the Federal Reserve Board to raise short-term interest
rates six times during the reporting period, for a total increase of 1.75
percentage points. Despite an encouraging rally during the first quarter of
2000, higher interest rates generally led to erosion of municipal bond prices
We appreciate your confidence over the past year, and we look forward to your
continued participation in Dreyfus New York Tax Exempt Bond Fund, Inc.
Sincerely,
Stephen E. Canter
President and Chief Investment Officer
The Dreyfus Corporation
June 15, 2000
DISCUSSION OF FUND PERFORMANCE
Samuel Weinstock, Portfolio Manager
How did Dreyfus New York Tax Exempt Bond Fund, Inc. perform during the period?
For the 12-month reporting period ended May 31, 2000, Dreyfus New York Tax
Exempt Bond Fund, Inc. achieved a total return of -2.44%.(1) In comparison, the
fund' s peer group, as measured by the Lipper New York Municipal Debt Funds
category average, achieved a -3.32% total return for the same period.(2)
We attribute the fund's negative return to a difficult investment environment.
More specifically, the fund was adversely affected by higher interest rates when
the Federal Reserve Board (the "Fed") tightened monetary policy six times during
the reporting period in an attempt to relieve inflationary pressures.
What is the fund's investment approach?
The fund' s objective is to seek as high a level of federal and New York state
tax-exempt income as is practical from a diversified portfolio of municipal
bonds. We also seek a competitive total return, which includes both income and
changes in share price.
To achieve these objectives, we employ four primary strategies. First, we strive
to identify the maturity range that we believe will provide the most favorable
returns over the next year or two. Second, we evaluate issuers' credit quality
to find bonds that we believe provide high yields at an attractive price. Third,
we look for bonds with attractively high interest payments, even if they sell at
a premium to face value. Fourth, we assess individual bonds' early redemption
features, focusing on those that cannot be redeemed soon by their issuers.
Typically, the bonds we select for the portfolio will have several of these
qualities.
The Fund
DISCUSSION OF FUND PERFORMANCE (CONTINUED)
We also use computer models to evaluate the likely performance of the bonds
under various market scenarios, including a 0.25 percentage point rise and a
0.50 percentage point decline in interest rates. When we find securities that we
believe potentially will provide participation when the market rises and some
protection against declines, we tend to hold them for the long term. We also try
to ensure that we select bonds that are most likely to obtain attractive prices
if and when we decide to sell them in the secondary market.
What other factors influenced the fund's performance?
The fund was influenced by changing market conditions over the past year.
Although the first quarter of 2000 experienced an encouraging municipal bond
market rally, most of 1999 and the two months following the first quarter of
2000 saw more difficult investment environments.
When the reporting period began on June 1, 1999, investors had become concerned
that strong economic growth might rekindle long-dormant inflationary pressures.
In an attempt to ease these pressures, the Fed raised short-term interest rates
six times during the reporting period, causing most bond prices to fall,
including those of the fund's holdings.
In addition, municipal bond prices fell throughout 1999 because of adverse
supply-and-demand influences. For a variety of reasons, institutional investors
such as insurance and mutual fund companies have recently participated less in
the tax-exempt bond market. Despite strong demand from individual investors, the
absence of institutional buyers helped reduce overall demand and, therefore,
drove municipal bond prices down.
During the first few months of 2000, however, issuance of New York municipal
bonds declined sharply compared to the same period one year ago. Some New York
municipalities that refinanced bond issues during the low interest-rate
environment over the past several years are expected to be absent from this
year' s municipal bond marketplace. As a result, when compared to other states,
we believe that New York bonds are currently trading at attractive levels.
What is the fund's current strategy?
In anticipation of a more difficult market environment, we adopted a defensive
stance toward the end of 1999, and we have generally maintained that posture.
Accordingly, we reduced the fund's average duration -- a measure of sensitivity
to changing interest rates -- to approximately eight years as of May 31, 2000,
which is modestly shorter than most other New York tax-exempt bond funds. We
achieved this position by increasing the fund's cash component. We intend to
redeploy our cash reserves as attractive opportunities in longer term bonds
arise.
We focused primarily on bonds from well-known issuers that we believe will have
the greatest liquidity in a market dominated by individual investors. These
bonds typically featured intermediate-term maturities in the five- to 10-year,
10- to 15-year and 15- to 20-year ranges. This staggered-maturity strategy was
designed to provide the flexibility we need to avoid the brunt of potentially
lower bond prices as well as to capture higher yields as they become available.
June 15, 2000
(1) TOTAL RETURN INCLUDES REINVESTMENT OF DIVIDENDS AND ANY CAPITAL GAINS PAID.
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS. SHARE PRICE, YIELD AND
INVESTMENT RETURN FLUCTUATE SUCH THAT UPON REDEMPTION, FUND SHARES MAY BE WORTH
MORE OR LESS THAN THEIR ORIGINAL COST. INCOME MAY BE SUBJECT TO STATE AND LOCAL
TAXES FOR NON-NEW YORK RESIDENTS, AND SOME INCOME MAY BE SUBJECT TO THE FEDERAL
ALTERNATIVE MINIMUM TAX (AMT) FOR CERTAIN INVESTORS. CAPITAL GAINS, IF ANY, ARE
FULLY TAXABLE.
(2) SOURCE: LIPPER ANALYTICAL SERVICES, INC.
The Fund
<TABLE>
<CAPTION>
FUND 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
--------------------------------------------------------------------------------
Average Annual Total Returns AS OF 5/31/00
1 Year 5 Years 10 Years
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
FUND (2.44)% 4.18% 6.13%
((+)) SOURCE: LIPPER ANALYTICAL SERVICES, INC.
</TABLE>
PAST PERFORMANCE IS NOT PREDICTIVE OF FUTURE PERFORMANCE.
THE ABOVE GRAPH COMPARES A $10,000 INVESTMENT MADE IN DREYFUS NEW YORK TAX
EXEMPT BOND FUND, INC. ON 5/31/90 TO A $10,000 INVESTMENT MADE IN THE LEHMAN
BROTHERS MUNICIPAL BOND INDEX ON THAT DATE. ALL DIVIDENDS AND CAPITAL GAIN
DISTRIBUTIONS ARE REINVESTED.
THE FUND INVESTS PRIMARILY IN NEW YORK MUNICIPAL SECURITIES AND ITS PERFORMANCE
SHOWN IN THE LINE GRAPH TAKES INTO ACCOUNT FEES AND EXPENSES. THE LEHMAN
BROTHERS MUNICIPAL BOND INDEX IS NOT LIMITED TO INVESTMENTS PRINCIPALLY IN NEW
YORK MUNICIPAL OBLIGATIONS AND DOES NOT TAKE INTO ACCOUNT CHARGES, FEES AND
OTHER EXPENSES. THE LEHMAN BROTHERS MUNICIPAL BOND INDEX, UNLIKE THE FUND, IS AN
UNMANAGED TOTAL RETURN PERFORMANCE BENCHMARK FOR THE LONG-TERM,
INVESTMENT-GRADE, GEOGRAPHICALLY UNRESTRICTED TAX-EXEMPT BOND MARKET, CALCULATED
BY USING MUNICIPAL BONDS SELECTED TO BE REPRESENTATIVE OF THE MUNICIPAL MARKET
OVERALL. THESE FACTORS CAN CONTRIBUTE TO THE INDEX POTENTIALLY OUTPERFORMING OR
UNDERPERFORMING THE FUND. FURTHER INFORMATION RELATING TO FUND PERFORMANCE,
INCLUDING EXPENSE REIMBURSEMENTS, IF APPLICABLE, IS CONTAINED IN THE FINANCIAL
HIGHLIGHTS SECTION OF THE PROSPECTUS AND ELSEWHERE IN THIS REPORT.
<TABLE>
<CAPTION>
STATEMENT OF INVESTMENTS
MAY 31, 2000
Principal
LONG-TERM MUNICIPAL INVESTMENTS--95.3% Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK--91.3%
Allegany County Industrial Development Agency,
Civic Facility Revenue
<S> <C> <C>
(Houghton College Civic Facility) 5.25%, 1/15/2018 2,750,000 2,390,960
Castle Rest Residential Health Care Facility, Health Care
Revenue 5.60%, 8/1/2017 (Insured; FHA) 1,700,000 1,647,215
Cohoes Industrial Development Agency, IDR
(Norlite Corp. Project) 6.75%, 5/1/2009
(LOC; Dresdner Bank) (Prerefunded 5/1/2002) 5,000,000 (a) 5,241,700
Erie County Industrial Development Agency, Life Care
Community Revenue (Episcopal Church Home)
5.875%, 2/1/2018 11,000,000 9,128,570
Huntington Housing Authority, Senior Housing Facility
Revenue (Gurwin Jewish Senior Residences)
6%, 5/1/2039 3,750,000 2,918,850
Long Island Power Authority, Electric Power and Light
System Revenue:
5.125%, 4/1/2012 (Insured; MBIA) 7,000,000 6,699,980
5.25%, 12/1/2014 (Insured; FSA) 13,000,000 12,384,840
Metropolitan Transportation Authority, Revenue:
Commuter Facilities, Service Contract
6%, 7/1/2016 (Insured; FGIC) 9,000,000 9,157,860
Transit Facilities, Service Contract:
7.125%, 7/1/2009 5,000,000 5,257,000
5.125%, 7/1/2014 (Insured; FSA) 100,000 93,971
6.625%, 7/1/2014 (Prerefunded 7/1/2002) 5,950,000 (a) 6,237,920
4.971%, 7/1/2014 (Insured; FSA) 6,950,000 (b,c) 6,112,038
Monroe County Industrial Development Agency, Revenue
(DePaul Community Facilities) 5.875%, 2/1/2028 1,000,000 797,400
Municipal Assistance Corporation for City of New York
Revenue:
6%, 7/1/2005 13,000,000 13,485,030
6.25%, 7/1/2008 14,455,000 15,323,167
New York City:
4.69%, 2/1/2002 7,415,000 (b,c) 7,416,038
7.50%, 2/1/2003 3,500,000 3,668,735
4.89%, 2/1/2003 7,525,000 (b,c) 7,543,361
5.20%, 8/1/2003 170,000 170,012
5.19%, 8/1/2003 4,920,000 (b,c) 4,967,134
5.30%, 8/1/2004 170,000 170,207
6.375%, 8/1/2004 16,000,000 16,545,600
6.50%, 3/15/2005 13,770,000 14,409,066
5.45%, 8/1/2005 160,000 160,766
7.50%, 2/1/2006 2,900,000 3,041,636
The Fund
STATEMENT OF INVESTMENTS (CONTINUED)
Principal
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (CONTINUED)
New York City (continued):
5.75%, 2/1/2007 (Insured; AMBAC) 305,000 313,201
6.90%, 2/1/2007 6,000,000 (b,c) 6,322,680
6.25%, 2/15/2007 2,080,000 2,159,373
6.25%, 2/15/2007 (Prerefunded 2/15/2005) 3,295,000 (a) 3,482,387
5.10%, Series A 8/1/2008 120,000 116,170
5.10%, Series B 8/1/2008 130,000 125,850
4.634%, Series A 8/1/2008 4,430,000 (b,c) 4,147,189
4.634%, Series B 8/1/2008 7,300,000 (b,c) 6,833,968
5.75%, 8/15/2008 5,000,000 5,049,800
5.20%, 8/1/2009 120,000 116,192
5.375%, 8/1/2009 (Insured; FGIC) 7,000,000 6,999,440
6.25%, 8/1/2009 9,845,000 10,215,467
4.834%, 8/1/2009 4,220,000 (b,c) 3,952,199
6.50%, 8/15/2009 10,125,000 10,798,717
5.25%, 8/1/2010 130,000 125,473
4.934%, 8/1/2010 8,105,000 (b,c) 7,540,568
6.25%, 8/1/2010 9,400,000 9,753,722
7%, 10/1/2010 (Prerefunded 10/1/2002) 3,860,000 (a) 4,091,137
5.50%, 11/15/2010 1,110,000 1,094,027
5.478%, 11/15/2010 5,940,000 (b,c) 5,810,508
5.25%, 3/15/2011 (Insured; FSA) 8,000,000 7,815,920
3.65%, 8/1/2011 18,775,000 18,560,777
6%, 8/1/2011 9,750,000 9,934,762
6.25%, 8/1/2011 (Insured; FSA) (Prerefunded 8/1/2002) 3,950,000 (a) 4,115,110
5.75%, 8/15/2011 4,025,000 4,032,647
5.75%, 8/15/2011 (Prerefunded 8/15/2003) 4,845,000 (a) 5,010,844
5.75%, 2/1/2012 3,000,000 2,998,470
5.25%, 3/15/2012 (Insured; FSA) 4,000,000 3,871,640
6.375%, 8/15/2012 10,365,000 10,726,531
5%, 5/15/2013 (Insured; MBIA) 8,010,000 7,476,694
5.25%, 8/1/2013 (Insured; FSA) 15,000,000 14,372,850
5.35%, 8/1/2013 (Insured; FGIC) 2,910,000 2,823,398
5.875%, 8/15/2013 4,550,000 4,570,111
7%, 10/1/2013 5,000,000 5,250,150
6%, 8/1/2014 2,250,000 2,272,680
5.875%, 2/1/2016 2,500,000 2,482,075
6%, 8/1/2017 3,000,000 3,004,950
6%, 5/15/2018 4,300,000 4,301,677
7%, 2/1/2020 (Prerefunded 2/1/2002) 2,910,000 (a) 3,045,606
7%, 2/1/2020 5,930,000 6,168,089
6%, 5/15/2020 3,500,000 3,469,760
5%, 3/15/2021 3,125,000 2,671,969
6%, 5/15/2021 2,500,000 2,472,025
7.50%, 8/1/2021 (Prerefunded 8/1/2002) 4,800,000 (a) 5,121,552
Principal
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (CONTINUED)
New York City (continued):
5.50%, 5/15/2024 5,000,000 4,604,000
5.875%, 8/1/2024 (Insured; MBIA) 15,700,000 15,361,665
6.125%, 8/1/2025 12,250,000 12,186,545
6%, 10/15/2026 2,305,000 2,252,607
New York City Health and Hospital Corp., Health System
Revenue 5.25%, 2/15/2017 3,000,000 2,675,670
New York City Industrial Development Agency:
IDR:
(Brooklyn Navy Yard Cogen Partners):
6.20%, 10/1/2022 2,750,000 2,615,965
5.65%, 10/1/2028 12,500,000 10,606,375
5.75%, 10/1/2036 9,000,000 7,636,950
(Field Hotel Association LP) 6%, 11/1/2028 13,525,000 11,394,271
Special Facilities Revenue (1990 American Airlines Inc.
Project) 5.40%, 7/1/2020 9,000,000 7,578,270
New York City Municipal Water Finance Authority, Water
and Sewer Systems Revenue:
5.625%, 6/15/2011 16,000,000 15,999,520
7%, 6/15/2015 (Prerefunded 6/15/2001) 5,655,000 (a) 5,844,329
5.625%, 6/15/2019 (Insured; MBIA) 17,335,000 16,803,162
5.75%, 6/15/2029 (Insured; MBIA) 11,000,000 10,572,650
New York City Transitional Finance Authority,
Future Tax Secured Revenue:
5.25%, 11/15/2011 5,000,000 4,880,150
5.25%, 11/15/2012 5,000,000 4,833,550
6%, 8/15/2016 (Insured; FGIC) 5,000,000 5,112,050
5.75%, 8/15/2019 5,000,000 4,916,800
State of New York:
5.625%, 8/15/2009 15,000,000 15,175,650
5.70%, 8/15/2011 4,500,000 4,542,165
6.125%, 11/15/2011 3,130,000 3,246,499
5.80%, 10/1/2013 4,715,000 4,763,046
5.875%, 3/15/2014 3,000,000 3,024,720
5.50%, 7/15/2016 11,165,000 10,822,123
New York State Dormitory Authority, Revenues:
6.30%, 5/15/2011 9,950,000 (b,c) 10,392,974
(City University Systems):
5.25%, 7/1/2008 (Insured; FGIC) 200,000 199,146
5.103%, 7/1/2008 (Insured; FGIC) 4,900,000 (b,c) 4,858,154
5.303%, 7/1/2008 (Insured; FGIC) 3,950,000 (b,c) 3,938,940
5.35%, 7/1/2009 (Insured; FGIC) 200,000 199,720
5.375%, 7/1/2014 (Insured; FGIC) 6,500,000 6,293,950
The Fund
STATEMENT OF INVESTMENTS (CONTINUED)
Principal
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (CONTINUED)
New York State Dormitory Authority, Revenues (continued):
(City University Systems) (continued):
5.50%, 7/1/2016 (Insured; AMBAC) 24,000,000 23,288,880
5.625%, 7/1/2016 (Insured; FGIC) 9,120,000 9,090,816
Health, Hospital and Nursing Home:
(Center for Nursing) 5.45%, 8/1/2017 2,110,000 2,004,922
(Frances Schervier Home)
5.50%, 7/1/2017 (Insured; AGIC) 4,000,000 3,761,400
(Interfaith Medical Center):
5.375%, 2/15/2013 4,580,000 4,321,734
5.375%, 2/15/2015 5,065,000 4,695,052
(Memorial Sloan Kettering Cancer Center)
5.75%, 7/1/2020 (Insured; MBIA) 3,000,000 2,962,920
(Menorah Campus):
5.95%, 2/1/2017 (Insured; FHA) 3,000,000 3,007,950
6.10%, 2/1/2037 (Insured; FHA) 8,300,000 8,237,833
(Mental Health Services Facilities)
5.125%, 8/15/2014 (Insured; MBIA) 2,200,000 2,064,502
(Miriam Osborne Memorial Home)
6.875%, 7/1/2025 (Insured ACA) 6,105,000 6,459,395
(North Shore University Hospital at Forest Hills):
5.50%, 11/1/2013 (Insured; MBIA) 2,625,000 2,611,324
5.50%, 11/1/2014 (Insured; MBIA) 1,000,000 989,660
(New York Medical College)
6.875%, 7/1/2021 (Insured; FGIC) 19,310,000 20,392,905
(Special Act School Districts Program)
5.25%, 7/1/2013 (Insured; FSA) 3,000,000 2,880,540
(State University Dormitory Facilities) 4.875%, 7/1/2000 3,665,000 3,665,367
(State University Educational Facilities):
5.875%, 5/15/2011 100,000 102,308
7.50%, 5/15/2011 3,750,000 4,214,775
5.50%, 5/15/2013 13,000,000 12,781,210
5.50%, 5/15/2013 (Insured; FGIC) 6,035,000 6,026,491
New York State Energy Research and Development
Authority:
Electric Facilities Revenue:
(Consolidated Edison Co. Project)
7.125%, 12/1/2029 13,000,000 13,870,480
(Long Island Lighting Company Project):
7.15%, 9/1/2019 8,930,000 9,431,330
6.90%, 8/1/2022 1,715,000 1,775,334
6.90%, 8/1/2022 (Prerefunded 1/21/2003) 1,295,000 (a) 1,370,123
5.30%, 8/1/2025 5,200,000 4,473,196
PCR (Central Hudson Gas)
5.45%, 8/1/2027 (Insured; AMBAC) 9,000,000 8,291,250
Principal
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (CONTINUED)
New York State Environmental Facilities Corp.,
State Water Pollution Control Revolving
Fund Revenue (New York City Municipal
Water Finance Authority Project):
6.875%, 6/15/2010 (Prerefunded 6/15/2001) 10,800,000 (a) 11,251,116
6.875%, 6/15/2010 2,540,000 2,637,942
7.25%, 6/15/2010 (Prerefunded 6/15/2001) 15,500,000 (a) 16,205,715
7.25%, 6/15/2010 565,000 589,199
7%, 6/15/2012 (Prerefunded 6/15/2001) 6,105,000 (a) 6,367,637
7%, 6/15/2012 555,000 576,423
New York State Housing Finance Agency, Revenue:
Health Facilities 6%, 5/1/2008 10,000 10,192
Homeowner Mortgage:
8.55%, 10/1/2019 5,340,000 (b,c) 5,597,441
7.063%, 10/1/2026 14,000,000 (b,c) 13,915,860
Housing Projects 6.10%, 11/1/2015 (Insured; FSA) 13,120,000 13,349,600
Multi-Family Housing Secured Mortgage:
6.721%, 5/1/2008 (Guaranteed; SONYMA) 4,995,000 (b,c) 5,186,408
6.95%, 8/15/2024 (Insured; FHA) 2,785,000 2,834,183
Service Contract Obligation
5.375%, 9/15/2011 (Insured; MBIA) 6,870,000 6,761,042
New York State Local Government Assistance Corp.:
5%, 4/1/2012 (Insured; FGIC) 105,000 99,376
4.81%, 4/1/2012 6,900,000 (b,c) 6,161,010
6%, 4/1/2024 6,905,000 6,805,361
New York State Medical Care Facilities Finance Agency, Revenue:
(Montefiore Medical Center)
5.75%, 2/15/2015 (Insured; AMBAC) 8,750,000 8,701,963
(New York Hospital)
6.50%, 8/15/2029 (Insured; AMBAC) 12,000,000 12,906,720
Hospital and Nursing Home FHA Insured Mortgage:
6.45%, 2/15/2009
(Prerefunded 2/15/2003) (Insured; FHA) 5,720,000 (a) 6,011,377
6.125%, 2/15/2015 13,270,000 13,497,979
(Saint Luke's and Waterfront Nursing Homes):
6.85%, 2/15/2012 (Insured; FHA) 5,260,000 5,477,764
6.85%, 2/15/2012 (Insured; FHA)
(Prerefunded 2/15/2002) 585,000 (a) 612,992
Insured Long Term Health Care
6.45%, 11/1/2010 (Insured; FSA) 10,875,000 11,278,898
Mental Health Services 6%, 2/15/2025
(Insured; MBIA) (Prerefunded 2/15/2005) 8,710,000 (a) 9,172,849
The Fund
STATEMENT OF INVESTMENTS (CONTINUED)
Principal
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (CONTINUED)
New York State Mortgage Agency, Homeowner Mortgage,
Revenue:
5.10%, 10/1/2007 150,000 146,744
4.863%, 10/1/2007 860,000 (b,c) 822,659
5.40%, 10/1/2010 160,000 156,912
5.463%, 10/1/2010 1,380,000 (b,c) 1,326,746
5.55%, 10/1/2012 190,000 185,906
5.763%, 10/1/2012 2,405,000 (b,c) 2,301,345
6%, 4/1/2017 6,000,000 5,961,720
6.60%, 10/1/2019 5,000 5,121
6%, 10/1/2022 5,000,000 4,891,250
6.20%, 10/1/2026 100,000 99,732
5.80%, 10/1/2028 8,985,000 8,466,206
5.85%, 10/1/2028 9,940,000 9,436,837
5.40%, 4/1/2029 10,000,000 8,847,900
New York State Power Authority, Revenue and General
Purpose 6.625%, 1/1/2012 (Prerefunded 1/1/2002) 6,490,000 (a) 6,786,074
New York State Thruway Authority, Service Contract
Revenue (Local Highway and Bridge):
5.50%, 4/1/2004 250,000 251,393
5.457%, 4/1/2004 3,875,000 (b,c) 3,918,168
5%, 4/1/2006 250,000 244,120
4.457%, 4/1/2006 10,660,000 (b,c) 10,158,554
6%, 4/1/2011 5,000,000 5,090,350
6%, 4/1/2012 6,195,000 6,285,509
5.75%, 4/1/2013 (Insured; MBIA) 7,185,000 7,482,818
5.75%, 4/1/2016 (Insured; MBIA) 35,950,000 35,854,373
New York State Urban Development Corp.
Correctional Capital Facilities
5.625%, 1/1/2017 (Insured; FSA) 6,865,000 6,712,734
Local or Guaranteed Housing
5.50%, 7/1/2016 (Insured; FHA) 13,250,000 12,857,403
State Facilities 5.70%, 4/1/2020 (Insured; MBIA) 20,000,000 19,637,200
Niagara Frontier Transportation Authority, Airport Revenue
(Buffalo Niagara International Airport)
5.625%, 4/1/2029 (Insured; MBIA) 1,800,000 1,676,394
Orange County Industrial Development Agency,
Life Care Community Revenue
(Glen Arden Inc. Project) 5.70%, 1/1/2028 4,600,000 3,568,496
Port Authority of New York and New Jersey:
(Consolidated Bond 93rd Series) 6.125%, 6/1/2094 15,000,000 15,440,100
(Consolidated Bond 99th Series):
5.90%, 11/1/2012 (Insured; FGIC) 6,840,000 6,943,079
6%, 11/1/2013 (Insured; FGIC) 5,810,000 5,916,497
Principal
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (CONTINUED)
Port Authority of New York and New Jersey (continued):
(Consolidated Bond 112th Series)
5.25%, 12/1/2012 (Insured; FGIC) 6,455,000 6,211,776
(Consolidated Bond 118th Series):
5.20%, 9/15/2012 (Insured; FGIC) 6,750,000 6,518,205
5.25%, 9/15/2013 (Insured; FGIC) 6,750,000 6,490,260
(Consolidated Bond 125th Series)
5%, 12/1/2010 2,505,000 2,403,197
Special Obligation Revenue
(JFK International Air Terminal-6):
6.25%, 12/1/2013 (Insured; MBIA) 6,000,000 6,368,940
6.25%, 12/1/2014 (Insured; MBIA) 10,000,000 10,593,600
5.75%, 12/1/2022 (Insured; MBIA) 24,000,000 23,078,400
Scotia Housing Authority, Housing Revenue
(Coburg Village Inc. Project):
6.10%, 7/1/2018 1,400,000 1,191,022
6.15%, 7/1/2028 3,880,000 3,209,381
6.20%, 7/1/2038 13,000,000 10,669,360
Suffolk County Industrial Development Agency:
IDR (Nissequogue Cogen Partners Facility):
5.30%, 1/1/2013 2,250,000 2,005,088
5.50%, 1/1/2023 3,500,000 2,948,365
Solid Waste Disposal Facilities Revenue,
(Ogden Martin Systems):
5.75%, 10/1/2006 (Insured; AMBAC) 25,000 25,590
6.87%, 10/1/2006 (Insured; AMBAC) 4,925,000 (b,c) 5,157,362
Tompkins County Industrial Development Agency, Civic
Facility Revenue (Ithacare Center Project)
6.20%, 2/1/2037 (Insured; FHA) 6,000,000 6,026,880
Triborough Bridge and Tunnel Authority,
General Purpose Revenues:
5%, 1/1/2014 5,000,000 4,701,200
5.30%, 1/1/2017 9,185,000 8,603,773
5.375%, 1/1/2019 5,400,000 5,039,010
5.50%, 1/1/2030 10,540,000 9,698,170
TSASC, Inc., Tobacco Flexible Amortization Bonds
6.375%, 7/15/2039 11,000,000 10,886,370
United Nations Development Corporation, Revenue:
Senior Lien:
5.10%, 7/1/2008 120,000 116,083
4.691%, 7/1/2008 1,345,000 (b,c) 1,256,512
5.20%, 7/1/2009 120,000 116,008
4.891%, 7/1/2009 1,540,000 (b,c) 1,436,250
5.40%, 7/1/2014 105,000 99,242
The Fund
STATEMENT OF INVESTMENTS (CONTINUED)
Principal
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
NEW YORK (CONTINUED)
United Nations Development Corporation, Revenue (continued):
Senior Lien (continued):
5.291%, 7/1/2014 490,000 (b,c) 435,713
5.60%, 7/1/2026 5,995,000 5,435,786
Subordinated Lien:
5.291%, 7/1/2014 1,315,000 (b,c) 1,169,311
5.40%, 7/1/2014 120,000 113,419
Watervliet Housing Authority, Residential Housing
Revenue (Beltrone Living Center Project):
6%, 6/1/2028 1,800,000 1,513,206
6.125%, 6/1/2038 6,800,000 5,629,312
Yonkers Industrial Development Agency, Civic Facilities
Revenue (Saint Joseph's Hospital):
6.15%, Series A 3/1/2015 1,000,000 870,050
6.15%, Series C 3/1/2015 3,500,000 3,045,175
U.S. RELATED--4.0%
Commonwealth of Puerto Rico, Public Improvement:
5.50%, 7/1/2010 (Insured; FSA) 500,000 512,225
6.237%, 7/1/2010 (Insured; FSA) 4,800,000 (b,c) 5,034,672
5.50%, 7/1/2012 (Insured; MBIA) 10,000,000 10,091,800
Zero Coupon, 7/1/2015 (Insured; MBIA) 5,000,000 2,113,850
6%, 7/1/2015 (Insured; MBIA) 3,000,000 3,150,660
6%, 7/1/2026 5,000,000 5,352,400
Puerto Rico Highway and Transportation Authority,
Highway Revenue:
6.625%, 7/1/2018 (Prerefunded 7/1/2002) 5,000,000 (a) 5,266,400
6%, 7/1/2022 9,500,000 10,100,685
5%, 7/1/2036 8,500,000 7,085,600
Puerto Rico Public Buildings Authority, Public
Education and Health Facilities, Lease Revenue
5.75%, 7/1/2015
(Guaranteed; Commonwealth of Puerto Rico) 4,250,000 4,252,550
Virgin Islands Port Authority, Airport Revenue
4.20%, 9/1/2002 2,720,000 2,631,056
TOTAL LONG-TERM MUNICIPAL INVESTMENTS
(cost $1,339,420,322) 1,322,826,025
Principal
SHORT-TERM MUNICIPAL INVESTMENTS--3.7% Amount ($) Value ($)
------------------------------------------------------------------------------------------------------------------------------------
New York City, VRDN:
4.40% (LOC; Chase Manhattan Bank) 5,000,000 (d) 5,000,000
4.40% (LOC; KBC Bank N.V.) 4,500,000 (d) 4,500,000
4.45% (LOC; Morgan Guaranty Trust Co.) 4,900,000 (d) 4,900,000
4.45% (LOC; Morgan Guaranty Trust Co.) 1,550,000 (d) 1,550,000
4.40% (Insured; MBIA, SBPA; Bank of Nova Scotia) 6,500,000 (d) 6,500,000
4.40% (Insured; MBIA, SBPA; Credit Agricole Indosuez) 2,400,000 (d) 2,400,000
New York City Municipal Water Finance Authority, Water
and Sewer Systems Revenue, VRDN
4.40% (Insured; FGIC, SBPA; FGIC) 18,700,000 (d) 18,700,000
New York State Energy Research and Development
Authority, PCR, VRDN (New York State Electric
and Gas) 4.50% 5,000,000 (d) 5,000,000
Port Authority of New York and New Jersey, Special
Obligation Revenue, VRDN
4.45% (SBPA; Bank of Nova Scotia) 3,300,000 (d) 3,300,000
TOTAL SHORT-TERM MUNICIPAL INVESTMENTS
(cost $51,850,000) 51,850,000
------------------------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS
(cost $1,391,270,322) 99.0% 1,374,676,025
CASH AND RECEIVABLES (NET) 1.0% 13,275,989
NET ASSETS 100.0% 1,387,952,014
The Fund
</TABLE>
STATEMENT OF INVESTMENTS (CONTINUED)
Summary of Abbreviations
ACA American Capital Access
AGIC Asset Guaranty Insurance
Company
AMBAC American Municipal Bond
Assurance Corporation
FGIC Financial Guaranty Insurance
Company
FHA Federal Housing Administration
FSA Financial Security Assurance
IDR Industrial Development Revenue
LOC Letter of Credit
MBIA Municipal Bond
Investors Assurance
Insurance Corporation
PCR Pollution Control Revenue
SBPA Standby Bond Purchase
Agreement
SONYMA State of New York Mortgage
Agency
VRDN Variable Rate Demand Notes
<TABLE>
<CAPTION>
Summary of Combined Ratings (Unaudited)
Fitch or Moody's or Standard & Poor's Value (%)
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
AAA Aaa AAA 42.0
AA Aa AA 16.3
A A A 27.0
BBB Baa BBB 3.0
F1 MIG1 SP1 3.8
Not Rated(e) Not Rated(e) Not Rated(e) 7.9
100.0
</TABLE>
(A) 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.
(B) INVERSE FLOATER SECURITY--THE INTEREST RATE IS SUBJECT TO CHANGE
PERIODICALLY.
(C) SECURITIES 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, 2000, THESE
SECURITIES AMOUNTED TO $143,713,762 OR 10.4% OF NET ASSETS.
(D) SECURITIES PAYABLE ON DEMAND. VARIABLE RATE INTEREST--SUBJECT TO PERIODIC
CHANGE.
(E) SECURITIES WHICH, WHILE NOT RATED BY FITCH, MOODY'S AND STANDARD & POORS
HAVE BEEN DETERMINED BY THE MANAGER TO BE OF COMPARABLE QUALITY TO THOSE RATED
SECURITIES IN WHICH THE FUND MAY INVEST.
SEE NOTES TO FINANCIAL STATEMENTS.
STATEMENT OF ASSETS AND LIABILITIES
May 31, 2000
Cost Value
--------------------------------------------------------------------------------
ASSETS ($):
Investments in securities--See Statement of
Investments 1,391,270,322 1,374,676,02
Cash 1,292,840
Interest receivable 25,269,253
Receivable for investment securities sold 2,045,156
Receivable for shares of Common Stock subscribed 112,477
Prepaid expenses 9,559
1,403,405,310
--------------------------------------------------------------------------------
LIABILITIES ($):
Due to The Dreyfus Corporation and affiliates 660,528
Payable for investment securities purchased 14,581,170
Payable for shares of Common Stock redeemed 34,005
Accrued expenses 177,593
15,453,296
--------------------------------------------------------------------------------
NET ASSETS ($) 1,387,952,01
--------------------------------------------------------------------------------
COMPOSITION OF NET ASSETS ($):
Paid-in capital 1,411,293,59
Accumulated net realized gain (loss) on investments (6,747,284)
Accumulated net unrealized appreciation (depreciation)
on investments--Note 4 (16,594,297)
--------------------------------------------------------------------------------
NET ASSETS ($) 1,387,952,014
--------------------------------------------------------------------------------
SHARES OUTSTANDING
(300 million shares of $.001 par value Common Stock authorized) 98,949,288
NET ASSET VALUE, offering and redemption price per share--Note 3(d) ($)
14.03
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
STATEMENT OF OPERATIONS
Year Ended May 31, 2000
--------------------------------------------------------------------------------
INVESTMENT INCOME ($):
INTEREST INCOME 84,699,937
EXPENSES:
Management fee--Note 3(a) 8,808,820
Shareholder servicing costs--Note 3(b) 2,609,302
Custodian fees 86,978
Professional fees 56,377
Directors' fees and expenses--Note 3(c) 48,677
Prospectus and shareholders' reports 40,911
Registration fees 23,324
Loan commitment fees--Note 2 13,996
Miscellaneous 61,406
TOTAL EXPENSES 11,749,791
Less--reduction in management fee due to undertaking--Note 3(a) (724,769)
NET EXPENSES 11,025,022
INVESTMENT INCOME--NET 73,674,915
--------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS--NOTE 4 ($):
Net realized gain (loss) on investments (3,174,980)
Net unrealized appreciation (depreciation) on investments (110,965,650)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS (114,140,630)
NET (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS (40,465,715)
SEE NOTES TO FINANCIAL STATEMENTS.
STATEMENT OF CHANGES IN NET ASSETS
Year Ended May 31,
-------------------------------------
2000 1999
--------------------------------------------------------------------------------
OPERATIONS ($):
Investment income--net 73,674,915 78,682,770
Net realized gain (loss) on investments (3,174,980) 14,895,176
Net unrealized appreciation (depreciation)
on investments (110,965,650) (20,662,130)
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS (40,465,715) 72,915,816
--------------------------------------------------------------------------------
DIVIDENDS TO SHAREHOLDERS FROM ($):
Investment income--net (74,304,451) (78,484,913)
Net realized gain on investments (13,749,867) (14,454,384)
TOTAL DIVIDENDS (88,054,318) (92,939,297)
--------------------------------------------------------------------------------
CAPITAL STOCK TRANSACTIONS ($):
Net proceeds from shares sold 189,109,474 397,489,518
Dividends reinvested 62,838,234 65,752,265
Cost of shares redeemed (337,588,572) (513,298,230)
INCREASE (DECREASE) IN NET ASSETS FROM
CAPITAL STOCK TRANSACTIONS (85,640,864) (50,056,447)
TOTAL INCREASE (DECREASE) IN NET ASSETS (214,160,897) (70,079,928)
--------------------------------------------------------------------------------
NET ASSETS ($):
Beginning of Period 1,602,112,911 1,672,192,839
END OF PERIOD 1,387,952,014 1,602,112,911
Undistributed investment income-net -- 629,536
--------------------------------------------------------------------------------
CAPITAL SHARE TRANSACTIONS (SHARES):
Shares sold 13,148,702 25,567,907
Shares issued for dividends reinvested 4,371,679 4,224,063
Shares redeemed (23,464,596) (33,021,965)
NET INCREASE (DECREASE) IN SHARES OUTSTANDING (5,944,215) (3,229,995)
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
The following table describes the performance for the fiscal periods indicated.
Total return shows how much your investment in the fund would have increased (or
decreased) during each period, assuming you had reinvested all dividends and
distributions. These figures have been derived from the fund's financial
statements.
Year Ended May 31,
-------------------------------------------------------------------
2000 1999 1998 1997 1996
------------------------------------------------------------------------------------------------------------------------------------
PER SHARE DATA ($):
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period 15.27 15.47 14.97 14.64 15.19
Investment Operations:
Investment income--net .72 .74 .75 .76 .79
Net realized and unrealized
gain (loss) on investments (1.10) (.06) .63 .41 (.51)
Total from Investment Operations (.38) .68 1.38 1.17 .28
Distributions:
Dividends from investment income--net (.73) (.74) (.74) (.76) (.79)
Dividends from net realized gain
on investments (.13) (.14) (.14) (.08) (.04)
Total Distributions (.86) (.88) (.88) (.84) (.83)
Net asset value, end of period 14.03 15.27 15.47 14.97 14.64
------------------------------------------------------------------------------------------------------------------------------------
TOTAL RETURN (%) (2.44) 4.47 9.36 8.14 1.84
------------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA (%):
Ratio of expenses to average net assets .75 .75 .73 .74 .71
Ratio of net investment income
to average net assets 5.02 4.77 4.86 5.10 5.24
Decrease reflected in above expense
ratios due to undertakings by
The Dreyfus Corporation .05 .01 .00(a) -- --
Portfolio Turnover Rate 37.67 20.77 35.86 74.46 81.93
------------------------------------------------------------------------------------------------------------------------------------
Net Assets, end of period ($ x 1,000) 1,387,952 1,602,113 1,672,193 1,702,686 1,698,678
(A) AMOUNT REPRESENTS LESS THAN .01%.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
NOTES TO FINANCIAL STATEMENTS
NOTE 1--Significant Accounting Policies:
Dreyfus New York Tax Exempt Bond Fund, Inc. (the "fund") is registered under the
Investment Company Act of 1940 (the "Act"), as a non-diversified, open-end
management investment company. The fund's investment objective is to provide
investors with as high a level of current income exempt from Federal, New York
State and New York City income taxes as is consistent with the preservation of
capital. The Dreyfus Corporation ("Manager") serves as the fund's investment
adviser. The Manager is a direct subsidiary of Mellon Bank, N.A., which is a
wholly-owned subsidiary of Mellon Financial Corporation. Effective March 22,
2000, Dreyfus Service Corporation (" DSC"), a wholly-owned subsidiary of the
Manager, became the distributor of the fund's shares, which are sold to the
public without a sales charge. Prior to March 22, 2000, Premier Mutual Fund
Services, Inc. was the distributor.
The fund' s financial statements are prepared in accordance with generally
accepted accounting principles which may require the use of management estimates
and assumptions. Actual results could differ from those estimates.
(a) Portfolio valuation: Investments in securities are valued each business day
by an independent pricing service (" Service" ) approved by the Board of
Directors. Investments for which quoted bid prices are readily available and are
representative of the bid side of the market in the 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.
The Fund
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
(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. Under the terms of the custody
agreement, the fund received net earnings credits of $31,136 during the period
ended May 31, 2000 based on available cash balances left on deposit. Interest
earned under this arrangement is included in interest income.
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 of 1986, as amended (the
" 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 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--Bank Line of Credit:
The fund participates with other Dreyfus-managed funds in a $500 million
redemption credit facility (the "Facility" ) to be utilized fo
temporary or emergency purposes, including the financing of redemptions. In
connection therewith, the fund has agreed to pay commitment fees on its pro rata
portion of the Facility. Interest is charged to the fund at rates based on
prevailing market rates in effect at the time of borrowings. During the period
ended May 31, 2000, the fund did not borrow under the Facility.
NOTE 3--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 value of the
fund' s average daily net assets and is payable monthly. The Agreement provides
that if in any full fiscal year the aggregate expenses of the fund, exclusive of
taxes, interest on borrowings, brokerage commissions, commitment fees and
extraordinary expenses, exceed 11_2% of the value of the fund's average net
assets, the fund may deduct from payments to be made to the Manager, or the
Manager will bear such excess expense. The Manager had undertaken, from June 1,
1999 through May 31, 2000 to reduce the management fee paid by the fund, to the
extent that the fund's aggregate annual expenses (exclusive of certain expenses
as described above) exceeded an annual rate of .75 of 1% of the value of the
fund' s average daily net assets. The reduction in management fee, pursuant to
the undertaking amounted to $724,769 during the period ended May 31, 2000.
(b) Under the Shareholder Services Plan, the fund reimburses DSC an amount not
to exceed an annual rate of .25 of 1% of the value of the fund's average daily
net assets for certain allocated expenses of providing personal services and/or
maintaining 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 period
ended May 31, 2000, the fund was charged $1,947,382 pursuant to the Shareholder
Services Plan.
The Fund
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
The fund compensates Dreyfus Transfer, Inc., a wholly-owned subsidiary of the
Manager, under a transfer agency agreement for providing personnel and
facilities to perform transfer agency services for the fund. During the period
ended May 31, 2000, the fund was charged $438,588 pursuant to the transfer
agency agreement.
(c) Each director who is not an "affiliated person" as defined in the Act
receives from the fund 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.
(d) A .10% redemption fee is charged and retained by the fund on shares redeemed
within fifteen days following the date of issuance, including redemptions made
through the use of the fund's exchange privilege. During the period ended May
31, 2000, redemption fees charged and retained by the fund amounted to $4,739.
Effective June 1, 2000, this fee will be chargeable within thirty days following
the date of issuance of such shares.
NOTE 4--Securities Transactions:
The aggregate amount of purchases and sales of investment securities, excluding
short-term securities, during the period ended May 31, 2000, amounted to
$536,091,456 and $667,127,415, respectively.
At May 31, 2000, accumulated net unrealized depreciation on investments was
$16,594,297, consisting of $19,533,000 gross unrealized appreciation and
$36,127,297 gross unrealized depreciation.
At May 31, 2000, 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).
REPORT OF 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, 2000, 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 auditing standards generally accepted
in the United States. 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 and financial highlights. Our procedures included
confirmation of securities owned as of May 31, 2000 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, 2000, 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 accounting principles generally accepted
in the United States.
New York, New York
July 5, 2000
The Fund
IMPORTANT TAX INFORMATION (Unaudited)
In accordance with Federal tax law, the fund hereby makes the following
designations regarding its fiscal year ended May 31, 2000:
--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 fund hereby designates $.1322 per share as a long-term capital gain
distribution of the $.1339 per share paid on December 9, 1999.
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
gains distributions (if any) paid for the 2000 calendar year on Form 1099-DIV
which will be mailed by January 31, 2001.
NOTES
For More Information
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
100 Church Street
New York, NY 10286
Transfer Agent &
Dividend Disbursing Agent
Dreyfus Transfer, Inc.
P.O. Box 9671
Providence, RI 02940
Distributor
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
To obtain information:
BY TELEPHONE Call 1-800-645-6561
BY MAIL Write to: The Dreyfus Family of Funds 144 Glenn Curtiss Boulevard
Uniondale, NY 11556-0144
BY E-MAIL Send your request to [email protected]
ON THE INTERNET Information can be viewed online or downloaded from:
http://www.dreyfus.com
(c) 2000 Dreyfus Service Corporation 980AR005
