DREYFUS GOVERNMENT CASH MANAGEMENT
LETTER TO SHAREHOLDERS
Dear Shareholder:
During the last six months, U.S. economic activity declined gradually. As
might be expected, this brought about a drop in interest rates.
As far as Government securities are concerned, other factors were at work
as well. The evident determination of the Republican Congress to reduce
Government spending, and thus hopefully cut the deficit, also had its effect
on interest rates. It is too early to tell how effective the talk of budget
cutting in Washington will be in the final analysis. However, if it should
bring about a lower level of Government borrowing, that would certainly be a
major factor in setting interest rates.
In this environment, we are pleased that for the six months ended July
31, 1995, Dreyfus Government Cash Managment's annualized yield provided by
Class A shares was 5.97%. The annualized effective yield for Class A shares
was 6.14% after taking into account the effect of compounding.* For Class B
shares, the corresponding yields were 5.72% and 5.88%.
In managing your assets during the six-month period, we lengthened
maturities gradually. This was done in anticipation of lower interest rates,
which grew more and more likely over the course of the past six months as the
economy gave continued signs of slowing down.
The Federal Reserve Board, which raised interest rates seven times during
1994 and early 1995 to head off inflation, became concerned that the drop in
economic performance might turn into an actual business recession.
Accordingly, in early July the Federal Reserve reversed course and made a
modest cut in the Federal Funds rate.
As of this date, the economy has cooled off as compared to the activity
that prevailed last year. Thus, the Fed's policies can be viewed as having
been successful. Inflation has been held at bay and few experts believe that
the "soft landing" will turn into a full-blown economic recession.
However, the Federal Reserve showed laudable caution in the July
reduction of short-term rates. If more of that medicine is needed, the Fed
may not hesitate to act accordingly. Nonetheless, the central bank must be
ever watchful so that rate-cutting does not rekindle inflation which the Fed
has so strenuously sought to avoid.
The money markets have already discounted the possibility of further Fed
moves to lower interest rates. To a certain extent, that is already built
into current market prices. Our strategy under these circumstances is to
remain in the long end of the market as long as necessary, in an effort to
maintain high current yields.
We appreciate the opportunity to put your cash to work in the money
market, and will continue to exert our best efforts to attempt to obtain
competitive returns on your behalf.
Sincerely,
(Patricia A. Larkin Signature Logo)
Patricia A. Larkin
Portfolio Manager
August 11, 1995
New York, N.Y.
* Annualized effective yield is based upon dividends declared daily and
reinvested monthly.
<TABLE>
<CAPTION>
DREYFUS GOVERNMENT CASH MANAGEMENT
STATEMENT OF INVESTMENTS JULY 31, 1995 (UNAUDITED)
ANNUALIZED
YIELD ON
DATE OF PRINCIPAL
U.S. TREASURY BILLS-3.6% PURCHASE AMOUNT VALUE
------------- -------------- ---------------
<S> <C> <C> <C>
8/10/95 ................................................... 6.40% $ 25,000,000 $ 24,961,250
5/2/96 ................................................... 5.93 50,000,000 47,861,111
5/30/96 ................................................... 5.56 100,000,000 95,556,000
---------------
TOTAL U.S. TREASURY BILLS
(cost $168,378,361)........................................ $ 168,378,361
===============
U.S. GOVERNMENT AGENCIES-83.6%
Federal Farm Credit Banks, Consolidated Systemwide
Floating Rate Notes
11/17/95................................................... 6.21%(a) $100,000,000 $ 99,985,205
3/7/96 ................................................... 6.00(a) 140,000,000 139,939,551
3/21/96 ................................................... 5.99(a) 53,705,000 53,670,708
3/21/96 ................................................... 6.07(a) 65,000,000 64,952,120
6/13/96 ................................................... 6.12(a) 50,000,000 49,978,926
6/28/96 ................................................... 5.87(a) 150,000,000 149,947,588
9/30/96 ................................................... 6.05(a) 50,000,000 50,000,000
1/20/98 ................................................... 6.27(a) 25,000,000 24,976,159
Federal Farm Credit Banks, Discount Notes
1/16/96 ................................................... 7.18 4,480,000 4,339,925
1/17/96 ................................................... 7.05 38,000,000 36,826,201
1/26/96 ................................................... 6.11 8,000,000 7,768,600
3/5/96 ................................................... 6.12 7,525,000 7,261,010
3/19/96 ................................................... 6.49 8,500,000 8,167,296
5/3/96 ................................................... 6.24 15,000,000 14,324,950
Federal Home Loan Banks, Consolidated Systemwide
Floating Rate Notes
5/6/96 ................................................... 6.07(a) 11,450,000 11,446,330
7/17/96 ................................................... 5.78(a) 100,000,000 100,000,000
7/18/96 ................................................... 5.87(a) 75,000,000 75,000,000
12/23/96................................................... 5.89(a) 40,000,000 40,115,368
2/3/97 ................................................... 6.17(a) 50,000,000 50,054,245
6/16/97 ................................................... 5.96(a) 15,000,000 14,994,729
7/14/97 ................................................... 5.87(a) 150,000,000 149,945,867
1/20/98 ................................................... 6.31(a) 25,000,000 24,938,943
Federal Home Loan Banks, Discount Notes
8/1/95 ................................................... 5.75 480,000,000 480,000,000
8/2/95 ................................................... 6.14 25,520,000 25,515,747
8/17/95 ................................................... 6.17 14,015,000 13,977,666
8/23/95 ................................................... 6.16 22,235,000 22,153,743
8/28/95 ................................................... 6.23 74,000,000 73,664,780
11/9/95 ................................................... 6.06 10,600,000 10,427,161
11/22/95................................................... 6.31 11,100,000 10,889,208
11/27/95................................................... 6.05 52,825,000 51,811,819
12/29/95................................................... 7.11 39,100,000 38,014,190
1/8/96 ................................................... 7.04 50,000,000 48,537,778
1/10/96 ................................................... 6.32 44,475,000 43,268,171
DREYFUS GOVERNMENT CASH MANAGEMENT
STATEMENT OF INVESTMENTS (CONTINUED) JULY 31, 1995 (UNAUDITED)
ANNUALIZED
YIELD ON
DATE OF PRINCIPAL
U.S. GOVERNMENT AGENCIES (CONTINUED) PURCHASE AMOUNT VALUE
------------- -------------- ---------------
Federal Home Loan Banks, Discount Notes (continued):
1/12/96 ................................................... 6.01% $ 28,785,000 $ 28,028,370
1/19/96 ................................................... 6.25 7,000,000 6,801,830
2/14/96 ................................................... 6.42 50,000,000 48,337,812
3/28/96 ................................................... 6.50 20,000,000 19,186,667
4/29/96 ................................................... 6.13 10,000,000 9,563,289
Federal Home Loan Mortgage Corp., Consolidated Systemwide
Floating Rate Notes
6/15/96 ................................................... 5.87(a) 25,000,000 25,044,831
5/26/98 ................................................... 5.93(a) 100,000,000 100,410,912
Federal Home Loan Mortgage Corp., Discount Notes
11/3/95 ................................................... 6.05 28,770,000 28,329,411
1/2/96 ................................................... 6.03 16,500,000 16,089,911
1/11/96 ................................................... 7.09 7,375,000 7,153,943
1/19/96 ................................................... 7.18 5,000,000 4,840,875
3/21/96 ................................................... 6.48 10,000,000 9,606,489
Federal National Mortgage Association, Consolidated Systemwide
Floating Rate Notes
6/3/96 ................................................... 5.92(a) 160,000,000 159,941,870
6/20/96 ................................................... 5.90(a) 100,000,000 99,965,909
10/4/96 ................................................... 6.10(a) 100,000,000 100,066,733
10/4/96 ................................................... 6.20(a) 100,000,000 100,000,000
1/13/97 ................................................... 5.93(a) 100,000,000 100,000,000
2/18/97 ................................................... 6.24(a) 25,000,000 25,013,310
4/4/97 ................................................... 5.63(a) 100,000,000 99,921,530
6/20/97 ................................................... 5.96(a) 50,000,000 49,991,201
Federal National Mortgage Association, Discount Notes
8/4/95 ................................................... 6.00 100,000,000 99,950,750
8/17/95 ................................................... 6.16 25,000,000 24,933,333
8/24/95 ................................................... 6.22 52,000,000 51,799,338
10/10/95................................................... 5.99 13,050,000 12,901,810
11/3/95 ................................................... 6.30 58,325,000 57,402,104
11/13/95................................................... 6.30 10,305,000 10,124,891
12/18/95................................................... 6.36 20,000,000 19,531,261
12/26/95................................................... 6.33 74,800,000 72,955,183
1/5/96 ................................................... 6.00 35,440,000 34,548,202
1/8/96 ................................................... 7.07 5,000,000 4,853,333
3/15/96 ................................................... 6.50 19,150,000 18,412,209
3/18/96 ................................................... 6.49 75,000,000 72,072,292
4/15/96 ................................................... 6.31 55,000,000 52,658,650
Student Loan Marketing Association, Floating Rate Notes
8/10/95 ................................................... 5.59(a) 5,000,000 5,000,000
4/15/96 ................................................... 5.81(a) 25,000,000 25,084,973
8/22/96 ................................................... 5.72(a) 25,175,000 25,243,527
9/10/96 ................................................... 6.13(a) 150,000,000 150,000,000
12/20/96.................................................. 5.75(a) 20,000,000 20,002,156
DREYFUS GOVERNMENT CASH MANAGEMENT
STATEMENT OF INVESTMENTS (CONTINUED) JULY 31, 1995 (UNAUDITED)
ANNUALIZED
YIELD ON
DATE OF PRINCIPAL
U.S. GOVERNMENT AGENCIES (CONTINUED) PURCHASE AMOUNT VALUE
------------- -------------- ---------------
Student Loan Marketing Association, Floating Rate Notes (continued):
12/20/96................................................... 5.77(a)% $ 75,000,000 $ 75,000,000
1/21/97.................................................... 5.88(a) 20,000,000 20,075,062
1/23/97 ................................................... 5.72(a) 20,000,000 20,055,283
---------------
TOTAL U.S. GOVERNMENT AGENCIES
(cost $3,907,793,234)...................................... $3,907,793,234
===============
REPURCHASE AGREEMENTS-13.2%
Aubrey G. Lanston & Co. Inc.
dated 7/31/95, due 8/1/95, in the amount of $48,007,733
(fully collateralized by $49,215,000 U.S. Treasury Bills due
10/19/95, value $48,635,986)............................... 5.80% $ 48,000,000 $ 48,000,000
Barclays De Zoette Wedd Securities, Inc.
dated 7/31/95, due 8/1/95, in the amount of $1,048,169
(fully collateralized by $1,025,000 U.S Treasury Notes, 7.5% due
2/29/96, value $1,067,421)................................. 5.80 1,048,000 1,048,000
Daiwa Securities America Inc.
dated 7/31/95, due 8/1/95, in the amount of $133,925,648
(fully collateralized by $134,205,000 U.S. Treasury Notes, 3.875%
due 9/30/95, value $135,533,300)........................... 5.82 133,904,000 133,904,000
Morgan Stanley & Co. Inc.
dated 7/31/95, due 8/1/95, in the amount of $100,016,111
(fully collateralized by $99,965,000 U.S. Treasury Notes, 3.875%
to 7.875% due from 10/31/95 to 6/30/96, value $101,517,463) 5.80 100,000,000 100,000,000
Nikko Securities Co. International, Inc.
dated 7/31/95, due 8/1/95, in the amount of $164,026,513
(fully collateralized by $162,707,000 U.S. Treasury Notes, 4%
to 7.5%, due from 1/31/96 to 4/30/96, value $165,783,548) 5.82 164,000,000 164,000,000
Nomura Securities International, Inc.
dated 7/31/95, due 8/1/95, in the amount of $171,027,550
(fully collateralized by $153,000,000 U.S. Treasury Bills due
8/24/95 to 5/30/96 and $25,045,000 U.S. Treasury Notes,
5.875% due 5/31/96, value $174,789,495)......................... 5.80 171,000,000 171,000,000
---------------
TOTAL REPURCHASE AGREEMENTS
(cost $617,952,000)........................................ $ 617,952,000
===============
TOTAL INVESTMENTS
(cost $4,694,123,595)............................. 100.4% $4,694,123,595
====== ===============
LIABILITIES, LESS CASH AND RECEIVABLES................ (.4%) $ (18,411,036)
====== ===============
NET ASSETS ............................................ 100.0% $4,675,712,559
====== ===============
NOTE TO STATEMENT OF INVESTMENTS;
(a) Variable interest rates-subject to change.
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
DREYFUS GOVERNMENT CASH MANAGEMENT
STATEMENT OF ASSETS AND LIABILITIES JULY 31, 1995 (UNAUDITED)
<S> <C> <C>
ASSETS:
Investments in securities, at value
(including repurchase agreements of $617,952,000)-Note 1(a,b)......... $4,694,123,595
Interest receivable..................................................... 17,613,524
--------------
4,711,737,119
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $ 798,776
Due to Distributor...................................................... 15,239
Due to Custodian........................................................ 35,210,545 36,024,560
------------- --------------
NET ASSETS.................................................................. $4,675,712,559
==============
REPRESENTED BY:
Paid-in capital......................................................... $4,676,116,145
Accumulated net realized (loss) on investments.......................... (403,586)
--------------
NET ASSETS at value......................................................... $4,675,712,559
==============
Shares of Beneficial Interest outstanding:
Class A Shares
(unlimited number of $.001 par value shares authorized)............... 4,598,326,184
==============
Class B Shares
(unlimited number of $.001 par value shares authorized)............... 77,789,961
==============
NET ASSET VALUE per share:
Class A Shares
($4,597,927,757 / 4,598,326,184 shares)............................... $1.00
=====
Class B Shares
($77,784,802 / 77,789,961 shares)..................................... $1.00
=====
</TABLE>
<TABLE>
STATEMENT OF OPERATIONS SIX MONTHS ENDED JULY 31, 1995 (UNAUDITED)
<S> <C> <C>
INVESTMENT INCOME:
INTEREST INCOME......................................................... $ 110,590,495
EXPENSES:
Management fee-Note 2(a).............................................. $ 3,583,953
Distribution fees (Class B shares)-Note 2(b).......................... 67,006
-----------
TOTAL EXPENSES.................................................... 3,650,959
--------------
INVESTMENT INCOME-NET....................................................... 106,939,536
NET REALIZED GAIN ON INVESTMENTS-Note 1(b).................................. 127,876
--------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $ 107,067,412
==============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
DREYFUS GOVERNMENT CASH MANAGEMENT
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED SIX MONTHS ENDED
JANUARY 31, JULY 31, 1995
1995 (UNAUDITED)
------------------ -------------------
<S> <C> <C>
OPERATIONS:
Investment income-net............................................. $ 135,006,251 $ 106,939,536
Net realized gain (loss) on investments........................... (229,316) 127,876
------------------ --------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........ 134,776,935 107,067,412
------------------ --------------
DIVIDENDS TO SHAREHOLDERS FROM;
Investment income-net:
Class A shares.................................................. (133,468,917) (105,405,666)
Class B shares.................................................. (1,537,334) (1,533,870)
------------------ --------------
TOTAL DIVIDENDS............................................. (135,006,251) (106,939,536)
------------------ --------------
BENEFICIAL INTEREST TRANSACTIONS ($1.00 per share):
Net proceeds from shares sold:
Class A shares.................................................. 24,281,160,017 21,285,994,788
Class B shares.................................................. 154,255,749 126,323,996
Dividends reinvested:
Class A shares.................................................. 62,602,011 40,513,657
Class B shares.................................................. 121,968 461,091
Cost of shares redeemed:
Class A shares.................................................. (26,062,839,044) (19,525,353,366)
Class B shares.................................................. (129,764,341) (88,705,799)
------------------ --------------
INCREASE (DECREASE) IN NET ASSETS FROM
BENEFICIAL INTEREST TRANSACTIONS.......................... (1,694,463,640) 1,839,234,367
------------------ --------------
TOTAL INCREASE (DECREASE) IN NET ASSETS............... (1,694,692,956) 1,839,362,243
NET ASSETS:
Beginning of period............................................... 4,531,043,272 2,836,350,316
------------------ --------------
End of period..................................................... $ 2,836,350,316 $ 4,675,712,559
================== ===============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
DREYFUS GOVERNMENT CASH MANAGEMENT
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Beneficial Interest outstanding, total investment return, ratios to average
net assets and other supplemental data for each period indicated. This
information has been derived from the Fund's financial statements.
CLASS A SHARES CLASS B SHARES
----------------------------------------------- -----------------------------------------------------
YEAR ENDED
YEAR ENDED JANUARY 31, SIX MONTHS ENDED JANUARY 31, SIX MONTHS ENDED
----------------------------------------------- JULY 31, 1995 ------------------ JULY 31, 1995
PER SHARE DATA: 1991 1992 1993 1994 1995 (UNAUDITED) 1994(1) 1995 (UNAUDITED)
------- ------- ------- ------- ------- ---------------- ------- ------- -----------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net asset value,
beginning of period... $ .9996 $ .9998 $1.0000 $1.0000 $ .9999 $ .9998 $1.0000 $1.0000 $ .9998
------- ------- ------- ------- ------- ------ ------- ------- ------
INVESTMENT OPERATIONS:
Investment income-net.. .0786 .0581 .0370 .0307 .0413 .0296 .0017 .0388 .0284
Net realized gain (loss)
on investments........ .0002 .0002 - (.0001) (.0001) .0001 - (.0002) .0001
------- ------- ------- ------- ------- ------ ------- ------- ------
TOTAL FROM
INVESTMENT
OPERATIONS........ .0788 .0583 .0370 .0306 .0412 .0297 .0017 .0386 .0285
------- ------- ------- ------- ------- ------ ------- ------- ------
DISTRIBUTIONS;
Dividends from investment
income-net........... (.0786) (.0581) (.0370) (.0307) (.0413) (.0296) (.0017) (.0388) (.0284)
------- ------- ------- ------- ------- ------ ------- ------- ------
Net asset value,
end of period $ .9998 $1.0000 $1.0000 $ .9999 $ .9998 $ .9999 $1.0000 $ .9998 $ .9999
======= ======= ======= ======= ======= ======= ======= ======= =======
TOTAL INVESTMENT RETURN..... 8.15% 5.97% 3.76% 3.12% 4.21% 6.05%(2) 2.82%(2) 3.95% 5.79%(2)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average
net assets............ .20% .20% .20% .20% .20% .20%(2) .45%(2) .45% .45%(2)
Ratio of net investment income
to average net assets. 7.82% 5.67% 3.61% 3.08% 4.04% 5.97%(2) 2.83%(2) 4.22% 5.72%(2)
Decrease reflected in above
expense ratios due to
undertaking by
the Manager........... .04% .04% .05% .03% - - - - -
Net Assets, end of period
(000's Omitted). $2,171,778 $4,750,205 $10,229,838 $4,515,946 $2,796,646 $4,597,928. $15,097 $39,704 $77,785
(1) From January 10, 1994 (commencement of initial offering) to January 31, 1994.
(2) Annualized.
See independent accountants' review report and notes to financial statements.
</TABLE>
DREYFUS GOVERNMENT CASH MANAGEMENT
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a diversified open-end management investment company. Premier Mutual Fund
Services, Inc. (the "Distributor") acts as the distributor of the Fund's
shares, which are sold to the public without a sales load. 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.
The Dreyfus Corporation ("Manager") serves as the Fund's investment adviser.
The Manager is a direct subsidiary of Mellon Bank, N.A. It is the Fund's
policy to maintain a continuous net asset value per share of $1.00; the Fund
has adopted certain investment, portfolio valuation and dividend and
distribution policies to enable it to do so. There is no assurance, however,
that the Fund will be able to maintain a stable net asset value of $1.00.
The Fund offers both Class A and Class B shares. Class B shares are
subject to a Service Plan adopted pursuant to Rule 12b-1 under the Act. Other
differences between the two Classes include the services offered to and the
expenses borne by each Class and certain voting rights.
(A) PORTFOLIO VALUATION: Investments are valued at amortized cost, which
has been determined by the Fund's Board of Trustees to represent the fair
value of the Fund's investments.
(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 is recognized on the accrual basis. Cost of investments represents
amortized cost.
The Fund may enter into repurchase agreements with financial
institutions, deemed to be creditworthy by the Manager, subject to the
seller's agreement to repurchase and the Fund's agreement to resell such
securities at a mutually agreed upon price. Securities purchased subject to
repurchase agreements are deposited with the Fund's custodians and, pursuant
to the terms of the repurchase agreement, must have an aggregate market value
greater than or equal to the repurchase price plus accrued interest at all
times. If the value of the underlying securities falls below the value of the
repurchase price plus accrued interest, the Fund will require the seller to
deposit additional collateral by the next business day. If the request for
additional collateral is not met, or the seller defaults on its repurchase
obligation, the Fund maintains the right to sell the underlying securities at
market value and may claim any resulting loss against the seller.
(C) DIVIDENDS TO SHAREHOLDERS: It is the policy of the Fund to declare
dividends from investment income-net on each business day. 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, 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, if such qualification is in the best
interests of its shareholders, by complying with
DREYFUS GOVERNMENT CASH MANAGEMENT
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
the applicable provisions of the Internal
Revenue Code, and to make distributions of taxable income sufficient to
relieve it from substantially all Federal income and excise taxes.
The Fund has an unused capital loss carryover of approximately $466,000
available for Federal income tax purposes to be applied against future net
securities profits, if any, realized subsequent to January 31, 1995. The
carryover does not include net realized securities losses from November 1,
1994 through January 31, 1995 which are treated, for Federal income tax
purposes, as arising in fiscal 1996. If not applied, $260,000 of the
carryover expires in fiscal 2002 and $206,000 expires in fiscal 2003.
At July 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).
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 .20 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, brokerage, interest
on borrowings and extraordinary expenses, exceed 1 1/2% of the average value
of the Fund's net assets for any full fiscal year.
Currently, due to an undertaking, the Manager, and not the Fund, is
liable for all expenses of the Fund (excluding certain expenses as described
above) other than the management fee, and with respect to the Fund's Class B
shares, Rule 12b-1 Service Plan expenses.
The Manager may modify the existing undertaking provided that the Fund's
shareholders are given 90 days prior notice.
(B) Under the Service Plan (the "Plan") adopted pursuant to Rule 12b-1
under the Act, the Fund (a) reimburses the Distributor for distributing the
Fund's Class B shares and (b) also pays The Dreyfus Corporation and Dreyfus
Service Corporation, a wholly-owned subsidiary of the Manager, or any
affiliate (collectively "Dreyfus") for advertising and marketing relating to
the Fund's Class B shares and for providing certain services relating to
Class B 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, at an aggregate annual
rate of .25 of 1% of the value of the Fund's Class B shares average daily net
assets. Both the Distributor and Dreyfus may pay one of more Service Agents a
fee in respect of the Fund's Class B shares owned by the shareholders with
whom the Service Agent has a servicing relationship or for whom the Service
Agent is the dealer or holder of record. Both the Distributor and Dreyfus
determine the amounts, if any, to be paid to the Service Agents under the
Plan and the basis on which such payments are made. The fees payable under
the Plan are payable without regard to actual expenses incurred. During the
six months ended July 31, 1995, $67,006 was charged to the Fund, pursuant to
the Plan.
(C) Each trustee who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $3,000 and an attendance fee of $500
per meeting.
DREYFUS GOVERNMENT CASH MANAGEMENT
REVIEW REPORT OF ERNST & YOUNG LLP, INDEPENDENT ACCOUNTANTS
SHAREHOLDERS AND BOARD OF TRUSTEES
DERYFUS GOVERNMENT CASH MANAGEMENT
We have reviewed the accompanying statement of assets and liabilities of
Dreyfus Government Cash Management, including the statement of investments,
as of July 31, 1995, and the related statements of operations and changes in
net assets and financial highlights for the six month period ended July 31,
1995. These financial statements and financial highlights are the
responsibility of the Fund's management.
We conducted our review in accordance with standards established by the
American Institute of Certified Public Accountants. A review of interim
financial information consists principally of applying analytical procedures
to financial data, and making inquiries of persons responsible for financial
and accounting matters. It is substantially less in scope than an audit
conducted in accordance with generally accepted auditing standards, which
will be performed for the full year with the objective of expressing an
opinion regarding the financial statements and financial highlights taken as
a whole. Accordingly, we do not express such an opinion.
Based on our review, we are not aware of any material modifications that
should be made to the interim financial statements and financial highlights
referred to above for them to be in conformity with generally accepted
accounting principles.
We have previously audited, in accordance with generally accepted
auditing standards, the statement of changes in net assets for the year ended
January 31, 1995 and financial highlights for each of the five years in the
period ended January 31, 1995 and in our report dated March 10, 1995, we
expressed an unqualified opinion on such statement of changes in net assets
and financial highlights.
(Ernst & Young Signature Logo)
New York, New York
September 7, 1995
(Dreyfus Logo)
DREYFUS GOVERNMENT
CASH MANAGEMENT
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. 289/672SA957
DREYFUS
GOVERNMENT
CASH
MANAGEMENT
SEMI-ANNUAL REPORT
JULY 31, 1995
