<PAGE> 1
OPPENHEIMER NEW YORK TAX-EXEMPT FUND
ANNUAL REPORT SEPTEMBER 30, 1994
(OPPENHEIMERFUNDS(R) LOGO)
[PHOTO OF TWO PEOPLE SKIING]
"WITH TODAY'S HIGHER TAXES, WE WORRIED
THAT THE INCOME FROM OUR INVESTMENTS
WOULDN'T BE ENOUGH.
"THIS FUND HAS GIVEN US WHAT WE NEED--
TAX-FREE INCOME.
"WE CAN KEEP MORE OF WHAT WE EARN, WHILE
OUR INVESTMENT HELPS BUILD NEW YORK."
<PAGE> 2
FUND FACTS
IN THIS REPORT:
ANSWERS TO TIMELY
QUESTIONS YOU SHOULD
ASK YOUR FUND'S
MANAGERS.
* HOW DID THE FEDERAL RESERVE'S MOVES TO RAISE INTEREST RATES AFFECT THE FUND'S
INVESTMENT STRATEGY AND RETURNS FOR THE PAST YEAR?
* WHAT'S THE OUTLOOK FOR THE MUNICIPAL MARKET OVERALL AND THE NEW YORK MARKET
IN PARTICULAR?
* WHAT KINDS OF BONDS OFFER BUYING OPPORTUNITIES TODAY?
<TABLE>
<CAPTION>
FACTS EVERY SHAREHOLDER SHOULD KNOW ABOUT
OPPENHEIMER NEW YORK TAX-EXEMPT FUND
- --------------------------------------------------------------------------------
<S> <C>
1 The Fund's objective is to seek high current income exempt
from federal, New York State and New York City income taxes
consistent with preservation of capital.
- --------------------------------------------------------------------------------
2 Standardized yields for the 30 days ended September 30, 1994
for Class A and Class B shares were 5.24% and 4.72%,
respectively.(1)
- --------------------------------------------------------------------------------
3 Total return at net asset value for the 12-month period ended
September 30, 1994 was -5.55% for Class A shares and -6.22%
for Class B shares.(2)
- --------------------------------------------------------------------------------
4 Average annual total returns for Class A shares for the 1-,
5-, and 10-year periods ended September 30, 1994 were -10.04%,
6.18%, and 9.07%, respectively. For Class B shares, average
annual total returns for the 1-year period ended September 30,
1994 and since inception of the Class on March 1, 1993 were
-10.90% and -2.77%, respectively.(3)
- --------------------------------------------------------------------------------
5 "Although the past six months have been a challenging period
for bond investors, we believe that the longer-term outlook
for the municipal bond market is positive. The New York
municipal market has historically outperformed the national
market and should continue to do so, given the improvements
in New York State finances. While the market may be subject
to short-term volatility, both the fundamental and technical
factors to support solid long-term performance are definitely
in place."
</TABLE>
Portfolio Manager Bob Patterson, September 30, 1994
(1) Standardized yield is net investment income calculated on a
yield-to-maturity basis for the 30-day period ended 9/30/94, divided by the
maximum offering price for Class A shares at the end of the period, compounded
semiannually and then annualized. Falling net asset values will tend to
artificially raise yields.
(2) Based on the change in net asset value per share from 9/30/93 to 9/30/94,
without deducting any sales charges. Such performance would have been lower if
sales charges were taken into account.
(3) Average annual total returns are based on a hypothetical investment held
until 9/30/94, after deducting the current maximum initial sales charge of
4.75% for Class A shares and the contingent deferred sales charge of 5%
(1-year) and 4% (since inception) for Class B shares. The Fund's maximum sales
charge rate for Class A shares was lower during a portion of some of the
periods shown, and actual investment results will be different as a result of
the change.
All figures assume reinvestment of dividends and capital gains distributions.
Past performance is not indicative of future results. Investment and principal
value on an investment in the Fund will fluctuate, so that an investor's
shares, when redeemed, may be worth more or less than the original cost. A
portion of the Fund's distributions may be subject to income taxes. For
investors subject to the alternative minimum tax, a portion of the Fund's
distributions may increase that tax.
2 Oppenheimer New York Tax-Exempt Fund
<PAGE> 3
REPORT TO SHAREHOLDERS
Oppenheimer New York Tax-Exempt Fund met its objectives well for the year ended
September 30, 1994, providing a level of tax-free income that many taxable
investments of comparable quality are unable to match on an after-tax basis.
Standardized yields for Class A and Class B shares were 5.24% and
4.72%, respectively, for the 30-day period ended September 30, 1994.(4)
The Fund was, of course, affected by aggressive increases in short-term
interest rates by the Federal Reserve Board. As in the past, however, your
managers' consistent focus on bond quality, call protection, and
diversification continued to help moderate price fluctuations.
At this writing, the market's fundamentals are strong and getting
stronger. The Fed's actions have helped keep possible inflation in check,
while the market's supply and demand characteristics are positive. The
supply of municipal bonds is running more than 40% below last year's pace,
while demand for tax-free securities is rising, driven by both rising taxes and
the high volume of bond calls nationwide expected over the next 12 to 18
months. This combination of low inflation, shrinking bond supply, and mounting
demand should provide support for bond prices.
Just as important, the finances of New York State continue to improve,
providing your managers with opportunities to add several attractive issues to
the portfolio.
Throughout the year, focus was maintained on high-quality, essential
service issues diversified by sector across the state and backed by stable,
predictable revenue streams, as well as on bonds offering significant call
protection.
Looking ahead, we believe that the New York municipal market offers
substantial value to investors. The fundamentals for long-term performance are
in place, and your managers will continue to look for opportunities to buy
value at attractive prices--the best way to produce long-term investment gains.
We appreciate your confidence in the managers of Oppenheimer New York
Tax-Exempt Fund, and we look forward to continuing to help you meet your
investment goals in the future.
/s/ DONALD W. SPIRO
- -------------------
Donald W. Spiro
President
Oppenheimer New York Tax-Exempt Fund
October 21, 1994
(4) See footnote 1, page 2.
3 Oppenheimer New York Tax-Exempt Fund
<PAGE> 4
STATEMENT OF INVESTMENTS September 30, 1994
<TABLE>
<CAPTION>
RATINGS: MOODY'S/
S&P'S/FITCH'S FACE MARKET VALUE
(UNAUDITED) AMOUNT SEE NOTE 1
=================================================================================================================================
<S> <C> <C> <C>
MUNICIPAL BONDS AND NOTES--98.6%
- ---------------------------------------------------------------------------------------------------------------------------------
NEW YORK--76.9% City of New York General Obligation Bonds:
Series A, 7.75%, 8/15/16 Baa1/A- $ 2,500,000 $ 2,737,152
Series B, 8.25%, 6/1/07 Baa1/A- 1,750,000 2,014,670
Series B, FSA Insured, 8.638%, 10/1/07(1) Aaa/AAA 7,500,000 7,231,462
Prerefunded, Series F, 8.25%, 11/15/17 Aaa/A- 7,820,000 9,300,505
Series F, 8.25%, 11/15/17 Baa1/A- 680,000 767,514
7.482%, 8/1/08(1) NR/NR 9,250,000 7,575,305
8.245%, 8/1/13(1) Baa1/A- 5,000,000 4,155,170
8.245%, 8/1/14(1) Baa1/A- 8,150,000 6,742,234
---------------------------------------------------------------------------------------------------
Dormitory Authority of the State of New York:
Revenue Bonds:
City University System:
Series A, 5.75%, 7/1/18 Baa1/BBB 2,500,000 2,219,317
Prerefunded, Series A, 7.625%, 7/1/20 AAA/BBB 1,475,000 1,679,425
Series C, 6%, 7/1/16 Baa1/BBB 9,000,000 8,311,788
Series U, 6.375%, 7/1/08 Baa1/BBB 3,000,000 2,961,834
Series V, 5.60%, 7/1/10 Baa1/BBB 10,880,000 9,872,478
Cornell University System, FGIC Insured,
6.875%, 7/1/14 Aa/AA 7,000,000 7,291,837
Department of Health, Prerefunded, 7.70%, 7/1/20 Aaa/BBB 2,750,000 3,141,974
Judicial Facilities Lease, Escrowed
to Maturity, MBIA Insured, 7.375%, 7/1/16 Aaa/AAA 2,300,000 2,586,035
Pooled Capital Program, Prerefunded,
FGIC Insured, 7.80%, 12/1/05 Aaa/AAA 8,145,000 8,827,045
Rockefeller University System,
MBIA Insured, 7.375%, 7/1/14 Aaa/AAA 4,000,000 4,295,555
Revenue Refunding Bonds:
City University System:
Second Series A, 5.75%, 7/1/18 Baa1/BBB 6,750,000 6,014,114
Series B, 6%, 7/1/14 Baa1/BBB 10,875,000 10,102,657
Fordham University System,
FGIC Insured, 5.75%, 7/1/15 Aaa/AAA/AAA 5,700,000 5,289,389
State University Educational Facilities System:
Series A, 5.25%, 5/15/15 Baa1/BBB+ 23,090,000 19,718,305
Series A, 5.25%, 5/15/21 Baa1/BBB+ 5,010,000 4,060,108
Prerefunded, Series B, 7.25%, 5/15/15 NR/AAA 1,735,000 1,940,519
Prerefunded, Series B, 7.25%, 5/15/15 Aaa/BBB+ 15,230,000 17,034,068
Series B, 7%, 5/15/16 Baa1/BBB+ 9,020,000 9,314,196
---------------------------------------------------------------------------------------------------
Grand Central District Management Assn., Inc.,
New York Business District Capital Improvement:
Revenue Bonds, Prerefunded, 6.50%, 1/1/22 Aaa/AAA 2,000,000 2,168,866
Revenue Refunding Bonds:
5.125%, 1/1/14 A1/A 1,000,000 849,551
5.25%, 1/1/22 A1/A 2,500,000 2,053,837
---------------------------------------------------------------------------------------------------
Metropolitan Transportation Authority
of New York Revenue Bonds:
Commuter Facilities, Series A,
MBIA Insured, 6.125%, 7/1/12 Aaa/AAA 4,090,000 4,007,234
Transportation Facilities Service
Contracts, 6%, 7/1/21 Baa1/BBB 12,950,000 11,723,581
---------------------------------------------------------------------------------------------------
New York City Health and Hospital Corp.
Revenue Refunding Bonds, Series A,
AMBAC Insured, 7.595%, 2/15/23(1) Aaa/AAA/AAA 8,300,000 6,549,206
</TABLE>
4 Oppenheimer New York Tax-Exempt Fund
<PAGE> 5
<TABLE>
<CAPTION>
RATINGS: MOODY'S/
S&P'S/FITCH'S FACE MARKET VALUE
(UNAUDITED) AMOUNT SEE NOTE 1
=================================================================================================================================
<S> <C> <C> <C> <C>
NEW YORK (CONTINUED) New York City Housing Development Corp.
Multi-Family Housing Revenue Bonds:
1985 First Series, FHA Insured, 9.875%, 10/1/17 Aa/AA $ 500,000 $ 518,653
Glenn Garden Project, 6.50%, 1/15/18 NR/NR 3,045,199 2,928,446
Keith Plaza Project, 6.50%, 2/15/18 NR/NR 2,011,262 2,018,292
---------------------------------------------------------------------------------------------------
New York City Industrial Development Agency
Revenue Bonds, Terminal One Group Assn.:
6%, 1/1/15 A/A/A- 5,000,000 4,640,580
6.125%, 1/1/24 A/A/A- 3,000,000 2,784,918
---------------------------------------------------------------------------------------------------
New York City Municipal Water Finance Authority
Revenue Bonds, Water and Sewer System:
Prerefunded, Series A,
MBIA Insured, 7.25%, 6/15/15 Aaa/AAA 7,000,000 7,811,586
Series B, AMBAC Insured, 5.375%, 6/15/19 Aaa/AAA/AAA 5,000,000 4,320,170
Prerefunded, Series B, 6.375%, 6/15/22 A/A-/A 2,650,000 2,846,709
Series B, 6.375%, 6/15/22 A/A-/A 6,100,000 5,936,935
Prerefunded, Series C, 7.75%, 6/15/20 Aaa/A- 11,500,000 13,256,751
---------------------------------------------------------------------------------------------------
New York State Energy Research and
Development Authority:
Electric Facilities Revenue Bonds:
Consolidated Edison Co. of New York Project:
Series B, 6.375%, 12/1/27 Aa3/A+ 10,000,000 9,651,749
Series C, 7.25%, 11/1/24 Aa3/A+ 3,450,000 3,620,864
Long Island Lighting Co.:
Series A, 7.15%, 12/1/20 Ba1B+ 7,500,000 7,481,332
Series C, 6.90%, 8/1/22 Ba1/BB+/NR 9,200,000 8,901,081
Gas Facilities Revenue Bonds,
Brooklyn Union Gas Co. Project:
Series B, 10.546%, 7/1/26(1) A1/A/A 6,000,000 6,217,487
Series D, MBIA Insured, 7.569%, 7/8/26(1) Aaa/AAA/A 2,000,000 1,439,272
Pollution Control Revenue Bonds,
Orange and Rockland Utilities, Inc. Project,
10.25%, 10/1/14 Baa1/A-/A+ 1,700,000 1,734,000
---------------------------------------------------------------------------------------------------
New York State Housing Finance Agency:
Revenue Bonds, Service Contracts, Series D,
5.375%, 3/15/23 Baa1/BBB 9,000,000 7,566,570
Revenue Refunding Bonds:
New York City Health Facility:
Series A, 7.90%, 11/1/99 Baa/A- 3,500,000 3,843,826
Series A, 8%, 11/1/08 Baa/A- 3,240,000 3,646,785
State University Construction, Escrowed
to Maturity, Prerefunded, Series A, 7.90%, 11/1/06 Aaa/AAA 1,750,000 2,052,674
---------------------------------------------------------------------------------------------------
New York State Local Government
Assistance Corp. Revenue Bonds:
Series A, 5.375%, 4/1/14 A/A/A+ 5,500,000 4,812,962
Prerefunded, Series C, 7%, 4/1/21 Aaa/AAA/AAA 9,455,000 10,513,771
Series C, 5.50%, 4/1/22 A/A/A+ 16,175,000 14,022,560
Prerefunded, Series D, 6.75%, 4/1/21 Aaa/AAA/AAA 4,700,000 5,177,801
Revenue Refunding Bonds:
Series B, 5.50%, 4/1/21 A/A/A+ 12,800,000 11,091,160
Series C, 5%, 4/1/21 A/A/A+ 15,000,000 11,951,159
</TABLE>
5 Oppenheimer New York Tax-Exempt Fund
<PAGE> 6
STATEMENT OF INVESTMENTS (Continued)
<TABLE>
<CAPTION>
RATINGS: MOODY'S/
S&P'S/FITCH'S FACE MARKET VALUE
(UNAUDITED) AMOUNT SEE NOTE 1
=================================================================================================================================
<S> <C> <C> <C> <C>
NEW YORK (CONTINUED) New York State Medical Care
Facilities Finance Agency:
Revenue Bonds:
Hospital and Nursing Home Mortgage:
Series B, FHA Insured, 6.20%, 8/15/22 NR/AAA $11,470,000 $10,873,581
Series C, FHA Insured, 6.375%, 8/15/29 NR/AAA 10,000,000 9,620,979
Long-Term Health Care,
Series C, CGIC Insured, 6.40%, 11/1/14 Aaa/AAA 3,000,000 3,006,168
Mental Health Services Facilities
Improvement Project:
Prerefunded, Series A, 8.875%, 8/15/07 Aaa/AAA 6,200,000 6,993,860
Series A, 8.875%, 8/15/07 Baa1/BBB+ 6,800,000 7,526,967
Series A, FGIC Insured, 6.375%, 8/15/17 Aaa/AAA/AAA 5,000,000 5,000,000
Series A, 7.70%, 2/15/18 Baa1/BBB+ 765,000 824,447
Prerefunded, Series B, 7.875%, 8/15/20 Aaa/AAA 2,800,000 3,229,346
Series B, 7.875%, 8/15/20 Baa1/BBB+ 2,020,000 2,210,954
St. Francis Hospital Project,
Series 1988A, FGIC Insured, 7.625%, 11/1/21 Aaa/AAA/AAA 2,690,000 2,924,640
Saint Luke's-Roosevelt Hospital Center Mtg.,
Prerefunded, Series B, FHA Insured, 7.45%, 2/15/29 Aaa/AAA 7,500,000 8,429,542
Revenue Refunding Bonds:
Hospital Mtg., Series A,
FHA Insured, 5.25%, 8/15/14 Aa/AAA 16,940,000 14,594,621
Mental Health Services Facilities
Improvement Project:
Series F, 5.375%, 2/15/14 Baa1/BBB+ 6,600,000 5,635,627
Series F, FSA Insured, 5.25%, 2/15/21 Aaa/AAA 4,400,000 3,705,236
---------------------------------------------------------------------------------------------------
New York State Mortgage Agency Revenue Bonds:
Eighth Series C, Verex Pool Insured, 8.40%, 10/1/17 Aa/NR 1,715,000 1,807,568
Ninth Series B, Verex Pool Insured, 8.30%, 10/1/17 Aa/NR 1,760,000 1,822,880
8.334%, 10/1/24(1) NR/NR 9,000,000 5,678,135
Homeowner Mortgage:
Series 1, 7.95%, 10/1/21 Aa/NR 2,270,000 2,343,532
Series GG, 7.60%, 10/1/18 Aa/NR 280,000 287,583
Series UU, FHA Insured, 7.75%, 10/1/23 Aa/NR 2,000,000 2,125,164
---------------------------------------------------------------------------------------------------
New York State Power Authority:
Revenue Bonds, Series Y, 6.50%, 1/1/11 Aa/AA- 2,500,000 2,557,287
Revenue Refunding Bonds, Series V, 8%, 1/1/17 Aa/AA- 5,580,000 6,076,168
---------------------------------------------------------------------------------------------------
New York State Thruway Authority Revenue Bonds,
Service Contract, Series A, 5.75%, 1/1/19 A1/A 10,000,000 8,999,829
---------------------------------------------------------------------------------------------------
New York State Urban Development Corp.,
Correctional Facilities Capital Project:
Revenue Bonds:
Prerefunded, Series G, 7.25%, 1/1/14 Aaa/NR 3,650,000 4,061,483
Prerefunded, Series G, 7%, 1/1/17 Aaa/NR 2,000,000 2,202,696
Revenue Refunding Bonds:
5.50%, 1/1/15 Baa1/BBB/A 10,000,000 8,699,229
5.50%, 1/1/18 Baa1/BBB/A 17,490,000 15,013,853
---------------------------------------------------------------------------------------------------
Onondaga County, New York Resources Recovery
Agency Revenue Bonds, Resources Recovery
Facilities Project, 7%, 5/1/15 Baa/NR/A- 14,500,000 14,451,758
</TABLE>
6 Oppenheimer New York Tax-Exempt Fund
<PAGE> 7
<TABLE>
<CAPTION>
RATINGS: MOODY'S/
S&P'S/FITCH'S FACE MARKET VALUE
(UNAUDITED) AMOUNT SEE NOTE 1
=================================================================================================================================
<S> <C> <C> <C> <C>
NEW YORK (CONTINUED) Port Authority of New York and New Jersey,
Consolidated Revenue Bonds:
Sixty Series, 8.25%, 4/1/23 A1/AA-/AA- $ 8,775,000 $ 9,096,761
Sixty-Second Series, 8%, 12/1/23 A1/AA-/AA- 1,370,000 1,441,595
Sixty-Third Series, 7.875%, 3/1/24 A1/AA-/AA- 9,000,000 9,502,596
Eighty-Fifth Series, 5.375%, 3/1/28 A1/AA-/AA- 9,000,000 7,555,680
---------------------------------------------------------------------------------------------------
Suffolk County, New York General Obligation
Refunding Bonds, Southwest Sewer District,
Escrowed to Maturity, Prerefunded, Series B,
22.875%, 2/1/95 NR/AAA 2,500,000 2,655,395
---------------------------------------------------------------------------------------------------
Triborough Bridge and Tunnel Authority
of New York General Purpose Revenue Bonds:
Series A, 5%, 1/1/12 Aa/A+ 13,130,000 11,237,468
Series A, 5%, 1/1/15 Aa2/A+ 7,500,000 6,286,778
Series B, 0%, 1/1/09 Aa2/A+ 3,925,000 1,605,800
Series B, 0%, 1/1/16 Aa2/A+ 2,540,000 644,266
Series B, 0%, 1/1/17 Aa2/A+ 13,045,000 3,095,343
Series X, 6%, 1/1/14 Aa2/A+ 14,510,000 13,871,065
Series Y, 5.50%, 1/1/17 Aa2/A+ 5,000,000 4,453,135
------------
585,474,039
- ---------------------------------------------------------------------------------------------------------------------------------
U.S. POSSESSIONS--21.7% Puerto Rico Commonwealth Aqueduct and Sewer
Authority Revenue Bonds, Escrowed to Maturity,
Prerefunded, 10.25%, 7/1/09 Aaa/AAA 500,000 674,951
---------------------------------------------------------------------------------------------------
Puerto Rico Commonwealth General Obligation
Refunding Bonds:
Series A, 6%, 7/1/14 Baa1/A 12,000,000 11,387,472
5.25%, 7/1/18 Baa1/A 20,000,000 16,823,898
Prerefunded, 7.70%, 7/1/20 NR/AAA 5,000,000 5,712,679
YCNS, FSA Insured, 8.021%, 7/1/20(1) Aaa/AAA 11,500,000 9,974,111
---------------------------------------------------------------------------------------------------
Puerto Rico Commonwealth Highway and
Transportation Authority Revenue Bonds:
Prerefunded, Series S, 6.50%, 7/1/22 NR/AAA 13,500,000 14,643,611
Prerefunded, Series T, 6.50%, 7/1/22 NR/AAA 2,790,000 3,026,346
Series W, 7.385%, 7/1/10(1) Baa1/A 9,000,000 7,361,333
---------------------------------------------------------------------------------------------------
Puerto Rico Commonwealth Infrastructure
Financing Authority Special Tax Revenue Bonds,
Series A, 7.75%, 7/1/08 Baa1/BBB+ 6,000,000 6,525,828
---------------------------------------------------------------------------------------------------
Puerto Rico Electric Power Authority:
Revenue Bonds:
Prerefunded, Series O, 7.125%, 7/1/14 Baa1/AAA 6,145,000 6,759,554
Series O, 7.125%, 7/1/14 Baa1/A- 3,235,000 3,434,288
Series P, 7%, 7/1/21 Baa1/A- 6,000,000 6,213,215
Series T, 6%, 7/1/16 Baa1/A- 7,500,000 7,099,005
Revenue Refunding Bonds:
Series N, 5%, 7/1/12 Baa1/A- 6,545,000 5,519,149
Series U, 6%, 7/1/14 Baa1/A- 8,025,000 7,572,718
---------------------------------------------------------------------------------------------------
Puerto Rico Housing Bank and Finance
Agency Single Family Mtg. Revenue Bonds,
Homeownership--Fourth Portfolio,
Prerefunded, FHA Insured, 8.50%, 12/1/18 Aaa/NR 1,580,000 1,904,532
</TABLE>
7 Oppenheimer New York Tax-Exempt Fund
<PAGE> 8
STATEMENT OF INVESTMENTS (Continued)
<TABLE>
<CAPTION>
RATINGS: MOODY'S/
S&P'S/FITCH'S FACE MARKET VALUE
(UNAUDITED) AMOUNT SEE NOTE 1
=================================================================================================================================
<S> <C> <C> <C>
U.S. POSSESSIONS (CONTINUED) Puerto Rico Housing Finance Corp. Single
Family Mtg. Revenue Bonds, Prerefunded,
GNMA Collateral, 6.85%, 10/15/24 Aaa/AAA $ 3,250,000 $ 3,328,958
---------------------------------------------------------------------------------------------------
Puerto Rico Industrial, Medical and Environmental
Pollution Control Revenue Bonds:
American Airlines, Inc. Project,
Series A, 8.75%, 12/1/25 Baa1/A+ 850,000 894,734
Warner Lambert Co. Project, 7.60%, 5/1/14 AA/NR/AAA 3,000,000 3,335,067
---------------------------------------------------------------------------------------------------
Puerto Rico Public Buildings Authority
Guaranteed Public Education and Health Facilities:
Revenue Bonds:
Prerefunded, Series J, 7.25%, 7/1/17 Aaa/AAA 6,000,000 6,561,065
Prerefunded, Series L, 6.875%, 7/1/21 Aaa/A 6,000,000 6,647,825
Revenue Refunding Bonds:
Series L, 5.75%, 7/1/16 Baa1/A 12,100,000 11,089,118
Series M, 5.75%, 7/1/15 Baa1/A 11,500,000 10,523,581
---------------------------------------------------------------------------------------------------
Puerto Rico Telephone Authority Revenue Bonds,
MBIA Insured, 7.039%, 1/16/15(1) Aaa/AAA 11,000,000 8,577,271
------------
165,590,309
------------
Total Municipal Bonds and Notes (Cost $779,391,028) 751,064,348
=================================================================================================================================
SHORT-TERM TAX-EXEMPT OBLIGATIONS--0.2%
- ---------------------------------------------------------------------------------------------------------------------------------
City of New York Cultural Resources Revenue
Refunding Bonds, American Museum of Natural
History, Series A, MBIA Insured, 3.35%(2)
(Cost $1,200,000) Aaa/AAA 1,200,000 1,200,000
- ---------------------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS, AT VALUE (COST $780,591,028) 98.8% 752,264,348
- ---------------------------------------------------------------------------------------------------------------------------------
OTHER ASSETS NET OF LIABILITIES 1.2 8,911,968
----------- ------------
NET ASSETS 100.0% $761,176,316
=========== ============
</TABLE>
(1) Represents the current interest rate for a
variable rate bond. Variable rate bonds known as
"inverse floaters" pay interest at a rate that
varies inversely with short-term interest rates.
As interest rates rise, inverse floaters produce
less current income. Their price may be more
volatile than the price of a comparable fixed-rate
security.
(2) Floating or variable rate obligation
maturing in more than one year. The interest rate,
which is based on specific, or an index of, market
interest rates, is subject to change periodically
and is the effective rate on September 30, 1994.
A demand feature allows the recovery of principal
at any time, or at specified intervals not
exceeding one year, on up to 30 days notice.
See accompanying Notes to Financial Statements.
8 Oppenheimer New York Tax-Exempt Fund
<PAGE> 9
STATEMENT OF ASSETS AND LIABILITIES September 30, 1994
<TABLE>
<S> <C> <C>
================================================================================================================================
ASSETS Investments, at value (cost $780,591,028)--see accompanying statement $752,264,348
--------------------------------------------------------------------------------------------------
Cash 782,054
--------------------------------------------------------------------------------------------------
Receivables:
Interest 13,783,056
Shares of beneficial interest sold 1,123,453
--------------------------------------------------------------------------------------------------
Other 22,259
------------
Total assets 767,975,170
================================================================================================================================
LIABILITIES Payables and other liabilities:
Shares of beneficial interest redeemed 3,431,982
Dividends 2,646,422
Distribution and service plan fees--Note 4 487,162
Other 233,288
------------
Total liabilities 6,798,854
================================================================================================================================
NET ASSETS $761,176,316
============
================================================================================================================================
COMPOSITION OF Paid-in capital $786,272,600
NET ASSETS --------------------------------------------------------------------------------------------------
Undistributed net investment income 1,685,934
--------------------------------------------------------------------------------------------------
Accumulated net realized gain from investment transactions 1,544,462
--------------------------------------------------------------------------------------------------
Net unrealized depreciation on investments--Note 3 (28,326,680)
------------
Net assets $761,176,316
============
================================================================================================================================
NET ASSET VALUE Class A Shares:
PER SHARE Net asset value and redemption price per share (based on net assets
of $687,233,355 and 57,643,750 shares of beneficial interest outstanding) $11.92
Maximum offering price per share (net asset value plus sales charge
of 4.75% of offering price) $12.51
--------------------------------------------------------------------------------------------------
Class B Shares:
Net asset value, redemption price and offering price per share (based on
net assets of $73,942,961 and 6,199,583 shares of beneficial interest outstanding) $11.93
</TABLE>
See accompanying Notes to Financial Statements.
9 Oppenheimer New York Tax-Exempt Fund
<PAGE> 10
STATEMENT OF OPERATIONS For the Year Ended September 30, 1994
<TABLE>
<S> <C> <C>
================================================================================================================================
INVESTMENT INCOME Interest $ 52,336,632
================================================================================================================================
EXPENSES Management fees--Note 4 4,074,417
--------------------------------------------------------------------------------------------------
Distribution and service plan fees:
Class A--Note 4 1,780,777
Class B--Note 4 612,760
--------------------------------------------------------------------------------------------------
Transfer and shareholder servicing agent fees--Note 4 487,979
--------------------------------------------------------------------------------------------------
Shareholder reports 133,381
--------------------------------------------------------------------------------------------------
Trustees' fees and expenses 81,122
--------------------------------------------------------------------------------------------------
Custodian fees and expenses 56,356
--------------------------------------------------------------------------------------------------
Legal and auditing fees 48,479
--------------------------------------------------------------------------------------------------
Registration and filing fees:
Class A 13,281
Class B 14,549
--------------------------------------------------------------------------------------------------
Other 86,167
------------
Total expenses 7,389,268
================================================================================================================================
NET INVESTMENT INCOME 44,947,364
================================================================================================================================
REALIZED AND UNREALIZED Net realized gain on investments 1,578,448
GAIN (LOSS) ON INVESTMENTS --------------------------------------------------------------------------------------------------
Net change in unrealized appreciation or depreciation on investments (92,939,878)
-----------
Net realized and unrealized loss on investments (91,361,430)
================================================================================================================================
NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS $(46,414,066)
============
</TABLE>
See accompanying Notes to Financial Statements.
10 Oppenheimer New York Tax-Exempt Fund
<PAGE> 11
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
YEAR ENDED SEPTEMBER 30,
1994 1993
================================================================================================================================
<S> <C> <C> <C>
OPERATIONS Net investment income $ 44,947,364 $ 37,419,311
--------------------------------------------------------------------------------------------------
Net realized gain on investments 1,578,448 10,840,246
--------------------------------------------------------------------------------------------------
Net change in unrealized appreciation or depreciation on investments (92,939,878) 42,115,874
------------ ------------
Net increase (decrease) in net assets resulting from operations (46,414,066) 90,375,431
================================================================================================================================
DIVIDENDS AND Dividends from net investment income:
DISTRIBUTIONS TO Class A ($.7155 and $.75 per share, respectively) (41,273,404) (37,617,756)
SHAREHOLDERS Class B ($.6033 and $.37 per share, respectively) (2,926,006) (558,098)
--------------------------------------------------------------------------------------------------
Dividends in excess of net investment income:
Class A ($.0081 per share) (464,748) --
Class B ($.0201 per share) (32,947) --
--------------------------------------------------------------------------------------------------
Distributions from net realized gain on investments:
Class A ($.0260 and $.078 per share, respectively) (1,480,818) (3,645,107)
Class B ($.0260 per share) (97,630) --
--------------------------------------------------------------------------------------------------
Distributions in excess of net realized gain on investments:
Class A ($.1144 per share) (6,524,436) --
Class B ($.1144 per share) (430,153) --
================================================================================================================================
BENEFICIAL INTEREST Net increase in net assets resulting from Class A
TRANSACTIONS beneficial interest transactions--Note 2 22,278,985 179,235,850
--------------------------------------------------------------------------------------------------
Net increase in net assets resulting from Class B
beneficial interest transactions--Note 2 40,649,454 39,841,699
================================================================================================================================
NET ASSETS Total increase (decrease) (36,715,769) 267,632,019
--------------------------------------------------------------------------------------------------
Beginning of year 797,892,085 530,260,066
----------- -----------
End of year (including undistributed net investment
income of $1,685,934 and $1,237,047, respectively) $761,176,316 $797,892,085
============ ============
</TABLE>
See accompanying Notes to Financial Statements.
11 Oppenheimer New York Tax-Exempt Fund
<PAGE> 12
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
CLASS A
----------------------------------------------------------------------------
YEAR ENDED
SEPTEMBER 30,
1994 1993 1992 1991 1990 1989 1988
================================================================================================================================
<S> <C> <C> <C> <C> <C> <C> <C>
PER SHARE OPERATING DATA:
Net asset value, beginning of period $13.50 $12.59 $12.21 $11.61 $11.87 $11.91 $11.60
- --------------------------------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .74 .73 .79 .81 .83 .84(2) .88(2)
Net realized and unrealized
gain (loss) on investments (1.46) 1.01 .47 .64 (.25) .01 .45
-------- --------- -------- ------- -------- ------- ------
Total income (loss) from
investment operations (.72) 1.74 1.26 1.45 .58 .85 1.33
- --------------------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net
investment income (.71) (.75) (.75) (.81) (.83) (.83) (.94)
Dividends in excess
of net investment income (.01) -- -- -- -- -- --
Distributions from net
realized gain on investments (.03) (.08) (.13) (.04) (.01) (.06) (.08)
Distributions in excess of net
realized gain on investments (.11) -- -- -- -- -- --
-------- --------- -------- ------- -------- ------- ------
Total dividends and
distributions to shareholders (.86) (.83) (.88) (.85) (.84) (.89) (1.02)
- --------------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $11.92 $13.50 $12.59 $12.21 $11.61 $11.87 $11.91
======== ========= ======== ======= ======== ======= ======
================================================================================================================================
Total Return, at Net Asset Value(3) (5.55)% 14.33% 10.72% 12.93% 4.95% 6.91% 11.48%
================================================================================================================================
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(in thousands) $687,233 $756,934 $530,260 $349,480 $250,012 $197,321 $116,931
- --------------------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $738,747 $652,327 $436,876 $292,134 $227,504 $156,572 $95,996
- --------------------------------------------------------------------------------------------------------------------------------
Number of shares outstanding
at end of period (in thousands) 57,644 56,087 42,119 28,617 21,533 16,618 9,817
- --------------------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income 5.68% 5.66% 6.33% 6.81% 6.97% 7.07% 7.48%
Expenses .86% .91% .96% .96% .99% .98%(2) .90%(2)
- --------------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate(5) 9.4% 39.1% 30.5% 8.9% 13.3% 11.8% 11.7%
</TABLE>
<TABLE>
<CAPTION>
CLASS A CLASS B
-------------------------------------------- -----------------
TEN MONTHS ENDED YEAR ENDED
SEPTEMBER 30, SEPTEMBER 30,
1987 1986 1985 1994 1993(1)
==================================================================================================================
<S> <C> <C> <C> <C> <C>
PER SHARE OPERATING DATA:
Net asset value, beginning of period $12.51 $10.98 $10.32 $13.50 $13.07
- ------------------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .90(2) .86 .76 .64 .36
Net realized and unrealized
gain (loss) on investments (.79) 1.62 .67 (1.45) .44
-------- -------- ------- -------- -------
Total income (loss) from
investment operations .11 2.48 1.43 (.81) .80
- ------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net
investment income (.88) (.86) (.77) (.60) (.37)
Dividends in excess
of net investment income -- -- -- (.02) --
Distributions from net
realized gain on investments (.14) (.09) -- (.03) --
Distributions in excess of net
realized gain on investments -- -- -- (.11) --
------- -------- -------- ------- --------
Total dividends and
distributions to shareholders (1.02) (.95) (.77) (.76) (.37)
- ------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $11.60 $12.51 $10.98 $11.93 $13.50
======= ======== ======== ======= ========
==================================================================================================================
Total Return, at Net Asset Value(3) .29% 22.73% 13.37% (6.22)% 6.56%
- ------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(in thousands) $79,479 $50,810 $28,166 $73,943 $40,958
- ------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $65,102 $42,907 $15,240 $61,008 $20,454
- ------------------------------------------------------------------------------------------------------------------
Number of shares outstanding
at end of period (in thousands) 6,851 4,061 2,565 6,200 3,033
- ------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income 7.33% 7.10% 8.05%(4) 4.88% 4.45%(4)
Expenses .67%(2) .86% 1.00%(4) 1.65% 1.73%(4)
- ------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate(5) 22.9% 29.7% 126.3% 9.4% 39.1%
</TABLE>
(1) For the period from March 1, 1993 (inception of offering) to September 30,
1993.
(2) Net investment income would have been $.83, $.87 and $.88 absent the
voluntary assumption of expenses, resulting in an expense ratio of 1.00%,
1.02% and .85% for 1989, 1988 and 1987, respectively.
(3) Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period, with all dividends and distributions reinvested
in additional shares on the reinvestment date, and redemption at the net asset
value calculated on the last business day of the fiscal period. Sales charges
are not reflected in the total returns.
(4) Annualized.
(5) The lesser of purchases or sales of portfolio securities for a period,
divided by the monthly average of the market value of portfolio securities
owned during the period. Securities with a maturity or expiration date at the
time of acquisition of one year or less are excluded from the calculation.
Purchases and sales of investment securities (excluding short-term securities)
for the year ended September 30, 1994 were $145,939,745 and $73,796,519,
respectively.
See accompanying Notes to Financial Statements.
12 Oppenheimer New York Tax-Exempt Fund
<PAGE> 13
NOTES TO FINANCIAL STATEMENTS
<TABLE>
<S> <C>
1. SIGNIFICANT Oppenheimer New York Tax-Exempt Fund (the Fund) is registered under the Investment Company Act of
ACCOUNTING POLICIES 1940, as amended, as a diversified, open-end management investment company. The Fund's investment
advisor is Oppenheimer Management Corporation (the Manager). The Fund offers both Class A and Class
B shares. Class A shares are sold with a front-end sales charge. Class B shares may be subject to a
contingent deferred sales charge. Both classes of shares have identical rights to earnings, assets
and voting privileges, except that each class has its own distribution and/or service plan, expenses
directly attributable to a particular class and exclusive voting rights with respect to matters
affecting a single class. Class B shares will automatically convert to Class A shares six years
after the date of purchase. The following is a summary of significant accounting policies
consistently followed by the Fund.
------------------------------------------------------------------------------------------------------
INVESTMENT VALUATION. Portfolio securities are valued at 4:00 p.m. (New York time) on each trading
day. Long-term debt securities are valued by a portfolio pricing service approved by the Board of
Trustees. Long-term debt securities which cannot be valued by the approved portfolio pricing service
are valued by averaging the mean between the bid and asked prices obtained from two active market
makers in such securities. Short-term debt securities having a remaining maturity of 60 days or less
are valued at cost (or last determined market value) adjusted for amortization to maturity of any
premium or discount. Securities for which market quotes are not readily available are valued under
procedures established by the Board of Trustees to determine fair value in good faith.
------------------------------------------------------------------------------------------------------
ALLOCATION OF INCOME, EXPENSES AND GAINS AND LOSSES. Income, expenses (other than those attributable
to a specific class) and gains and losses are allocated daily to each class of shares based upon the
relative proportion of net assets represented by such class. Operating expenses directly attributable
to a specific class are charged against the operations of that class.
------------------------------------------------------------------------------------------------------
FEDERAL INCOME TAXES. The Fund intends to continue to comply with provisions of the Internal Revenue
Code applicable to regulated investment companies and to distribute all of its taxable income,
including any net realized gain on investments not offset by loss carryovers, to shareholders.
Therefore, no federal income tax provision is required.
------------------------------------------------------------------------------------------------------
TRUSTEES' FEES AND EXPENSES. The Fund has adopted a nonfunded retirement plan for the Fund's
independent trustees. Benefits are based on years of service and fees paid to each trustee during the
years of service. During the year ended September 30, 1994, a provision of $23,148 was made for the
Fund's projected benefit obligations, resulting in an accumulated liability of $127,766. No payments
have been made under the plan.
------------------------------------------------------------------------------------------------------
DISTRIBUTIONS TO SHAREHOLDERS. The Fund intends to declare dividends separately for Class A and
Class B shares from net investment income each day the New York Stock Exchange is open for business
and pay such dividends monthly. Distributions from net realized gains on investments, if any, will be
declared at least once each year.
------------------------------------------------------------------------------------------------------
CHANGE IN ACCOUNTING FOR DISTRIBUTIONS TO SHAREHOLDERS. Effective October 1, 1993, the Fund adopted
Statement of Position 93-2: Determination, Disclosure, and Financial Statement Presentation of Income,
Capital Gain, and Return of Capital Distributions by Investment Companies. As a result, the Fund
changed the classification of distributions to shareholders to better disclose the differences between
financial statement amounts and distributions determined in accordance with income tax regulations.
Accordingly, subsequent to September 30, 1993, amounts have been reclassified to reflect a decrease in
paid-in capital of $2,595,004, an increase in undistributed net investment income of $287,909, and a
decrease in undistributed capital loss on investments of $2,307,095. During the year ended September
30, 1994, in accordance with Statement of Position 93-2, undistributed net investment income was
decreased by $89,281 and undistributed capital gain was increased by $89,281.
------------------------------------------------------------------------------------------------------
OTHER. Investment transactions are accounted for on the date the investments are purchased or sold
(trade date). Original issue discount on securities purchased is amortized over the life of the
respective securities, in accordance with federal income tax requirements. Realized gains and
losses on investments and unrealized appreciation and depreciation are determined on an identified
cost basis, which is the same basis used for federal income tax purposes. For bonds acquired after
April 30, 1993, accrued market discount is recognized at maturity or disposition as taxable ordinary
income. Taxable ordinary income is realized to the extent of the lesser of gain or accrued market
discount.
</TABLE>
13 Oppenheimer New York Tax-Exempt Fund
<PAGE> 14
NOTES TO FINANCIAL STATEMENTS (Continued)
<TABLE>
<S> <C>
====================================================================================================================================
2. SHARES OF The Fund has authorized an unlimited number of no par value shares of beneficial interest of each
BENEFICIAL INTEREST class. Transactions in shares of beneficial interest were as follows:
</TABLE>
<TABLE>
<CAPTION>
YEAR ENDED SEPTEMBER 30, 1994 YEAR ENDED SEPTEMBER 30, 1993(1)
----------------------------- --------------------------------
SHARES AMOUNT SHARES AMOUNT
------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Class A:
Sold 8,954,607 $115,070,127 18,532,060 $238,699,747
Dividends and distributions reinvested 2,804,397 35,919,371 2,235,515 28,846,483
Redeemed (10,201,903) (128,710,513) (6,800,016) (88,310,380)
----------- ------------ ---------- ------------
Net increase 1,557,101 $ 22,278,985 13,967,559 $179,235,850
-----------------------------------------------------------------------------------------------------
Class B:
Sold 3,489,946 $ 44,671,139 3,044,196 $ 39,986,285
Dividends and distributions reinvested 183,542 2,334,544 22,045 292,115
Redeemed (507,286) (6,356,229) (32,860) (436,701)
----------- ------------ ---------- ------------
Net increase 3,166,202 $ 40,649,454 3,033,381 $ 39,841,699
=========== ============ ========== ============
</TABLE>
(1) For the year ended September 30, 1993 for
Class A shares and for the period from March 1,
1993 (inception of offering) to September 30,
1993 for Class B shares.
<TABLE>
<S> <C>
====================================================================================================================================
3. UNREALIZED GAINS AND At September 30, 1994, net unrealized depreciation on investments of $28,326,680 was composed of gross
LOSSES ON INVESTMENTS appreciation of $18,530,958, and gross depreciation of $46,857,638.
====================================================================================================================================
4. MANAGEMENT FEES Management fees paid to the Manager were in accordance with the investment advisory agreement with the
AND OTHER TRANSACTIONS Fund which provides for an annual fee of .60% on the first $200 million of net assets, .55% on the
WITH AFFILIATES next $100 million, .50% on the next $200 million, .45% on the next $250 million, .40% on the next
$250 million and .35% on net assets in excess of $1 billion.
For the year ended September 30, 1994, commissions (sales charges paid by investors) on
sales of Class A shares totaled $2,933,373, of which $551,881 was retained by Oppenheimer Funds
Distributor, Inc. (OFDI), a subsidiary of the Manager, as general distributor, and by an affiliated
broker/dealer. During the year ended September 30, 1994, OFDI received contingent deferred sales
charges of $149,477 upon redemption of Class B shares, as reimbursement for sales commissions
advanced by OFDI at the time of sale of such shares.
Oppenheimer Shareholder Services (OSS), a division of the Manager, is the transfer and
shareholder servicing agent for the Fund, and for other registered investment companies. OSS's total
costs of providing such services are allocated ratably to these companies.
Under separate approved plans, each class may expend up to .25% of its net assets
annually to reimburse OFDI for costs incurred in connection with the personal service and
maintenance of accounts that hold shares of the Fund, including amounts paid to brokers, dealers,
banks and other financial institutions. In addition, Class B shares are subject to an asset-based
sales charge of .75% of net assets annually, to reimburse OFDI for sales commissions paid from its
own resources at the time of sale and associated financing costs. In the event of termination or
discontinuance of the Class B plan, the Board of Trustees may allow the Fund to continue payment of
the asset-based sales charge to OFDI for distribution expenses incurred on Class B shares sold prior
to termination or discontinuance of the plan. During the year ended September 30, 1994, OFDI paid
$26,802 and $902, respectively to an affiliated broker/dealer as reimbursement for Class A and
Class B personal service and maintenance expenses and retained $582,434 as reimbursement for Class B
sales commissions and service fee advances, as well as financing costs.
</TABLE>
14 Oppenheimer New York Tax-Exempt Fund
<PAGE> 15
INDEPENDENT AUDITORS' REPORT
The Board of Trustees and Shareholders of Oppenheimer New York Tax-Exempt Fund:
We have audited the accompanying statements of investments and assets and
liabilities of Oppenheimer New York Tax-Exempt Fund as of September 30, 1994,
and the related statement of operations for the year then ended, the statements
of changes in net assets for each of the years in the two-year period then
ended and the financial highlights for each of the years in the nine-year
period then ended and the ten-month period ended September 30, 1985. 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 and financial highlights. Our procedures included
confirmation of securities owned as of September 30, 1994, by correspondence
with the custodian. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights
referred to above present fairly, in all material respects, the financial
position of Oppenheimer New York Tax-Exempt Fund as of September 30, 1994, the
results of its operations for the year then ended, the changes in its net
assets for each of the years in the two-year period then ended, and the
financial highlights for each of the years in the nine-year period then ended
and the ten-month period ended September 30, 1985, in conformity with generally
accepted accounting principles.
KPMG PEAT MARWICK LLP
Denver, Colorado
October 21, 1994
15 Oppenheimer New York Tax-Exempt Fund
<PAGE> 16
FEDERAL INCOME TAX INFORMATION (Unaudited)
In early 1995, shareholders will receive information regarding all dividends
and distributions paid to them by the Fund during calendar year 1994.
Regulations of the U.S. Treasury Department require the Fund to report this
information to the Internal Revenue Service.
A capital gain distribution of $.1404 per share was paid on December
10, 1993, of which $.0893 was designated as a "capital gain distribution" for
federal income tax purposes. Whether received in stock or cash, the capital
gain distribution should be treated by shareholders as a gain from the sale of
capital assets held for more than one year (long-term capital gains). Both
short-term and long-term capital gain distributions are subject to federal,
state and local taxes.
None of the dividends paid by the Fund during the fiscal year ended
September 30, 1994 are eligible for the corporate dividend-received deduction.
The dividends were derived from interest on municipal bonds and are not subject
to federal income tax. To the extent a shareholder is subject to any state or
local tax laws, some or all of the dividends received may be taxable.
The foregoing information is presented to assist shareholders in
reporting distributions received from the Fund to the Internal Revenue Service.
Because of the complexity of the federal regulations which may affect your
individual tax return and the many variations in state and local tax
regulations, we recommend that you consult your tax advisor for specific
guidance.
16 Oppenheimer New York Tax-Exempt Fund
<PAGE> 17
OPPENHEIMER NEW YORK TAX-EXEMPT FUND
<TABLE>
<S> <C>
====================================================================================================================================
OFFICERS AND TRUSTEES Leon Levy, Chairman of the Board of Trustees
Leo Cherne, Trustee
Edmund T. Delaney, Trustee
Robert G. Galli, Trustee
Benjamin Lipstein, Trustee
Elizabeth B. Moynihan, Trustee
Kenneth A. Randall, Trustee
Edward V. Regan, Trustee
Russell S. Reynolds, Jr., Trustee
Sidney M. Robbins, Trustee
Donald W. Spiro, Trustee and President
Pauline Trigere, Trustee
Clayton K. Yeutter, Trustee
Robert E. Patterson, Vice President
George C. Bowen, Treasurer
Robert J. Bishop, Assistant Treasurer
Scott Farrar, Assistant Treasurer
Andrew J. Donohue, Secretary
Robert G. Zack, Assistant Secretary
====================================================================================================================================
INVESTMENT ADVISOR Oppenheimer Management Corporation
====================================================================================================================================
DISTRIBUTOR Oppenheimer Funds Distributor, Inc.
====================================================================================================================================
TRANSFER AND SHAREHOLDER Oppenheimer Shareholder Services
SERVICING AGENT
====================================================================================================================================
CUSTODIAN OF Citibank, N.A.
PORTFOLIO SECURITIES
====================================================================================================================================
INDEPENDENT AUDITORS KPMG Peat Marwick LLP
====================================================================================================================================
LEGAL COUNSEL Gordon Altman Butowsky Weitzen Shalov & Wein
</TABLE>
This is a copy of a report to shareholders of
Oppenheimer New York Tax-Exempt Fund. This report
must be preceded or accompanied by a Prospectus of
Oppenheimer New York Tax-Exempt Fund. For material
information concerning the Fund, see the
Prospectus.
17 Oppenheimer New York Tax-Exempt Fund
<PAGE> 18
OPPENHEIMERFUNDS FAMILY
<TABLE>
<S> <C>
====================================================================================================================================
OppenheimerFunds offers over 35 funds designed to fit virtually every investment goal. Whether
you're investing for retirement, your children's education or tax-free income, we have the funds to
help you seek your objective.
When you invest with OppenheimerFunds, you can feel comfortable knowing that you are investing
with a respected financial institution with over 30 years of experience in helping people just like
you reach their financial goals. And you're investing with a leader in global, growth stock and
flexible fixed income investments--with over 1.8 million shareholder accounts and more than $26
billion under Oppenheimer's management and that of our affiliates.
As an OppenheimerFunds shareholder, you can easily exchange shares of eligible funds of the same
class by mail or by telephone for a small administrative fee.1 For more information on
OppenheimerFunds, please contact your financial advisor or call us at 1-800-525-7048 for a prospectus.
You may also write us at the address shown on the back cover. As always, please read the prospectus
carefully before you invest.
====================================================================================================================================
STOCK FUNDS Discovery Fund Global Fund
Global Emerging Growth Fund(2) Oppenheimer Fund
Time Fund Value Stock Fund
Target Fund Gold & Special Minerals Fund
Growth Fund(3)
====================================================================================================================================
STOCK & BOND FUNDS Main Street Income & Growth Fund Equity Income Fund
Total Return Fund Asset Allocation Fund
Global Growth & Income Fund
====================================================================================================================================
BOND FUNDS High Yield Fund Strategic Short-Term Income Fund
Champion High Yield Fund Investment Grade Bond Fund
Strategic Income & Growth Fund Mortgage Income Fund
Strategic Income Fund U.S. Government Trust
Strategic Diversified Income Fund Limited-Term Government Fund
Strategic Investment Grade Bond Fund
====================================================================================================================================
TAX-EXEMPT FUNDS New York Tax-Exempt Fund(4) New Jersey Tax-Exempt Fund(4)
California Tax-Exempt Fund(4) Tax-Free Bond Fund
Pennsylvania Tax-Exempt Fund(4) Insured Tax-Exempt Bond Fund
Florida Tax-Exempt Fund(4) Intermediate Tax-Exempt Bond Fund
====================================================================================================================================
MONEY MARKET FUNDS Money Market Fund Cash Reserves
</TABLE>
(1) The fee is waived for PhoneLink exchanges
between existing accounts. Exchange privileges are
subject to change or termination.
(2) Formerly Oppenheimer Global Bio-Tech Fund
and Oppenheimer Global Environment Fund.
(3) Formerly Special Fund.
(4) Available only to residents of those states.
OppenheimerFunds are distributed by Oppenheimer
Funds Distributor, Inc., Two World Trade Center,
New York, NY 10048-0203. (C) Copyright 1994
Oppenheimer Management Corporation. All rights
reserved.
18 Oppenheimer New York Tax-Exempt Fund
<PAGE> 19
'Talk to a Customer Service
Representative.
Monday through Friday from
8:30 a.m. to 8:00 p.m., and
Saturday from 10:00 a.m.
to 2:00 p.m. ET.
Make account transactions with a
Customer Service Representative.
Monday through Friday from
8:30 a.m. to 8:00 p.m. ET.
Get automated information or
make automated transcactions.
24 hours a day, 7 days a week.
Service for the hearing impaired.
Monday through Friday from
8:30 a.m. to 8:00 p.m. ET.
Hear timely and insightful
messages on the economy and
issues that affect your finances.
24 hours a day, 7 days a week.
"Just as OppenheimerFunds offers over 35 different mutual funds designed to
help meet virtually every investment need, Oppenheimer Shareholder Services
offers a variety of services to satisfy your individual needs. Whenever you
require help, we're only a toll-free phone call away.
"For personalized assistance
and account information, call our General
Information number to speak with our
knowledgeable Customer Service
Representatives and get the help you need. [Photograph of
"When you want to make account Barbara Hennigar
transactions, it's easy for you to redeem Chief Executive Officer
shares, exchange shares, or conduct Oppenheimer Shareholder
AccountLink transactions, simply by calling Services.]
our Telephone Transactions number.
"And for added convenience,
OppenheimerFunds' Phone Link, an automated
voice response system is available 24 hours
a day, 7 days a week. PhoneLink gives you access to a variety of fund,
account, and market information. You can even make purchases,
- ------------ exchanges and redemptions using your touch-tone phone. Of
1 9 9 3 course, PhoneLink will always give you the option to
AWARD of speak with a Customer Service Representative during the hours
EXCELLENCE shown to the left.
[LOGO] icsa "When you invest in OppenheimerFunds, you know
- ------------ you'll receive a high level of customer service. The
International International Customer Service Association knows it, too, as
Customer it awarded Oppenheimer Shareholder Services a 1993 Award of
Service Excellence for consistenly demonstrating superior customer
Association service.
"Whatever your needs, we're ready to assist you."
[Logo] OppenheimerFunds(R) -------------------
Oppenheimer Funds Distributor, Inc. Bulk Rate
P.O. Box 5270 U.S. Postage
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Permit No. 377
Hackensack, NJ
--------------------
