--------------------------------
Semiannual Report March 31, 1998
--------------------------------
OPPENHEIMER
New York
Municipal Fund
[GRAPHIC OMITTED]
[LOGO]
OppenheimerFunds(SM)
THE RIGHT WAY TO INVEST
<PAGE>
Contents
3 President's Letter
4 Fund Performance
6 An Interview
with the Fund's Manager
10 Statement of Investments
18 Statement of
Assets and Liabilities
20 Statement of Operations
21 Statements of Changes in
Net Assets
22 Financial Highlights
25 Notes to Financial Statements
31 Officers and
Trustees
32 Information and Services
Report highlights
- --------------------------------------------------------------------------------
o New York's recovering economy continued to offer attractive investment
opportunities. We focused on undervalued credits in sectors of vital interest to
New York City, and throughout the rest of the state. These included state
appropriation bonds issued by city and state universities, as well as
transportation authorities.
o We found new opportunities to invest in the state's hospital system through
state-guaranteed bonds.
o By actively managing the Fund in relation to the changing outlook for interest
rates, we achieved a below-average risk profile, while enhancing performance.
- -------------------------------
Cumulative Total Returns
- -------------------------------
For the 6-Month Period
Ended 3/31/98
Class A
Without With
Sales Chg.(1) Sales Chg.(2)
- -------------------------------
3.92% (1.02)%
- -------------------------------
Class B
Without With
Sales Chg.(1) Sales Chg.(2)
- -------------------------------
3.61% (1.39)%
- -------------------------------
Class C
Without With
Sales Chg.(1) Sales Chg.(2)
- -------------------------------
3.53% 2.53%
- -------------------------------
Total returns include changes in share price and reinvestment of dividends and
capital gains distributions in a hypothetical investment for the periods shown.
In reviewing performance and rankings, please remember that past performance
does not guarantee future results. Investment return and principal value of 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.
1. Includes changes in net asset value per share without deducting any sales
charges. This performance is not annualized.
2. Class A return includes the current maximum initial sales charge of 4.75%.
Class B return includes the applicable contingent deferred sales charge of 5%.
Class C return includes the contingent deferred sales charge of 1%. An
explanation of the different performance calculations is in the Fund's
prospectus. Class B and C shares are subject to an annual 0.75% asset-based
sales charge. This performance is not annualized.
2 Oppenheimer New York Municipal Fund
<PAGE>
[PHOTO OMITTED]
Bridget A. Macaskill
President
Oppenheimer New York
Municipal Fund
Dear shareholder,
- --------------------------------------------------------------------------------
These have been very positive times for many American investors. The U.S.
economy has continued to grow at a moderate pace, unemployment has fallen to its
lowest level in 30 years and inflation has also fallen to a record low. In fact,
long-term interest rates have fallen to their lowest level since the government
began issuing 30-year Treasury bonds in 1977.
What benefits does this provide to the average American? First, when
unemployment levels are low, many individuals tend to feel a greater sense of
job security and can command higher wages because there are fewer unemployed
workers vying for their jobs. Second, many homeowners are opting to refinance
their existing home mortgage loans and take advantage of lower financing rates.
And third, because wages are increasing faster than the rate of inflation, a
paycheck may stretch farther and investors, as consumers, are able to enjoy a
higher level of disposable income. This extra income can be put to use in many
ways, including allocating more money to investment opportunities.
Some industry analysts have tempered such positive news by suggesting that
if the rate of inflation falls any lower, it might actually trigger a period of
deflation, where we see the prices of American goods and services decline. While
lower prices may sound like positive news, in reality it isn't: When prices fall
too low, it erodes the value of those goods to the producer. That is, when
economic conditions force a decrease in the price of goods, companies have to
sell more of those items in order to make the same amount of profit, which
translates into greater difficulties for corporations to improve their bottom
lines.
At OppenheimerFunds, we do not believe we will see a period of deflation
in the United States. The fundamental factors that have driven the U.S. market
still appear to be in place: an economy that's in its eighth year of expansion
with moderate growth, low unemployment, virtually no inflation and low interest
rates. However, because of economic uncertainties in other parts of the world,
particularly Asia, we expect to see slower growth for stocks in 1998 and a year
in which double-digit returns from the equity markets are unlikely. It's also
possible that we may see investors favor the fixed, more secure interest
payments offered from the bond markets.
In closing, we'd like to reassure you that as professional money managers,
we continue to keep a watchful eye on these situations and are closely
monitoring your fund's investments. In times like these, your financial advisor
can be of invaluable assistance to you in helping review your financial plan and
guide your investments accordingly.
Thank you for your confidence in OppenheimerFunds, The Right Way to
Invest. We look forward to helping you reach your investment goals in the
future.
/s/ Bridget A. Macaskill
Bridget A. Macaskill
April 21, 1998
3 Oppenheimer New York Municipal Fund
<PAGE>
Performance update
- --------------------------------------------------------------------------------
- ---------------------------------
Avg Annual Total Returns
- ---------------------------------
For the Periods Ended 3/31/98(1)
Class A
1 year 5 year 10 year
- ---------------------------------
5.37% 5.06% 7.18%
- ---------------------------------
Class B
Since
1 year 5 year Inception
- ---------------------------------
4.88% 4.94% 4.86%
- ---------------------------------
Class C
Since
1 year 5 year Inception
- ---------------------------------
8.79% N/A 7.07%
- ---------------------------------
- ---------------------------------
Cumulative Total Return
- ---------------------------------
For the Period Ended 3/31/98(1)
Class A
5 year
- ---------------------------------
28.02% $12,802(4)
- ---------------------------------
- ---------------------------------
Standardized Yields(5)
- ---------------------------------
For the 30 Days Ended 3/31/98
Class A
- ---------------------------------
4.19%
- ---------------------------------
Class B
- ---------------------------------
3.63%
- ---------------------------------
Class C
- ---------------------------------
3.63%
- ---------------------------------
Oppenheimer New York Municipal Fund delivered strong returns during the past six
months, outperforming many of its competitors, while limiting risk. The Fund's
gains are largely due to the careful selection of investment sectors and
individual credits, and to the successful management of the portfolio's average
duration.(2) In addition, the Fund outperformed many of its competitors earning
its Class A shares a position in the top half of the 97 New York municipal funds
ranked by Lipper, for the one-year period ended March 31, 1998.(3)
[The following table was depicted as a line graph in the printed material.]
Growth of $10,000
Over five years(4)
(without sales charges)
o 3/31/98 Oppenheimer New York Municipal Fund
Class A shares $13,454
o 3/31/98 Lehman Municipal
Bond Index $13,910
1. Total returns include changes in share price and reinvestment of dividends
and capital gains distributions in a hypothetical investment for the periods
shown. Class A returns include the current maximum initial sales charge of
4.75%. Class A shares were first publicly offered on 8/16/84. The Fund's maximum
sales charge for Class A shares was lower prior to 1/31/86, so actual
performance may have been higher. Class B returns include the applicable
contingent deferred sales charge of 5% (1-year) and 1% (since inception on
3/1/93). Class C returns for the one-year result include the contingent deferred
sales charge of 1%. Class C shares have an inception date of 8/29/95. An
explanation of the different performance calculations is in the Fund's
prospectus. Class B and C shares are subject to an annual 0.75% asset-based
sales charge.
2. Duration is a measure of the portfolio's sensitivity to interest rates.
4 Oppenheimer New York Municipal Fund
<PAGE>
Portfolio review
Oppenheimer New York Municipal Fund is for investors looking for income that's
exempt from New York State, City and federal income taxes.
What We Look For
o Issues that provide high triple tax-free income.
o Value-oriented issues with price appreciation potential.
o A diversity of issues across the state.
o Municipal regions with improving credit quality.
Top 5 Sectors(6)
- ----------------------------------
Higher Education 12.6%
- ----------------------------------
General Obligation 12.0
- ----------------------------------
Lease Rental 11.5
- ----------------------------------
Highways 11.0
- ----------------------------------
Electric Utilities 10.8
- ----------------------------------
Credit Allocation(6)
[The following table was represented as a pie chart in the printed material.]
o AAA 36.2%
o AA 7.3
o A 23.6
o BBB 25.3
o BB 7.6
3. Source: Lipper Analytical Services, Inc., 3/31/98. Based on the comparisons
between changes in net asset value without considering sales charges, with
dividends and capital gains distributions of the Fund's Class A shares
reinvested. The Fund's Class A shares were ranked 48 of 97 (1-year), 26 of 49
(5-year) and 19 of 27 (10-year) among New York municipal funds for the period
ended 3/31/98.
4. Results of a hypothetical $10,000 investment in Class A shares on March 31,
1993. The Lehman Municipal Bond Index includes a broad range index of municipal
bonds. It is an unmanaged index, including reinvestment of income, and cannot be
purchased directly by investors. Past performance does not guarantee future
results.
5. Standardized yield is based on net investment income for the 30-day period
ended 3/31/98. Falling net asset values will tend to artificially raise yields.
6. Portfolio data is as of 3/31/98, dollar-weighted based on investment assets
and subject to change. Securities rated by any rating organization are included
in the equivalent Standard & Poor's rating category. Average credit quality and
allocation includes securities rated by national rating organizations as well as
unrated securities (currently 8.0% of total investments) which have ratings
assigned by the manager in categories equivalent to those of rating
organizations.
5 Oppenheimer New York Municipal Fund
<PAGE>
An interview with your Fund's manager
- --------------------------------------------------------------------------------
"Our central
focus has
never wavered."
How has the Fund performed during the last six months?
Oppenheimer New York Municipal Fund's Class A shares delivered a cumulative
total return, without sales charges, of 3.92% for the six-month period ended
March 31, 1998.(1) The Fund provided this return during the period while
limiting volatility through the prudent use of various investment techniques to
hedge against risk.
What events had the greatest impact on the New York tax-exempt market?
Two counterbalancing economic trends served to limit the trading range of the
overall bond market, including New York municipal bonds. First, investors
expected the turmoil in Asian markets to slow the U.S. economy and keep
inflation in check, which is generally seen as positive for bonds. Second,
evidence continued to mount throughout the period that the domestic economy
remained strong, raising the possibility of renewed inflation.
These conflicting trends served to hold municipal bond prices within a
relatively narrow trading range, a pattern reflected in most bond markets,
including U.S. Treasury securities. Each new report of strong economic growth or
rising labor costs fueled inflation concerns. At the same time, a steady stream
of news about the impact of the Asian crisis on U.S. corporate earnings reduced
those inflationary fears. As a result, bond markets experienced a high level of
volatility within a narrow range as yields rose and fell in response to
investors' changing outlooks for economic growth, inflation and federal monetary
policy.
1. Includes changes in net asset value per share without deducting any sales
charges. Such performance is not annualized and would have been lower if sales
charges were taken into account.
6 Oppenheimer New York Municipal Fund
<PAGE>
[PHOTO OMITTED]
Portfolio Management
Team (l to r)
Jerry Webman
Robert Patterson
(Portfolio Manager)
How did you manage the Fund in this environment?
We consistently exercise strong risk management and intensive analysis to
identify opportunities for above-average return with below-average risks.
Regardless of market conditions, we prefer to keep our shareholders' assets
fully invested in a diversified portfolio of good-quality securities that
provide competitive levels of income and attractive relative values.
In addition to the careful selection of investment sectors and individual
credits, we sought to boost returns and reduce risks by actively managing the
portfolio's average duration. Duration is a measure of a bond's sensitivity to
changes in interest rates. The longer a portfolio's average duration, the better
it is likely to perform in an environment of falling interest rates. At the
beginning of the period, we expected interest rates to decline, so we took a
mildly long position relative to our benchmarks. After the first of the year,
however, prospects dimmed for immediately lower interest rates, so we shifted to
a more neutral position with respect to duration.
As a result of our duration shifts, shareholders benefited from the Fund's
below average risk profile and strong relative performance, particularly during
the second half of the period.
7 Oppenheimer New York Municipal Fund
<PAGE>
"We remain committed to our strategy of conservative risk management."
An interview with your Fund's manager
- --------------------------------------------------------------------------------
What sectors did you find attractive, and which did you avoid?
As New York's economic recovery slowly continued, we focused on undervalued
credits in sectors of vital interest to the city and state. These included state
appropriation bonds--connected with the annual state budget-- such as bonds
issued by the city and state universities and transportation authorities. In
addition, we added to our position in New York City because of the city's
strengthening financial position.
We also identified attractive opportunities outside New York State. For
example, at the end of the period approximately 16% of the Fund's portfolio was
invested in Puerto Rico bonds. These bonds broaden the Fund's diversification,
while providing shareholders with the benefits of income exempt from New York
state and local taxes.
On the other hand, although we believe utilities hold promise for the
future, we avoided utility bonds during the period because the sector continues
to be roiled by deregulation. We also tended to focus away from smaller
municipalities in New York because of the risk implicit in their dependence on
federal- and state-level financial decisions and appropriations to meet local
obligations.
8 Oppenheimer New York Municipal Fund
<PAGE>
What is your outlook for the future?
New York City's credit rating was recently upgraded by Moody's Investors
Service, one of the principal rating agencies--an indication of the city's
steady recovery. We believe many of the city's and state's debt instruments
remain undervalued and that the local economy will continue to improve, offering
investors on-going opportunities for attractive, after-tax returns in New York
municipal bonds.
We remain committed to our strategy of conservative risk management, and
to our relentless search for undervalued issues in the New York municipal bond
market. These qualities continue to make Oppenheimer New York Municipal Fund
part of The Right Way to Invest.
9 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Statement of Investments March 31, 1998 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings:
Moody's/ Face Market Value
S&P/Fitch Amount See Note 1
==========================================================================================================
<S> <C> <C> <C>
Municipal Bonds and Notes--99.5%
- ----------------------------------------------------------------------------------------------------------
New York--83.4%
Battery Park City, NY RB, Series A,
AMBAC Insured, 5.50%, 11/1/16 Aaa/AAA $ 5,000,000 $ 5,194,950
- ----------------------------------------------------------------------------------------------------------
Buffalo, NY GOB, Series E, AMBAC Insured,
6.65%, 12/1/13 Aaa/AAA/AAA 500,000 577,655
- ----------------------------------------------------------------------------------------------------------
Erie Cnty., NY IDA Life Care Community RB,
Episcopal Church Home, Series A, 6%, 2/1/28 NR/NR 5,000,000 5,022,200
- ----------------------------------------------------------------------------------------------------------
Grand Central District Management Assn.,
Inc. NY Business District Capital Improvement
RRB, 5.125%, 1/1/14 A1/A 1,000,000 989,800
- ----------------------------------------------------------------------------------------------------------
Grand Central District Management Assn.,
Inc. NY Business District Capital Improvement
RRB, 5.25%, 1/1/22 A1/A 2,500,000 2,473,025
- ----------------------------------------------------------------------------------------------------------
Monroe Cnty., NY IDA RB, DePaul Community
Facilities, Series A, 5.875%, 2/1/28 NR/NR 750,000 746,685
- ----------------------------------------------------------------------------------------------------------
NY MTAU Commuter Facilities RRB, Series B,
MBIA Insured, 6.25%, 7/1/17 Aaa/AAA 350,000 385,157
- ----------------------------------------------------------------------------------------------------------
NY MTAU Commuter Facilities RRB, Series E,
AMBAC Insured, 5%, 7/1/21 Aaa/AAA/AAA 5,000,000 4,872,150
- ----------------------------------------------------------------------------------------------------------
NY MTAU RB, Transportation Facilities Service
Contracts, Series 3, 7.375%, 7/1/08 Baa1/BBB+ 250,000 295,157
- ----------------------------------------------------------------------------------------------------------
NY TBTAU GP RB, Series X, 6%, 1/1/14 Aa3/A+ 14,510,000 15,196,033
- ----------------------------------------------------------------------------------------------------------
NY TBTAU GP RRB, Series A, 5%, 1/1/15 Aa3/A+ 7,500,000 7,432,275
- ----------------------------------------------------------------------------------------------------------
NY TBTAU GP RRB, Series A, 5.125%, 1/1/22 Aa3/A+ 5,500,000 5,421,515
- ----------------------------------------------------------------------------------------------------------
NY TBTAU GP RRB, Series B, 5%, 1/1/20 Aa3/A+ 500,000 496,030
- ----------------------------------------------------------------------------------------------------------
NY TBTAU GP RRB, Series Y, 5.50%, 1/1/17 Aa3/A+ 15,000,000 15,999,150
- ----------------------------------------------------------------------------------------------------------
NY TBTAU SPO RRB, Series A,
MBIA Insured, 6.625%, 1/1/17 Aaa/AAA 500,000 537,620
- ----------------------------------------------------------------------------------------------------------
NY United Nations Development Corp. RRB,
Sr. Lien, Series B, 5.60%, 7/1/26 A2/NR/A 1,500,000 1,504,530
- ----------------------------------------------------------------------------------------------------------
NY United Nations Development Corp. RRB,
Sub. Lien, Series C, 5.60%, 7/1/26 A3/NR/A- 3,000,000 3,009,390
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Inverse Floater, 7.505%, 8/1/08(1) A3/BBB+ 8,250,000 9,105,937
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Inverse Floater, 8.462%, 8/1/13(1) A3/BBB+ 5,000,000 5,637,500
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Inverse Floater, 8.462%, 8/1/14(1) A3/BBB+ 8,150,000 9,189,125
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Prerefunded, Series C,
Subseries C-1, 7.50%, 8/1/20 Aaa/BBB+/A- 110,000 126,062
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Prerefunded, Series F, 8.25%, 11/15/17 Aaa/BBB+ 7,820,000 9,015,678
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Series B, 8.25%, 6/1/07 A3/BBB+ 1,750,000 2,195,252
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Series B, FSA Insured,
Inverse Floater, 6.843%, 10/1/07(1) Aaa/AAA 7,500,000 8,022,675
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Series H, 6.125%, 8/1/25 A3/BBB+/A- 6,000,000 6,466,020
</TABLE>
10 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings:
Moody's/ Face Market Value
S&P/Fitch Amount See Note 1
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
New York (continued)
NYC GOB, Series M, AMBAC Insured,
7.50%, 6/1/07 Aaa/AAA $ 7,680,000 $ 9,361,997
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Unrefunded Balance, Series A,
7.75%, 3/15/03 A3/BBB+/A- 150,000 161,605
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Unrefunded Balance, Series A,
7.75%, 8/15/16 A3/BBB+ 157,500 174,691
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Unrefunded Balance, Series F,
8.25%, 11/15/17 A3/BBB+ 680,000 771,032
- ----------------------------------------------------------------------------------------------------------
NYC GOB, Unrefunded Balance, Subseries C-1,
7.50%, 8/1/20 Baa1/BBB+/A- 15,000 16,856
- ----------------------------------------------------------------------------------------------------------
NYC GORB, Series B, MBIA Insured,
6.20%, 8/15/06 Aaa/AAA 3,500,000 3,899,455
- ----------------------------------------------------------------------------------------------------------
NYC GORB, Series D, MBIA Insured,
5.75%, 8/1/05 Aaa/AAA 450,000 483,255
- ----------------------------------------------------------------------------------------------------------
NYC GORB, Unrefunded Balance,
Series F, 7.625%, 2/1/14 Baa1/BBB+/A- 25,000 27,915
- ----------------------------------------------------------------------------------------------------------
NYC HDC MH RB, Glenn Gardens Project,
6.50%, 1/15/18 NR/NR 2,867,646 2,994,712
- ----------------------------------------------------------------------------------------------------------
NYC HDC MH RB, Keith Plaza Project,
6.50%, 2/15/18 NR/NR 1,894,918 1,986,272
- ----------------------------------------------------------------------------------------------------------
NYC HDC MH RB, Series A, 5.625%, 5/1/12 Aa2/AA 4,500,000 4,666,275
- ----------------------------------------------------------------------------------------------------------
NYC Health & Hospital Corp. RRB, AMBAC
Insured, Inverse Floater, 7.36%, 2/15/23(1) Aaa/AAA/AAA 8,300,000 8,746,125
- ----------------------------------------------------------------------------------------------------------
NYC IDA Civic Facility RB, Community
Resources Development, 7.50%, 8/1/26 NR/NR 3,500,000 3,728,760
- ----------------------------------------------------------------------------------------------------------
NYC IDA Civic Facility RB, USTA National
Tennis Center Project, FSA Insured,
6.375%, 11/15/14 Aaa/AAA 1,500,000 1,669,605
- ----------------------------------------------------------------------------------------------------------
NYC IDA RB, Visy Paper, Inc. Project,
7.95%, 1/1/28 NR/NR 12,250,000 14,303,712
- ----------------------------------------------------------------------------------------------------------
NYC IDA RRB, Brooklyn Navy Yard Cogen
Partners, 5.75%, 10/1/36 Baa3/BBB- 3,000,000 3,075,330
- ----------------------------------------------------------------------------------------------------------
NYC IDA RRB, Brooklyn Navy Yard Cogen
Partners, 6.20%, 10/1/22 Baa3/BBB- 5,000,000 5,620,800
- ----------------------------------------------------------------------------------------------------------
NYC IDA SPF RB, Northwest Airlines, Inc.,
6%, 6/1/27 Ba2/BB 6,700,000 7,038,953
- ----------------------------------------------------------------------------------------------------------
NYC IDA SPF RB, United Air Lines, Inc. Project,
5.65%, 10/1/32 Baa3/BB+ 6,585,000 6,696,418
- ----------------------------------------------------------------------------------------------------------
NYC IDAU Civil Facility RB, YMCA Greater NY
Project, 5.80%, 8/1/16 Baa3/NR/BBB 2,470,000 2,583,595
- ----------------------------------------------------------------------------------------------------------
NYC IDAU RB, Visy Paper, Inc. Project, 7.80%,
1/1/16 NR/NR 6,800,000 7,899,764
- ----------------------------------------------------------------------------------------------------------
NYC IDAU SPF RB, Terminal One Group Assn.
Project, 6%, 1/1/15 A3/A/A- 6,000,000 6,341,580
</TABLE>
11 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Statement of Investments March 31, 1998 (Unaudited) (continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings:
Moody's/ Face Market Value
S&P/Fitch Amount See Note 1
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
New York (continued)
NYC IDAU SPF RB, Terminal One Group Assn.
Project, 6.125%, 1/1/24 A3/A/A- $ 3,000,000 $ 3,190,590
- ----------------------------------------------------------------------------------------------------------
NYC MWFAU WSS RB, Prerefunded, Series C,
7.75%, 6/15/20 Aaa/A- 15,000,000 16,851,150
- ----------------------------------------------------------------------------------------------------------
NYC MWFAU WSS RB, Unrefunded Balance,
Series B, 6.375%, 6/15/22 A2/A-/A 6,625,000 7,261,199
- ----------------------------------------------------------------------------------------------------------
NYC MWFAU WSS RRB, Series A-1994,
7.10%, 6/15/12 A2/A- 275,000 300,809
- ----------------------------------------------------------------------------------------------------------
NYC MWFAU WSS RRB, Series C, FGIC Insured,
5%, 6/15/21 Aaa/AAA/AAA 19,000,000 18,514,740
- ----------------------------------------------------------------------------------------------------------
NYC MWFAU WSS RRB, Unrefunded Balance,
6.75%, 6/15/17 A2/A- 2,480,000 2,667,662
- ----------------------------------------------------------------------------------------------------------
NYC Transitional FAU RB, Future Tax Second,
Series A, 5.125%, 8/15/21 Aa3/NR 5,000,000 4,936,000
- ----------------------------------------------------------------------------------------------------------
NYS DA RB, City University-Third General
Resolution, Series 2, MBIA Insured,
6.875%, 7/1/14 Aaa/AAA/A- 500,000 579,775
- ----------------------------------------------------------------------------------------------------------
NYS DA RB, Ithaca College, AMBAC Insured,
5.25%, 7/1/26 Aaa/AAA 5,750,000 5,764,030
- ----------------------------------------------------------------------------------------------------------
NYS DA RB, Judicial Facilities Lease, Escrowed
to Maturity, MBIA Insured, 7.375%, 7/1/16 Aaa/AAA 2,300,000 2,902,899
- ----------------------------------------------------------------------------------------------------------
NYS DA RB, Mental Health Facilities Project,
AMBAC Insured, 5.25%, 2/15/18 Aaa/AAA/AAA 9,400,000 9,407,144
- ----------------------------------------------------------------------------------------------------------
NYS DA RB, New York University, Series A,
MBIA Insured, 5.75%, 7/1/27 Aaa/AAA 6,000,000 6,687,180
- ----------------------------------------------------------------------------------------------------------
NYS DA RB, Pooled Capital Program, Partially
Prerefunded, FGIC Insured, 7.80%, 12/1/05 Aaa/AAA/AAA 6,105,000 6,359,640
- ----------------------------------------------------------------------------------------------------------
NYS DA RB, Rockefeller University,
MBIA Insured, 7.375%, 7/1/14 Aaa/AAA 4,000,000 4,113,640
- ----------------------------------------------------------------------------------------------------------
NYS DA RB, Rosalind & Joseph Nursing Home,
AMBAC Insured, 5.70%, 2/1/37 Aaa/AAA 2,000,000 2,092,000
- ----------------------------------------------------------------------------------------------------------
NYS DA RB, Second Hospital-Interfaith Medical
Center, Series D, 5.40%, 2/15/28 Baa1/BBB+/A 3,500,000 3,501,295
- ----------------------------------------------------------------------------------------------------------
NYS DA RRB, CUS, Second Series A,
5.75%, 7/1/18 Baa1/BBB+ 6,750,000 7,246,125
- ----------------------------------------------------------------------------------------------------------
NYS DA RRB, CUS, Series B, 6%, 7/1/14 Baa1/BBB+ 10,875,000 11,965,545
- ----------------------------------------------------------------------------------------------------------
NYS DA RRB, Episcopal Health Services, Inc.,
5.85%, 8/1/13 NR/AAA 500,000 533,395
- ----------------------------------------------------------------------------------------------------------
NYS DA RRB, Fordham University, FGIC Insured,
5.75%, 7/1/15 Aaa/AAA/AAA 9,100,000 9,612,694
- ----------------------------------------------------------------------------------------------------------
NYS DA RRB, Second Hospital-North General
Hospital, Series G, 5.30%, 2/15/19 Baa1/BBB+/A 5,000,000 4,968,450
- ----------------------------------------------------------------------------------------------------------
NYS DA RRB, St. Joseph's Hospital Health
Center, MBIA Insured, 5.25%, 7/1/18 Aaa/AAA 5,035,000 5,043,056
</TABLE>
12 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings:
Moody's/ Face Market Value
S&P/Fitch Amount See Note 1
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
New York (continued)
NYS DA RRB, St. Vincent's Hospital,
7.375%, 8/1/11 Aa2/AAA $ 150,000 $ 167,518
- ----------------------------------------------------------------------------------------------------------
NYS DA RRB, SUEFS, Series A, 5.25%, 5/15/15 A3/A- 23,090,000 23,640,466
- ----------------------------------------------------------------------------------------------------------
NYS DA RRB, SUEFS, Series A, 5.25%, 5/15/21 A3/A- 5,010,000 5,145,470
- ----------------------------------------------------------------------------------------------------------
NYS DA RRB, SUEFS, Series B, 7%, 5/15/16 A3/A-/A 9,020,000 9,648,423
- ----------------------------------------------------------------------------------------------------------
NYS DA SPO Bonds, CUS, Series E,
FSA Insured, 5.75%, 7/1/11 Aaa/AAA 5,955,000 6,575,332
- ----------------------------------------------------------------------------------------------------------
NYS EFCPC RB, State Water Revolving Fund,
Prerefunded, Series E, 6.50%, 6/15/14 Aa/A 480,000 523,334
- ----------------------------------------------------------------------------------------------------------
NYS EFCPC RB, State Water Revolving Fund,
Series A, 6.60%, 9/15/12 Aaa/AAA/AAA 250,000 276,575
- ----------------------------------------------------------------------------------------------------------
NYS EFCPC RB, State Water Revolving Fund,
Series C, 7.20%, 3/15/11 Aa2/A+/AA 350,000 376,439
- ----------------------------------------------------------------------------------------------------------
NYS EFCPC RB, State Water Revolving Fund,
Unrefunded Balance, Series E, 6.50%, 6/15/14 Aa/A 20,000 21,602
- ----------------------------------------------------------------------------------------------------------
NYS ERDAUEF RB, Consolidated Edison Co.,
Series A, 7.50%, 1/1/26 A1/A+ 280,000 296,400
- ----------------------------------------------------------------------------------------------------------
NYS ERDAUEF RB, Consolidated Edison Co.,
Series B, 7.375%, 7/1/24 A1/A+ 200,000 203,548
- ----------------------------------------------------------------------------------------------------------
NYS ERDAUEF RB, L.I. Lighting Co.,
Series A, 7.15%, 12/1/20 Ba1/BB+ 7,500,000 8,213,925
- ----------------------------------------------------------------------------------------------------------
NYS ERDAUEF RB, L.I. Lighting Co.,
Series C, 6.90%, 8/1/22 Ba1/BB+ 9,200,000 10,066,180
- ----------------------------------------------------------------------------------------------------------
NYS ERDAUGF RB, Brooklyn Union Gas Co.,
Series B, Inverse Floater, 9.944%, 7/1/26(1) A1/A/A 6,000,000 7,830,000
- ----------------------------------------------------------------------------------------------------------
NYS ERDAUGF RB, Brooklyn Union Gas Co.,
Series D, MBIA Insured, Inverse Floater,
7.488%, 7/8/26(1) Aaa/AAA/A 3,000,000 3,112,500
- ----------------------------------------------------------------------------------------------------------
NYS ERDAUPC RB, NYS Electric & Gas Project,
Series A, MBIA Insured, 6.15%, 7/1/26 Aaa/AAA 4,000,000 4,314,640
- ----------------------------------------------------------------------------------------------------------
NYS GOB, 6.875%, 3/1/12 A2/A 500,000 552,295
- ----------------------------------------------------------------------------------------------------------
NYS GOB, 7%, 2/1/09 A2/A 300,000 332,664
- ----------------------------------------------------------------------------------------------------------
NYS GORB, 7.50%, 11/15/00 A2/A 500,000 544,095
- ----------------------------------------------------------------------------------------------------------
NYS HFA RB, MH Second Mtg. Program-A,
7.05%, 8/15/24 Aa2/NR 350,000 375,473
- ----------------------------------------------------------------------------------------------------------
NYS HFA RB, MH Second Mtg. Program-C,
6.95%, 8/15/24 Aa2/NR 230,000 243,556
- ----------------------------------------------------------------------------------------------------------
NYS HFA RB, Prerefunded, 8%, 11/1/08 Aaa/BBB+ 2,690,000 3,004,838
- ----------------------------------------------------------------------------------------------------------
NYS HFA RB, Unrefunded Balance,
8%, 11/1/08 Baa/BBB+ 550,000 604,824
- ----------------------------------------------------------------------------------------------------------
NYS HFA RRB, Housing Mtg., Series A,
6.10%, 11/1/15 Aaa/AAA 12,375,000 13,419,202
- ----------------------------------------------------------------------------------------------------------
NYS HFA RRB, State University Construction,
Escrowed to Maturity, Series A, 7.90%, 11/1/06 Aaa/AAA 1,750,000 2,085,983
</TABLE>
13 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Statement of Investments March 31, 1998 (Unaudited) (continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings:
Moody's/ Face Market Value
S&P/Fitch Amount See Note 1
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
New York (continued)
NYS HFA RRB, Unrefunded Balance,
7.90%, 11/1/99 Baa2/BBB+ $ 1,885,000 $ 1,967,111
- ----------------------------------------------------------------------------------------------------------
NYS HFASC Obligation RB, Series A, 6%, 3/15/26 Baa1/BBB+ 10,000,000 10,663,600
- ----------------------------------------------------------------------------------------------------------
NYS HFASC RB, Series D, 5.375%, 3/15/23 Baa1/BBB+ 9,000,000 8,993,610
- ----------------------------------------------------------------------------------------------------------
NYS LGAC RB, Prerefunded,
Series C, 7%, 4/1/21(2) Aaa/AAA/AAA 9,455,000 10,415,912
- ----------------------------------------------------------------------------------------------------------
NYS LGAC RRB, Series B, 5.50%, 4/1/21 A3/A+/A+ 3,000,000 3,055,770
- ----------------------------------------------------------------------------------------------------------
NYS LGAC RRB, Series E, 5%, 4/1/21 A3/A+/A+ 500,000 494,610
- ----------------------------------------------------------------------------------------------------------
NYS MAG RB, Homeowner Mtg.,
Series 1, 7.95%, 10/1/21 Aa2/NR 2,270,000 2,446,288
- ----------------------------------------------------------------------------------------------------------
NYS MAG RB, Homeowner Mtg.,
Series UU, 7.75%, 10/1/23 Aa2/NR 1,990,000 2,117,101
- ----------------------------------------------------------------------------------------------------------
NYS MAG RB, Homeowner Mtg.,
Series VV, 7.375%, 10/1/11 Aa2/NR 345,000 369,681
- ----------------------------------------------------------------------------------------------------------
NYS MAG RB, Inverse Floater, 6.953%, 10/1/24(1) NR/NR 9,000,000 8,786,250
- ----------------------------------------------------------------------------------------------------------
NYS MAG RB, Series 40-B, 6.40%, 10/1/12 Aa2/NR 500,000 538,645
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RB, Hospital & Nursing Home
Project, Series D, 6.45%, 2/15/09 Aa2/AAA 340,000 375,115
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RB, Long-Term Health Care,
Series C, FSA Insured, 6.40%, 11/1/14 Aaa/AAA/AAA 2,800,000 3,045,196
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RB, MHESF, Prerefunded,
Series B, 7.875%, 8/15/20 Aaa/AAA 10,190,000 11,277,884
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RB, MHESF, Series A,
FGIC Insured, 6.375%, 8/15/17 Aaa/AAA/AAA 5,000,000 5,416,750
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RB, MHESF, Unrefunded Balance,
Series B, 7.875%, 8/15/20 Baa1/BBB+ 2,990,000 3,298,209
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RB, NY Hospital, Series A,
AMBAC Insured, 6.75%, 8/15/14 Aaa/AAA/AAA 500,000 578,840
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RB, St. Francis Hospital,
Series 1998A, FGIC Insured, 7.625%, 11/1/21 Aaa/AAA/AAA 2,690,000 2,800,021
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RB, St. Luke's Hospital Center Mtg.,
Prerefunded, Series B, 7.45%, 2/15/29 Aaa/AAA 7,500,000 8,121,675
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RB, Unrefunded Balance,
7.70%, 2/15/18 Baa1/BBB+ 355,000 363,087
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RRB, MHESF, Unrefunded Balance,
Series A, 8.875%, 8/15/07 Baa1/BBB+ 2,785,000 2,851,534
- ----------------------------------------------------------------------------------------------------------
NYS MCFFA RRB, North Shore University
Hospital, MBIA Insured, 7.20%, 11/1/20 Aaa/AAA 250,000 271,823
- ----------------------------------------------------------------------------------------------------------
NYS PAU GP RRB, Refunded Balance,
Series Z, 6.625%, 1/1/12 Aa2/NR 115,000 125,450
- ----------------------------------------------------------------------------------------------------------
NYS PAU GP RRB, Series Z, 6.625%, 1/1/12 Aa2/NR 200,000 220,624
- ----------------------------------------------------------------------------------------------------------
NYS Thruway Authority General RB,
Series A, 5.75%, 1/1/19 Aa3/AA- 10,000,000 10,375,000
</TABLE>
14 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Statement of Investments March 31, 1998 (Unaudited) (continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings:
Moody's/ Face Market Value
S&P/Fitch Amount See Note 1
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
New York (continued)
NYS UDC RB, Correctional Capital Facilities,
Series 4, 5.375%, 1/1/23 Baa1/BBB+/A $ 8,750,000 $ 8,731,363
- ----------------------------------------------------------------------------------------------------------
NYS UDC RB, Series A, MBIA Insured,
5.50%, 4/1/16 Aaa/AAA/AAA 7,500,000 7,774,350
- ----------------------------------------------------------------------------------------------------------
Onondaga Cnty., NY RR Agency RB,
RR Facilities Project, 7%, 5/1/15 Baa1/NR/A- 15,600,000 16,899,012
- ----------------------------------------------------------------------------------------------------------
PAUNYNJ Consolidated RB, 69th Series,
7.125%, 6/1/25 A1/AA-/AA- 4,155,000 4,430,227
- ----------------------------------------------------------------------------------------------------------
PAUNYNJ Consolidated RRB, 78th Series,
6.50%, 4/15/11 A1/AA-/AA- 250,000 271,228
- ----------------------------------------------------------------------------------------------------------
PAUNYNJ RB, 111th Series, 5%, 10/1/32 A1/AA-/AA- 9,000,000 8,726,760
- ----------------------------------------------------------------------------------------------------------
PAUNYNJ SPO RB, JFK International Air
Terminal Project, Series 6, 5.75%, 12/1/22 Aaa/AAA 11,150,000 11,750,428
- ----------------------------------------------------------------------------------------------------------
PAUNYNJ SPO RRB, KIAC-4 Project, Fifth
Installment, 6.75%, 10/1/19 NR/NR 12,600,000 13,975,920
------------
619,763,652
- ----------------------------------------------------------------------------------------------------------
U.S. Possessions--16.1%
PR CMWLTH Aqueduct & Sewer Authority RB,
Escrowed to Maturity, 10.25%, 7/1/09 Aaa/AAA 500,000 693,440
- ----------------------------------------------------------------------------------------------------------
PR CMWLTH GOB, 5.375%, 7/1/25 Baa1/A 5,650,000 5,704,862
- ----------------------------------------------------------------------------------------------------------
PR CMWLTH GORB, FSA Insured,
Inverse Floater, 7.682%, 7/1/20(1) Aaa/AAA 11,500,000 12,951,875
- ----------------------------------------------------------------------------------------------------------
PR CMWLTH GORB, MBIA Insured, 5.25%, 7/1/18 Aaa/AAA 3,550,000 3,562,425
- ----------------------------------------------------------------------------------------------------------
PR CMWLTH HTAU RB, Prerefunded,
Series S, 6.50%, 7/1/22 NR/AAA 10,000,000 11,063,100
- ----------------------------------------------------------------------------------------------------------
PR CMWLTH HTAU RB, Series W,
Inverse Floater, 6.692%, 7/1/10(1) Baa1/A 9,000,000 9,776,250
- ----------------------------------------------------------------------------------------------------------
PR CMWLTH Infrastructure FAU SPTX RB,
Series A, 7.75%, 7/1/08 Baa1/BBB+ 6,000,000 6,182,400
- ----------------------------------------------------------------------------------------------------------
PR EPAU RB, Series AA, MBIA Insured,
5.25%, 7/1/16 Aaa/AAA 5,000,000 5,071,750
- ----------------------------------------------------------------------------------------------------------
PR EPAU RB, Series AA, MBIA Insured,
5.25%, 7/1/17 Aaa/AAA 5,000,000 5,058,900
- ----------------------------------------------------------------------------------------------------------
PR EPAU CAP RRB, Series N, MBIA Insured,
Zero Coupon, 5.69%, 7/1/17(3) Aaa/AAA 24,000,000 9,258,240
- ----------------------------------------------------------------------------------------------------------
PR EPAU RB, Series DD, 5%, 7/1/28 Baa1/BBB+ 15,240,000 14,575,536
- ----------------------------------------------------------------------------------------------------------
PR Housing Bank & Finance Agency SFM RB,
Homeownership-Fourth Portfolio,
Escrowed to Maturity, 8.50%, 12/1/18 Aaa/NR 1,580,000 1,890,296
- ----------------------------------------------------------------------------------------------------------
PR Industrial, Medical & Environmental
PC Facilities FAU RB, American Airlines, Inc.
Project, Series A, 6.45%, 12/1/25 Baa1/BB+ 850,000 941,962
</TABLE>
15 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Statement of Investments March 31, 1998 (Unaudited) (continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings:
Moody's/ Face Market Value
S&P/Fitch Amount See Note 1
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
U.S. Possessions (continued)
PR Industrial, Medical & Environmental
PC Facilities FAU RB, Warner Lambert Co.
Project, 7.60%, 5/1/14 A1/NR $ 3,000,000 $ 3,195,690
- ----------------------------------------------------------------------------------------------------------
PR POAU RB, American Airlines SPF Project,
Series A, 6.25%, 6/1/26 Baa3/BBB+ 8,000,000 8,699,600
- ----------------------------------------------------------------------------------------------------------
PR Public Buildings Authority RB, Series B,
5.25%, 7/1/21 Baa1/A 9,920,000 9,905,914
- ----------------------------------------------------------------------------------------------------------
PR Telephone Authority RB, MBIA Insured,
Inverse Floater, 7.168%, 1/16/15(1) Aaa/AAA 10,000,000 10,675,000
------------
119,207,240
------------
Total Municipal Bonds and Notes (Cost $687,524,070) 738,970,892
==========================================================================================================
Short-Term Tax-Exempt Obligations--0.1%
- ----------------------------------------------------------------------------------------------------------
NYS ERDAUPC RB, Niagara Mohawk Corp.,
3.70%, 4/1/98(4) (Cost $1,000,000) 1,000,000 1,000,000
- ----------------------------------------------------------------------------------------------------------
Total Investments, at Value (Cost $688,524,070) 99.6% 739,970,892
- ----------------------------------------------------------------------------------------------------------
Other Assets Net of Liabilities 0.4 2,973,475
----------- ------------
Net Assets 100.0% $742,944,367
=========== ============
</TABLE>
To simplify the listings of securities, abbreviations are used per the table
below:
CAP --Capital Appreciation
CMWLTH --Commonwealth
CUS --City University System
DA --Dormitory Authority
EFCPC --Environmental Facilities Corp.
Pollution Control
EPAU --Electric Power Authority
ERDAUEF --Energy Research & Development
Authority Electric Facilities
ERDAUGF --Energy Research & Development
Authority Gas Facilities
ERDAUPC --Energy Research & Development
Authority Pollution Control
FAU --Finance Authority
GP --General Purpose
GOB --General Obligation Bonds
GORB --General Obligation Refunding Bonds
HDC --Housing Development Corp.
HFA --Housing Finance Agency
HFASC --Housing Finance Agency
Service Contract
HTAU --Highway & Transportation Authority
IDA --Industrial Development Agency
IDAU --Industrial Development Authority
LGAC --Local Government Assistance Corp.
L.I. --Long Island
MAG --Mtg. Agency
MCFFA --Medical Care Facilities Finance Agency
MH --Multifamily Housing
MHESF --Mental Health Services Facilities
MTAU --Metropolitan Transportation Authority
MWFAU --Municipal Water Finance Authority
NYC --New York City
NYS --New York State
PAUNYNJ --Port Authority of New York & New Jersey
PAU --Power Authority
PC --Pollution Control
POAU --Port Authority
RB --Revenue Bonds
RR --Resource Recovery
RRB --Revenue Refunding Bonds
SFM --Single Family Mtg.
SPF --Special Facilities
SPO --Special Obligations
SPTX --Special Tax
SUEFS --State University Educational
Facilities System
TBTAU --Triborough Bridge & Tunnel Authority
UDC --Urban Development Corp.
WSS --Water & Sewer System
16 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
1. Represents the current interest rate for a variable rate bond known as an
"inverse floater" which pays 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. Inverse floaters amount to $93,833,238 or 12.63% of the
Fund's net assets at March 31, 1998.
2. Securities with an aggregate market value of $2,533,749 are held in
collateralized accounts to cover initial margin requirements on open futures
sales contracts. See Note 5 of Notes to Financial Statements.
3. For zero coupon bonds, the interest rate shown is the effective yield on the
date of purchase.
4. Floating or variable rate obligation. 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 March 31, 1998. This instrument may
also have a demand feature which allows, on up to 30 days notice, the recovery
of principal at any time, or at specified intervals not exceeding one year.
Maturity date shown represents effective maturity based on variable rate and, if
applicable, demand feature.
As of March 31, 1998, securities subject to the alternative minimum tax amount
to $138,581,092 or 18.65% of the Fund's net assets.
Distribution of investments by industry of issue, as a percentage of total
investments at value, is as follows:
Industry Market Value Percent
- --------------------------------------------------------------------------------
Higher Education $ 93,064,663 12.6%
- --------------------------------------------------------------------------------
General Obligation 88,880,926 12.0
- --------------------------------------------------------------------------------
Lease Rental 85,264,418 11.6
- --------------------------------------------------------------------------------
Highways 81,554,280 11.0
- --------------------------------------------------------------------------------
Electric Utilities 80,077,243 10.8
- --------------------------------------------------------------------------------
Water Utilities 46,288,999 6.3
- --------------------------------------------------------------------------------
Hospital/Healthcare 37,601,009 5.1
- --------------------------------------------------------------------------------
Multi-Family Housing 34,349,091 4.6
- --------------------------------------------------------------------------------
Corporate Backed 32,909,103 4.4
- --------------------------------------------------------------------------------
Manufacturing, Non-Durable Goods 25,399,167 3.4
- --------------------------------------------------------------------------------
Marine/Aviation Facilities 25,178,642 3.4
- --------------------------------------------------------------------------------
Sales Tax 20,148,692 2.7
- --------------------------------------------------------------------------------
Resource Recovery 16,899,012 2.3
- --------------------------------------------------------------------------------
Single Family Housing 16,148,262 2.2
- --------------------------------------------------------------------------------
Special Assessment 13,593,775 1.8
- --------------------------------------------------------------------------------
Not-for-Profit Organization 12,495,880 1.7
- --------------------------------------------------------------------------------
Gas Utilities 10,942,500 1.5
- --------------------------------------------------------------------------------
Telephone Utilities 10,675,000 1.4
- --------------------------------------------------------------------------------
Adult Living Facilities 6,302,280 0.9
- --------------------------------------------------------------------------------
Sewer Utilities 1,197,950 0.2
- --------------------------------------------------------------------------------
Pollution Control 1,000,000 0.1
------------ -----
Total $739,970,892 100.0%
============ =====
See accompanying Notes to Financial Statements
17 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Statement of Assets and Liabilities March 31, 1998 (Unaudited)
- --------------------------------------------------------------------------------
================================================================================
Assets
Investments, at value (cost $688,524,070)--see accompanying
statement $ 739,970,892
- --------------------------------------------------------------------------------
Cash 1,222,232
- --------------------------------------------------------------------------------
Receivables:
Interest 11,722,387
Shares of beneficial interest sold 10,071,872
- --------------------------------------------------------------------------------
Other 18,424
Total assets 763,005,807
================================================================================
Liabilities
Payables and other liabilities:
Investments purchased 14,644,201
Shares of beneficial interest redeemed 1,969,829
Dividends 1,945,428
Distribution and service plan fees 518,145
Management fees 325,024
Trustees' fees--Note 1 245,391
Daily variation on futures contracts--Note 5 194,531
Shareholder reports 99,405
Transfer and shareholder servicing agent fees 67,970
Other 51,516
-------------
Total liabilities 20,061,440
================================================================================
Net Assets $ 742,944,367
=============
================================================================================
Composition of Net Assets
Paid-in capital $ 699,532,957
- --------------------------------------------------------------------------------
Overdistributed net investment income (1,560,881)
- --------------------------------------------------------------------------------
Accumulated net realized loss on investment transactions (6,165,546)
- --------------------------------------------------------------------------------
Net unrealized appreciation on investments--Notes 3 and 5 51,137,837
-------------
Net assets $ 742,944,367
=============
18 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
================================================================================
Net Asset Value Per Share
Class A Shares:
Net asset value and redemption price per share
(based on net assets of $631,471,459 and
48,748,263 shares of beneficial interest
outstanding) $12.95
Maximum offering price per share (net asset value
plus sales charge of 4.75% of offering price) $13.60
- --------------------------------------------------------------------------------
Class B Shares:
Net asset value, redemption price (excludes
applicable contingent deferred sales charge) and
offering price per share (based on net assets of
$105,908,110 and 8,174,409 shares of beneficial
interest outstanding) $12.96
- --------------------------------------------------------------------------------
Class C Shares:
Net asset value, redemption price (excludes
applicable contingent deferred sales charge) and
offering price per share (based on net assets of
$5,564,798 and 429,569 shares of beneficial
interest outstanding) $12.95
See accompanying Notes to Financial Statements.
19 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Statement of Operations For the Six Months Ended March 31, 1998 (Unaudited)
- --------------------------------------------------------------------------------
================================================================================
Investment Income
Interest $ 21,823,624
================================================================================
Expenses
Management fees--Note 4 1,918,198
- --------------------------------------------------------------------------------
Distribution and service plan fees--Note 4:
Class A 739,212
Class B 532,328
Class C 24,886
- --------------------------------------------------------------------------------
Transfer and shareholder servicing agent fees--Note 4 236,873
- --------------------------------------------------------------------------------
Trustees' fees and expenses--Note 1 63,541
- --------------------------------------------------------------------------------
Shareholder reports 61,586
- --------------------------------------------------------------------------------
Custodian fees and expenses 41,167
- --------------------------------------------------------------------------------
Legal and auditing fees 23,603
- --------------------------------------------------------------------------------
Other 15,223
------------
Total expenses 3,656,617
================================================================================
Net Investment Income 18,167,007
================================================================================
Realized and Unrealized Gain (Loss)
Net realized gain (loss) on:
Investments 2,639,126
Closing of futures contracts (796,319)
------------
Net realized gain 1,842,807
- --------------------------------------------------------------------------------
Net change in unrealized appreciation or
depreciation on investments 8,345,163
------------
Net realized and unrealized gain 10,187,970
================================================================================
Net Increase in Net Assets Resulting from Operations $ 28,354,977
============
See accompanying Notes to Financial Statements.
20 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Statements of Changes in Net Assets
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Six Months Ended Year Ended
March 31, 1998 September 30,
(Unaudited) 1997
=========================================================================================
<S> <C> <C>
Operations
Net investment income $ 18,167,007 $ 40,870,758
- -----------------------------------------------------------------------------------------
Net realized gain (loss) 1,842,807 (3,110,188)
- -----------------------------------------------------------------------------------------
Net change in unrealized appreciation or depreciation 8,345,163 25,374,028
------------- -------------
Net increase in net assets resulting from operations 28,354,977 63,134,598
=========================================================================================
Dividends and Distributions to Shareholders
Dividends from net investment income:
Class A (16,520,946) (35,297,579)
Class B (2,376,958) (4,855,021)
Class C (110,966) (175,214)
=========================================================================================
Beneficial Interest Transactions
Net increase (decrease) in net assets resulting
from beneficial interest transactions--Note 2:
Class A (11,275,914) (52,009,162)
Class B (1,881,376) 2,021,008
Class C 758,570 2,612,419
=========================================================================================
Net Assets
Total decrease (3,052,613) (24,568,951)
- -----------------------------------------------------------------------------------------
Beginning of period 745,996,980 770,565,931
------------- -------------
End of period [including undistributed (overdistributed)
net investment income of $(1,560,881) and $1,395,429,
respectively] $ 742,944,367 $ 745,996,980
============= =============
</TABLE>
See accompanying Notes to Financial Statements.
21 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Financial Highlights
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Class A
----------------------------------------------------------------------------
Six Months
Ended
March 31,
1998 Year Ended September 30,
(Unaudited) 1997 1996 1995 1994 1993
===========================================================================================================================
<S> <C> <C> <C> <C> <C> <C>
Per Share Operating Data
Net asset value, beginning of period $12.79 $12.41 $12.29 $11.92 $13.50 $12.59
- ---------------------------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .29 .69 .68 .69 .74 .73
Net realized and unrealized gain (loss) .21 .37 .12 .41 (1.46) 1.01
-------- -------- -------- -------- -------- --------
Total income (loss) from investment
operations .50 1.06 .80 1.10 (.72) 1.74
- ---------------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net investment income (.34) (.68) (.68) (.70) (.72) (.75)
Distributions from net realized gain -- -- -- (.03) (.03) (.08)
Distributions in excess of net realized gain -- -- -- -- (.11) --
-------- -------- -------- -------- -------- --------
Total dividends and distributions
to shareholders (.34) (.68) (.68) (.73) (.86) (.83)
- ---------------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $12.95 $12.79 $12.41 $12.29 $11.92 $13.50
======== ======== ======== ======== ======== ========
===========================================================================================================================
Total Return, at Net Asset Value(3) 3.92% 8.78% 6.65% 9.58% (5.55)% 14.33%
===========================================================================================================================
Ratios/Supplemental Data
Net assets, end of period (in thousands) $631,471 $634,789 $667,258 $673,050 $687,233 $756,934
- ---------------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $631,982 $652,048 $684,981 $659,465 $738,747 $652,327
- ---------------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income 5.01%(4) 5.49% 5.50% 5.76% 5.68% 5.66%
Expenses 0.87%(4) 0.86% 0.91% 0.90% 0.86% 0.91%
- ---------------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate(5) 14.2% 20.5% 21.2% 15.2% 9.4% 39.1%
<CAPTION>
Class B
---------------------------------------------------------------------
Six Months
Ended
March 31,
1998 Year Ended September 30,
(Unaudited) 1997 1996 1995 1994 1993(2)
====================================================================================================================
<S> <C> <C> <C> <C> <C> <C>
Per Share Operating Data
Net asset value, beginning of period $12.79 $12.41 $12.30 $11.93 $13.50 $13.07
- --------------------------------------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .24 .59 .60 .60 .64 .36
Net realized and unrealized gain (loss) .22 .38 .10 .42 (1.45) .44
-------- -------- -------- ------- ------- -------
Total income (loss) from investment
operations .46 .97 .70 1.02 (.81) .80
- --------------------------------------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net investment income (.29) (.59) (.59) (.62) (.62) (.37)
Distributions from net realized gain -- -- -- (.03) (.03) --
Distributions in excess of net realized gain -- -- -- -- (.11) --
-------- -------- -------- ------- ------- -------
Total dividends and distributions
to shareholders (.29) (.59) (.59) (.65) (.76) (.37)
- --------------------------------------------------------------------------------------------------------------------
Net asset value, end of period $12.96 $12.79 $12.41 $12.30 $11.93 $13.50
======== ======== ======== ======= ======= =======
====================================================================================================================
Total Return, at Net Asset Value(3) 3.61% 7.97% 5.77% 8.75% (6.22)% 6.56%
====================================================================================================================
Ratios/Supplemental Data
Net assets, end of period (in thousands) $105,908 $106,459 $101,302 $91,108 $73,943 $40,958
- --------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $106,757 $104,183 $ 98,488 $81,743 $61,008 $20,454
- --------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income 4.25%(4) 4.72% 4.73% 4.95% 4.88% 4.45%(4)
Expenses 1.64%(4) 1.63% 1.68% 1.67% 1.65% 1.73%(4)
- --------------------------------------------------------------------------------------------------------------------
Portfolio turnover rate(5) 14.2% 20.5% 21.2% 15.2% 9.4% 39.1%
</TABLE>
(1.) For the period from August 29, 1995 (inception of offering) to September
30, 1995.
(2.) For the period from March 1, 1993 (inception of offering) to September 30,
1993.
(3.) Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period (or inception of offering), 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. Total
returns are not annualized for periods of less than one full year.
(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 period
ended March 31, 1998 were $104,199,777 and $112,692,958, respectively.
22 & 23 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Financial Highlights (Continued)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Class C
---------------------------------------
Six Months
Ended
March 31,
1998 Year Ended September 30,
(Unaudited) 1997 1996 1995(1)
========================================================================================
<S> <C> <C> <C> <C>
Per Share Operating Data
Net asset value, beginning of period $12.79 $12.41 $12.30 $12.22
- ----------------------------------------------------------------------------------------
Income (loss) from investment operations:
Net investment income .25 .57 .60 .05
Net realized and unrealized gain (loss) .20 .39 .09 .08
------ ------ ------ ------
Total income (loss) from investment operations .45 .96 .69 .13
- ----------------------------------------------------------------------------------------
Dividends and distributions to shareholders:
Dividends from net investment income (.29) (.58) (.58) (.05)
Distributions from net realized gain -- -- -- --
Distributions in excess of net realized gain -- -- -- --
------ ------ ------ ------
Total dividends and distributions
to shareholders (.29) (.58) (.58) (.05)
- ----------------------------------------------------------------------------------------
Net asset value, end of period $12.95 $12.79 $12.41 $12.30
====== ====== ====== ======
========================================================================================
Total Return, at Net Asset Value(3) 3.53% 7.95% 5.64% 1.10%
========================================================================================
Ratios/Supplemental Data
Net assets, end of period (in thousands) $5,565 $4,749 $2,007 $25
- ----------------------------------------------------------------------------------------
Average net assets (in thousands) $4,995 $3,798 $ 752 $18
- ----------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income 4.25%(4) 4.67% 4.60% 3.67%(4)
Expenses 1.63%(4) 1.63% 1.77% 1.37%(4)
- ----------------------------------------------------------------------------------------
Portfolio turnover rate(5) 14.2% 20.5% 21.2% 15.2%
</TABLE>
(1.) For the period from August 29, 1995 (inception of offering) to September
30, 1995.
(2.) For the period from March 1, 1993 (inception of offering) to September 30,
1993.
(3.) Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period (or inception of offering), 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. Total
returns are not annualized for periods of less than one full year.
(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 period
ended March 31, 1998 were $104,199,777 and $112,692,958, respectively.
See accompanying Notes to Financial Statements.
24 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Notes to Financial Statements (Unaudited)
- --------------------------------------------------------------------------------
================================================================================
1. Significant Accounting Policies
Oppenheimer New York Municipal Fund (the Fund) is registered under the
Investment Company Act of 1940, as amended, as a diversified, open-end
management investment company. The Fund's investment objective is to seek
maximum current income exempt from federal, New York State & New York City
income taxes for individual investors consistent with preservation of capital by
investing primarily in muncipal bonds. The Fund's investment advisor is
Oppenheimer Funds, Inc. (the Manager). The Fund offers Class A, Class B and
Class C shares. Class A shares are sold with a front-end sales charge. Class B
and Class C shares may be subject to a contingent deferred sales charge. All
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 that class and exclusive voting rights with
respect to matters affecting that 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 the close of The New
York Stock Exchange on each trading day. Listed and unlisted securities for
which such information is regularly reported are valued at the last sale price
of the day or, in the absence of sales, at values based on the closing bid or
the last sale price on the prior trading day. Long-term and short-term
"non-money market" debt securities are valued by a portfolio pricing service
approved by the Board of Trustees. Such securities which cannot be valued by an
approved portfolio pricing service are valued using dealer-supplied valuations
provided the Manager is satisfied that the firm rendering the quotes is reliable
and that the quotes reflect current market value, or are valued under
consistently applied procedures established by the Board of Trustees to
determine fair value in good faith. Short-term "money market type" 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.
- --------------------------------------------------------------------------------
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 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 or excise tax provision is required. At September 30, 1997, the
Fund had available for federal income tax purposes an unused capital loss
carryover of approximately $7,657,000, expiring in 2003 and 2004.
25 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Notes to Financial Statements (Unaudited) (Continued)
- --------------------------------------------------------------------------------
================================================================================
1. Significant Accounting Policies (continued)
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 six months
ended March 31, 1998, a provision of $28,510 was made for the Fund's projected
benefit obligations and payments of $11,314 were made to retired trustees,
resulting in an accumulated liability of $229,822 at March 31, 1998.
- --------------------------------------------------------------------------------
Distributions to Shareholders. The Fund intends to declare dividends separately
for Class A, Class B and Class C 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.
- --------------------------------------------------------------------------------
Classification of Distributions to Shareholders. Net investment income (loss)
and net realized gain (loss) may differ for financial statement and tax
purposes. The character of the distributions made during the year from net
investment income or net realized gains may differ from its ultimate
characterization for federal income tax purposes. Also, due to timing of
dividend distributions, the fiscal year in which amounts are distributed may
differ from the fiscal year in which the income or realized gain was recorded by
the Fund.
- --------------------------------------------------------------------------------
Other. Investment transactions are accounted for on the date the investments are
purchased or sold (trade date). Original issue discount or premiums on
securities purchased are amortized over the life of the respective securities,
in accordance with federal income tax requirements. As of November 4, 1997, in
order to conform book and tax bases, the Fund began amortization of premiums on
securities for book purposes. Accordingly, during the six months ended March 31,
1998, amounts have been reclassified to reflect an increase in overdistributed
net investment income of $2,114,447, an increase in unrealized appreciation on
investments of $5,357,349 and a decrease in paid-in capital of $3,242,902. For
bonds acquired after April 30, 1993, on disposition or maturity, taxable
ordinary income is recognized to the extent of the lesser of gain or market
discount that would have accrued over the holding period. 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. The Fund concentrates its investments in New York and,
therefore, may have more credit risks related to the economic conditions of New
York than a portfolio with a broader geographical diversification.
26 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
================================================================================
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of income and expenses during the reporting period. Actual
results could differ from those estimates.
================================================================================
2. Shares of Beneficial Interest
The Fund has authorized an unlimited number of no par value shares of beneficial
interest of each class. Transactions in shares of beneficial interest were as
follows:
<TABLE>
<CAPTION>
Six Months Ended March 31, 1998 Year Ended September 30, 1997
------------------------------- -----------------------------
Shares Amount Shares Amount
- ----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Class A:
Sold 2,722,874 $ 35,229,869 4,470,995 $ 56,051,835
Dividends and distributions
reinvested 875,708 11,294,360 1,936,390 24,294,359
Redeemed (4,470,920) (57,800,143) (10,554,692) (132,355,356)
------------- ------------- ------------- -------------
Net decrease (872,338) $ (11,275,914) (4,147,307) $ (52,009,162)
============= ============= ============= =============
- ----------------------------------------------------------------------------------------------
Class B:
Sold 463,589 $ 5,995,339 1,229,476 $ 15,435,863
Dividends and distributions
reinvested 119,952 1,547,300 251,124 3,151,927
Redeemed (729,812) (9,424,015) (1,320,301) (16,566,782)
------------- ------------- ------------- -------------
Net increase (decrease) (146,271) $ (1,881,376) 160,299 $ 2,021,008
============= ============= ============= =============
- ----------------------------------------------------------------------------------------------
Class C:
Sold 94,706 $ 1,228,109 296,169 $ 3,700,982
Dividends and distributions
reinvested 6,881 88,763 11,358 142,713
Redeemed (43,265) (558,302) (97,937) (1,231,276)
------------- ------------- ------------- -------------
Net increase 58,322 $ 758,570 209,590 $ 2,612,419
============= ============= ============= =============
</TABLE>
================================================================================
3. Unrealized Gains and Losses on Investments
At March 31, 1998, net unrealized appreciation on investments of $51,446,822 was
composed of gross appreciation of $51,787,836, and gross depreciation of
$341,014.
27 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Notes to Financial Statements (Unaudited) (Continued)
- --------------------------------------------------------------------------------
================================================================================
4. Management Fees and Other Transactions with Affiliates
Management fees paid to the Manager were in accordance with the investment
advisory agreement with the Fund which provides for a fee of 0.60% on the first
$200 million of average annual net assets, 0.55% on the next $100 million, 0.50%
on the next $200 million, 0.45% on the next $250 million, 0.40% on the next $250
million and 0.35% on average annual net assets in excess of $1 billion.
For the six months ended March 31, 1998, commissions (sales charges
paid by investors) on sales of Class A shares totaled $347,583, of which $71,465
was retained by OppenheimerFunds Distributor, Inc. (OFDI), a subsidiary of the
Manager, as general distributor, and by an affiliated broker/dealer. Sales
charges advanced to broker/dealers by OFDI on sales of the Fund's Class B and
Class C shares totaled $216,862 and $11,346, respectively, of which $4,915 was
paid to an affiliated broker/dealer for Class B shares. During the six months
ended March 31, 1998, OFDI received contingent deferred sales charges of
$151,091 and $8,459, respectively, upon redemption of Class B and Class C
shares, as reimbursement for sales commissions advanced by OFDI at the time of
sale of such shares.
OppenheimerFunds Services (OFS), a division of the Manager, is the
transfer and shareholder servicing agent for the Fund and for other registered
investment companies. OFS's total costs of providing such services are allocated
ratably to these companies.
The Fund has adopted a Service Plan for Class A shares to reimburse
OFDI for a portion of its costs incurred in connection with the personal service
and maintenance of shareholder accounts that hold Class A shares. Reimbursement
is made quarterly at an annual rate that may not exceed 0.25% of the average
annual net assets of Class A shares of the Fund. OFDI uses the service fee to
reimburse brokers, dealers, banks and other financial institutions quarterly for
providing personal service and maintenance of accounts of their customers that
hold Class A shares. During the six months ended March 31, 1998, OFDI paid
$13,829 to an affiliated broker/dealer as reimbursement for Class A personal
service and maintenance expenses.
28 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
================================================================================
The Fund has adopted Distribution and Service Plans for Class B and Class C
shares to compensate OFDI for its costs in distributing Class B and Class C
shares and servicing accounts. Under the Plans, the Fund pays OFDI an annual
asset-based sales charge of 0.75% per year on Class B shares and Class C shares
for its services in distributing Class B and Class C shares. OFDI also receives
a service fee of 0.25% per year to compensate dealers for providing personal
services for accounts that hold Class B shares. Each fee is computed on the
average annual net assets of Class B or Class C shares, determined as of the
close of each regular business day. During the six months ended March 31, 1998,
OFDI paid $3,394 to an affiliated broker/dealer as compensation for Class B
personal service and maintenance expenses and retained $414,651 and $14,514,
respectively, as compensation for Class B and Class C sales commissions and
service fee advances, as well as financing costs. If either Plan is terminated
by the Fund, the Board of Trustees may allow the Fund to continue payments of
the asset-based sales charge to OFDI for distributing shares before the Plan was
terminated. At March 31, 1998, OFDI had incurred excess distribution and
servicing costs of $2,649,426 for Class B and $57,386 for Class C.
================================================================================
5. Futures Contracts
The Fund may buy and sell interest rate futures contracts in order to gain
exposure to or protect against changes in interest rates. The Fund may also buy
or write put or call options on these futures contracts.
The Fund generally sells futures contracts to hedge against
increases in interest rates and the resulting negative effect on the value of
fixed rate portfolio securities. The Fund may also purchase futures contracts to
gain exposure to changes in interest rates, as it may be more efficient or cost
effective than actually buying fixed income securities.
Upon entering into a futures contract, the Fund is required to
deposit either cash or securities (initial margin) in an amount equal to a
certain percentage of the contract value. Subsequent payments (variation margin)
are made or received by the Fund each day. The variation margin payments are
equal to the daily changes in the contract value and are recorded as unrealized
gains and losses. The Fund recognizes a realized gain or loss when the contract
is closed or expires.
Risks of entering into futures contracts (and related options)
include the possibility that there may be an illiquid market and that a change
in the value of the contract or option may not correlate with changes in the
value of the underlying securities.
29 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Notes to Financial Statements (Unaudited) (Continued)
- --------------------------------------------------------------------------------
================================================================================
5. Futures Contracts (continued)
At March 31, 1998, the Fund had outstanding futures contracts as follows:
<TABLE>
<CAPTION>
Expiration Number of Valuation as of Unrealized
Date Contracts March 31, 1998 Depreciation
=====================================================================================
<S> <C> <C> <C> <C>
Contracts to Sell
- -----------------
U.S. Treasury Bonds, 30 yr. 6/98 415 $49,303,750 $308,985
</TABLE>
================================================================================
6. Bank Borrowings
The Fund may borrow from a bank for temporary or emergency purposes including,
without limitation, funding of shareholder redemptions provided asset coverage
for borrowings exceeds 300%. The Fund has entered into an agreement which
enables it to participate with other Oppenheimer funds in an unsecured line of
credit with a bank, which permits borrowings up to $400 million, collectively.
Interest is charged to each fund, based on its borrowings, at a rate equal to
the Federal Funds Rate plus 0.35%. Borrowings are payable 30 days after such
loan is executed. The Fund also pays a commitment fee equal to its pro rata
share of the average unutilized amount of the credit facility at a rate of
0.0575% per annum.
The Fund had no borrowings outstanding during the six months ended
March 31, 1998.
30 Oppenheimer New York Municipal Fund
<PAGE>
- --------------------------------------------------------------------------------
Oppenheimer New York Municipal Fund
- --------------------------------------------------------------------------------
================================================================================
Officers and Trustees Leon Levy, Chairman of the Board of Trustees
Donald W. Spiro, Vice Chairman of the Board of Trustees
Bridget A. Macaskill, Trustee and President
Robert G. Galli, Trustee
Benjamin Lipstein, Trustee
Elizabeth B. Moynihan, Trustee
Kenneth A. Randall, Trustee
Edward V. Regan, Trustee
Russell S. Reynolds, Jr., Trustee
Pauline Trigere, Trustee
Clayton K. Yeutter, Trustee
Robert E. Patterson, Vice President
George C. Bowen, Treasurer
Robert J. Bishop, Assistant Treasurer
Scott T. Farrar, Assistant Treasurer
Andrew J. Donohue, Secretary
Robert G. Zack, Assistant Secretary
================================================================================
Investment Advisor OppenheimerFunds, Inc.
================================================================================
Distributor OppenheimerFunds Distributor, Inc.
================================================================================
Transfer and Shareholder OppenheimerFunds Services
Servicing Agent
================================================================================
Custodian of Citibank, N.A.
Portfolio Securities
================================================================================
Independent Auditors KPMG Peat Marwick LLP
================================================================================
Legal Counsel Gordon Altman Butowsky Weitzen Shalov & Wein
The financial statements included herein have been
taken from the records of the Fund without examination
of the independent auditors.
This is a copy of a report to shareholders of
Oppenheimer New York Municipal Fund. This report must
be preceded or accompanied by a Prospectus of
Oppenheimer New York Municipal Fund. For material
information concerning the Fund, see the Prospectus.
Shares of Oppenheimer funds are not deposits or
obligations of any bank, are not guaranteed by any
bank, and are not insured by the FDIC or any other
agency, and involve investment risks, including
possible loss of the principal amount invested.
31 Oppenheimer New York Municipal Fund
<PAGE>
Information and services
-------------------------------------------------------
Internet As an Oppenheimer fund shareholder, you have
24-hr access to account some special privileges. Whether it's automatic
information. Online investment plans, informative newsletters and
transactions now available hotlines, or ready account access, you can benefit
from services designed to make investing simple.
- ------------------------
www.oppenheimerfunds.com And when you need help, our Customer Service
- ------------------------ Representatives are only a toll-free phone call
away. They can provide information about your
General Information account and handle administrative requests. You
Mon-Fri 8:30am-9pm ET can reach them at our General Information number.
Sat 10am-4pm ET
When you want to make a transaction, you can
- ------------------------ do it easily by calling our toll-free Telephone
1-800-525-7048 Transactions number or by visiting our website.
- ------------------------ And, by enrolling in AccountLink, a convenient
service that "links" your Oppenheimer funds
Account Transactions accounts and your bank checking or savings
Mon-Fri 8:30am-8pm ET account, you can use the Telephone Transactions
number or website to make investments.
- ------------------------
1-800-852-8457 For added convenience, you can get automated
- ------------------------ information with OppenheimerFunds PhoneLink
service, available 24 hours a day, 7 days a week.
PhoneLink PhoneLink gives you access to a variety of fund,
24-hr automated information account, and market information. Of course, you
and automated transactions can always speak with a Customer Service
Representative during the General Information
- ------------------------ hours shown at the left.
1-800-533-3310
- ------------------------ You can count on us whenever you need
assistance. That's why the International Customer
Telecommunication Device Service Association, an independent, nonprofit
for the Deaf (TDD) organization made up of over 3,200 customer
Mon-Fri 8:30am-2pm ET service management professionals from around the
country, honored the Oppenheimer funds' transfer
- ------------------------ agent, OppenheimerFunds Services, with their Award
1-800-843-4461 of Excellence in 1993.
- ------------------------
So call us today, or visit us at our website
OppenheimerFunds at www.oppenheimerfunds.com--we're here to help.
Information Hotline
24 hours a day, timely and
insightful messages on the
economy and issues that
affect your investments
- ------------------------
1-800-835-3104
- ------------------------
[LOGO] OppenheimerFunds
Distributor, Inc.
RS0360.001.0398 May 29, 1998
