GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
LETTER TO SHAREHOLDERS
Dear Shareholder:
For its semi-annual reporting period ended April 30, 1996, the General
New York Municipal Bond Fund, Inc. produced a total return of -0.28% per
share.* Tax-free income dividends exempt from Federal, New York State and
City personal income taxes of approximately $.504 per share were paid.** This
amounts to a tax-free annualized distribution rate per share of 5.22%.***
THE ECONOMY
Concern that the economy was heading toward recession was eased by the
recent release of brighter-than-expected reports on employment and consumer
spending. Consequently, the Federal Reserve Board refrained from making any
further reductions in the Federal Funds rate; the last easing of this
benchmark interest rate occurred on January 31. In reaction to the more
optimistic economic news (and the related fears of a potential rekindling of
inflation), long-term interest rates as measured by 30-year Treasury bonds
have risen nearly one percentage point since February.
The rosier outlook for the economy was heralded by reports of large gains
in employment for two consecutive months (February and March). Furthermore,
personal income and expenditures data indicated that consumers continued to
spend, despite their present high level of installment credit. Retail sales
reports have correspondingly edged higher, confirming a modest recovery in
consumer spending from its year-end slump.
Supporting the growing consensus that the economy has picked up steam
were reports of slow but steady growth in the manufacturing sector. After
data is adjusted for the 17-day General Motors strike, industrial output rose
modestly. New orders for durable goods, a closely watched indicator of future
hiring and production, also posted gains.
Despite the economy's apparent recovery from its year-end pause,
inflation has remained under control. Through March of this year, the
Consumer Price Index rose at an annual rate of 2.8%. There appear to be few
signs of inflationary pressure in the economy. Factories are running at a
relatively comfortable rate of capacity (82.5%), markedly below this
expansion's peak of 85.1% reached over a year ago. With major industries
trying to reduce inventories, there is little to suggest that product pricing
will surge upwards. Reflecting this absence of so-called pipeline
inflationary pressure, price increases at both the wholesale and production
levels of the economy remained similarly under control. We believe the
cautionary stance of the Federal Reserve regarding additional reductions in
interest rates, combined with the fiscal restraint from reduced government
spending, should serve as additional moderating forces against any resurgence
in inflation.
We are mindful, however, of several signals which prompt us to be alert
to a potential change in what has been a benign inflation picture. The recent
rise in oil prices, along with strength in other commodity prices such as
grain, is not to be dismissed lightly. While they may be only aberrations of
a temporary nature, they also could represent early warning signs of a
fundamental change in inflation which will be seen later in the year.
MARKET ENVIRONMENT
Until recently, the overall municipal market had underperformed the
taxable market, as worries about a flat tax and a robust stock market pushed
the spread to Treasuries into a very tight range. In recent weeks, we have
seen an improvement in this ratio and municipals have outperformed the
Treasury market. In our view, the economic numbers that have been released
within the past month give proof that rates have reached their lowest levels
and there will be no future easing by the Federal Reserve. After a long
period of low inflation, we anticipate that the rise in commodity prices
coupled with pressure on labor costs could translate into a higher inflation
rate (and a higher Fed Fund's rate to contain that inflation) than we have
experienced over the past several years.
THE PORTFOLIO
During the past six months we have been trying to improve the call
protection and structure of the Fund. We have sold a portion of the higher
coupon, short call paper. The downsizing of supply in the New York market has
increased the time horizon required for continued changes to be made. Going
forward, the portfolio will have a more defensive tone since it is becoming
clear that rates will probably be higher than current levels.
The New York market, as well as the national market, saw very little
issuance of new paper over the past quarter. We believe this is a trend that
will continue until municipalities are forced to deal with aging
infrastructure needs. New York paper has performed very well during this
period and demand has remained strong. Although the State must still contend
with many fiscal problems and budget gaps, credit ratings for the State and
State-appropriated paper remain intact.
Included in this report is a series of detailed statements about your
Fund's holdings and its financial condition. We hope they are informative.
Please know that we greatly appreciate your continued confidence in the Fund
and in The Dreyfus Corporation.
Sincerely,
[Richard J. Moynihan signature logo]
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
May 15, 1996
New York, N.Y.
* Total return includes reinvestment of dividends and any capital gains
paid.
**Some income may be subject to the Federal Alternative Minimum Tax (AMT) for
certain shareholders. Capital gains, if any, are generally subject to
Federal, state and local taxes.
*** Annualized distribution rate per share is based upon dividends per
share paid from net investment income during the period, divided by the net
asset value per share at the end of the period, adjusted for capital gain
distributions.
<TABLE>
<CAPTION>
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS APRIL 30, 1996 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS-90.4% AMOUNT VALUE
_______ _______
<S> <C> <C>
NEW YORK-88.1%
Albany Industrial Development Agency:
IDR (Hampton Plaza Project) 6.25%, 3/15/2018............................ $ 5,600,000 $ 5,343,240
LR:
(New York State Assembly Building Project) 7.75%, 1/1/2010............ 3,615,000 3,912,008
(New York State Department of Health Building Project) 7.25%, 10/1/2010 1,755,000 1,840,732
Board of Cooperative Educational Services, COP (Greenport Vocational
Facility Project)
7.875%, 10/1/2000....................................................... 1,120,000 1,173,009
Buffalo and Erie Public Building Authority, Toll Bridge System Revenue
5.75%, 1/1/2025 (Insured; MBIA)......................................... 4,200,000 4,098,822
Cohoes Industrial Development Agency, IDR (Norlite Corp. Project)
6.75%, 5/1/2009 (LOC; Dresdner Bank) (a)................................ 2,400,000 2,494,248
Essex County Industrial Development Agency, SWDR (International Paper)
5.80%, 12/1/2019 (Guaranteed; International Paper Co.).................. 2,000,000 1,908,060
Franklin County Solid Waste Management Authority, Solid Waste Systems Revenue
6.125%, 6/1/2009........................................................ 2,150,000 2,062,344
Jefferson County Industrial Development Agency, SWDR
(Champion International Corp.) 7.20%, 12/1/2020......................... 2,000,000 2,138,260
Municipal Assistance Corp. for New York City, Refunding 5.50%, 7/1/2007..... 5,000,000 5,102,100
New York City:
7.65%, 2/1/2006......................................................... 3,000,000 3,321,150
7%, 10/1/2008........................................................... 1,750,000 1,857,537
6.25%, 8/1/2011 (Insured; FSA, Prerefunded 8/1/2002) (b)................ 1,550,000 1,696,552
6.375%, 8/15/2012....................................................... 3,395,000 3,395,951
5.875%, 3/15/2018....................................................... 3,000,000 2,780,820
6%, 2/15/2024........................................................... 3,000,000 2,806,050
New York City Industrial Development Agency:
Civic Facility Revenue (YMCA of Greater New York Project) 8%, 8/1/2016.. 3,300,000 3,552,516
IDR 7.625%, 11/1/2009 (LOC; ABN Amro Bank) (a).......................... 1,200,000 1,214,724
Special Facility Revenue (Terminal One Group Association Project) 6%,1/1/2019 3,600,000 3,489,192
New York City Municipal Water Finance Authority, Water and Sewer System
Revenue:
5.50%, 6/15/2019........................................................ 8,790,000 8,114,664
5.50%, 6/15/2020........................................................ 3,000,000 2,750,940
New York State, Crossover, Refunding 6.125%, 11/15/2012..................... 5,000,000 5,143,650
New York State, GO 5.70%, 3/15/2013......................................... 2,000,000 1,980,420
New York State Dormitory Authority, Revenues:
City University 5.75%, 7/1/2011......................................... 5,955,000 5,741,513
Consolidated City University Systems:
2nd Generation 5.75%, 7/1/2013........................................ 5,000,000 4,796,900
3rd Generation 5.375%, 7/1/2025(Insured; AMBAC)....................... 2,000,000 1,840,200
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) APRIL 30, 1996 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
_______ _______
NEW YORK (CONTINUED)
New York State Dormitory Authority, Revenues (continued):
Consolidated City University Systems (continued):
5.75%, 7/1/2013....................................................... $ 26,005,000 $24,948,677
5.75%, 7/1/2018....................................................... 2,500,000 2,375,275
Department of Health:
Roswell Park Cancer 6.625%, 7/1/2024.................................. 2,700,000 2,770,389
5.50%, 7/1/2025....................................................... 12,025,000 10,695,877
State University Educational Facilities 5.40%, 5/15/2023................ 21,000,000 18,424,770
Upstate Community Colleges 7.20%, 7/1/2021 (Prerefunded 7/1/2001) (b)... 2,130,000 2,398,806
New York State Energy Research and Development Authority,
Electric Facilities Revenue:
(Consolidated Edison Co. of New York, Inc.):
6.10%, 8/15/2020.................................................. 2,000,000 2,004,620
7.125%, 12/1/2029................................................. 2,000,000 2,207,020
(Long Island Lighting):
7.15%, 9/1/2019................................................... 3,430,000 3,489,510
7.15%, 9/1/2022................................................... 4,935,000 5,020,622
New York State Environmental Facilities Corp.:
PCR (State Water Revolving Fund):
7.25%, 6/15/2010...................................................... 1,300,000 1,449,513
7.20%, 3/15/2011...................................................... 4,500,000 4,896,045
6.30%, 3/15/2016...................................................... 5,200,000 5,457,920
Special Obligation Revenue (Riverbank State Park) 7.25%, 4/1/2012....... 2,500,000 2,662,950
SWDR (Occidental Petroleum Corp.) 5.70%, 9/1/2028....................... 1,400,000 1,294,048
Water Facilities Revenue (New Rochelle Water Co. Project) 6.40%, 12/1/2024 2,000,000 2,025,380
New York State Housing Finance Agency, Revenue:
Health Facilities 6%, 11/1/2007......................................... 6,000,000 5,892,660
(LooseStrife Fields Apartments and Fairway Manor) 6.75%, 11/15/2036 (Insured; FHA) 6,000,000 6,145,140
Multi-Family Housing:
Second Mortgage 6.625%, 8/15/2012..................................... 2,500,000 2,586,275
7.75%, 11/1/2020 (Insured; AMBAC)..................................... 1,090,000 1,168,949
New York State Local Government Assistance Corp., Refunding 5%, 4/1/2021.... 3,000,000 2,591,910
New York State Medical Care Facilities Finance Agency, Revenue:
(Hospital & Nursing Home Insured Mortgage):
6.85%, 2/15/2012 (Insured; FHA)....................................... 3,000,000 3,167,010
6.20%, 8/15/2013 (Insured; FHA)....................................... 3,000,000 3,094,950
6.125%, 2/15/2015 (Insured; FHA)...................................... 5,170,000 5,181,581
7.45%, 8/15/2031 (Insured; FHA)....................................... 3,000,000 3,251,760
Refunding 6.20%, 2/15/2023 (Insured; FHA)............................. 1,700,000 1,700,374
Improvement (Mental Health Services Facilities):
6.50%, 2/15/2019...................................................... 5,290,000 5,389,346
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) APRIL 30, 1996 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
_______ _______
NEW YORK (CONTINUED)
New York State Medical Care Facilities Finance Agency, Revenue (continued):
Improvement (Mental Health Services Facilities) (continued):
6%, 2/15/2025 (Insured; MBIA)......................................... $ 4,400,000 $ 4,372,676
(Long Term Health Care - Insured Program) 6.45%, 11/1/2010 (Insured; CGIC) 5,000,000 5,265,400
(Montefiore Medical Center) 5.75%, 2/15/2015 (Insured; AMBAC)........... 2,000,000 1,945,000
New York State Mortgage Agency, Homeowner Revenue:
6.60%, 10/1/2019........................................................ 3,500,000 3,606,750
6.45%, 10/1/2020........................................................ 3,665,000 3,732,876
7.95%, 4/1/2022......................................................... 1,950,000 2,054,267
New York State Thruway Authority:
Highway and Bridge Trust Fund 5.50%, 4/1/2015 (Insured; MBIA)........... 3,250,000 3,111,745
Service Contract Revenue (Local Highway and Bridge):
7.25%, 1/1/2010....................................................... 4,350,000 4,875,002
6.25%, 4/1/2014....................................................... 2,000,000 1,983,920
New York State Urban Development Corp., Correctional Facilities, Revenue,
5.50%, 1/1/2014....................................................... 3,000,000 2,792,910
5.50%, 1/1/2018....................................................... 2,490,000 2,243,814
Refunding:
5.375%, 1/1/2023.................................................. 5,375,000 4,701,889
5.375%, 1/1/2025.................................................. 4,690,000 4,108,862
Onondaga County Industrial Development Agency, Sewer Facilities Revenue
(Bristol Meyers Squibb Co. Project) 5.75%, 3/1/2024..................... 4,000,000 3,903,680
Rensselaer County Industrial Development Agency, IDR (Albany International
Corp.)
7.55%, 6/1/2007......................................................... 4,000,000 4,478,520
Suffolk County Industrial Development Agency, Civic Facility Revenue
(Long Island Association of Children) 7.35%, 8/1/2009 (LOC; Barclays Bank) (a) 1,960,000 2,063,743
U.S. RELATED-2.3%
Commonwealth of Puerto Rico:
Aqueduct and Sewer Authority, Revenue, Refunding 5%, 7/1/2019........... 2,000,000 1,732,140
Infrastructure Financing Authority 7.50%, 7/1/2009...................... 2,000,000 2,155,160
Puerto Rico Electric Power Authority, Power Revenue 6%, 7/1/2015............ 2,000,000 1,989,660
Puerto Rico Industrial Medical and Environmental Pollution Control
Facilities Financing Authority, Revenue, Refunding
(St Luke's Hospital Project) 6.25%, 6/1/2010............................ 1,100,000 1,115,587
_______
TOTAL LONG-TERM MUNICIPAL INVESTMENTS (cost $275,952,397)................... $279,080,580
=======
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) APRIL 30, 1996 (UNAUDITED)
PRINCIPAL
SHORT-TERM MUNICIPAL INVESTMENTS-9.6% AMOUNT VALUE
_______ _______
NEW YORK:
New York City, VRDN:
4.10% (Insured; FGIC) (c)............................................... $ 2,500,000 $ 2,500,000
4.10% (LOC; Morgan Guaranty, NY) (a,c).................................. 9,300,000 9,300,000
New York City Municipal Water Financing Authority,
Water and Sewer System Revenue, VRDN:
4% (Insured; FGIC) (c)................................................ 4,000,000 4,000,000
4.10% (Insured; FGIC) (c)............................................. 10,200,000 10,200,000
Port Authority of New York and New Jersey, Special Obligation Revenue
(Versatile Structure) VRDN
3.75% (Guaranteed; Morgan Guaranty Trust Co.) (c)....................... 3,700,000 3,700,000
_______
TOTAL SHORT-TERM MUNICIPAL INVESTMENTS (cost $29,700,000)................... $ 29,700,000
=======
TOTAL INVESTMENTS-100.0% (cost $305,652,397)................................ $308,780,580
=======
</TABLE>
<TABLE>
<CAPTION>
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
SUMMARY OF ABBREVIATIONS
<S> <C> <S> <C>
AMBAC American Municipal Bond Assurance Corporation LOC Letter of Credit
CGIC Capital Guaranty Insurance Company LR Lease Revenue
COP Certificate of Participation MBIA Municipal Bond Investors Assurance
FGIC Financial Guaranty Insurance Company Insurance Corporation
FHA Federal Housing Administration PCR Pollution Control Revenue
FSA Financial Security Assurance SWDR Solid Waste Disposal Revenue
GO General Obligation VRDN Variable Rate Demand Notes
IDR Industrial Development Revenue
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF COMBINED RATINGS (UNAUDITED)
FITCH (D) OR MOODY'S OR STANDARD & POOR'S PERCENTAGE OF VALUE
_____ _____ __________ ____________
<S> <C> <C> <C>
AAA Aaa AAA 16.7%
AA Aa AA 10.7
A A A 29.8
BBB Baa BBB 25.3
BB Ba BB 2.8
F-1,F-1+ VMIG1,MIG1,P1 SP1,A1 9.6
Not Rated (e) Not Rated (e) Not Rated (e) 5.1
____
100.0%
====
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS:
(a) Secured by letters of credit.
(b) Bonds which are prerefunded are collateralized by U.S. Government
securities which are held in escrow and are used to pay principal and
interest on the municipal issue and to retire the bonds in full at the
earliest refunding date.
(c) Securities payable on demand. The interest rate, which is subject to
change, is based upon bank prime rates or an index of market interest
rates.
(d) Fitch currently provides creditworthiness information for a limited
number of investments.
(e) Securities which, while not rated by Fitch, Moody's or Standard &
Poor's, have been determined by the Manager to be of comparable quality
to those rated securities in which the Fund may invest.
See independent accountants' review report and notes to financial statements.
<TABLE>
<CAPTION>
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES APRIL 30, 1996 (UNAUDITED)
<S> <C> <C>
ASSETS:
Investments in securities, at value
(cost $305,652,397)-see statement..................................... $308,780,580
Interest receivable..................................................... 5,114,916
Receivable for investment securities sold............................... 4,915,262
Prepaid expenses........................................................ 11,671
_______
318,822,429
LIABILITIES:
Due to The Dreyfus Corporation and subsidiaries......................... $ 200,858
Due to Distributor...................................................... 3,759
Due to Custodian........................................................ 7,149,639
Payable for investment securities purchased............................. 5,152,800
Accrued expenses........................................................ 67,327 12,574,383
______ ______
NET ASSETS ................................................................ $306,248,046
=======
REPRESENTED BY:
Paid-in capital......................................................... $300,965,582
Accumulated undistributed net realized gain on investments.............. 2,154,281
Accumulated net unrealized appreciation on investments-Note 3........... 3,128,183
_______
NET ASSETS at value applicable to 15,935,244 outstanding shares of
Common Stock, equivalent to $19.22 per share
(100 million shares of $.01 par value authorized)....................... $306,248,046
=======
See independent accountants' review report and notes to financial statements.
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
STATEMENT OF OPERATIONS SIX MONTHS ENDED APRIL 30, 1996 (UNAUDITED)
INVESTMENT INCOME:
INTEREST INCOME......................................................... $ 9,686,345
EXPENSES:
Management fee-Note 2(a).............................................. $ 968,072
Shareholder servicing costs-Note 2(b)................................. 412,628
Professional fees..................................................... 23,367
Custodian fees........................................................ 18,381
Directors' fees and expenses-Note 2(c)................................ 18,000
Prospectus and shareholders' reports-Note 2(b)........................ 9,769
Registration fees..................................................... 1,635
Miscellaneous......................................................... 9,363
______
TOTAL EXPENSES.................................................... 1,461,215
______
INVESTMENT INCOME-NET...................................................... 8,225,130
REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS:
Net realized gain on investments-Note 3................................. $ 2,156,430
Net unrealized (depreciation) on investments............................ (10,451,564)
______
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS................. (8,295,134)
______
NET (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS...................... $ (70,004)
======
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED SIX MONTHS ENDED
OCTOBER 31, APRIL 30, 1996
1995 (UNAUDITED)
________ __________
<S> <C> <C>
OPERATIONS:
Investment income-net............................................... $ 17,232,575 $ 8,225,130
Net realized gain on investments.................................... 2,243,540 2,156,430
Net unrealized appreciation (depreciation) on investments for the period 19,145,760 (10,451,564)
_______ _______
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS... 38,621,875 (70,004)
_______ _______
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income-net............................................... (17,232,575) (8,225,130)
Net realized gain on investments.................................... (1,910,351) (2,240,383)
_______ _______
TOTAL DIVIDENDS................................................... (19,142,926) (10,465,513)
_______ _______
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold....................................... 230,231,287 149,696,874
Dividends reinvested................................................ 14,084,296 7,806,578
Cost of shares redeemed............................................. (249,154,107) (163,355,925)
_______ _______
(DECREASE) IN NET ASSETS FROM CAPITAL STOCK TRANSACTIONS.......... (4,838,524) (5,852,473)
_______ _______
TOTAL INCREASE (DECREASE) IN NET ASSETS....................... 14,640,425 (16,387,990)
NET ASSETS:
Beginning of period................................................. 307,995,611 322,636,036
_______ _______
End of period....................................................... $ 322,636,036 $ 306,248,046
======= =======
SHARES SHARES
_______ _______
CAPITAL SHARE TRANSACTIONS:
Shares sold......................................................... 11,893,105 7,519,177
Shares issued for dividends reinvested.............................. 735,731 391,070
Shares redeemed..................................................... (12,857,380) (8,190,217)
_______ _______
NET (DECREASE) IN SHARES OUTSTANDING.............................. (228,544) (279,970)
======= =======
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Common Stock outstanding, total investment return, ratios to average net
assets and other supplemental data for each period indicated. This
information has been derived from the Fund's financial statements.
SIX MONTHS ENDED
YEAR ENDED OCTOBER 31, APRIL 30, 1996
___________________________________________________________
PER SHARE DATA: 1991 1992 1993 1994 1995 (UNAUDITED)
____ ____ ____ ____ ____ ______
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period.. $17.96 $19.24 $19.55 $21.53 $18.73 $19.90
____ ____ ____ ____ ____ ____
INVESTMENT OPERATIONS:
Investment income-net................. 1.30 1.24 1.17 1.14 1.06 .50
Net realized and unrealized gain (loss)
on investments...................... 1.28 .31 2.24 (2.49) 1.29 (.54)
____ ____ ____ ____ ____ ____
TOTAL FROM INVESTMENT OPERATIONS.... 2.58 1.55 3.41 (1.35) 2.35 (.04)
____ ____ ____ ____ ____ ____
DISTRIBUTIONS:
Dividends from investment income-net.. (1.30) (1.24) (1.16) (1.15) (1.06) (.50)
Dividends from net realized gain
on investments...................... - - (.27) (.30) (.12) (.14)
____ ____ ____ ____ ____ ____
TOTAL DISTRIBUTIONS................. (1.30) (1.24) (1.43) (1.45) (1.18) (.64)
____ ____ ____ ____ ____ ____
Net asset value, end of period........ $19.24 $19.55 $21.53 $18.73 $19.90 $19.22
==== ==== ==== ==== ==== ====
TOTAL INVESTMENT RETURN................... 14.83% 8.23% 18.05% (6.59%) 12.98% (.56%)(1)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets .36% .62% .69% .76% .86% .90%(1)
Ratio of net investment income to
average net assets.................. 6.95% 6.32% 5.64% 5.62% 5.51% 5.08%(1)
Decrease reflected in above expense ratios
due to undertakings by the Manager.. .69% .39% .22% .12% .04% -
Portfolio Turnover Rate............... 19.32% 43.20% 23.46% 24.56% 65.91% 30.04%(2)
Net Assets, end of period (000's Omitted) $209,165 $284,383 $414,136 $307,996 $322,636 $306,248
(1) Annualized.
(2) Not annualized.
See independent accountants' review report and notes to financial statements.
</TABLE>
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
General New York Municipal Bond Fund, Inc. (the "Fund") is registered
under the Investment Company Act of 1940 ("Act") as a non-diversified
open-end management investment company. The Fund's investment objective is to
maximize current income exempt from Federal, New York State and New York City
income taxes to the extent consistent with the preservation of capital. The
Dreyfus Corporation ("Manager") serves as the Fund's investment adviser. The
Manager is a direct subsidiary of Mellon Bank, N.A. Premier Mutual Fund
Services, Inc. (the "Distributor") acts as the distributor of the Fund's
shares, which are sold to the public without a sales load.
(A) PORTFOLIO VALUATION: The Fund's investments (excluding options and
financial futures on municipal and U.S. treasury securities) are valued each
business day by an independent pricing service ("Service") approved by the
Board of Directors. Investments for which quoted bid prices are readily
available and are representative of the bid side of the market in the
judgment of the Service are valued at the mean between the quoted bid prices
(as obtained by the Service from dealers in such securities) and asked prices
(as calculated by the Service based upon its evaluation of the market for
such securities). Other investments (which constitute a majority of the
portfolio securities) are carried at fair value as determined by the Service,
based on methods which include consideration of: yields or prices of
municipal securities of comparable quality, coupon, maturity and type;
indications as to values from dealers; and general market conditions. Options
and financial futures on municipal and U.S. treasury securities are valued at
the last sales price on the securities exchange on which such securities are
primarily traded or at the last sales price on the national securities market
on each business day. Investments not listed on an exchange or the national
securities market, or securities for which there were no transactions, are
valued at the average of the most recent bid and asked prices. Bid price is
used when no asked price is available.
(B) SECURITIES TRANSACTIONS AND INVESTMENT INCOME: Securities
transactions are recorded on a trade date basis. Realized gain and loss from
securities transactions are recorded on the identified cost basis. Interest
income, adjusted for amortization of premiums and original issue discounts on
investments, is earned from settlement date and recognized on the accrual
basis. Securities purchased or sold on a when-issued or delayed-delivery
basis may be settled a month or more after the trade date.
The Fund follows an investment policy of investing primarily in municipal
obligations of one state. Economic changes affecting the state and certain of
its public bodies and municipalities may affect the ability of issuers within
the state to pay interest on, or repay principal of, municipal obligations
held by the Fund.
(C) DIVIDENDS TO SHAREHOLDERS: It is the policy of the Fund to declare
dividends daily from investment income-net. Such dividends are paid monthly.
Dividends from net realized capital gain are normally declared and paid
annually, but the Fund may make distributions on a more frequent basis to
comply with the distribution requirements of the Internal Revenue Code. To
the extent that net realized capital gain can be offset by capital loss
carryovers, if any, it is the policy of the Fund not to distribute such gain.
(D) FEDERAL INCOME TAXES: It is the policy of the Fund to continue to
qualify as a regulated investment company, which can distribute tax exempt
dividends, by complying with the applicable provisions of the Internal
Revenue Code, and to make distributions of income and net realized capital
gain sufficient to relieve it from substantially all Federal income and
excise taxes.
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
NOTE 2-MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(A) Pursuant to a management agreement ("Agreement") with the Manager,
the management fee is computed at the annual rate of .60 of 1% of the value
of the Fund's average daily net assets and is payable monthly. The Agreement
provides for an expense reimbursement from the Manager should the Fund's
aggregate expenses, exclusive of taxes, brokerage, interest on borrowings and
extraordinary expenses, exceed 1-1/2% of the value of the Fund's average net
assets for any full fiscal year. There was no expense reimbursement for the
six months ended April 30, 1996.
(B) Under a Service Plan (the "Plan") adopted pursuant to Rule 12b-1
under the Act, the Fund (a) reimburses the Distributor for payments to
certain Service Agents (a securities dealer, financial institution or other
industry professional) for distributing the Fund's shares and servicing
shareholder accounts ("Servicing") and (b) pays the Manager, Dreyfus Service
Corporation, a wholly-owned subsidiary of the Manager, and any affiliate of
either of them (collectively, "Dreyfus") for advertising and marketing
relating to the Fund and for Servicing, at an aggregate annual rate of .20 of
1% of the value of the Fund's average daily net assets. Both the Distributor
and Dreyfus may pay one or more Service Agents a fee in respect of the Fund's
shares owned by shareholders with whom the Service Agent has a Servicing
relationship or for whom the Service Agent is the dealer or holder of record.
Both the Distributor and Dreyfus determine the amounts, if any, to be paid to
Service Agents under the Plan and the basis on which such payments are made.
The fees payable under the Plan are payable without regard to actual expenses
incurred. The Plan also separately provides for the Fund to bear the costs of
preparing, printing and distributing certain of the Fund's prospectuses and
statements of additional information and costs associated with implementing
and operating the Plan, not to exceed the greater of $100,000 or .005 of 1%
of the value of the Fund's average daily net assets for any full fiscal year.
During the six months ended April 30, 1996, $327,546 was charged to the Fund
pursuant to the Plan.
Effective December 1, 1995, the Fund compensates Dreyfus Transfer, Inc.,
a wholly-owned subsidiary of the Manager, under a transfer agency agreement
for providing personnel and facilities to perform transfer agency services
for the Fund. Such compensation amounted to $48,776 for the period from
December 1, 1995 through April 30, 1996.
(C) Each director who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $2,500 and an attendence fee of $500
per meeting. The Chairman of the Board receives an additional 25% of such
compensation.
NOTE 3-SECURITIES TRANSACTIONS:
The aggregate amount of purchases and sales of investment securities,
excluding short-term securities, during the six months ended April 30, 1996,
amounted to $92,548,136 and $126,392,741, respectively.
At April 30, 1996, accumulated net unrealized appreciation on investments
was $3,128,183, consisting of $7,506,423 gross unrealized appreciation and
$4,378,240 gross unrealized depreciation.
At April 30, 1996, the cost of investments for Federal income tax
purposes was substantially the same as the cost for financial reporting
purposes (see the Statement of Investments).
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
REVIEW REPORT OF ERNST & YOUNG LLP, INDEPENDENT ACCOUNTANTS
SHAREHOLDERS AND BOARD OF DIRECTORS
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
We have reviewed the accompanying statement of assets and liabilities of
General New York Municipal Bond Fund, Inc., including the statement of
investments, as of April 30, 1996, and the related statements of operations
and changes in net assets and financial highlights for the six month period
ended April 30, 1996. These financial statements and financial highlights are
the responsibility of the Fund's management.
We conducted our review in accordance with standards established by the
American Institute of Certified Public Accountants. A review of interim
financial information consists principally of applying analytical procedures
to financial data, and making inquiries of persons responsible for financial
and accounting matters. It is substantially less in scope than an audit
conducted in accordance with generally accepted auditing standards, which
will be performed for the full year with the objective of expressing an
opinion regarding the financial statements and financial highlights taken as
a whole. Accordingly, we do not express such an opinion.
Based on our review, we are not aware of any material modifications that
should be made to the interim financial statements and financial highlights
referred to above for them to be in conformity with generally accepted
accounting principles.
We have previously audited, in accordance with generally accepted
auditing standards, the statement of changes in net assets for the year ended
October 31, 1995 and financial highlights for each of the five years in the
period ended October 31, 1995 and in our report dated November 30, 1995, we
expressed an unqualified opinion on such statement of changes in net assets
and financial highlights.
[Ernst and Young LLP signature logo]
New York, New York
June 3, 1996
[Dreyfus lion "d" logo]
General
New York
Municipal
Bond Fund, Inc.
Semi-Annual
Report
April 30, 1996
GENERAL NEW YORK
MUNICIPAL BOND FUND, INC.
200 Park Avenue
New York, NY 10166
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
90 Washington Street
New York, NY 10286
TRANSFER AGENT &
DIVIDEND DISBURSING AGENT
Dreyfus Transfer, Inc.
One American Express Plaza
Providence, RI 02903
Further information is contained
in the Prospectus, which must
precede or accompany this report.
Printed in U.S.A. 949SA964
[Dreyfus logo]
