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SIGNATURE STEPHANIE D. PIERCE
TITLE ASSISTANT TREASURER
WARNING: THE EDGAR SYSTEM ENCOUNTERED ERROR(S) WHILE PROCESSING THIS SCHEDULE.
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<NAME> GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
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</TABLE>
Report of Independent Auditors
To the Shareholders and Board of Directors of
General New York Municipal Bond Fund, Inc.
In planning and performing our audit of the financial statements of General
New York Municipal Bond Fund, Inc. for the year ended October 31, 1999, we
considered its internal control, including control activities for
safeguarding securities, in order to determine our auditing procedures for
the purpose of expressing our opinion on the financial statements and to
comply with the requirements of Form N-SAR, not to provide assurance on
internal control.
The management of General New York Municipal Bond Fund, Inc. is responsible
for establishing and maintaining internal control. In fulfilling this
responsibility, estimates and judgments by management are required to assess
the expected benefits and related costs of controls. Generally, controls that
are relevant to an audit pertain to the entity's objective of preparing
financial statements for external purposes that are fairly presented in
conformity with generally accepted accounting principles. Those controls
include the safeguarding of assets against unauthorized acquisition, use or
disposition.
Because of inherent limitations in internal control, error or fraud may occur
and not be detected. Also, projection of any evaluation of internal control
to future periods is subject to the risk that it may become inadequate
because of changes in conditions or that the effectiveness of the design and
operation may deteriorate.
Our consideration of internal control would not necessarily disclose all
matters in internal control that might be material weaknesses under standards
established by the American Institute of Certified Public Accountants. A
material weakness is a condition in which the design or operation of one or
more of the internal control components does not reduce to a relatively low
level the risk that misstatements caused by error or fraud in amounts that
would be material in relation to the financial statements being audited may
occur and not be detected within a timely period by employees in the normal
course of performing their assigned functions. However, we noted no matters
involving internal control and its operation, including controls for
safeguarding securities, that we consider to be material weaknesses as
defined above at October 31, 1999.
This report is intended solely for the information and use of management, the
Board of Directors of General New York Municipal Bond Fund, Inc., and the
Securities and Exchange Commission and is not intended to be and should not
be used by anyone other than these specified parties.
ERNST & YOUNG LLP
December 7, 1999
Sub-Item 77M
GENERAL NEW YORK MUNICIPAL BOND FUND, INC.
Mergers
During the fiscal year ended October 31, 1999, the Registrant was the
surviving entity of an exchange transaction with Dreyfus New York Insured Tax
Exempt Bond Fund (the "Acquired Fund") as described below.
On April 12, 1999 and July 21, 1999, the Acquired Fund's Board and the
Registrant's Board, respectively, approved an Agreement and Plan of
Reorganization (the "Plan") providing for the transfer of all assets, subject
to liabilities, of the Acquired Fund in exchange for the Registrant's (the
"Acquiring Fund") shares having an aggregate net asset value equal to the
aggregate net asset value of the Acquired Fund shares (the "Exchange").
At a Special Meeting of Shareholders of the Acquired Fund, held on
August 4, 1999, shareholders of the Acquired Fund voted to approve the
Agreement and Plan of Reorganization. The votes of the Acquiring Fund
shareholders were not solicited since their approval or consent was not
necessary for the Exchange.
After the close of business on September 23, 1999, the Exchange was
consummated with respect to the Acquiring Fund. The Acquired Fund
distributed such Acquiring Fund shares among its shareholders. Each
shareholder of the Acquired Fund received Acquiring Fund shares (or
fractions thereof) having an aggregate net asset value equal to the aggregate
net asset value of the shareholder's Acquired Fund shares as of September 23,
1999. Thereafter, the Acquired Fund was dissolved.