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<PAGE> PAGE 2
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<PAGE> PAGE 3
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<PAGE> PAGE 4
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<PAGE> PAGE 5
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<PAGE> PAGE 6
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<PAGE> PAGE 7
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<PAGE> PAGE 8
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<PAGE> PAGE 9
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<PAGE> PAGE 10
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<PAGE> PAGE 11
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<PAGE> PAGE 12
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<PAGE> PAGE 13
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<PAGE> PAGE 14
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<PAGE> PAGE 15
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<PAGE> PAGE 16
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<PAGE> PAGE 17
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<PAGE> PAGE 18
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<PAGE> PAGE 19
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<PAGE> PAGE 20
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062 K000400 0.0
062 L000400 0.0
062 M000400 0.0
<PAGE> PAGE 21
062 N000400 0.0
062 O000400 0.0
062 P000400 0.0
062 Q000400 0.0
062 R000400 0.0
066 A000400 Y
066 B000400 N
066 C000400 N
066 D000400 N
066 E000400 Y
066 F000400 N
066 G000400 N
067 000400 N
068 A000400 N
068 B000400 N
069 000400 N
070 A010400 Y
070 A020400 N
070 B010400 Y
070 B020400 N
070 C010400 N
070 C020400 N
070 D010400 Y
070 D020400 N
070 E010400 N
070 E020400 N
070 F010400 Y
070 F020400 N
070 G010400 Y
070 G020400 N
070 H010400 Y
070 H020400 N
070 I010400 N
070 I020400 N
070 J010400 Y
070 J020400 N
070 K010400 Y
070 K020400 N
070 L010400 Y
070 L020400 N
070 M010400 N
070 M020400 N
070 N010400 Y
070 N020400 N
070 O010400 Y
070 O020400 N
070 P010400 N
070 P020400 N
070 Q010400 N
070 Q020400 N
070 R010400 N
<PAGE> PAGE 22
070 R020400 N
071 A000400 3365
071 B000400 2119
071 C000400 3479
071 D000400 61
072 A000400 6
072 B000400 21
072 C000400 30
072 D000400 0
072 E000400 0
072 F000400 17
072 G000400 13
072 H000400 0
072 I000400 0
072 J000400 7
072 K000400 3
072 L000400 0
072 M000400 0
072 N000400 18
072 O000400 0
072 P000400 0
072 Q000400 0
072 R000400 6
072 S000400 0
072 T000400 4
072 U000400 3
072 V000400 0
072 W000400 1
072 X000400 72
072 Y000400 32
072 Z000400 11
072AA000400 63
072BB000400 0
072CC010400 0
072CC020400 13
072DD010400 0
072DD020400 0
072EE000400 0
073 A010400 0.0000
073 A020400 0.0000
073 B000400 0.0000
073 C000400 0.0000
074 A000400 146
074 B000400 0
074 C000400 0
074 D000400 330
074 E000400 0
074 F000400 4298
074 G000400 0
074 H000400 0
074 I000400 0
<PAGE> PAGE 23
074 J000400 0
074 K000400 13
074 L000400 0
074 M000400 24
074 N000400 4811
074 O000400 0
074 P000400 0
074 Q000400 0
074 R010400 0
074 R020400 0
074 R030400 0
074 R040400 26
074 S000400 0
074 T000400 4785
074 U010400 404401
074 U020400 15621
074 V010400 11.39
074 V020400 11.32
074 W000400 0.0000
074 X000400 288
074 Y000400 0
075 A000400 0
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076 000400 0.00
SIGNATURE KEN LARSEN
TITLE TREASURER
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial information extracted from the
statement of assets and liabilities, statement of operations, statement of
changes in net assets and the financial highlights and is qualified in its
entirety by reference to such financial statements.
</LEGEND>
<CIK> 0000763749
<NAME> Voyageur Mutual Funds III, Inc.
<SERIES>
<NUMBER> 1
<NAME> Voyageur Growth Stock Fund
<S> <C>
<PERIOD-TYPE> Year
<FISCAL-YEAR-END> Apr-30-1997
<PERIOD-START> May-01-1996
<PERIOD-END> Oct-31-1996
<INVESTMENTS-AT-COST> 24,448,207
<INVESTMENTS-AT-VALUE> 31,596,625
<RECEIVABLES> 1,161,967
<ASSETS-OTHER> 1,525,106
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 34,283,698
<PAYABLE-FOR-SECURITIES> 1,165,060
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 52,173
<TOTAL-LIABILITIES> 1,217,233
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 23,516,811
<SHARES-COMMON-STOCK> 1,303,553
<SHARES-COMMON-PRIOR> 1,247,828
<ACCUMULATED-NII-CURRENT> 75,615
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 2,325,621
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 7,148,418
<NET-ASSETS> 33,066,465
<DIVIDEND-INCOME> 335,063
<INTEREST-INCOME> 44,030
<OTHER-INCOME> 0
<EXPENSES-NET> 311,319
<NET-INVESTMENT-INCOME> 67,774
<REALIZED-GAINS-CURRENT> 1,415,624
<APPREC-INCREASE-CURRENT> 690,909
<NET-CHANGE-FROM-OPS> 2,174,307
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 153,375
<NUMBER-OF-SHARES-REDEEMED> 97,650
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 3,551,950
<ACCUMULATED-NII-PRIOR> 7,841
<ACCUMULATED-GAINS-PRIOR> 909,997
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 156,816
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 312,678
<AVERAGE-NET-ASSETS> 31,217,857
<PER-SHARE-NAV-BEGIN> 23.66
<PER-SHARE-NII> 0.05
<PER-SHARE-GAIN-APPREC> 1.67
<PER-SHARE-DIVIDEND> 0.00
<PER-SHARE-DISTRIBUTIONS> 0.00
<RETURNS-OF-CAPITAL> 0.00
<PER-SHARE-NAV-END> 25.38
<EXPENSE-RATIO> 0.020
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial information extracted from the
statement of assets and liabilities, statement of operations, statement of
changes in net assets and the financial highlights and is qualified in its
entirety by reference to such financial statements.
</LEGEND>
<CIK> 0000763749
<NAME> Voyageur Mutual Funds III, Inc.
<SERIES>
<NUMBER> 2
<NAME> Voyageur International Equity Fund
<S> <C>
<PERIOD-TYPE> Year
<FISCAL-YEAR-END> Apr-30-1997
<PERIOD-START> May-01-1996
<PERIOD-END> Oct-31-1996
<INVESTMENTS-AT-COST> 2,232,821
<INVESTMENTS-AT-VALUE> 2,286,146
<RECEIVABLES> 214,525
<ASSETS-OTHER> 12,366
<OTHER-ITEMS-ASSETS> 18,334
<TOTAL-ASSETS> 2,531,371
<PAYABLE-FOR-SECURITIES> 112,704
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 27,242
<TOTAL-LIABILITIES> 139,946
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 2,285,805
<SHARES-COMMON-STOCK> 237,858
<SHARES-COMMON-PRIOR> 273,268
<ACCUMULATED-NII-CURRENT> 7,773
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 44,279
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 53,568
<NET-ASSETS> 2,391,425
<DIVIDEND-INCOME> 28,721
<INTEREST-INCOME> 0
<OTHER-INCOME> 0
<EXPENSES-NET> 27,160
<NET-INVESTMENT-INCOME> 1,561
<REALIZED-GAINS-CURRENT> 48,888
<APPREC-INCREASE-CURRENT> (144,137)
<NET-CHANGE-FROM-OPS> (93,688)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 28,283
<NUMBER-OF-SHARES-REDEEMED> 63,693
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> (454,055)
<ACCUMULATED-NII-PRIOR> 6,212
<ACCUMULATED-GAINS-PRIOR> 197,705
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 13,488
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 83,801
<AVERAGE-NET-ASSETS> 2,680,561
<PER-SHARE-NAV-BEGIN> 10.41
<PER-SHARE-NII> 0.01
<PER-SHARE-GAIN-APPREC> (0.36)
<PER-SHARE-DIVIDEND> 0.00
<PER-SHARE-DISTRIBUTIONS> 0.00
<RETURNS-OF-CAPITAL> 0.00
<PER-SHARE-NAV-END> 10.06
<EXPENSE-RATIO> 0.002
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial information extracted from the
statement of assets and liabilities, statement of operations, statement of
changes in net assets and the financial highlights and is qualified in its
entirety by reference to such financial statements.
</LEGEND>
<CIK> 0000763749
<NAME> Voyageur Mutual Funds III, Inc.
<SERIES>
<NUMBER> 3
<NAME> Voyageur Aggressive Growth Fund
<S> <C>
<PERIOD-TYPE> Year
<FISCAL-YEAR-END> Apr-30-1997
<PERIOD-START> May-01-1996
<PERIOD-END> Oct-31-1996
<INVESTMENTS-AT-COST> 4,885,178
<INVESTMENTS-AT-VALUE> 5,423,428
<RECEIVABLES> 1,707
<ASSETS-OTHER> 432,000
<OTHER-ITEMS-ASSETS> 12,464
<TOTAL-ASSETS> 5,869,599
<PAYABLE-FOR-SECURITIES> 146,995
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 26,880
<TOTAL-LIABILITIES> 173,875
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 4,263,330
<SHARES-COMMON-STOCK> 396,040
<SHARES-COMMON-PRIOR> 343,039
<ACCUMULATED-NII-CURRENT> (35,469)
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 929,613
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 538,250
<NET-ASSETS> 5,695,724
<DIVIDEND-INCOME> 6,923
<INTEREST-INCOME> 0
<OTHER-INCOME> 0
<EXPENSES-NET> 46,615
<NET-INVESTMENT-INCOME> (39,692)
<REALIZED-GAINS-CURRENT> 989,739
<APPREC-INCREASE-CURRENT> (442,642)
<NET-CHANGE-FROM-OPS> 507,405
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (25,608)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 95,059
<NUMBER-OF-SHARES-REDEEMED> 42,058
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 1,211,372
<ACCUMULATED-NII-PRIOR> 4,223
<ACCUMULATED-GAINS-PRIOR> 980,892
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 26,230
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 85,740
<AVERAGE-NET-ASSETS> 5,222,629
<PER-SHARE-NAV-BEGIN> 13.08
<PER-SHARE-NII> (0.10)
<PER-SHARE-GAIN-APPREC> 1.41
<PER-SHARE-DIVIDEND> 0.00
<PER-SHARE-DISTRIBUTIONS> 0.00
<RETURNS-OF-CAPITAL> 0.00
<PER-SHARE-NAV-END> 14.39
<EXPENSE-RATIO> 0.002
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
This schedule contains summary financial information extracted from the
statement of assets and liabilities, statement of operations, statement of
changes in net assets and the financial highlights and is qualified in its
entirety by reference to such financial statements.
</LEGEND>
<CIK> 0000763749
<NAME> Voyageur Mutual Funds III, Inc.
<SERIES>
<NUMBER> 4
<NAME> Voyageur Growth and Income Fund
<S> <C>
<PERIOD-TYPE> Year
<FISCAL-YEAR-END> Apr-30-1997
<PERIOD-START> May-01-1996
<PERIOD-END> Oct-01-1996
<INVESTMENTS-AT-COST> 4,338,764
<INVESTMENTS-AT-VALUE> 4,628,274
<RECEIVABLES> 12,502
<ASSETS-OTHER> 145,897
<OTHER-ITEMS-ASSETS> 24,460
<TOTAL-ASSETS> 4,811,133
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 26,299
<TOTAL-LIABILITIES> 26,299
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 4,338,576
<SHARES-COMMON-STOCK> 420,022
<SHARES-COMMON-PRIOR> 353,519
<ACCUMULATED-NII-CURRENT> 15,219
<OVERDISTRIBUTION-NII> 0
<ACCUMULATED-NET-GAINS> 141,529
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 289,510
<NET-ASSETS> 4,784,834
<DIVIDEND-INCOME> 20,855
<INTEREST-INCOME> 30,426
<OTHER-INCOME> 0
<EXPENSES-NET> 40,556
<NET-INVESTMENT-INCOME> 10,725
<REALIZED-GAINS-CURRENT> 63,099
<APPREC-INCREASE-CURRENT> (12,862)
<NET-CHANGE-FROM-OPS> 60,962
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> 0
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 74,536
<NUMBER-OF-SHARES-REDEEMED> 8,033
<SHARES-REINVESTED> 0
<NET-CHANGE-IN-ASSETS> 811,278
<ACCUMULATED-NII-PRIOR> 4,494
<ACCUMULATED-GAINS-PRIOR> 302,372
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 16,586
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 72,942
<AVERAGE-NET-ASSETS> 4,403,149
<PER-SHARE-NAV-BEGIN> 11.24
<PER-SHARE-NII> 0.02
<PER-SHARE-GAIN-APPREC> 0.13
<PER-SHARE-DIVIDEND> 0.00
<PER-SHARE-DISTRIBUTIONS> 0.00
<RETURNS-OF-CAPITAL> 0.00
<PER-SHARE-NAV-END> 11.39
<EXPENSE-RATIO> 0.002
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0
</TABLE>
Sub-Item 77C
A special meeting of shareholders of Voyageur International Equity Fund (the
"Fund"), a series of Voyageur Mutual Funds III, Inc. (the "Company"), was held
on Thursday, August 15, 1996. The purpose of the meeting was to approve a
Sub-Advisory Agreement pursuant to which Voyageur International Asset Managers
Ltd would manage the assets of the Fund. Shareholders approved the Sub-Advisory
Agreement with the following votes: FOR: 77,536 AGAINST: 204,311 ABSTAIN: 0
Sub-Item 77Q(1)(e)
A special meeting of shareholders of Voyageur International Equity Fund (the
"Fund"), a series of Voyageur Mutual Funds III, Inc. (the "Company"), was held
on Thursday, August 15, 1996. The purpose of the meeting was to approve a
Sub-Advisory Agreement pursuant to which Voyageur International Asset Managers
Ltd would manage the assets of the Fund. Shareholders approved the Sub-Advisory
Agreement which was filed as Exhibit No. 5.3 to Post-Effective Amendment No. 26
to Form N-1A on August 29, 1996, File Nos. 2-95928 and 811-4547, respectively,
and incorporated herein by reference.
