DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
LETTER TO SHAREHOLDERS
Dear Shareholder:
We are pleased to report the performance of the Dreyfus Premier New York
Municipal Bond Fund for the 12-month reporting period ended November 30, 1997
as shown in the following table:
<TABLE>
<CAPTION>
TOTAL RETURN* DISTRIBUTION RATE**
___________ _______________
<S> <C> <C>
Class A Shares......................... 7.31% 4.44%
Class B Shares......................... 6.77% 4.14%
Class C Shares......................... 6.50% 3.90%
</TABLE>
ECONOMIC REVIEW
Almost everything went right for the U.S. economy over the reporting
period. In its seventh year of expansion, the economy showed no sign of an
upsurge in inflation resulting from tightening labor markets. With the
unemployment rate at its lowest level in almost a decade, investors had been
concerned that wage gains might result in higher levels of inflation and
cause the Federal Reserve Board (the "Fed") to again raise interest rates.
Given the longevity of our economic recovery, the Fed's monetary policymakers
apparently were hoping that a cyclical easing in the economic growth rate
would help dampen any incipient inflationary pressure. Recent turmoil in the
financial markets of Asia and Latin America has raised prospects for a
slowdown in U.S. exports as those nations shore up their financial systems.
If this were to occur, the diminished demand for U.S. goods overseas could be
a drag on domestic economic growth. What is all but certain is that the Fed
is reluctant to further unsettle world financial markets by raising interest
rates over the near term.
Indicators of future economic conditions showed high levels of consumer
optimism and pointed toward continued growth. Consumers' spirits have been
lifted by an unemployment rate at a quarter-century low (4.7% at the end of
the reporting period), and core inflation, which excludes food and energy
price changes, at the 2% level. The Conference Board, a business-sponsored
research group, recently reported that its Consumer Confidence Index hit a
new high for this economic expansion. Since consumers account for two thirds
of all economic activity, their confidence in the economy is an important
indicator of future conditions. Another important index of future economic
conditions, the Index of Leading Economic Indicators (also a Conference Board
index), implied continued growth. Government reports of personal income and
consumer spending showed healthy rates of increase as well.
The production side of the economy continued its robust advance.
Industrial output rose consistently, and while the factory utilization rate
(a potential harbinger of production bottlenecks and price pressures) also
increased, there was little evidence of producer-generated inflation.
Additional good news regarding inflation came from the report that the
productivity of U.S. workers rose at its fastest pace in five years during
the third quarter of 1997. This increase in worker efficiency helped push down
unit labor costs and eased concerns that labor costs, despite the tight
labor market, would lead to higher inflation.
The interplay between worker productivity and worker wage increases does
much in determining the future course of inflation. We continue to monitor
that closely, along with developments in the international financial arena.
The recent
international turbulence underscored the close economic relationships that
exist among all countries, particularly in this age of multinational
companies and pervasive global capitalism.
MARKET ENVIRONMENT
The investment landscape has changed considerably since our last
communication to shareholders. The U.S. economy continues to expand as
exhibited by strengthening employment, personal income and consumer
confidence data. Normally, the fixed income markets would be bracing for
higher interest rates in anticipation of a Fed tightening of monetary policy.
We believe the Asian financial crisis will, at least temporarily, keep the
monetary authority from taking any actions that could exacerbate the problems
abroad. It is still too soon to predict the depth and worldwide impact of the
Asian turmoil. Certainly, there will be some economic slowing both in the
U.S. and internationally. The markets have concluded that the fallout from
developments in Asia will have the same effect as a Fed interest rate hike,
as evidenced by the sharp drop in long-term interest rates since the onset of
the Asian problems.
Looking ahead, we believe the climate is still favorable for fixed income
investments-and particularly for tax-free bonds. Prices of commodities,
including oil and gold, continue to fall. Such activity is considered a
harbinger of still lower bond yields. A slowing economy could benefit bonds
at the expense of stocks. Many investment strategists are increasing their
recommended holdings of bonds while reducing exposure to equities.
Interest rates have fallen steadily during the last six months and are
now more than fifty basis points (one-half of 1%) lower than they were one
year ago. This performance is all the more compelling in view of a surge in
new bond issuance during 1997. Most of the new-issue sales have occurred in
recent months due largely to the considerable drop in rates: issuers have
seized this opportunity to fund new infrastructure projects as well as to
refinance their outstanding, higher interest rate bonds. We anticipate that
there will be a significant slowdown in the pace of debt issuance. This could
be occurring just when investor purchases should increase. Our reasoning is
largely influenced by the expectation of further economic weakness and the
positive impact it might have on bonds.
PORTFOLIO OVERVIEW
Earlier in the year, the Fund had been managed with a defensive bias,
until it was clear that the Fed tightening had been completed. The Fund
endeavors to provide an attractive yield and we maintain a core position of
high coupon paper to help meet that need. The municipal yield curve has
remained relatively flat during this reporting period. The maturities of
some holdings were shortened from the 30-year range with only a modest
reduction in yield, thereby reducing volatility. This afforded us the
flexibility to increase our position in paper with the potential for capital
appreciation without significantly extending the duration of the Fund. The
demand for high yield paper continues to be very strong in the municipal
market: nevertheless, we will continue to incorporate it when possible into
the structure of the portfolio. New York issuance, which was limited during
the early part of the year, increased considerably during the third and
fourth quarters. The total return of 7.31% for Class A Shares for the year
ended November 30 compares very favorably to the Lipper New York Municipal
Debt Average of 6.73% for the same period.
Included in this report is a series of detailed statements about your
Fund's holdings and its financial condition. We hope you find them
informative. Please know that we greatly appreciate your continued
confidence in the Fund and in The Dreyfus Corporation.
Very truly yours,
[Richard J. Moynihan signature logo]
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
December 18, 1997
New York, N.Y.
* Total return includes reinvestment of dividends and any capital gains
paid, and does not take into consideration the maximum initial sales charge
in the case of Class A shares or the contingent deferred sales charge imposed
on redemptions in the case of Class B and Class C shares.
**Distribution rate per share is based upon dividends per share paid from net
investment income during the period, divided by the maximum offering price
per share at the end of the period in the case of Class A shares, or the net
asset value per share in the case of Class B and Class C shares, adjusted for
capital gain distributions. Some income may be subject to the Federal
Alternative Minimum Tax (AMT) for certain shareholders.
<TABLE>
<CAPTION>
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND NOVEMBER 30, 1997
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN DREYFUS PREMIER NEW
YORK MUNICIPAL BOND FUND CLASS A SHARES AND THE LEHMAN BROTHERS MUNICIPAL
BOND INDEX
[Exhibit A:
Dollars
$22,909
Dreyfus Premier New York
Municipal Bond Fund
(Class A Shares)
$22,786
Lehman Brothers Municipal
Bond Index*
*Source: Lehman Brothers]
Average Annual Total Returns
Class A Shares Class B Shares
_______________________________________________________ ___________________________________________________________
% Return Reflecting
% Return Applicable Contingent
Reflecting % Return Deferred Sales
% Return Without Maximum Initial Assuming No Charge Upon
Period Ended 11/30/97 Sales Charge Sales Charge (4.5%) Period Ended 11/30/97 Redemption Redemption*
_____________________ _______________ __________________ ______________________ ______________ ____________________
<S> <C> <C> <C> <C> <C>
1 Year 7.31% 2.51% 1 Year 6.77% 2.77%
5 Years 7.33 6.35 From Inception (1/15/93) 6.67 6.35
10 Years 9.14 8.64
</TABLE>
<TABLE>
<CAPTION>
Class C Shares
_______________________________________________________
% Return Reflecting
Applicable Contingent
% Return Deferred Sales
Assuming No Charge Upon
Period Ended 11/30/97 Redemption Redemption**
_____________________ ___________ ____________________
<S> <C> <C>
1 Year 6.50% 5.50%
From Inception (9/11/95) 6.38 6.38
</TABLE>
Past performance is not predictive of future performance.
The above graph compares a $10,000 investment made in Class A shares of
Dreyfus Premier New York Municipal Bond Fund on 11/30/87 to a $10,000
investment made in the Lehman Brothers Municipal Bond Index on that date.
All dividends and capital gain distributions are reinvested. Performance for
Class B and Class C shares will vary from the performance of Class A shares
shown above due to differences in charges and expenses.
The Fund invests primarily in New York municipal securities and its
performance shown in the line graph takes into account the maximum initial
sales charge on Class A shares and all other applicable fees and expenses.
Unlike the Fund, the Lehman Brothers Municipal Bond Index is an unmanaged
total return performance benchmark for the long-term, investment grade,
geographically unrestricted tax exempt bond market, calculated by using
municipal bonds selected to be representative of the municipal market overall.
The Index does not take into account charges, fees and other expenses and
is not limited to investments principally in New York municipal obligations.
These factors can contribute to the Index potentially outperforming the Fund.
Further information relating to Fund performance, including expense
reimbursements, if applicable, is contained in the Financial Highlights
section of the Prospectus and elsewhere in this report.
* The maximum contingent deferred sales charge for Class B shares is 4% and
is reduced to 0% after six years.
**The maximum contingent deferred sales charge for Class C shares is 1% for
shares redeemed within one year of the date of purchase.
<TABLE>
<CAPTION>
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
STATEMENT OF INVESTMENTS NOVEMBER 30, 1997
Principal
Long-Term Municipal Investments-97.2% Amount Value
___________ ___________
<S> <C> <C>
New York-89.8%
Albany Industrial Development Agency, Lease Revenue:
(New York State Assembly Building Project) 7.75%, 1/1/2010................ $ 985,000 $ 1,126,426
(New York State Department of Health Building Project) 7.25%, 10/1/2010... 1,425,000 1,588,590
Housing New York Corp., Local Guaranteed Housing Revenue, Refunding
5.50%, 11/1/2010.......................................................... 2,650,000 2,702,709
Metropolitan Transportation Authority:
Commuter Facilities Revenue:
6.125%, 7/1/2014 (Insured; MBIA) (Prerefunded 7/1/2004) (a)............. 2,990,000 3,322,219
5.70%, 7/1/2017 (Insured; MBIA)......................................... 5,895,000 6,134,278
(Grand Central Terminal Project) 5.70%, 7/1/2024 (Insured; FSA)......... 550,000 568,447
Transit Facilities Revenue:
6%, 7/1/2016 (Insured; FSA)............................................. 3,000,000 3,231,420
Refunding 5.25%, 7/1/2017............................................... 10,000,000 9,725,300
New York City:
6.75%, 2/1/2009........................................................... 3,000,000 3,422,940
5.875%, 8/15/2016......................................................... 4,900,000 5,050,822
6%, 2/15/2020............................................................. 4,500,000 4,657,230
6.625%, 8/1/2025.......................................................... 5,090,000 5,673,823
Refunding:
6.375%, 8/1/2004........................................................ 1,000,000 1,079,370
6%, 8/1/2017............................................................ 3,000,000 3,130,320
6%, 8/1/2021............................................................ 4,000,000 4,163,280
5.875%, 8/1/2024........................................................ 2,000,000 2,053,260
New York City Housing Development Corp., MFHR, Refunding 5.625%, 5/1/2012... 1,500,000 1,544,655
New York City Industrial Development Agency:
Civic Facility Revenue:
(Nightingale-Bamford School Project) 5.85%, 1/15/2020................... 3,000,000 3,091,320
(YMCA of Greater New York Project):
5.80%, 8/1/2016....................................................... 1,000,000 1,026,440
8%, 8/1/2016 (Prerefunded 8/1/2001) (a)............................... 1,500,000 1,717,575
Special Facility Revenue:
(American Airlines Inc. Project) 6.90%, 8/1/2024........................ 2,000,000 2,232,320
(Northwest Airlines Inc.) 6%, 6/1/2027.................................. 1,300,000 1,342,562
(Terminal One Group Association Project) 6%, 1/1/2019................... 3,000,000 3,124,560
New York City Municipal Water Finance Authority, Water and Sewer Systems
Revenue,
Refunding:
6%, 6/15/2010........................................................... 4,100,000 4,482,612
5%, 6/15/2021 (Insured; FGIC)........................................... 2,500,000 2,416,025
New York City Transit Finance Authority, Revenue 5%, 8/15/2027.............. 3,500,000 3,368,785
New York State Dormitory Authority, Revenues:
(Consolidated City University System):
5.75%, 7/1/2007 (Insured; AMBAC)........................................ 3,150,000 3,420,616
5.75%, 7/1/2009 (Insured; AMBAC)........................................ 3,000,000 3,270,510
6.30%, 7/1/2024 (Insured; AMBAC)........................................ 500,000 553,435
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
STATEMENT OF INVESTMENTS NOVEMBER 30, 1997
Principal
Long-Term Municipal Investments (continued) Amount Value
________ ________
New York (continued)
New York State Dormitory Authority, Revenues (continued):
(Consolidated City University System) (continued):
Refunding:
5.35%, 7/1/2009 (Insured; FGIC)....................................... $ 1,500,000 $ 1,565,565
5.50%, 7/1/2016 (Insured; AMBAC)...................................... 2,200,000 2,258,520
5.625%, 7/1/2016...................................................... 4,000,000 4,157,120
Health Hospital and Nursing Home:
(Department of Health) 5.75%, 7/1/2017.................................. 1,000,000 1,022,230
(Ideal Senior Living Center Housing Corp.) 5.90%, 8/1/2026 (Insured; MBIA; FHA) 1,000,000 1,051,840
(Municipal Health Facilities Improvement Program) 5.50%, 5/15/2024 (Insured; FSA) 1,000,000 1,010,280
Refunding:
5.875%, 5/15/2011 (Insured; FGIC)..................................... 5,000,000 5,497,100
5.50%, 5/15/2013...................................................... 1,500,000 1,554,660
5.875%, 5/15/2017..................................................... 2,000,000 2,148,660
New York State Energy Research and Development Authority, Revenue:
Electric Facilities (Consolidated Edison Co. Project) 7.125%, 12/1/2029... 5,000,000 5,679,650
Pollution Control, Refunding (New York State Electric and Gas Corp.)
6.05%, 4/1/2034 (Insured; MBIA)......................................... 500,000 533,305
New York State Environmental Facilities Corp., PCR (Pilgrim State Sewer
Project)
6.30%, 3/15/2016.......................................................... 3,000,000 3,317,430
New York State Housing Finance Agency, Revenue:
Health Facilities, Refunding (New York City) 6%, 11/1/2007................ 4,000,000 4,319,520
Housing Project Mortgage, Refunding 6.10%, 11/1/2015 (Insured; FSA)....... 2,000,000 2,116,940
Multi-Family Mortgage 6.35%, 8/15/2023 (Insured; AMBAC; FHA).............. 500,000 530,125
Service Contract Obligation:
6.25%, 9/15/2010........................................................ 3,000,000 3,227,220
Refunding:
5.25%, 9/15/2011...................................................... 2,000,000 1,999,840
5.50%, 9/15/2018...................................................... 4,000,000 3,994,720
New York State Medical Care Facilities Finance Agency, Hospital and Nursing
Home
FHA Insured Mortgage Revenue:
6.05%, 2/15/2015........................................................ 3,000,000 3,189,930
(Montefiore Medical Center) 5.75%, 2/15/2025 (Insured; AMBAC)........... 500,000 518,775
New York State Mortgage Agency, Homeownership Mortgage Revenue:
8.05%, 4/1/2022........................................................... 545,000 574,174
Refunding 6%, 4/1/2017.................................................... 2,000,000 2,091,980
New York State Thruway Authority, Service Contract Revenue (Local Highway and
Bridge):
5.75%, 4/1/2016........................................................... 3,000,000 3,089,310
Refunding 6%, 4/1/2011.................................................... 5,000,000 5,356,800
New York State Urban Development Corp., Revenue:
(Alfred Technology Resources Inc. Project) 7.875%, 1/1/2020 (Prerefunded 1/1/2000) (a) 1,000,000 1,093,140
Correctional Capital Facilities:
6.10%, 1/1/2011......................................................... 4,000,000 4,243,080
5.375%, 1/1/2015........................................................ 2,850,000 2,829,394
5.70%, 1/1/2016......................................................... 9,350,000 9,534,289
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
STATEMENT OF INVESTMENTS NOVEMBER 30, 1997
Principal
Long-Term Municipal Investments (continued) Amount Value
________ ________
New York (continued)
New York State Urban Development Corp., Revenue (continued):
Correctional Capital Facilities (continued):
Refunding 6.50%, 1/1/2011 (Insured; FSA)................................ $ 3,190,000 $ 3,685,471
(Onondaga County Convention Project) 7.875%, 1/1/2020 (Prerefunded 1/1/2001) (a) 1,475,000 1,660,393
Port Authority of New York and Jersey, Special Obligation Revenue
(JFK International Air Terminal) 5.75%, 12/1/2025 (Insured; MBIA)......... 4,025,000 4,157,946
Rensselaer County Industrial Development Agency, IDR (Albany International
Corp.)
7.55%, 6/1/2007 (LOC; Norstar Bank) (b)................................... 1,500,000 1,787,160
Triborough Bridge and Tunnel Authority
Refunding:
Highway Toll Revenue 6%, 1/1/2012....................................... 2,000,000 2,214,360
Lease Revenue (Convention Center Project) 7.25%, 1/1/2010............... 1,000,000 1,190,100
Special Obligation 6.25%, 1/1/2012 (Insured; AMBAC)....................... 4,000,000 4,308,760
United Nations Development Corp., Revenue, Refunding 5.50%, 7/1/2017........ 1,865,000 1,866,865
Yonkers 5.50%, 9/1/2012 (Insured; FGIC)..................................... 1,235,000 1,279,287
U.S. Related -7.4%
Guam Airport Authority, Airport Revenue 6.70%, 10/1/2023.................... 2,000,000 2,173,640
Commonwealth of Puerto Rico 6%, 7/1/2026.................................... 5,000,000 5,348,550
Puerto Rico Industrial Medical Educational and Environmental Pollution
Control
Facilities Financing Authority, HR, Refunding (Saint Luke's Hospital
Project)
6.25%, 6/1/2010......................................................... 1,100,000 1,172,952
Puerto Rico Public Buildings Authority, Revenue:
Government Facilities 5.25%, 7/1/2021 (Guaranteed; Commonwealth of Puerto Rico) 4,500,000 4,428,000
Public Education and Health Facilities, Refunding
5.70%, 7/1/2009 (Guaranteed; Commonwealth of Puerto Rico)............... 2,235,000 2,401,820
_____________
TOTAL LONG-TERM MUNICIPAL INVESTMENTS
(cost $192,968,172)....................................................... $205,402,750
=============
Short-Term Municipal Investments-2.8%
New York:
New York State Energy Research and Development Authority, PCR, Refunding,
VRDN
(New York Electric and Gas Co.) 3.75% (LOC; Union Bank of Switzerland) (b,c) $ 1,000,000 $ 1,000,000
Port Authority of New York and New Jersey, Special Obligation Revenue, VRDN
(Versatile Structure) 3.85% (SBPA; Morgan Guaranty Trust Co.) (c)......... 5,000,000 5,000,000
_____________
TOTAL SHORT-TERM MUNICIPAL INVESTMENTS
(cost $6,000,000)......................................................... $ 6,000,000
=============
TOTAL INVESTMENTS-100.0%
(cost $198,968,172)....................................................... . $ 211,402,750
=============
</TABLE>
<TABLE>
<CAPTION>
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
Summary of Abbreviations
<S> <C> <S> <C>
AMBAC American Municipal Bond Assurance Corporation MBIA Municipal Bond Investors Assurance
FGIC Financial Guaranty Insurance Company Insurance Corporation
FHA Federal Housing Administration MFHR Multi-Family Housing Revenue
FSA Financial Security Assurance PCR Pollution Control Revenue
HR Hospital Revenue SBPA Standby Bond Purchase Agreement
IDR Industrial Development Revenue VRDN Variable Rate Demand Notes
LOC Letter of Credit
</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 27.5%
AA Aa AA 7.4
A A A 28.6
BBB Baa BBB 31.7
BB Ba BB .7
F1 MIG1 SP1 2.8
Not Rated (e) Not Rated (e) Not Rated (e) 1.3
_______
100.0%
=======
</TABLE>
Notes to Statement of Investments:
(a) 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.
(b) Secured by letters of credit.
(c) Security 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 and 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 NOTES TO FINANCIAL STATMENTS.
<TABLE>
<CAPTION>
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
STATEMENT OF ASSETS AND LIABILITIES NOVEMBER 30, 1997
Cost Value
_________ _________
<S> <C> <C> <C>
ASSETS: Investments in securities-See Statement of Investments $198,968,172 $211,402,750
Cash....................................... 44,140
Interest receivable........................ 3,776,643
Receivable for shares of Beneficial Interest subscribed 50,510
Prepaid expenses........................... 13,253
_____________
215,287,296
_____________
LIABILITIES: Due to The Dreyfus Corporation and affiliates 94,602
Due to Distributor......................... 75,977
Payable for investment securities purchased 5,951,552
Payable for shares of Beneficial Interest redeemed 66,101
Accrued expenses........................... 59,523
_____________
6,247,755
_____________
NET ASSETS.................................................................. $209,039,541
=============
REPRESENTED BY: Paid-in capital............................ $193,304,859
Accumulated net realized gain (loss) on investments 3,300,104
Accumulated gross unrealized appreciation
on investments............................ 12,434,578
_____________
NET ASSETS.................................................................. $209,039,541
=============
</TABLE>
<TABLE>
<CAPTION>
NET ASSET VALUE PER SHARE
_____________________________
Class A Class B Class C
__________ __________ __________
<S> <C> <C> <C>
Net Assets.................................................... $128,810,674 $80,141,783 $87,084
Shares Outstanding............................................ 8,462,933 5,264,195 5,719
NET ASSET VALUE PER SHARE..................................... $15.22 $15.22 $15.23
======= ======= =======
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
STATEMENT OF OPERATIONS YEAR ENDED NOVEMBER 30, 1997
INVESTMENT INCOME
<S> <C> <C> <C>
INCOME Interest Income............................ $ 11,948,198
EXPENSES: Management fee-Note 3(a)................... $ 1,152,287
Shareholder servicing costs-Note 3(c)...... 633,589
Distribution fees-Note 3(b)................ 390,067
Professional fees.......................... 61,828
Registration fees.......................... 35,349
Custodian fees............................. 22,608
Trustees' fees and expenses-Note 3(d)...... 17,479
Loan commitment fees-Note 2................ 2,116
Prospectus and shareholders' reports....... 1,763
Miscellaneous.............................. 18,623
____________
Total Expenses....................... 2,335,709
____________
INVESTMENT INCOME-NET....................................................... 9,612,489
____________
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS-Note 4:
Net realized gain (loss) on investments.... $ 3,657,396
Net realized gain (loss) on financial futures (356,553)
____________
Net Realized Gain (Loss)............... $ 3,300,843
Net unrealized appreciation (depreciation) on investments 1,895,811
____________
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS...................... 5,196,654
____________
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $ 14,809,143
============
SEE NOTES TO FINANCIAL STATEMENTS.
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
STATEMENT OF CHANGES IN NET ASSETS
Year Ended Year Ended
November 30, 1997 November 30, 1996
__________________ __________________
OPERATIONS:
Investment income-net............................................... $ 9,612,489 $ 10,020,935
Net realized gain (loss) on investments............................. 3,300,843 948,259
Net unrealized appreciation (depreciation) on investments........... 1,895,811 (1,028,664)
_____________ _____________
Net Increase (Decrease) in Net Assets Resulting from Operations. 14,809,143 9,940,530
_____________ _____________
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income-net:
Class A shares.................................................... (6,295,888) (6,921,593)
Class B shares.................................................... (3,305,195) (3,093,704)
Class C shares.................................................... (11,406) (5,638)
Net realized gain on investments:
Class A shares.................................................... (589,099) ----
Class B shares.................................................... (311,285) ----
Class C shares.................................................... (2,253) ----
_____________ _____________
Total Dividends................................................. (10,515,126) (10,020,935)
_____________ _____________
BENEFICIAL INTEREST TRANSACTIONS:
Net proceeds from shares sold:
Class A shares.................................................... 7,608,273 11,521,767
Class B shares.................................................... 7,753,909 10,872,905
Class C shares.................................................... 40,520 473,073
Dividends reinvested:
Class A shares.................................................... 4,814,789 5,056,435
Class B shares.................................................... 2,697,892 2,351,435
Class C shares.................................................... 3,651 4,027
Cost of shares redeemed:
Class A shares.................................................... (25,958,621) (27,212,542)
Class B shares.................................................... (13,048,898) (8,777,575)
Class C shares.................................................... (526,877) ----
Net assets received in connection with reorganization-Note 1........ 14,070,924 ----
_____________ _____________
Increase (Decrease) in Net Assets from Beneficial Interest Transactions (2,544,438) (5,710,475)
_____________ _____________
Total Increase (Decrease) in Net Assets....................... 1,749,579 (5,790,880)
NET ASSETS:
Beginning of Period................................................. 207,289,962 213,080,842
_____________ _____________
End of Period....................................................... $209,039,541 $207,289,962
============= =============
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
STATEMENT OF CHANGES IN NET ASSETS (CONTINUED)
Shares
________________________________________
Year Ended Year Ended
November 30, 1997 November 30, 1996
__________________ _________________
<S> <C> <C>
CAPITAL SHARE TRANSACTIONS:
Class A
________
Shares sold....................................................... 515,255 786,787
Shares issued in connection with reorganization-Note 1............ 308,412 ---
Shares issued for dividends reinvested............................ 324,141 345,086
Shares redeemed................................................... (1,748,284) (1,861,748)
__________ __________
Net Increase (Decrease) in Shares Outstanding (600,476) (729,875)
========== ==========
Class B
________
Shares sold....................................................... 523,936 740,327
Shares issued in connection with reorganization-Note 1............ 658,559 ---
Shares issued for dividends reinvested............................ 181,383 160,501
Shares redeemed................................................... (877,393) (601,695)
__________ __________
Net Increase (Decrease) in Shares Outstanding 486,485 299,133
========== ==========
Class C
________
Shares sold....................................................... 2,717 32,116
Shares issued in connection with reorganization-Note 1............ 6,355 ---
Shares issued for dividends reinvested............................ 247 276
Shares redeemed................................................... (36,061) ---
__________ __________
Net Increase (Decrease) in Shares Outstanding (26,742) 32,392
========== ==========
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Beneficial Interest 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.
Class A Shares
______________________________________________________
Year Ended November 30,
______________________________________________________
PER SHARE DATA: 1997 1996 1995 1994 1993
______ ______ ______ ______ ______
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period......... $14.94 $14.93 $13.01 $14.97 $13.97
______ ______ ______ ______ ______
Investment Operations:
Investment income-net........................ .71 .73 .75 .75 .80
Net realized and unrealized gain (loss)
on investments............................. .35 .01 1.92 (1.86) 1.00
______ ______ ______ ______ ______
Total from Investment Operations............. 1.06 .74 2.67 (1.11) 1.80
______ ______ ______ ______ ______
Distributions:
Dividends from investment income-net......... (.71) (.73) (.75) (.75) (.80)
Dividends from net realized gain on investments (.07) - - (.10) -
______ ______ ______ ______ ______
Total Distributions.......................... (.78) (.73) (.75) (.85) (.80)
______ ______ ______ ______ ______
Net asset value, end of period............... $15.22 $14.94 $14.93 $13.01 $14.97
====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN*......................... 7.31% 5.17% 20.93% (7.76%) 13.16%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets...... .92% .92% .94% .89% .78%
Ratio of net investment income
to average net assets...................... 4.78% 4.99% 5.27% 5.25% 5.41%
Decrease reflected in above expense ratios
due to undertakings by the Manager......... - - - .04% .18%
Portfolio Turnover Rate...................... 74.84% 53.74% 74.11% 31.76% 19.55%
Net Assets, end of period (000's Omitted).... $128,811 $135,413 $146,207 $137,978 $164,046
* Exclusive of sales load.
SEE NOTES TO FINANCIAL STATEMENTS.
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
FINANCIAL HIGHLIGHTS (CONTINUED)
Contained below is per share operating performance data for a share of
Beneficial Interest 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.
Class B Shares
______________________________________________________
Year Ended November 30,
______________________________________________________
PER SHARE DATA: 1997 1996 1995 1994 1993(1)
______ ______ ______ ______ ______
Net asset value, beginning of period......... $14.94 $14.93 $13.02 $14.97 $14.04
______ ______ ______ ______ ______
Investment Operations:
Investment income-net........................ .63 .65 .67 .67 .62
Net realized and unrealized gain (loss)
on investments............................. .35 .01 1.91 (1.85) .93
______ ______ ______ ______ ______
Total from Investment Operations............. .98 .66 2.58 (1.18) 1.55
______ ______ ______ ______ ______
Distributions:
Dividends from investment income-net......... (.63) (.65) (.67) (.67) (.62)
Dividends from net realized gain on investments (.07) - - (.10) -
______ ______ ______ ______ ______
Total Distributions.......................... (.70) (.65) (.67) (.77) (.62)
______ ______ ______ ______ ______
Net asset value, end of period............... $15.22 $14.94 $14.93 $13.02 $14.97
====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN(2)....................... 6.77% 4.61% 20.20% (8.20%) 12.78%(3)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets...... 1.44% 1.44% 1.46% 1.44% 1.34%(3)
Ratio of net investment income
to average net assets...................... 4.26% 4.45% 4.72% 4.70% 4.41%(3)
Decrease reflected in above expense ratios
due to undertakings by the Manager......... - - - .04% .16%(3)
Portfolio Turnover Rate...................... 74.84% 53.74% 74.11% 31.76% 19.55%
Net Assets, end of period (000's Omitted).... $80,142 $71,392 $66,873 $52,970 $45,101
(1) From January 15, 1993 (commencement of initial offering) to November 30, 1993.
(2) Exclusive of sales load.
(3) Annualized.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
FINANCIAL HIGHLIGHTS (CONTINUED)
Contained below is per share operating performance data for a share of
Beneficial Interest 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.
Class C Shares
______________________________
Year Ended November 30,
______________________________
PER SHARE DATA: 1997 1996 1995(1)
______ ______ _____
<S> <C> <C> <C>
Net asset value, beginning of period.................................. $14.95 $14.93 $14.61
______ ______ _____
Investment Operations:
Investment income-net................................................. .60 .62 .14
Net realized and unrealized gain (loss)
on investments...................................................... .35 .02 .32
______ ______ _____
Total from Investment Operations...................................... .95 .64 .46
______ ______ _____
Distributions:
Dividends from investment income-net.................................. (.60) (.62) (.14)
Dividends from net realized gain on investments....................... (.07) - -
______ ______ _____
Total Distributions................................................... (.67) (.62) (.14)
______ ______ _____
Net asset value, end of period........................................ $15.23 $14.95 $14.93
====== ====== ======
TOTAL INVESTMENT RETURN(2)................................................ 6.50% 4.43% 14.19%(3)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............................... 1.69% 1.59% 1.74%(3)
Ratio of net investment income
to average net assets............................................... 4.08% 3.98% 4.00%(3)
Portfolio Turnover Rate............................................... 74.84% 53.74% 74.11%
Net Assets, end of period (000's Omitted)............................. $87 $485 $1
(1) From September 11, 1995 (commencement of initial offering) to November 30, 1995.
(2) Exclusive of sales load.
(3) Annualized.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
NOTES TO FINANCIAL STATEMENTS
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
Dreyfus Premier New York Municipal Bond Fund (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.
On October 31, 1996, the Fund's Board of Trustees approved, subject to
approval by the shareholders of the New York Series of the Dreyfus Premier
Insured Municipal Bond Fund ("DPIMBF-New York Series"), an Agreement and Plan
of Reorganization providing for the transfer of all or substantially all of
the DPIMBF-New York Series' assets and liabilities to the Fund in a tax free
exchange for shares of beneficial interest of the Fund at net asset value and
the assumption of stated liabilities (the "Exchange"). The Exchange was
approved by the shareholders of DPIMBF-New York Series on March 25, 1997, and
was consummated after the close of business on April 1, 1997 at which time
350,532 Class A shares valued at $12.71 per share, 748,013 Class B shares
valued at $12.73 per share, and 7,218 Class C shares valued at $12.73 per
share, representing combined net assets of $14,070,924 (including $27,912 net
unrealized appreciation on investments) were exchanged by DPIMBF-New York
Series for the respective number of Class A, Class B and Class C shares of
the Fund.
On January 8, 1997, the Fund's Trustees approved a change to the Fund's
name from "Premier New York Municipal Bond Fund" to "Dreyfus Premier New York
Municipal Bond Fund" which became effective March 31, 1997.
Premier Mutual Fund Services, Inc. (the "Distributor") is the distributor
of the Fund's shares. The Fund is authorized to issue an unlimited number of
$.001 par value shares in the following classes of shares: Class A, Class B
and Class C. Class A shares are subject to a sales charge imposed at the time
of purchase and Class B shares are subject to a contingent deferred sales
charge ("CDSC") imposed on Class B share redemptions made within six years of
purchase (five years for shareholders beneficially owning Class B shares on
November 30, 1996) and Class C shares are subject to a CDSC imposed on Class
C redeemed within one year of purchase. Other differences between the classes
include the services offered to and the expenses borne by each class and
certain voting rights.
The Fund's financial statements are prepared in accordance with generally
accepted accounting principles which may require the use of management
estimates and assumptions. Actual results could differ from these estimates.
(a) Portfolio valuation: Investments in securities (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 Trustees. 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
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
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.
NOTE 2-BANK LINE OF CREDIT:
The Fund participates with other Dreyfus-managed funds in a $600 million
redemption credit facility ("Facility") to be utilized for temporary or
emergency purposes, including the financing of redemptions. In connection
therewith, the Fund has agreed to pay commitment fees on its pro rata portion
of the Facility. Interest is charged to the Fund at rates based on prevailing
market rates in effect at the time of borrowings. For the period ended
November 30, 1997, the Fund did not borrow under the Facility.
NOTE 3-MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(a) Pursuant to a management agreement with the Manager, the management
fee is computed at the annual rate of
.55 of 1% of the value of the Fund's average daily net assets and is payable
monthly.
Dreyfus Service Corporation, a wholly-owned subsidiary of the Manager,
retained $5,891 during the period ended November 30, 1997 from commissions
earned on sales of the Fund's shares.
(b) Under the Distribution Plan adopted pursuant to Rule 12b-1 under the
Act, the Fund pays the Distributor for distributing the Fund's Class B and
Class C shares at an annual rate of .50 of 1% of the value of the average
daily net assets of Class B shares and .75 of 1% of the value of the average
daily net assets of Class C shares. During the period ended November 30,
1997, the Fund was charged $387,973 and $2,094, respectively, for Class B and
Class C shares, respectively, pursuant to the Distribution Plan.
(c) Under the Shareholder Services Plan, the Fund pays the Distributor at
an annual rate of .25 of 1% of the value of the average daily net assets of
Class A, Class B and Class C shares for the provision of certain services.
The services provided may include personal services relating to shareholder
accounts, such as answering shareholder inquiries regarding the Series and
providing reports and other information, and services related to the
maintenance of shareholder accounts. The Distributor may make payments to
Service Agents (a securities dealer, financial institution or other industry
professional) in respect of these services. The Distributor determines the
amounts to be paid to Service Agents. During the period ended November 30,
1997, the Fund was charged $329,082, $193,987 and $698, respectively, for
Class A, Class B and Class C shares, respectively, pursuant to the
Shareholder Services Plan.
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
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. During the
period ended November 30, 1997, the Fund was charged $99,819 pursuant to the
transfer agency agreement.
(d) Each trustee who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $1,000 and an attendance fee of $250
per meeting. The Chairman of the Board receives an additional 25% of such
compensation.
NOTE 4-SECURITIES TRANSACTIONS:
(a) The aggregate amount of purchases and sales of investment securities,
excluding short-term securities and financial futures, during the period
ended November 30, 1997, amounted to $152,223,784 and $151,813,300
respectively.
The Fund may invest in financial futures contracts in order to gain
exposure to or protect against changes in the market. The Fund is exposed to
market risk as a result of changes in the value of the underlying financial
instruments. Investments in financial futures require the Fund to "mark to
market" on a daily basis, which reflects the change in the market value of
the contract at the close of each day's trading. Accordingly, variation
margin payments are received or made to reflect daily unrealized gains or
losses. When the contracts are closed, the Fund recognizes a realized gain or
loss. These investments require initial margin deposits with a custodian,
which consists of cash or cash equivalents, up to approximately 10% of the
contract amount. The amount of these deposits is determined by the exchange
or Board of Trade on which the contract is traded and is subject to change.
At November 30, 1997, there were no financial futures contracts outstanding.
At November 30, 1997, 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).
DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND
REPORT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS
Shareholders and Board of Trustees
Dreyfus Premier New York Municipal Bond Fund
We have audited the accompanying statement of assets and liabilities of
Dreyfus Premier New York Municipal Bond Fund, including the statement of
investments, as of November 30, 1997, and the related statement of operations
for the year then ended, the statement of changes in net assets for each of
the two years in the period then ended and financial highlights for each of
the years indicated therein. These financial statements and financial
highlights are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures
in the financial statements and financial highlights. Our procedures included
confirmation of securities owned as of November 30, 1997 by correspondence
with the custodian and brokers. An audit also includes assessing the
accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We believe
that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights
referred to above present fairly, in all material respects, the financial
position of Dreyfus Premier New York Municipal Bond Fund at November 30,
1997, the results of its operations for the year then ended, the changes in
its net assets for each of the two years in the period then ended, and the
financial highlights for each of the indicated years, in conformity with
generally accepted accounting principles.
[Ernst & Young LLP signature logo]
New York, New York
January 8, 1998
IMPORTANT TAX INFORMATION (UNAUDITED)
In accordance with Federal tax law, the Fund hereby makes the following
designations regarding its fiscal year ended November 30, 1997:
-all the dividends paid from investment income-net are "exempt-interest
dividends" (not subject to regular Federal income tax and, for individuals
who are New York residents, New York State and New York City personal income
taxes), and
-the Fund hereby designates $.0639 per share paid as a long-term capital
gain distribution of the $.0651 per share paid on December 5, 1996.
As required by Federal tax law rules, shareholders will receive
notification of their portion of the Fund's taxable ordinary dividends and
capital gain distributions paid for the 1997 calendar year on Form 1099-DIV
which will be mailed by January 31, 1998.
Registration Mark
[Dreyfus lion "d" logo]
DREYFUS PREMIER NEW YORK
MUNICIPAL BOND FUND
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.
P.O. Box 9671
Providence, RI 02940
Printed in U.S.A. 021/611AR9711
Registration Mark
[Dreyfus logo]
Annual Report
Dreyfus Premier
New York Municipal
Bond Fund
November 30, 1997
Registration Mark
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT
IN DREYFUS PREMIER NEW YORK MUNICIPAL BOND FUND CLASS A
SHARES AND THE LEHMAN BROTHERS MUNICIPAL BOND INDEX
EXHIBIT A:
DREYFUS PREMIER
NEW YORK
PERIOD LEHMAN BROTHERS MUNICIPAL
MUNICIPAL BOND FUND
BOND INDEX * (CLASS A SHARES)
11/30/87 10,000 9,550
11/30/88 11,063 10,841
11/30/89 12,282 12,167
11/30/90 13,227 12,887
11/30/91 14,584 14,515
11/30/92 16,047 16,081
11/30/93 17,826 18,196
11/30/94 16,889 16,785
11/30/95 20,081 20,299
11/30/96 21,261 21,347
11/30/97 22,786 22,909
*Source: Lehman Brothers
