DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
LETTER TO SHAREHOLDERS
Dear Shareholder:
We are pleased to report the performance for Dreyfus Premier California
Municipal Bond Fund for the six-month period ended July 31, 1998, as shown in
the following table:
<TABLE>
<CAPTION> ANNUALIZED
DISTRIBUTION RATE
TOTAL RETURN* PER SHARE**
___________ _______________
<S> <C> <C>
Class A Shares . . . . . . . . . . . . . . . . . . . . 1.29% 4.24%
Class B Shares . . . . . . . . . . . . . . . . . . . . 0.95% 3.92%
Class C Shares . . . . . . . . . . . . . . . . . . . . 0.84% 3.70%
</TABLE>
THE ECONOMY
Low inflation, low unemployment and low interest rates characterized the
economy over the reporting period. Consumer confidence was at a level not seen
in 30 years, and consumers spent freely. As a result, the demand for big ticket
items was robust. The housing market remained solid and cars and trucks sold at
the highest rate in a decade. (The Asian crisis actually aided the domestic
housing market since the flight to safety of foreign capital into U.S.
fixed-income markets helped lower mortgage rates.) Yet, by the end of the
reporting period there were signs that the economy was slowing of its own
accord: second-quarter economic growth slowed to 1.4%, the lowest rate in three
years and dramatically below the 5.5% rate reported for the first quarter.
Despite evidence of an economic slowdown, the Federal Reserve Board remained
concerned about inflation, fearful that low unemployment and climbing
compensation costs could cause a rekindling of price pressures if demand
accelerates. The Fed has refrained from raising its target rate for Federal
Funds from the current 5.50% due to concern that such an action would further
complicate the Asian financial crisis. The last rise in short-term rates was in
March 1997. (The Federal Funds rate is the rate of interest that banks charge
each other for overnight loans.) Additionally, there has been a growing
expectation that a weakening in foreign demand for U.S. goods would serve to
restrain the U.S. economy, and that appears to be occurring. Fed Chairman Alan
Greenspan had expressed his view regarding the likelihood of the spillover
effect from the Asian crisis. In fact, export demand has slumped all year, and
consequently the trade deficit has widened dramatically. U.S. companies with
overseas exposure have begun to feel a profit pinch from the Asian economic
crisis. This weakness might expand beyond the manufacturing and agricultural
areas into the heretofore robust consumer and service sectors of our economy,
which are the sectors that have buffered the effects of the overseas slowdown on
the economy.
Inflation, recently cited as the primary worry of Fed Chairman Greenspan,
remained benign over the reporting period, as it has throughout the eight-year
economic expansion. The Consumer Price Index rose a mere 1.6% through midyear.
The much-watched Employment Cost Index -- a broad measure of compensation trends
- -- has shown some evidence of an upward drift in wage inflation. On June 30,
wages and salaries were 3.5% higher than a year ago, the best 12-month gain
since 1991. Thus as of midyear, real pay increases (after adjusting for
inflation) were almost 2% higher than a year ago, clear evidence of an extremely
tight labor market.
<PAGE>
THE MARKET ENVIRONMENT
We believe that it is still too early to draw any conclusions regarding the
ultimate depth of the Asian crisis and its impact on the U.S. economy. The still
strong and expanding economy would normally be a cause for concern to inflation
watchers. However, it is generally believed that the Fed will refrain from
taking any interest rate actions that could exacerbate the Asian situation.
While the most recent economic and employment data has been indicative of a
strengthening economy, inflation remains quiescent.
During the semi-annual period, the municipal bond market settled into a
narrow, well-defined trading range which made it increasingly difficult to
advantageously sell municipal securities and reinvest the proceeds. Domestic
interest rates over a broad range of maturities remained flat for most of the
period, with bond prices generally rising while interest rates generally
remained lower. There are, however, more global reasons for this constraint.
Primarily, substantive policies necessary to restimulate the Japanese economy
have not been set into place; and the Russian economic crisis. Due to the
unsettled nature of the Japanese and Russian economies and their effects on
world trade, we believe it is likely that the U.S. economy will slow from its
current pace over the next several quarters.
PORTFOLIO FOCUS
At the outset of the six-month period which ended July 31, 1998, the Dreyfus
Premier California Municipal Bond Fund assumed a slightly aggressive approach.
The Fund focused on extending its average maturity as the period began. By the
end of the first fiscal quarter, it became apparent that the municipal market's
direction was unclear. As a counter-measure, we refocused our efforts and began
shortening the portfolio' s average maturity by selling a modest portion of
discount bonds and zero coupon bonds with long maturities and purchasing
higher-yielding municipal securities with shorter maturities. This allowed the
Fund to assume behavioral characteristics more in tune with the market
environment. Other factors which required consideration were the effect of the
turbulence in the Japanese economy and the decline of the Russian economy on the
domestic stock market.
Going forward, we will continue to manage the portfolio utilizing a
conservative approach as necessary to deal with these factors and obtain value.
The Fund is currently well balanced across the long-term coupon range. It is
entirely possible that the market may again see periods of volatility, although
at present the bond market is gaining positive momentum as a result of the
equity market' s woes and declining interest rates. Additionally, the portfolio
is benefiting from the demand for California securities which are well sought
after by national funds, as well as by other California bond funds.
<PAGE>
Our primary tasks which will guide our portfolio management decisions are to
earn a high level of current income to the extent it is consistent with the
preservation of capital while maintaining the Fund' s high credit quality.
Included in this report is a series of detailed statements outlining the
portfolio' s holdings and financial condition. We hope they are informative.
Please know that we greatly appreciate your continued confidence in the
portfolio and The Dreyfus Corporation.
Very truly yours,
[Richard J. Moynihan signature logo]
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
August 18, 1998
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.
**Annualized distribution rate per share is based upon dividends per share
paid from net investment income during the period (annualized), 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>
<PAGE>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
STATEMENT OF INVESTMENTS JULY 31, 1998 (UNAUDITED)
Principal
Long-Term Municipal Investments--84.1% Amount Value
- ------------------------------------------------------- _____________ _____________
<S> <C> <C>
California--75.9%
Abag Finance Authority For Nonprofit Corporations, MFHR (Central Park
Apartments)
5.50%, 7/1/2019 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,010,000 $ 1,013,454
California 6.125%, 10/1/2011 (Insured; FGIC) . . . . . . . . . . . . . . . . . . . . . . . 2,875,000 3,287,333
California Department of Water Resources, Water System Revenue, Refunding
(Central Valley Project) 5.375%, 12/1/2027 (Insured; MBIA) . . . . . . . . . . . . . . . 1,000,000 1,019,820
California Health Facilities Financing Authority, Revenue
(Saint Francis Memorial Hospital) 5.875%, 11/1/2023 . . . . . . . . . . . . . . . . . . 4,500,000 5,016,915
California Housing Finance Agency, Home Mortgage Revenue:
6.15%, 8/1/2016 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000,000 3,195,960
6.70%, 8/1/2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,820,000 1,952,223
7.50%, 8/1/2029 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 755,000 781,259
8%, 8/1/2029 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 405,000 421,504
7.60%, 8/1/2030 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,265,000 1,329,009
California Pollution Control Financing Authority, SWDR
(North County Recycling Center) 6.75%, 7/1/2011 . . . . . . . . . . . . . . . . . . . . 2,500,000 2,869,450
California Public Works Board, LR:
(Secretary of State) 6.50%, 12/1/2008 (Insured; AMBAC) . . . . . . . . . . . . . . . . . 1,400,000 1,629,880
(State University) 5.40%, 10/1/2022 . . . . . . . . . . . . . . . . . . . . . . . . . . 4,250,000 4,322,803
Contra Costa County Water District, Water Revenue 6%, 10/1/2011 (Insured; MBIA). . . . . . 1,475,000 1,611,128
Delano COP, ( Delano Regional Medical Center) 5.25%, 1/1/2018. . . . . . . . . . . . . . . 3,500,000 3,388,105
El Dorado Unified High School District 5%, 8/1/2022 (Insured; FGIC). . . . . . . . . . . . 3,320,000 3,236,203
Fontana Public Financing Authority, Tax Allocation Revenue, Refunding
(North Fontana Redevelopment Project) 7.25%, 9/1/2020 . . . . . . . . . . . . . . . . . 4,250,000 4,500,792
Los Angeles Harbor Department, Revenue 5.375%, 11/1/2023 . . . . . . . . . . . . . . . . . 2,250,000 2,279,903
Madera County, COP (Valley Children's Hospital):
6.25%, 3/15/2006 (Insured; MBIA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,250,000 2,522,363
6.50%, 3/15/2009 (Insured; MBIA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,370,000 3,938,620
Metropolitan Water District, Southern California Waterworks Revenue 5%, 7/1/2026 . . . . . 8,600,000 8,353,954
Monrovia Redevelopment Agency, Tax Allocation, Refunding
(Central Redevelopment Project) 6.70%, 5/1/2021 (Insured; AMBAC) . . . . . . . . . . . . 2,000,000 2,199,260
Mount Shasta, HR, COP (Mercy Medical Center)
7.25%, 7/1/2019 (Prerefunded 7/1/1999) (a) . . . . . . . . . . . . . . . . . . . . . . . 1,735,000 1,824,700
Nevada County, COP (Western Nevada Co. Solid Waste-McCourtney Road Landfill)
7.50%, 6/1/2021 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,200,000 2,341,614
Northern California Power Agency, Public Power Revenue, Refunding
(Hydroelectric Project No. 1) 6.30%, 7/1/2018 (Insured; MBIA) . . . . . . . . . . . . . 6,000,000 6,960,480
Orange County, Special Tax (Community Facilities District No. 87):
7.75%, 8/15/2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,375,000 2,464,252
7.80%, 8/15/2015 (Prerefunded 8/15/2000) (a) . . . . . . . . . . . . . . . . . . . . . . 2,000,000 2,189,820
Redwood City Elementary School District:
Zero Coupon, 8/1/2019 (Insured: FGIC) . . . . . . . . . . . . . . . . . . . . . . . . . 5,075,000 1,714,487
Zero Coupon, 8/1/2021 (Insured: FGIC) . . . . . . . . . . . . . . . . . . . . . . . . . 5,725,000 1,732,499
<PAGE>
</TABLE>
<TABLE>
<CAPTION>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (CONTINUED) JULY 31, 1998 (UNAUDITED)
Principal
Long-Term Municipal Investments (continued) Amount Value
- ------------------------------------------------------- _____________ _____________
<S> <C> <C>
California (continued)
Richmond Joint Powers Financing Authority, Revenue
7.25%, 5/15/2013 (Prerefunded 5/15/2000) (a) . . . . . . . . . . . . . . . . . . . . . . $ 1,500,000 $ 1,616,070
Riverside County, SFMR 7.80%, 5/1/2021 . . . . . . . . . . . . . . . . . . . . . . . . . . 1,250,000 1,682,513
Sacramento County, Special Tax (Community Facilities District No. 1):
8.20%, 12/1/2010 (Prerefunded 12/1/2000) (a) . . . . . . . . . . . . . . . . . . . . . . 2,250,000 2,503,215
8.25%, 12/1/2020 (Prerefunded 12/1/2000) (a) . . . . . . . . . . . . . . . . . . . . . . 2,000,000 2,227,300
Salida Area Public Facilities Financing Agency, Community Facilities District,
Refunding
Special Tax 5.25%, 9/1/2028 (Insured; FSA) . . . . . . . . . . . . . . . . . . . . . . . 5,800,000 5,816,646
San Francisco City and County Redevelopment Agency, Hotel Tax Revenue, Refunding
5%, 7/1/2025 (Insured; FSA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,000,000 3,893,080
San Marino Unified School District 5.25%, 7/1/2013 . . . . . . . . . . . . . . . . . . . . 1,160,000 1,218,893
Santa Clara, Electric Revenue, Refunding 5%, 7/1/2027 (Insured; AMBAC).. . . . . . . . . . 5,135,000 4,993,274
Santa Monica-Malibu Unified School District, Refunding:
5.25%, 8/1/2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,330,000 4,531,085
5.25%, 8/1/2018 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,325,000 4,471,834
Saratoga Unified School District:
Zero Coupon, 9/1/2018 (Insured; FGIC) . . . . . . . . . . . . . . . . . . . . . . . . . 2,150,000 769,055
Zero Coupon, 9/1/2019 (Insured; FGIC) . . . . . . . . . . . . . . . . . . . . . . . . . 3,410,000 1,147,056
Zero Coupon, 9/1/2020 (Insured; FGIC) . . . . . . . . . . . . . . . . . . . . . . . . . 2,500,000 798,600
Zero Coupon, 9/1/2021 (Insured; FGIC) . . . . . . . . . . . . . . . . . . . . . . . . . 3,850,000 1,160,043
Simi Valley, Single Family Residential Mortgage Revenue 7.625%, 8/1/2022 (b) . . . . . . . 665,244 113,091
Simi Valley Unified School District, COP (Refunding and Capital Improvement
Projects):
5.25%, 8/1/2017 (Insured; AMBAC) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,150,000 1,190,733
5.25%, 8/1/2022 (Insured; AMBAC) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1,031,880
Turlock Irrigation District, Revenue, Refunding 5%, 1/1/2026 (Insured; MBIA) . . . . . . . 5,000,000 4,865,200
Victor Elementary School District Zero Coupon, 6/1/2015 (Insured; MBIA). . . . . . . . . . 1,000,000 427,330
Vista, MFHR, Refunding (Vista Hacienda Project) 6.95%, 4/1/2017. . . . . . . . . . . . . . 3,000,000 3,171,030
West Covina Redevelopment Agency, Community Facilities District, Refunding,
Special Tax 6%, 9/1/2022 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000,000 3,309,750
U.S. Related--8.2%
Puerto Rico Commonwealth Highway and Transportation Authority, Revenue
5.50%, 7/1/2013 (Insured; MBIA) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,750,000 5,116,890
Puerto Rico Electric Power Authority, Power Revenue 5%, 7/1/2028 . . . . . . . . . . . . . 3,000,000 2,889,510
Puerto Rico Public Finance Corporation 5%, 6/1/2026. . . . . . . . . . . . . . . . . . . . 2,000,000 1,928,540
Virgin Islands Public Finance Authority, Revenue 7.30%, 10/1/2018. . . . . . . . . . . . . 3,100,000 3,949,307
_____________
TOTAL LONG-TERM MUNICIPAL INVESTMENTS (cost $135,983,411). . . . . . . . . . . . . . . . . $142,919,715
=============
<PAGE>
</TABLE>
<TABLE>
<CAPTION>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
STATEMENT OF INVESTMENTS (CONTINUED) JULY 31, 1998 (UNAUDITED)
Principal
Short-Term Municipal Investments--17.6% Amount Value
- ------------------------------------------------------- _____________ _____________
<S> <C> <C>
California:
California Economic Development Financing Authority, Revenue
(Independent System Project) VRDN
3.50% (LOC; Bank of America) (c,d) . . . . . . . . . . . . . . . . . . . . . . . . . . $ 7,700,000 $ 7,700,000
California Pollution Control Financing Authority:
PCR, Refunding, VRDN:
(Pacific Gas and Electric) 3.55% (LOC; Deutsche Bank) (c,d) . . . . . . . . . . . . . . 1,300,000 1,300,000
(Shell Oil Co. Project) 3.40% (c) . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,800,000 2,800,000
SWDR (Shell Martinez Refining) 3.50% (c) . . . . . . . . . . . . . . . . . . . . . . . . 2,000,000 2,000,000
California Statewide Communities Development Authority, MFHR (Aegis of Aptos
Project) VRDN
3.45% (LOC; Keybank N.A.) (c,d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,650,000 1,650,000
Chula Vista IDR, Refunding (San Diego Gas and Electric Co.) VRDN 3.95% (c) . . . . . . . . 6,400,000 6,400,000
Irvine Improvement Bond Act of 1915, Assessment District No.97-16,
(Northwest Irvine Project) VRDN
3.50% (LOC; Societe Generale) (c,d) . . . . . . . . . . . . . . . . . . . . . . . . . 3,800,000 3,800,000
Los Angeles, Multi-Family Revenue (Loans to Lender Program) VRDN:
3.50% (LOC; Federal Home Loan Bank) (c,d) . . . . . . . . . . . . . . . . . . . . . . . 2,900,000 2,900,000
3.50% (LOC; Federal Home Loan Bank) (c,d) . . . . . . . . . . . . . . . . . . . . . . . 1,400,000 1,400,000
_____________
TOTAL SHORT-TERM MUNICIPAL INVESTMENTS (cost $29,950,000). . . . . . . . . . . . . . . . . $ 29,950,000
=============
TOTAL INVESTMENTS (cost $165,933,411). . . . . . . . . . . . . . . . . . . . . . . . . . . 101.7% $172,869,715
======= =============
LIABILITIES, LESS CASH AND RECEIVABLES . . . . . . . . . . . . . . . . . . . . . . . . . . (1.7%) $ (2,861,697)
======= =============
NET ASSETS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100.0% $170,008,018
======= =============
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
Summary of Abbreviations
- -----------------------------------------------------------------------------
<S> <C> <C> <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 Assurance
FGIC Financial Guaranty Insurance Company Insurance Corporation
FSA Financial Security Assurance MFHR Multi-Family Housing Revenue
HR Hospital Revenue SFMR Single Family Mortgage Revenue
IDR Industrial Development Revenue SWDR Solid Waste Disposal Revenue
VRDN Variable Rate Demand Notes
</TABLE>
Summary of Combined Ratings (Unaudited)
- -----------------------------------------------------------------------------
<TABLE>
Fitch (e) or Moody's or Standard & Poor's Percentage of Value
_______ ________ _________________ ___________________
<S> <C> <C> <C>
AAA Aaa AAA 42.9%
AA Aa AA 16.5
A A A 9.9
BBB Baa BBB 8.7
D D .1
F1 MIG1/P1 SP1/A1 16.5
Not Rated (f) Not Rated (f) Not Rated (f) 5.4
_______
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 bonds in full at the earliest refunding
date.
(b) Non-income producing security; interest payments in default.
(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) Secured by letters of credit.
(e) Fitch currently provides creditworthiness information for a limited number
of investments.
(f) Securities which, while are 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 STATEMENTS.
<PAGE>
<TABLE>
<CAPTION>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
STATEMENT OF ASSETS AND LIABILITIES JULY 31, 1998 (UNAUDITED)
Cost Value
_____________ _____________
<S> <C> <C> <C>
ASSETS: Investments in securities--See Statement of Investments . . $165,933,411 $172,869,715
Interest receivable . . . . . . . . . . . . . . . . . . . 1,998,239
Receivable for shares of Beneficial Interest subscribed . . 10,249
Prepaid expenses . . . . . . . . . . . . . . . . . . . . 13,011
_____________
174,891,214
_____________
LIABILITIES: Due to The Dreyfus Corporation and affiliates . . . . . . 79,854
Due to Distributor . . . . . . . . . . . . . . . . . . . 47,099
Cash overdraft due to Custodian . . . . . . . . . . . . . 163,211
Payable for investment securities purchased . . . . . . . 4,400,274
Payable for shares of Beneficial Interest redeemed . . . 165,095
Accrued expenses and other liabilities . . . . . . . . . 27,663
_____________
4,883,196
_____________
NET ASSETS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $170,008,018
=============
REPRESENTED BY: Paid-in capital . . . . . . . . . . . . . . . . . . . . . $160,606,124
Accumulated net realized gain (loss) on investments . . . 2,465,590
Accumulated net unrealized appreciation (depreciation)
on investments--Note 4 . . . . . . . . . . . . . . . . 6,936,304
_____________
NET ASSETS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $170,008,018
=============
</TABLE>
NET ASSET VALUE PER SHARE
_____________________________
<TABLE>
<CAPTION>
Class A Class B Class C
_____________ _____________ _____________
<S> <C> <C> <C>
Net Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $145,679,266 $23,294,322 $1,034,430
Shares Outstanding . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,392,855 1,820,623 80,658
NET ASSET VALUE PER SHARE. . . . . . . . . . . . . . . . . . . . . . . . . $12.79 $12.79 $12.82
======= ======= =======
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
STATEMENT OF OPERATIONS SIX MONTHS ENDED JULY 31, 1998 (UNAUDITED)
INVESTMENT INCOME
<S> <C> <C> <C>
INCOME Interest Income . . . . . . . . . . . . . . . . . . . . . $4,612,933
EXPENSES: Management fee--Note 3(a) . . . . . . . . . . . . . . . . $ 473,418
Shareholder servicing costs--Note 3(c) . . . . . . . . . 250,064
Distribution fees--Note 3(b) . . . . . . . . . . . . . . 64,508
Professional fees . . . . . . . . . . . . . . . . . . . . 23,364
Registration fees . . . . . . . . . . . . . . . . . . . . 16,422
Trustees' fees and expenses--Note 3(d) . . . . . . . . . 14,008
Custodian fees . . . . . . . . . . . . . . . . . . . . . 9,635
Prospectus and shareholders' reports . . . . . . . . . . 5,947
Loan commitment fees--Note 2 . . . . . . . . . . . . . . 1,334
Miscellaneous . . . . . . . . . . . . . . . . . . . . . . 3,273
___________
Total Expenses . . . . . . . . . . . . . . . . . . 861,973
___________
INVESTMENT INCOME--NET . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,750,960
</TABLE>
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS--Note 4:
<TABLE>
<CAPTION>
<S> <C> <C>
Net realized gain (loss) on investments . . . . . . . . . $2,370,060
Net unrealized appreciation (depreciation) on investments . . (4,096,119)
___________
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS . . . . . . . . . . . . . . . . . . (1,726,059)
___________
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS . . . . . . . . . . . . . . . . . . . $2,024,901
===========
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
STATEMENT OF CHANGES IN NET ASSETS
Six Months Ended
July 31, 1998 Year Ended
(Unaudited) January 31, 1998
________________ ________________
<S> <C> <C>
OPERATIONS:
Investment income--net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,750,960 $ 8,430,684
Net realized gain (loss) on investments . . . . . . . . . . . . . . . . . . . . . . 2,370,060 3,280,416
Net unrealized appreciation (depreciation) on investments . . . . . . . . . . . . . (4,096,119) 4,512,474
_____________ _____________
Net Increase (Decrease) in Net Assets Resulting from Operations . . . . . . . . 2,024,901 16,223,574
_____________ _____________
</TABLE>
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income--net:
<TABLE>
<CAPTION>
<S> <C> <C>
Class A shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3,256,398) (7,570,235)
Class B shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (475,411) (1,000,094)
Class C shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (19,151) (42,303)
Net realized gain on investments:
Class A shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (1,038,883) (1,206,503)
Class B shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (171,752) (190,234)
Class C shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (6,670) (8,840)
_____________ _____________
Total Dividends . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (4,968,265) (10,018,209)
_____________ _____________
</TABLE>
<TABLE>
<CAPTION>
BENEFICIAL INTEREST TRANSACTIONS:
Net proceeds from shares sold:
<S> <C> <C>
Class A shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,096,348 6,052,942
Class B shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,399,987 2,973,938
Class C shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 93,739 56,833
Dividends reinvested:
Class A shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,129,068 4,163,733
Class B shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 423,980 801,848
Class C shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,445 25,641
Cost of shares redeemed:
Class A shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (10,447,849) (29,276,730)
Class B shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (3,061,939) (4,175,648)
Class C shares . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (185,790) (15,301)
Net assets received in connection with reorganization--Note 1 . . . . . . . . . . . -- 7,279,683
_____________ _____________
Increase (Decrease) in Net Assets from Beneficial Interest Transactions . . . . (5,541,011) (12,113,061)
_____________ _____________
Total Increase (Decrease) in Net Assets . . . . . . . . . . . . . . . . . . . (8,484,375) (5,907,696)
NET ASSETS:
Beginning of Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 178,492,393 184,400,089
_____________ _____________
End of Period . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $170,008,018 $178,492,393
============= =============
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
STATEMENT OF CHANGES IN NET ASSETS (CONTINUED)
Shares
_________________________________
Six Months Ended
July 31, 1998 Year Ended
(Unaudited) January 31, 1998
________________ ________________
<S> <C> <C>
CAPITAL SHARE TRANSACTIONS:
Class A
________
Shares sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 318,897 481,610
Shares issued in connection with reorganization--Note 1 . . . . . . . . . . . . . . -- 254,624
Shares issued for dividends reinvested . . . . . . . . . . . . . . . . . . . . . . 165,618 326,898
Shares redeemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (811,545) (2,301,642)
__________ __________
Net Increase (Decrease) in Shares Outstanding . . . . . . . . . (327,030) (1,238,510)
========== ==========
Class B
________
Shares sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 108,784 235,183
Shares issued in connection with reorganization--Note 1 . . . . . . . . . . . . . . -- 332,365
Shares issued for dividends reinvested . . . . . . . . . . . . . . . . . . . . . . 32,959 62,876
Shares redeemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (237,870) (329,709)
__________ __________
Net Increase (Decrease) in Shares Outstanding . . . . . . . . . (96,127) 300,715
========== ==========
Class C
________
Shares sold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,307 4,444
Shares issued in connection with reorganization--Note 1 . . . . . . . . . . . . . . -- 82
Shares issued for dividends reinvested . . . . . . . . . . . . . . . . . . . . . . 888 2,007
Shares redeemed . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (14,526) (1,165)
__________ __________
Net Increase (Decrease) in Shares Outstanding . . . . . . . . . (6,331) 5,368
========== ==========
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<PAGE>
DREYFUS PREMIER CALIFORNIA 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.
<TABLE>
<CAPTION>
Class A Shares
__________________________________________________________________________
Six Months Ended
July 31, 1998 Year Ended January 31,
__________________________________________________________________________
PER SHARE DATA: (Unaudited) 1998 1997 1996 1995 1994
__________ ______ ______ ______ ______ ______
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period . . . . . . $13.00 $12.58 $12.97 $12.24 $13.64 $12.80
______ ______ ______ ______ ______ ______
Investment Operations:
Investment income--net . . . . . . . . . . . . . .59 .60 .65 .67 .72 .77
Net realized and unrealized gain (loss)
on investments . . . . . . . . . . . . . . . (.02) .53 (.24) 1.02 (.80) .94
______ ______ ______ ______ ______ ______
Total from Investment Operations . . . . . . . . .57 1.13 .41 1.69 (.08) 1.71
______ ______ ______ ______ ______ ______
Distributions:
Dividends from investment income--net . . . . . . (.59) (.61) (.64) (.67) (.72) (.77)
Dividends from net realized gain on investments . . (.19) (.10) (.16) (.29) (.60) (.10)
______ ______ ______ ______ ______ ______
Total Distributions . . . . . . . . . . . . . . . (.78) (.71) (.80) (.96) (1.32) (.87)
______ ______ ______ ______ ______ ______
Net asset value, end of period . . . . . . . . . $12.79 $13.00 $12.58 $12.97 $12.24 $13.64
====== ====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN(1) . . . . . . . . . . . . . 2.60%(2) 9.27% 3.31% 14.15% (4.34%) 13.62%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets . . . . . .92%(2) .95% .92% .93% .90% .78%
Ratio of net investment income
to average net assets . . . . . . . . . . . . 4.44%(2) 4.71% 5.18% 5.22% 5.72% 5.71%
Decrease reflected in above expense ratios
due to undertakings by the Manager . . . . . -- -- -- -- .02% .15%
Portfolio Turnover Rate . . . . . . . . . . . . . 35.42%(3) 103.75% 39.76% 92.42% 37.39% 26.69%
Net Assets, end of period (000's Omitted) . . . . $145,679 $152,416 $163,030 $185,187 $191,939 $245,435
- -----------------------------
(1) Exclusive of sales load.
(2) Annualized.
(3) Not annualized.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<PAGE>
DREYFUS PREMIER CALIFORNIA 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.
<TABLE>
<CAPTION>
Class B Shares
_________________________________________________________________________
Six Months Ended
July 31, 1998 Year Ended January 31,
_________________________________________________________________________
PER SHARE DATA: (Unaudited) 1998 1997 1996 1995 1994
__________ ______ ______ ______ ______ ______
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period . . . . . . $13.01 $12.59 $12.98 $12.25 $13.64 $12.81
______ ______ ______ ______ ______ ______
Investment Operations:
Investment income--net . . . . . . . . . . . . . .52 .53 .59 .60 .65 .69
Net realized and unrealized gain (loss)
on investments . . . . . . . . . . . . . . . (.03) .53 (.25) 1.02 (.79) .93
______ ______ ______ ______ ______ ______
Total from Investment Operations . . . . . . . . .49 1.06 .34 1.62 (.14) 1.62
______ ______ ______ ______ ______ ______
Distributions:
Dividends from investment income--net . . . . . . (.52) (.54) (.57) (.60) (.65) (.69)
Dividends from net realized gain on investments . . (.19) (.10) (.16) (.29) (.60) (.10)
______ ______ ______ ______ ______ ______
Total Distributions . . . . . . . . . . . . . . . (.71) (.64) (.73) (.89) (1.25) (.79)
______ ______ ______ ______ ______ ______
Net asset value, end of period . . . . . . . . . $12.79 $13.01 $12.59 $12.98 $12.25 $13.64
====== ====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN(1) . . . . . . . . . . . . . 1.92%(2) 8.69% 2.79% 13.55% (4.77%) 12.91%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets . . . . . 1.44%(2) 1.46% 1.44% 1.45% 1.42% 1.31%
Ratio of net investment income
to average net assets . . . . . . . . . . . . 3.92%(2) 4.18% 4.66% 4.69% 5.17% 4.90%
Decrease reflected in above expense ratios
due to undertakings by the Manager . . . . . -- -- -- -- .02% .13%
Portfolio Turnover Rate . . . . . . . . . . . . . 35.42%(3) 103.75% 39.76% 92.42% 37.39% 26.69%
Net Assets, end of period (000's Omitted) . . . . $23,294 $24,942 $20,341 $21,530 $18,981 $16,906
- -----------------------------
(1) Exclusive of sales load.
(2) Annualized.
(3) Not annualized.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<PAGE>
DREYFUS PREMIER CALIFORNIA 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.
<TABLE>
<CAPTION>
Class C Shares
_______________________________________________
Six Months Ended
July 31, 1998 Year Ended January 31,
______________________________
PER SHARE DATA: (Unaudited) 1998 1997 1996(1)
__________ ______ ______ ______
<S> <C> <C> <C> <C>
Net asset value, beginning of period . . . . . . . . . . . . . . $13.04 $12.61 $12.98 $12.98
______ ______ ______ ______
Investment Operations:
Investment income--net . . . . . . . . . . . . . . . . . . . . . .49 .50 .54 .37
Net realized and unrealized gain (loss)
on investments . . . . . . . . . . . . . . . . . . . . . . . (.03) .53 (.21) .29
______ ______ ______ ______
Total from Investment Operations . . . . . . . . . . . . . . . . .46 1.03 .33 .66
______ ______ ______ ______
Distributions:
Dividends from investment income--net . . . . . . . . . . . . . . (.49) (.50) (.54) (.37)
Dividends from net realized gain on investments . . . . . . . . . (.19) (.10) (.16) (.29)
______ ______ ______ ______
Total Distributions . . . . . . . . . . . . . . . . . . . . . . . (.68) (.60) (.70) (.66)
______ ______ ______ ______
Net asset value, end of period . . . . . . . . . . . . . . . . . $12.82 $13.04 $12.61 $12.98
====== ====== ====== ======
TOTAL INVESTMENT RETURN(2) . . . . . . . . . . . . . . . . . . . . . 1.69%(3) 8.42% 2.67% 7.90%(3)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets . . . . . . . . . . . . . 1.66%(3) 1.68% 1.77% 4.42%(3)
Ratio of net investment income
to average net assets . . . . . . . . . . . . . . . . . . . . 3.69%(3) 3.92% 4.33% 4.31%(3)
Portfolio Turnover Rate . . . . . . . . . . . . . . . . . . . . . 35.42%(4) 103.75% 39.76% 92.42%
Net Assets, end of period (000's Omitted) . . . . . . . . . . . . $1,034 $1,135 $1,029 $1
- -----------------------------
(1) From June 2, 1995 (commencement of initial offering) to January 31, 1996.
(2) Exclusive of sales load.
(3) Annualized.
(4) Not annualized.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<PAGE>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1--SIGNIFICANT ACCOUNTING POLICIES:
Dreyfus Premier California Municipal Bond Fund (the "Fund") is registered
under the Investment Company Act of 1940 ("Act") as a diversified, open-end
management investment company. The Fund's investment objective is to maximize
current income exempt from Federal and State of California personal 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 Board of Trustees approved, subject to approval by
the shareholders of the California Series of Dreyfus Premier Insured Municipal
Bond Fund ("DPIMBF-California Series"), an Agreement and Plan of Reorganization
providing for the transfer of all or substantially all of the DPIMBF-California
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-California Series on March 10, 1997, and was consummated after the close
of business on April 1, 1997 at which time 264,212 Class A shares valued at
$11.95 per share, 344,304 Class B shares valued at $11.97 per share and 1,020
Class C shares valued at $11.96 per share, representing combined net assets of
$7,279,683 (including $86,206 net unrealized appreciation on investments) were
exchanged by DPIMBF-California Series for the respective number of Class A,
Class B and Class C shares of the Fund.
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,
Class B shares are subject to a contingent deferred sales charge ("CDSC")
imposed on Class B 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 contingent deferred sales charge ("CDSC") imposed on
Class C shares 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 those 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.
<PAGE>
(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. Under the terms of the custodian
agreement, the Fund received net earnings credits of $8,470 during
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
the period ended July 31, 1998 based on available cash balances left on deposit.
Income earned under this arrangement is included in interest income.
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. During the period ended July
31, 1998, 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 $770 during the period ended July 31, 1998, from commissions earned on
sales of the Fund's shares.
(B) Under the Distribution Plan adopted pursuant to Rule 12b-1 under the Act,
Class B and Class C shares pay the Distributor for distributing their 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 July 31, 1998, Class B and Class C
shares were charged $60,622 and $3,886, respectively, pursuant to the
Distribution Plan.
(C) Under the Shareholder Services Plan, Class A, Class B and Class C shares
pay the Distributor at an annual rate of .25 of 1% of the value of the average
daily net assets for the provision of certain services. The services provided
may include personal services relating to shareholder accounts, such as
answering shareholder inquiries regarding the Fund 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 July 31, 1998, Class A, Class B and Class C
shares were charged $183,584, $30,311 and $1,295, respectively, pursuant to the
Shareholder Services Plan.
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 July 31, 1998, the Fund was charged $30,509 pursuant to the transfer
agency agreement.
<PAGE>
DREYFUS PREMIER CALIFORNIA MUNICIPAL BOND FUND
- -----------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
(D) Each trustee who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $2,500 and an attendance fee of $500 per
meeting. The Chairman of the Board receives an additional 25% of such
compensation.
NOTE 4--SECURITIES TRANSACTIONS:
The aggregate amount of purchases and sales of investment securities,
excluding short-term securities, during the period ended July 31, 1998 amounted
to $56,386,336 and $86,096,542, respectively.
At July 31, 1998, accumulated net unrealized appreciation on investments was
$6,936,304, consisting of $7,672,205 gross unrealized appreciation and $735,901
gross unrealized depreciation.
At July 31, 1998, 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).
<PAGE>
DREYFUS PREMIER CALIFORNIA
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. PCCSA987
SEMI-ANNUAL REPORT
- -------------------------------------------------------------------------------
DREYFUS PREMIER
CALIFORNIA MUNICIPAL
BOND FUND
- -------------------------------------------------------------------------------
JULY 31, 1998
[Dreyfus lion/2hres logo] (reg.tm)
<PAGE>
