General California Municipal Money Market Fund
Investing in high quality, short-term municipal obligations for current income
exempt from federal and California state income taxes
PROSPECTUS April 1, 2000
As revised, July 10, 2000
CLASS A SHARES
DREYFUS (reg.tm)
THIS PROSPECTUS IS TO BE USED ONLY BY CLIENTS OF SANTA BARBARA BANK & TRUST.
As with all mutual funds, the Securities and Exchange Commission has not
approved or disapproved these securities or passed upon the adequacy of this
prospectus. Any representation to the contrary is a criminal offense.
<PAGE>
Contents
The Fund
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Goal/Approach 1
Main Risks 2
Past Performance 3
Expenses 3
Management 4
Financial Highlights 5
Your Investment
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Account Policies 6
Distributions and Taxes 7
For More Information
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MORE INFORMATION ON THE FUND CAN BE FOUND IN THE CURRENT ANNUAL/SEMIANNUAL
REPORT. SEE BACK COVER.
<PAGE>
General California Municipal Money Market Fund
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Ticker Symbol: GCAXX
The Fund
GOAL/APPROACH
The fund seeks to maximize current income exempt from federal and California
state personal income taxes, to the extent consistent with the preservation of
capital and the maintenance of liquidity.
As a money market fund, the fund is subject to maturity, quality and
diversification requirements designed to help it maintain a stable share price.
To pursue this goal, the fund normally invests substantially all of its net
assets in municipal obligations that provide income exempt from federal and
California state personal income taxes. The fund also may invest in high
quality, short-term structured notes, which are derivative instruments whose
value is tied to underlying municipal obligations. Structured notes typically
are purchased in privately negotiated transactions from financial institutions.
When the portfolio manager believes that acceptable California municipal
obligations are unavailable for investment, the fund may invest in securities
that may be subject to California state income tax, but are free from federal
income tax. Municipal obligations are typically of two types:
* GENERAL OBLIGATION BONDS, which are secured by the full faith and
credit of the issuer and its taxing power
* REVENUE BONDS, which are payable from the revenues derived from a
specific revenue source, such as charges for water and sewer service or
highway tolls
Generally, the fund is required to invest at least 95% of its assets in the
securities of issuers with the highest credit rating or the unrated equivalent
as determined by Dreyfus, with the remainder invested in securities with the
second-highest credit rating.
Concepts to understand
MONEY MARKET FUND: a specific type of fund that seeks to maintain a $1.00 price
per share. Money market funds are subject to strict federal requirements and
must:
* maintain an average dollar-weighted portfolio maturity of 90 days or
less
* buy individual securities that have remaining maturities of 13 months or
less
* invest only in high quality, dollar-denominated obligations
CREDIT RATING: a measure of the issuer's expected ability to make all required
interest and principal payments in a timely manner. An issuer with the highest
credit rating has a very strong degree of certainty (or safety) with respect to
making all payments. An issuer with the second-highest credit rating has a
strong capacity to make all payments, but the degree of safety is somewhat less
The Fund 1
<PAGE 1>
MAIN RISKS
The fund's yield will vary as the short-term securities in its portfolio mature
and the proceeds are reinvested in securities with different interest rates.
An investment in the fund is not insured or guaranteed by the Federal Deposit
Insurance Corporation or any other government agency. Although the fund seeks to
preserve the value of your investment at $1.00 per share, it is possible to lose
money by investing in the fund.
While the fund has maintained a constant share price since inception, and will
continue to try to do so, the following factors could reduce the fund's income
level and/or share price:
* interest rates could rise sharply, causing the fund's share price to
drop
* any of the fund's holdings could have its credit rating downgraded or
could default
* California's economy and revenues underlying its municipal obligations
may decline
* the fund's portfolio securities may be more sensitive to risks that are
specific to investing primarily in a single state
Derivative securities, such as structured notes, can be highly volatile, and the
possibility of default by the financial institution or counterparty may be
greater for these securities than for other types of money market instruments.
Although the fund's objective is to generate income exempt from federal and
California state income taxes, interest from some of its holdings may be subject
to the federal alternative minimum tax. In addition, the fund occasionally may
invest in taxable money market instruments and/or municipal bonds that are
exempt only from federal personal income taxes.
The fund is non-diversified, which means that a relatively high percentage of
the fund's assets may be invested in a limited number of issuers. Therefore, its
performance may be more vulnerable to changes in the market value of a single
issuer or a group of issuers.
<PAGE 2>
PAST PERFORMANCE
The bar chart and table below show some of the risks of investing in Class A.
The bar chart shows the changes in the fund's performance from year to year. The
table shows the fund's average annual total return over time. Of course, past
performance is no guarantee of future results.
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Year-by-year total return AS OF 12/31 EACH YEAR (%)
5.93 4.66 2.90 2.30 2.57 3.22 2.84 2.99 2.73 2.46
90 91 92 93 94 95 96 97 98 99
BEST QUARTER: Q2 '90 +1.48%
WORST QUARTER: Q1 '94 +0.51%
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Average annual total return AS OF 12/31/99
1 Year 5 Years 10 Years
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2.46% 2.85% 3.26%
For the fund's current yield, call toll-free: 1-800-645-6561.
What this fund is -- and isn't
This fund is a mutual fund: a pooled investment that is professionally managed
and gives you the opportunity to participate in financial markets. It strives to
reach its stated goal, although as with all mutual funds, it cannot offer
guaranteed results.
An investment in this fund is not a bank deposit. It is not insured or
guaranteed by the FDIC or any other government agency. It is not a complete
investment program. You could lose money in this fund, but you also have the
potential to make money.
EXPENSES
As an investor, you pay certain fees and expenses in connection with the fund,
which are described for Class A in the table below. Annual fund operating
expenses are paid out of fund assets, so their effect is included in the share
price. The fund has no sales charge (load) or Rule 12b-1 distribution fees for
Class A.
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Fee table
ANNUAL FUND OPERATING EXPENSES
% OF AVERAGE DAILY NET ASSETS
Management fees 0.50%
Shareholder services fee 0.04%
Other expenses 0.07%
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TOTAL 0.61%
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<TABLE>
<CAPTION>
Expense example
1 Year 3 Years 5 Years 10 Years
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<S> <C> <C> <C>
$62 $195 $340 $762
</TABLE>
This example shows what you could pay in expenses over time. It uses the same
hypothetical conditions other funds use in their prospectuses: $10,000 initial
investment, 5% total return each year and no changes in expenses. The figures
shown would be the same whether you sold your shares at the end of a period or
kept them. Because actual return and expenses will be different, the example is
for comparison only.
Concepts to understand
MANAGEMENT FEE: the fee paid to Dreyfus for managing the fund's portfolio and
assisting in all aspects of the fund's operations.
SHAREHOLDER SERVICES FEE: a fee of up to 0.25% used to reimburse the fund's
distributor for shareholder account service and maintenance.
OTHER EXPENSES: fees paid by the fund for miscellaneous items such as transfer
agency, custody, professional and registration fees.
The Fund 3
<PAGE 3>
MANAGEMENT
The investment adviser for the fund is The Dreyfus Corporation, 200 Park Avenue,
New York, New York 10166. Founded in 1947, Dreyfus manages more than $129
billion in over 160 mutual fund portfolios. For the past fiscal year, the fund
paid Dreyfus a management fee at the annual rate of 0.50% of the fund's average
daily net assets. Dreyfus is the primary mutual fund business of Mellon
Financial Corporation, a global financial services company with approximately
$2.5 trillion of assets under management, administration or custody, including
approximately $485 billion under management. Mellon provides wealth management,
global investment services and a comprehensive array of banking services for
individuals, businesses and institutions. Mellon is headquartered in Pittsburgh,
Pennsylvania.
The Dreyfus asset management philosophy is based on the belief that discipline
and consistency are important to investment success. For each fund, Dreyfus
seeks to establish clear guidelines for portfolio management and to be
systematic in making decisions. This approach is designed to provide each fund
with a distinct, stable identity.
The fund, Dreyfus and Dreyfus Service Corporation (the fund's distributor) each
have adopted a code of ethics that permits its personnel, subject to such code,
to invest in securities, including securities that may be purchased or held by
the fund. The Dreyfus code of ethics restricts the personal securities
transactions of its employees, and requires portfolio managers and other
investment personnel to comply with the code's preclearance and disclosure
procedures. Its primary purpose is to ensure that personal trading by Dreyfus
employees does not disadvantage any Dreyfus-managed fund.
<PAGE 4>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
The following table describes the performance of the fund's Class A shares for
the periods indicated. "Total return" shows how much your investment in the fund
would have increased (or decreased) during each period, assuming you had
reinvested all dividends and distributions. These figures have been
independently audited by Ernst & Young LLP, whose report, along with the fund's
financial statements, is included in the annual report.
FOUR MONTHS ENDED
GENERAL CALIFORNIA MUNICIPAL YEAR ENDED NOVEMBER 30, NOVEMBER 30, YEAR ENDED JULY 31,
MONEY MARKET FUND 1999 1998 1997(1) 1997 1996 1995
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PER-SHARE DATA ($)
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period 1.00 1.00 1.00 1.00 1.00 1.00
Investment operations:
Investment income -- net .024 .027 .010 .029 .029 .031
Distributions:
Dividends from investment
income -- net (.024) (.027) (.010) (.029) (.029) (.031)
Net asset value, end of period 1.00 1.00 1.00 1.00 1.00 1.00
Total return (%) 2.44 2.78 2.96(2) 2.95 2.94 3.14
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RATIOS/SUPPLEMENTAL DATA
Ratio of expenses to average net assets (%) .61 .64 .70(2) .64 .65 .52
Ratio of net investment income
to average net assets (%) 2.42 2.74 2.97(2) 2.91 2.91 3.07
Decrease reflected in above expense
ratios due to actions by Dreyfus (%) -- -- -- -- -- .11
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Net assets, end of period ($ x 1,000) 523,890 335,726 361,102 327,226 390,155 463,404
(1) THE FUND CHANGED ITS FISCAL YEAR END FROM JULY 31 TO NOVEMBER 30.
(2) ANNUALIZED.
</TABLE>
The Fund 5
<PAGE 5>
Your Investment
ACCOUNT POLICIES
Buying shares
GENERAL FUNDS are designed primarily for people who are investing through a
third party such as a bank, broker-dealer or financial adviser. Third parties
with whom you open a fund account may impose policies, limitations and fees
which are different than those described here. To purchase fund shares, contact
your financial representative.
YOUR PRICE FOR FUND SHARES is the fund's net asset value (NAV), which is
generally calculated three times a day, at 12:00 noon, 2:00 p.m. and 8:00 p.m.,
every day the New York Stock Exchange or the fund's transfer agent is open. Your
order will be priced at the next NAV calculated after your order is accepted by
the fund's transfer agent or other authorized entity. The fund's investments are
valued based on amortized cost.
IF YOUR PAYMENTS ARE RECEIVED in or converted into Federal Funds by 4:00 p.m.,
you will receive the dividend declared that day. If your payments are received
in or converted into Federal Funds after 4:00 p.m., you will begin to accrue
dividends on the following business day. Qualified institutions may telephone
orders to buy shares. If such an order is made by 2:00 p.m., and Federal Funds
are received by 4:00 p.m., the shares will be purchased at the next NAV
determined after the telephone order is accepted and will receive the dividend
declared that day. If such an order is made after 2:00 p.m., but by 8:00 p.m.,
and Federal Funds are received by 11:00 a.m. the next business day, the shares
will be purchased at the NAV determined at 8:00 p.m. and will begin to accrue
dividends on the next business day. All times are Eastern time.
BECAUSE THE FUND SEEKS TAX-EXEMPT INCOME, it is not recommended for purchase in
IRAs or other qualified retirement plans.
Selling shares
YOU MAY SELL (REDEEM) SHARES AT ANY TIME through your financial representative,
or you can contact the fund directly. Your shares will be sold at the next NAV
calculated after your order is accepted by the fund's transfer agent or other
authorized entity. Any certificates representing fund shares being sold must be
returned with your redemption request. Your order will be processed promptly and
you will generally receive the proceeds within a week.
BEFORE SELLING SHARES RECENTLY PURCHASED, please note that if you send a written
request to sell such shares, the fund may delay selling the shares for up to
eight business days following the purchase of those shares.
Concepts to understand
NET ASSET VALUE (NAV): the market value of one share, computed by dividing the
total net assets of a fund or class by its shares outstanding.
AMORTIZED COST: a method of valuing a money market fund's portfolio securities,
which does not take into account unrealized gains or losses. As a result,
portfolio securities are valued at their acquisition cost, adjusted over time
based on the discounts or premiums reflected in their purchase price. This
method of valuation is designed to permit a fund to maintain a stable NAV.
<PAGE 6>
General policies
UNLESS YOU DECLINE TELEPHONE PRIVILEGES on your application, you may be
responsible for any fraudulent telephone order as long as Dreyfus takes
reasonable measures to verify that the order is from a representative of your
financial institution.
THE FUND RESERVES THE RIGHT TO:
* refuse any purchase or exchange request that could adversely affect the
fund or its operations, including those from any individual or group who, in the
fund's view, is likely to engage in excessive trading (usually defined as more
than four exchanges out of the fund within a calendar year)
* refuse any purchase or exchange request in excess of 1% of the fund's
total assets
* change or discontinue its exchange privilege, or temporarily suspend
this privilege during unusual market conditions
* change its minimum investment amounts
* delay sending out redemption proceeds for up to seven days (generally
applies only in cases of very large redemptions, excessive trading or during
unusual market conditions)
The fund also reserves the right to make a "redemption in kind" -- payment in
portfolio securities rather than cash -- if the amount you are redeeming is
large enough to affect fund operations (for example, if it represents more than
1% of the fund's assets).
DISTRIBUTIONS AND TAXES
THE FUND USUALLY PAYS ITS SHAREHOLDERS dividends from its net investment income
once a month, and distributes any net realized securities gains once a year.
Your dividends and distributions will be reinvested in the fund unless you
instruct the fund otherwise. There are no fees or sales charges on
reinvestments.
THE FUND ANTICIPATES that, under normal market conditions, virtually all of its
income dividends will be exempt from federal and California state personal
income taxes. However, any dividends and distributions from taxable investments
are taxable as ordinary income.
The tax status of any distribution is the same regardless of how long you have
been in the fund and whether you reinvest your distributions or take them in
cash.
Because everyone's tax situation is unique, always consult your tax professional
about federal, state and local tax consequences.
Concepts to understand
DIVIDENDS AND DISTRIBUTIONS: income or interest paid by a fund's portfolio
investments and passed on to fund shareholders. These are calculated on a
per-share basis: each share earns the same rate of return, so the more fund
shares you own, the higher your distribution.
SECURITIES GAINS: distributions derived from the profits the fund earns when it
sells securities for a higher price than it paid for them.
Your Investment 7
<PAGE 7>
NOTES
NOTES
For More Information
General California Municipal Money Market Fund
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SEC file number: 811-4871
More information on this fund is available free upon request, including the
following:
Annual/Semiannual Report
Describes the fund's performance and lists portfolio holdings.
Statement of Additional Information (SAI)
Provides more details about the fund and its policies. A current SAI is on file
with the Securities and Exchange Commission (SEC) and is incorporated by
reference (is legally considered part of this prospectus).
To obtain information:
BY TELEPHONE
Call your Dreyfus Institutional Services Division
representative or
1-800-346-3621
BY E-MAIL Access Dreyfus Institutional Services Division at www.LIONSALES.com.
You can obtain product information and E-mail requests for information or
literature.
BY MAIL Write to:
Dreyfus Institutional Services Division
144 Glenn Curtiss Boulevard
Uniondale, NY 11556-0144
ON THE INTERNET Text-only versions of certain fund documents can be viewed
online or downloaded from: http://www.sec.gov
You can also obtain copies by visiting the SEC's Public Reference Room in
Washington, DC (for information, call 1-202-942-8090) or, after paying a
duplicating fee, by E-mail request to [email protected], or by writing to the
SEC's Public Reference Section, Washington, DC 20549-0102.
(c) 2000 Dreyfus Service Corporation
573P0700-SB
