LETTER TO SHAREHOLDERS
Dear Shareholder:
It is with pleasure that we can report to you that for the 12-month
period ended November 30, 1994, Dreyfus Short-Intermediate Government Fund
produced a distribution rate per share of 7.15%.* As always, the Fund's net
asset value is subject to change. Taking into account the price change as
well as the reinvestment of income dividends and capital gain distributions,
your Fund produced a total return of -.57% for the same 12-month period.**
The year of 1994 will go down in history as one of the worst years in all
financial markets (precious metals were slightly positive but have also
turned down). The fixed-income markets were hurt worst of all. In the last 12
months, the 2-year Treasury Note (which is a good representation of your
Fund) has gone from yielding 4.25% in December of 1993 to 7.72% currently.
The Federal Reserve Board has tightened several times, raising the Federal
Funds rate to 5.50%. As this letter is being written, the market is once
again pricing in another Fed tightening, anticipating this new tightening to
occur at the next Federal Open Market Committee (FOMC) meeting, January 31,
1995. We are expecting another 50 basis-point increase and possibly one more
50 basis-point increase after that. We are of the opinion that the Fed is
near the end of the tightening cycle, and that we should see the results of
higher rates on the economy by the first quarter of 1995. This should make
the last half of 1995 a positive year for fixed-income markets.
The Fund has been, and will continue to be, positioned defensively. We
have been holding the average maturity of the Fund's portfolio at
approximately 2 years, with short maturity Treasury notes making up almost
the entire Fund. About 5% of the Fund has been recently moved into agency
paper because the spreads over Treasuries have become very cheap. Recently
leveraged players and those who use derivatives have been squeezed from the
market. This is because higher rates cause borrowed or leveraged positions to
lose money, and certain municipalities have significant derivative losses
because they made bets that rates would not go higher. As this happens, plain
vanilla conservative funds like ours are able to find real value. We have
been adding severely oversold positions as they become available due to this
liquidation process. We have also acquired Sallie Mae floating rate notes and
Fannie Mae notes as they have become more attractive and available.
We have not used agency paper, as you know, for a long period because
they were too expensive compared to Treasuries. The frantic liquidations of
exotic securities has led to plain agency paper being oversold too. If more
of these opportunities do arise, we would again select what we feel
represents the best value.
As always, we will be carefully reviewing the market as well as economic
conditions. When we estimate the timing to be correct, we will adjust the
structure and maturity of the Fund's portfolio. In this way, we aim to
continue to provide you with an attractive investment vehicle.
Very truly yours,
(logo signature)
Gerald E. Thunelius
Portfolio Manager
December 29, 1994
New York, N.Y.
* Distribution rate per share is based upon dividends per share paid
from net investment income during the period, divided
by the net asset value per share at the end of the period, adjusted for
capital gain distributions.
** Total return represents the change during the period in a
hypothetical account with dividends reinvested.
PERFORMANCE
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN DREYFUS
SHORT-INTERMEDIATE
GOVERNMENT FUND AND THE MERRILL LYNCH TREASURY MASTER INDEX - SHORT-TERM
Exhibit A
* Source: Merrill Lynch, Pierce, Fenner and Smith Inc.
<TABLE>
AVERAGE ANNUAL TOTAL RETURNS
ONE YEAR ENDED FIVE YEARS ENDED FROM INCEPTION (4/6/87)
NOVEMBER 30, 1994 NOVEMBER 30, 1994 TO NOVEMBER 30, 1994
----------------- ---------------- ----------------------
<S> <C> <C> <C>
(.57%) 7.36% 7.21%
</TABLE>
Past performance is not predictive of future results.
The above graph compares a $10,000 investment made in Dreyfus
Short-Intermediate Government Fund on 4/6/87 (Inception Date) to a $10,000
investment made in the Merrill Lynch Treasury Master Index - Short-Term on
that date. All dividends and capital gain distributions are reinvested.
The Fund invests in securities issued or guaranteed by the U.S. Government or
its agencies or instrumentalities and repurchase agreements in respect of
such securities. The maximum remaining maturity of any instrument in the
Fund's portfolio will not exceed three and one-half years. The Fund's
performance takes into account fees and expenses. Unlike the Fund, the
Merrill Lynch Treasury Master Index - Short-Term is an unmanaged performance
benchmark for Treasury securities with maturities of 1-2.99 years; issues in
the Index must have par amounts outstanding greater than or equal to $25
million. The Index does not take into account charges, fees and expenses.
Further information relating to Fund performance including any expense
reimbursements, if applicable, is contained in the Condensed Financial
Information section of the Prospectus and elsewhere in this report.
<TABLE>
<CAPTION>
DREYFUS SHORT-INTERMEDIATE GOVERNMENT FUND
STATEMENT OF INVESTMENTS NOVEMBER 30, 1994
PRINCIPAL
NOTES-89.6% AMOUNT VALUE
_______ _______
<S> <C> <C>
U.S. GOVERNMENT AGENCIES-5.0%
Federal National Mortgage Association,
Medium-Term Notes, 6 3/8%, 1995......................................... $ 25,000,000 $24,839,850
-------------- -----------
U.S. TREASURY NOTES-84.6%
8 7/8%, 2/15/1996....................................................... 15,000,000 15,292,965
9 3/8%, 4/15/1996....................................................... 90,000,000 92,475,000
7 1/4%, 11/30/1996...................................................... 5,000,000 4,985,545
8%, 1/15/1997........................................................... 25,000,000 25,253,900
8 1/2%, 4/15/1997....................................................... 30,000,000 30,609,390
6 1/2%, 8/15/1997....................................................... 15,000,000 14,603,910
7 3/8%, 11/15/1997...................................................... 65,000,000 64,563,265
8 7/8%, 11/15/1997...................................................... 10,000,000 10,318,750
7 7/8%, 1/15/1998....................................................... 119,600,000 120,179,342
5 5/8%, 1/31/1998....................................................... 44,500,000 41,920,380
----------
TOTAL U.S. TREASURY NOTES................................................... 420,202,447
----------
TOTAL NOTES
(cost $459,436,732)..................................................... $445,042,297
============
SHORT-TERM INVESTMENTS-3.0%
REPURCHASE AGREEMENT-1.8%
Aubrey G. Lanston & Co., 5.60%
Dated 11/30/1994, due 12/1/1994 in the amount
of $9,141,422 (fully collateralized by
$9,500,000 U.S. Treasury Bills,
2/23/1995, value $9,376,500)............................................ $ 9,140,000 $ 9,140,000
-------------
U.S. TREASURY BILLS-1.2%
4.98%, 1/19/1995........................................................ 296,000 293,931
5.14%, 1/26/1995........................................................ 5,500,000 5,455,120
-------------
5,749,051
-------------
TOTAL SHORT-TERM INVESTMENTS
(cost $14,890,018)...................................................... $ 14,889,051
============
TOTAL INVESTMENTS
(cost $474,326,750)..................................................... 92.6% $459,931,348
===== ============
CASH AND RECEIVABLES (NET).................................................. 7.4% $ 36,581,842
===== ============
NET ASSETS ........................................................... 100.0% $496,513,190
===== ============
See notes to financial statements.
</TABLE>
<TABLE>
DREYFUS SHORT-INTERMEDIATE GOVERNMENT FUND
STATEMENT OF ASSETS AND LIABILITIES NOVEMBER 30, 1994
<S> <C> <C>
ASSETS:
Investments in securities, at value-See Note 1(b)
(cost $474,326,750)-see statement..................................... $459,931,348
Receivable for investment securities sold............................... 143,058,519
Interest receivable..................................................... 7,568,797
Receivable for shares of Beneficial Interest subscribed................. 46,778
Prepaid expenses........................................................ 98,954
------------
610,704,396
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $ 132,354
Payable for investment securities purchased............................. 108,358,010
Payable for shares of Beneficial Interest redeemed...................... 1,778,550
Accrued expenses and other liabilities.................................. 3,922,292 114,191,206
----------- ------------
NET ASSETS ................................................................ $496,513,190
============
REPRESENTED BY:
Paid-in capital......................................................... $543,440,714
Accumulated net realized capital losses and distributions in
excess of net realized gain on investments-Note 1(c).................. (32,532,122)
Accumulated gross unrealized (depreciation) on investments.............. (14,395,402)
------------
NET ASSETS at value applicable to 46,966,896 shares outstanding
(unlimited number of $.001 par value shares of Beneficial
Interest authorized).................................................... $496,513,190
============
NET ASSET VALUE, offering and redemption price per share
($496,513,190 / 46,966,896 shares)...................................... $10.57
======
See notes to financial statements.
</TABLE>
<TABLE>
DREYFUS SHORT-INTERMEDIATE GOVERNMENT FUND
STATEMENT OF OPERATIONS YEAR ENDED NOVEMBER 30, 1994
<S> <C> <C>
INVESTMENT INCOME:
INTEREST INCOME......................................................... $ 39,667,832
EXPENSES:
Management fee-Note 2(a).............................................. $ 2,690,008
Shareholder servicing costs-Note 2(b)................................. 1,179,284
Custodian fees........................................................ 68,480
Professional fees..................................................... 57,922
Registration fees..................................................... 49,207
Trustees' fees and expenses-Note 2(c)................................. 40,014
Prospectus and shareholders' reports.................................. 22,487
Miscellaneous......................................................... 13,507
------------
4,120,909
Less-reduction in management fee due to undertakings-Note 2(a)........ 1,616,293
------------
TOTAL EXPENSES.................................................... 2,504,616
----------
INVESTMENT INCOME-NET............................................ 37,163,216
----------
REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS:
Net realized gain (loss) on investments-Note 3:
Long transactions..................................................... $(32,310,829)
Short sale transactions............................................... 7,750
------------
NET REALIZED (LOSS)................................................... (32,303,079)
Net unrealized (depreciation) on investments ........................... (8,196,511)
----------
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS................. (40,499,590)
----------
NET (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS...................... $ (3,336,374)
=============
See notes to financial statements.
</TABLE>
<TABLE>
DREYFUS SHORT-INTERMEDIATE GOVERNMENT FUND
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED NOVEMBER 30,
------------------------------
1993 1994
------------- -------------
<S> <C> <C>
OPERATIONS:
Investment income-net................................................... $ 29,742,773 $ 37,163,216
Net realized gain (loss) on investments................................. 2,780,519 (32,303,079)
Net unrealized (depreciation) on investments for the year............... (643,062) (8,196,511)
------------- -------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS....... 31,880,230 (3,336,374)
------------- -------------
DIVIDENDS TO SHAREHOLDERS:
From investment income-net.............................................. (29,742,773) (37,163,216)
From net realized gain on investments................................... (8,173,840) (2,638,189)
In excess of net realized gain on investments........................... -- (229,043)
------------- -------------
TOTAL DIVIDENDS....................................................... (37,916,613) (40,030,448)
------------- -------------
BENEFICIAL INTEREST TRANSACTIONS:
Net proceeds from shares sold........................................... 493,879,194 395,989,207
Dividends reinvested.................................................... 34,098,394 33,895,545
Cost of shares redeemed................................................. (304,044,477) (441,547,884)
------------- -------------
INCREASE (DECREASE) IN NET ASSETS FROM BENEFICIAL INTEREST TRANSACTIONS 223,933,111 (11,663,132)
------------- -------------
TOTAL INCREASE (DECREASE) IN NET ASSETS........................... 217,896,728 (55,029,954)
NET ASSETS:
Beginning of year....................................................... 333,646,416 551,543,144
------------- -------------
End of year............................................................. $551,543,144 $496,513,190
============ ============
SHARES SHARES
------------- -------------
CAPITAL SHARE TRANSACTIONS:
Shares sold............................................................. 42,662,841 35,750,303
Shares issued for dividends reinvested.................................. 2,960,503 3,081,701
Shares redeemed......................................................... (26,274,874) (40,031,369)
------------- -------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING......................... 19,348,470 (1,199,365)
============ ============
See notes to financial statements.
</TABLE>
<TABLE>
DREYFUS SHORT-INTERMEDIATE GOVERNMENT 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 year indicated. This
information has been derived from the Fund's financial statements.
YEAR ENDED NOVEMBER 30,
------------------------------------------------------------
PER SHARE DATA: 1990 1991 1992 1993 1994
------ ------ ------ ------ -------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year........... $11.24 $11.23 $11.71 $11.58 $11.45
------ ------ ------ ------ -------
INVESTMENT OPERATIONS:
Investment income-net........................ .99 .85 .82 .78 .76
Net realized and unrealized gain (loss) on investments (.01) .47 .09 .14 (.82)
------ ------ ------ ------ -------
TOTAL FROM INVESTMENT OPERATIONS........... .98 1.32 .91 .92 (.06)
------ ------ ------ ------ -------
DISTRIBUTIONS:
Dividends from investment income-net......... (.99) (.84) (.83) (.78) (.76)
Dividends from net realized gain on investments -- -- (.21) (.27) (.06)
Dividends in excess of net realized gain on investments -- -- -- -- --
------ ------ ------ ------ -------
TOTAL DISTRIBUTIONS........................ (.99) (.84) (1.04) (1.05) (.82)
------ ------ ------ ------ -------
Net asset value, end of year................. $11.23 $11.71 $11.58 $11.45 $10.57
====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN 9.20% 12.25% 8.05% 8.29% (.57%)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets...... -- .49% .35% .40% .47%
Ratio of net investment income to average net assets 8.90% 7.41% 7.00% 6.75% 6.91%
Decrease reflected in above expense ratios due to
undertakings by the Manager................ .92% .30% .42% .35% .30%
Portfolio Turnover Rate...................... 25.46% 131.69% 225.52% 317.00% 695.60%
Net Assets, end of year (000's Omitted)...... $63,419 $144,215 $333,646 $551,543 $496,513
</TABLE>
DREYFUS SHORT-INTERMEDIATE GOVERNMENT FUND
NOTES TO FINANCIAL STATEMENTS
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a diversified open-end management investment company. Dreyfus Service
Corporation, until August 24, 1994, acted as the exclusive distributor of the
Fund's shares, which are sold to the public without a sales charge. Dreyfus
Service Corporation is a wholly-owned subsidiary of The Dreyfus Corporation
("Manager"). Effective August 24, 1994, the Manager became a subsidiary of
Mellon Bank, N.A.
On August 24, 1994, Premier Mutual Fund Services, Inc. (the
"Distributor") was engaged as the Fund's distributor. The Distributor,
located at One Exchange Place, Boston, Massachusetts 02109, is a wholly-owned
subsidiary of Institutional Administration Services, Inc., a provider of
mutual fund administration services, the parent company of which is Boston
Institutional Group, Inc.
(A) PORTFOLIO VALUATION: Investments in U.S. Government obligations are
valued at the mean between quoted bid and asked prices. Short-term
investments are carried at amortized cost, which approximates value.
(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 including, where applicable, amortization of discount on investments
is recognized on the accrual basis.
The Fund may enter into repurchase agreements with financial
institutions, deemed to be creditworthy by the Fund's Manager, subject to the
seller's agreement to repurchase and the Fund's agreement to resell such
securities at a mutually agreed upon price. Securities purchased subject to
repurchase agreements are deposited with the Fund's custodian and, pursuant
to the terms of the repurchase agreement, must have an aggregate market value
greater than or equal to the repurchase price plus accrued interest at all
times. If the value of the underlying securities falls below the value of the
repurchase price plus accrued interest, the Fund will require the seller to
deposit additional collateral by the next business day. If the request for
additional collateral is not met, or the seller defaults on its repurchase
obligation, the Fund maintains the right to sell the underlying securities at
market value and may claim any resulting loss against the seller.
(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.
Dividends in excess of net realized gain on investments for financial
statement purposes result primarily from losses from security transactions
during the year ended November 30, 1994 which are treated for Federal income
tax purposes as arising in fiscal 1995.
(D) FEDERAL INCOME TAXES: It is the policy of the Fund to continue to
qualify as a regulated investment company, if such qualification is in the
best interests of its shareholders, by complying with applicable provisions
of the Internal Revenue Code, and to make distributions of taxable income
sufficient to relieve it from substantially all Federal income and excise
taxes.
The Fund has an unused capital loss carryover of approximately
$26,610,000 available for Federal income tax purposes to be applied against
future net securities profit, if any realized subsequent to November 30,
1994. The carryover does not include net realized securities losses from
November 1, 1994 through November 30, 1994 which are treated, for Federal
income tax purposes, as arising in fiscal 1995. If not applied, the carryover
expires in fiscal 2002.
DREYFUS SHORT-INTERMEDIATE GOVERNMENT FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 2-MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(A) Pursuant to a management agreement ("Agreement") with the Manager,
the management fee is computed at the annual rate of .50 of 1% of the average
daily value of the Fund's net assets and is payable monthly. The Agreement
provides for an expense reimbursement from the Manager should the Fund's
aggregate expenses, exclusive of taxes, interest on borrowings, brokerage and
extraordinary expenses, exceed 1 1/2% of the average value of the Fund's net
assets for any full fiscal year. However, the Manager had undertaken from
December 1, 1993 through October 11, 1994 to reduce the management fee paid
by the Fund, to the extent that the Fund's aggregate expenses (excluding
certain expenses as described above) exceeded specified annual percentages of
the Fund's average daily net assets. The Manager has currently undertaken
from October 12, 1994 through December 31, 1994, or until such time as the
net assets of the Fund exceed $600 million, regardless of whether they remain
at that level, to waive receipt of the management fee payable to it by the
Fund in excess of an annual rate of .30 of 1% of the average daily value of
the Fund's net assets. The reduction in management fee, pursuant to the
undertakings, amounted to $1,616,293 for the year ended November 30, 1994.
The Manager may modify the expense limitation percentages from time to
time, provided that the resulting expense reimbursement would not be less
than the amount required pursuant to the Agreement.
(B) Pursuant to the Fund's Shareholder Services Plan, the Fund reimburses
Dreyfus Service Corporation an amount not to exceed an annual rate of .25 of
1% of the value of the Fund's average daily net assets for servicing
shareholder accounts. 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. During the year ended
November 30, 1994, the Fund was charged an aggregate of $739,227 pursuant to
the Shareholder Services Plan.
(C) Prior to August 24, 1994, certain officers and trustees of the Fund
were "affiliated persons," as defined in the Act, of the Manager and/or
Dreyfus Service Corporation. Each trustee who is not an "affiliated person"
receives an annual fee of $4,000 and an attendance fee of $500 per meeting.
NOTE 3-SECURITIES TRANSACTIONS:
The following summarizes the aggregate amount of purchases and sales of
investment securities and securities sold short, excluding short-term
securities, during the year ended November 30, 1994:
<TABLE>
PURCHASES SALES
-------------- ----------------
<S> <C> <C>
Long transactions................................................ $3,406,371,184 $3,476,198,940
Short sale transactions.......................................... 49,979,250 49,987,000
-------------- ----------------
Total.......................................................... $3,456,350,434 $3,526,185,940
============== ===============
</TABLE>
The Fund is engaged in short-selling which obligates the Fund to replace
the security borrowed by purchasing the security at current market value.
The Fund would incur a loss if the price of the security increases between
the date of the short sale and the date on which the Fund replaces the
borrowed security. The Fund would realize a gain if the price of the security
declines between those dates. Until the Fund replaces the borrowed security,
the Fund will maintain daily, a segregated account with a broker and
custodian, of cash and/or U.S. Government securities sufficient to cover its
short position. At November 30, 1994, there were no Securities Sold Short
outstanding.
At November 30, 1994, 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 SHORT-INTERMEDIATE GOVERNMENT FUND
REPORT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS
SHAREHOLDERS AND BOARD OF TRUSTEES
DREYFUS SHORT-INTERMEDIATE GOVERNMENT FUND
We have audited the accompanying statement of assets and liabilities of
Dreyfus Short-Intermediate Government Fund including the statement of
investments, as of November 30, 1994, 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. Our procedures included confirmation of
securities owned as of November 30, 1994 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 Short-Intermediate Government Fund at November 30, 1994,
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 11, 1994
DREYFUS SHORT-INTERMEDIATE GOVERNMENT FUND
IMPORTANT TAX INFORMATION (UNAUDITED)
The Fund hereby makes the following designations regarding its fiscal year
ended November 30, 1994:
_ for Federal tax purposes, the portion of the $.0590 per share
paid by the Fund on December 29, 1993 representing a long-term capital
gain distribution is $.0195 per share, and
_ for State individual income tax purposes, 89.54% of the
ordinary income dividends paid are attributable to interest income
from direct obligations of the United States. Such dividends are
currently exempt from taxation for individual income tax purposes in
most states, including New York, California and the District of
Columbia.
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 (if any) paid for the 1994 calendar year on Form 1099-DIV which
will be mailed by January 31, 1995.
$17,044
Dreyfus
Short-Intermediate Government Fund
$16,915
Merrill Lynch
Treasury Master Index-Short-Term*
In Dollars
DREYFUS SHORT-INTERMEDIATE
GOVERNMENT 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
The Shareholder Services Group, Inc.
P.O. Box 9671
Providence, RI 02940
Further information is contained
in the Prospectus, which must
precede or accompany this report.
Printed in U.S.A. 542AR9411
Short-Intermediate
Government
Fund
Annual Report
November 30, 1994
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT
IN DREYFUS SHORT-INTERMEDIATE GOVERNMENT FUND
AND THE MERRILL LYNCH TREASURY MASTER INDEX - SHORT-TERM
EXHIBIT A:
_____________________________________________________________
| | MERRILL LYNCH | DREYFUS |
| | TREASURY MASTER | SHORT-INTERMEDIATE |
| PERIOD | INDEX - | GOVERNMENT |
| | SHORT-TERM * | FUND |
|----------- | ------------------ | -------------------|
| 4/6/87 | 10,000 | 10,000 |
| 11/30/87 | 10,359 | 10,120 |
| 11/30/88 | 11,047 | 10,768 |
| 11/30/89 | 12,228 | 11,951 |
| 11/30/90 | 13,310 | 13,051 |
| 11/30/91 | 14,819 | 14,650 |
| 11/30/92 | 15,842 | 15,830 |
| 11/30/93 | 16,796 | 17,142 |
| 11/30/94 | 16,915 | 17,044 |
|------------------------------------------------------------|
* Source: Merrill Lynch, Pierce, Fenner and Smith Inc.
