LETTER TO SHAREHOLDERS
Dear Shareholder:
Since our last report to shareholders on November 30, 1993, the
fixed-income markets have experienced considerable volatility. Interest rates
rallied to a cyclical low during October, but have been on an upward trend
ever since. The Fund's net asset value declined by approximately $.32 per
share (adjusted for capital gain distributions) to $17.71, during the
12-month period ended May 31, 1994. For this time period, income dividends of
approximately $.89 per share were paid. This translates into an annualized
distribution rate of 4.97% per share, based upon the closing net asset value
per share, adjusted for capital gain distributions. As has been true since
the Fund's inception, all interest income paid to you has been exempt from
Federal, New York State and New York City income taxes.*
It appears that 1994 will be remembered as the end of five years of
accommodative Federal Reserve Board policy. Since February, the Federal Funds
rate has been raised four times. Generally, it is anticipated that further
rate hikes will be forthcoming should the economy continue to signal an
unacceptable rate of growth; with such a heightened degree of nervousness
influencing both bonds and stocks, the markets could remain volatile.
Higher bond yields have had an effect on the supply of new municipal
bonds: while 1993 was a record year for bond issuance, new issuance has
fallen dramatically this year. At the same time, the appetite of individual
investors for tax exempt investments has been tempered. However, should
inflation concerns subside and interest rates stabilize, attractive
investment opportunities could emerge in municipal securities: new issuance
has been reduced, the highest marginal Federal tax rate has been increased to
nearly 40%, and municipal bonds are yielding substantially more than they
were only a few months ago. However, at this juncture, it is still uncertain
as to if and when such a scenario may unfold.
After a protracted recession, the New York economy is finally on the
rebound. The State has lost over 500,000 jobs since the recession began, and
with employment growth projected at approximately 1.4% for 1994, it will take
a considerable amount of time to recover to pre-recession job levels. It
appears that the outlook for the State's credit rating has turned positive
and we are looking for an upgrade within the next year.
Last year, when interest rates were reaching their cyclical lows, we
began to take a conservative stance on the market. As we approached year-end,
instead of chasing an already expensive market, we opted to increase our cash
reserve position and reduce the average life of the Fund in an attempt to
offset the impact of higher rates on the Fund. It appears that the worst part
of the retrenchment may have passed and, if so, current levels would present
an attractive buying opportunity.
As we have witnessed in recent weeks, negative influences on the markets
can be quite powerful. The potential still exists for further market
volatility and higher yields before bond prices begin to rise again. We want
to assure you that we are at all times working in the Fund's best interest,
and we appreciate your investment in the Fund.
Very truly yours,
(Richard J. Moynihan Signature Logo)
Richard J. Moynihan
President
July 1, 1994
New York, N.Y.
* Some income may be subject to the Federal Alternative Minimum Tax (AMT) for
certain shareholders.
PERFORMANCE
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN DREYFUS NEW YORK TAX
EXEMPT INTERMEDIATE BOND FUND AND THE LEHMAN BROTHERS 10-YEAR MUNICIPAL BOND
INDEX
[Exhibit A]
*Source: Lehman Brothers
<TABLE>
AVERAGE ANNUAL TOTAL RETURN
ONE YEAR ENDED FIVE YEARS ENDED FROM INCEPTION (6/12/87)
MAY 31, 1994 MAY 31, 1994 TO MAY 31, 1994
----------------- ------------------ ---------------------------
<S> <C> <C> <C>
3.11% 7.84% 7.59%
</TABLE>
Past performance is not predictive of future performance.
The above graph compares a $10,000 investment made in the Dreyfus New York
Tax Exempt Intermediate Bond Fund on 6/12/87 (Inception Date) to a $10,000
investment made in the Lehman Brothers 10-Year Municipal Bond Index on that
date. For comparative purposes, the value of the Index on 5/31/87 is used as
the beginning value on 6/12/87. All dividends and capital gain distributions
are reinvested.
The Fund invests primarily in New York municipal securities and has a
portfolio with a weighted-average maturity which ranges between 3 and 10
years, and its performance takes into account fees and expenses. Unlike the
Fund, the Lehman Brothers 10-Year Municipal Bond Index is an unmanaged total
return performance benchmark for the investment-grade, 10-year tax exempt
bond market, consisting of municipal bonds with maturities of more than 8
years and less than 12 years. As such, the Fund's performance directly
reflects economic events existing in the State of New York while the Index
reflects them to a much lesser extent, if at all. The Index also does not
take into account charges, fees and other expenses. Further information
relating to Fund performance, including expense reimbursements, if
applicable, is contained in the Condensed Financial Information section of
the Prospectus and elsewhere in this report.
<TABLE>
<CAPTION>
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
STATEMENT OF INVESTMENTS MAY 31, 1994
PRINCIPAL
MUNICIPAL BONDS--99.3% AMOUNT VALUE
------------- -------------
<S> <C> <C>
NEW YORK--84.5%
Albany Industrial Development Agency, LR
(New York State Department of Health Building Project) 6.75%, 10/1/1995. $ 270,000 $ 275,562
Albany Parking Authority, Parking Revenue, Refunding:
6.50%, 11/1/2004........................................................ 1,000,000 1,046,460
6.70%, 11/1/2006........................................................ 1,000,000 1,039,040
Battery Park City Authority, Revenue, Refunding
4.80%, 11/1/2001........................................................ 5,405,000 5,227,932
Board Cooperative Educational Services, COP
(Greenport Vocational Facility Project) 7.50%, 10/1/1996................ 505,000 541,688
Buffalo Municipal Water Finance Authority, Water System Revenue
5.50%, 7/1/2005 (Insured; FSA).......................................... 1,200,000 1,205,868
Development Authority of the North Country, Solid Waste Management System Revenue:
6.30%, 7/1/1999......................................................... 1,070,000 1,084,755
6.40%, 7/1/2000......................................................... 1,135,000 1,145,680
Franklin Industrial Development Agency, LR (County Correctional Facility Project)
6.375%, 11/1/2002....................................................... 2,735,000 2,846,150
Franklin Solid Waste Management Authority, Solid Waste System Revenue
6%, 6/1/2005............................................................ 3,635,000 3,611,627
Grand Central District Management Association, Inc., Grand Central
Business Improvement District, Capital Improvement Refunding:
5.10%, 1/1/2008....................................................... 1,130,000 1,028,537
5.125%, 1/1/2009...................................................... 1,190,000 1,069,346
Metropolitan Transportation Authority:
Service Contract Commuter Facilities 5.45%, 7/1/2007.................... 4,330,000 4,138,657
Service Contract Transit Facilities:
7.25%, 7/1/1998....................................................... 3,050,000 3,291,286
6.80%, 7/1/2004....................................................... 1,850,000 1,954,839
6.90%, 7/1/2006....................................................... 3,615,000 3,819,031
Transit Facilities Revenue 6.30%, 7/1/2006.............................. 3,145,000 3,236,016
Trust Tax Exempt Linked Unit
5.103%, 6/30/2002 (Insured; AMBAC) (a)................................ 20,000,000 19,540,800
Nassau County, Refunding (Combined Sewer Districts)
5.30%, 7/1/2006 (Insured; MBIA)......................................... 4,860,000 4,804,304
New York City:
6.25%, 8/1/2002 (Insured; AMBAC)........................................ 950,000 1,020,177
7.50%, 8/15/2002........................................................ 1,210,000 1,317,714
5.75%, 8/1/2003......................................................... 2,740,000 2,720,546
7.75%, 3/15/2004........................................................ 1,000,000 1,104,710
7.75%, 8/15/2004........................................................ 1,000,000 1,115,550
6.375%, 8/1/2005........................................................ 3,670,000 3,716,572
7%, 2/1/2006............................................................ 3,500,000 3,735,550
6%, 8/1/2007............................................................ 2,000,000 1,960,580
New York City Health and Hospital Corp., Revenue 6%, 2/15/2005.............. 2,000,000 1,997,400
New York City Housing Development Corp., MFHR:
4.95%, 5/1/2002......................................................... 1,105,000 1,058,833
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1994
PRINCIPAL
MUNICIPAL BONDS (CONTINUED) AMOUNT VALUE
------------- -------------
NEW YORK (CONTINUED)
New York City Housing Development Corp., MFHR (continued):
5.05%, 5/1/2003......................................................... $ 1,140,000 $ 1,087,936
5.15%, 5/1/2004......................................................... 1,000,000 950,720
New York City Industrial Development Agency, Revenue:
Civic Facility
(YMCA of Greater New York Project) 7.25%, 8/1/1999.................... 2,300,000 2,374,750
Industrial Development:
8%, Series I, 11/16/1998 (LOC; Algemene Bank Nederland) (b)........... 740,000 757,220
8%, Series J, 11/16/1998 (LOC; Algemene Bank Nederland) (b)........... 1,270,000 1,299,553
7.625%, 11/1/1999 (LOC; Algemene Bank Nederland) (b).................. 1,580,000 1,628,000
(Plaza Packaging Corp. Project)
7.65%, 12/1/2009 (LOC; Barclays Bank of New York) (b)............. 930,000 997,230
New York City Municipal Water Finance Authority, Water and Sewer System Revenue:
5.55%, 6/15/2001........................................................ 1,500,000 1,535,895
6.60%, 6/15/2002........................................................ 3,000,000 3,275,010
5.125%, 6/15/2004....................................................... 4,000,000 3,858,440
New York State:
5.625%, 6/15/1999....................................................... 5,000,000 5,162,250
6.75%, 11/15/2000....................................................... 2,000,000 2,182,960
New York State Bridge Authority, Bridge Revenue:
6.75%, 1/1/1997......................................................... 1,200,000 1,263,000
6.90%, 1/1/1999......................................................... 1,250,000 1,328,500
New York State Dormitory Authority, Revenue:
(Capital District Chapter-Wildwood School) 6.625%, 7/1/1998............. 600,000 635,556
City University:
7.25%, 7/1/2002....................................................... 2,250,000 2,470,478
5.20%, 7/1/2005....................................................... 5,690,000 5,371,246
5.70%, 7/1/2005....................................................... 5,000,000 4,956,650
5.25%, 7/1/2006....................................................... 3,000,000 2,828,700
Refunding:
6.90%, 7/1/1997................................................... 1,050,000 1,113,010
6.25%, 7/1/2003................................................... 4,225,000 4,411,618
6.35%, 7/1/2004................................................... 2,500,000 2,616,300
6.45%, 7/1/2005................................................... 1,500,000 1,580,295
Department of Health, Refunding 5.50%, 7/1/2005......................... 1,000,000 974,390
Highland Community Development Corp.
5.50%, 7/1/2001 (LOC; Marine Midland Bank) (b)........................ 3,500,000 3,520,300
Judicial Facility Lease, Future Income Growth Security
(Suffolk County Issue) 9%, 10/15/2001................................. 3,880,000 4,390,996
Rensselaer Polytechnic:
6.10%, 7/1/1999 (Insured; FGIC)....................................... 1,500,000 1,581,435
4.90%, 7/1/2004 (Insured; MBIA)....................................... 1,700,000 1,642,183
State University Educational Facilities:
7%, 5/15/2000......................................................... 3,000,000 3,231,570
5.50%, 5/15/2005...................................................... 3,500,000 3,411,275
6.10%, 5/15/2005...................................................... 2,630,000 2,657,878
7.625%, 5/15/2005..................................................... 3,000,000 3,443,010
5.50%, 5/15/2008...................................................... 3,000,000 2,850,960
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1994
PRINCIPAL
MUNICIPAL BONDS (CONTINUED) AMOUNT VALUE
------------- -------------
NEW YORK (CONTINUED)
New York State Environmental Facilities Corp.:
PCR
(State Water Revolving Fund):
7.30%, 6/15/2001.................................................. $ 4,000,000 $ 4,469,760
6.30%, 6/15/2002.................................................. 3,000,000 3,200,280
6.20%, 3/15/2004.................................................. 1,700,000 1,826,259
6.30%, 3/15/2005.................................................. 1,800,000 1,936,728
6.60%, 6/15/2005.................................................. 3,120,000 3,260,088
7.20%, 6/15/2006.................................................. 3,000,000 3,285,390
Special Obligation:
(Riverbank State Park) 7.10%, 4/1/2002................................ 1,130,000 1,232,627
(State Park Infrastructure) 5.75%, 3/15/2008.......................... 2,475,000 2,401,146
New York State Housing Finance Agency:
Revenue:
(Refunding- Health Facilities - New York City) 7.90%,11/1/1999........ 2,250,000 2,527,785
(Suffolk-Help) 8%, 11/1/2001.......................................... 2,665,000 2,875,881
(Urban Rent) 5.90%, 11/1/2003........................................... 4,330,000 4,386,593
New York State Local Government Assistance Corp.:
6.70%, 4/1/2000......................................................... 2,490,000 2,682,104
6.75%, 4/1/2002......................................................... 2,500,000 2,736,400
Zero Coupon, 4/1/2005................................................... 3,865,000 2,086,984
4.80%, 4/1/2005......................................................... 7,500,000 6,925,050
New York State Medical Care Facilities Finance Agency, Revenue:
Hospital and Nursing Home:
(Catholic Medical Center) 7.60%, 8/15/1999 (Insured; FHA)............. 1,000,000 1,113,270
5.875%, 2/15/2008 (Insured; FHA)...................................... 2,215,000 2,206,738
Insured Mortgage (Saint Luke's - Roosevelt Hospital Center):
4.75%, 2/15/2002 (Insured; FHA)....................................... 4,000,000 3,803,640
4.75%, 8/15/2002 (Insured; FHA)....................................... 4,000,000 3,793,560
New York State Mortgage Agency Revenue, (Homeowner Mortgage):
5.85%, 10/1/1999........................................................ 1,075,000 1,099,564
6.05%, 10/1/2000........................................................ 1,150,000 1,184,569
6.15%, 10/1/2001........................................................ 1,225,000 1,261,235
7.25%, 10/1/2007........................................................ 2,450,000 2,518,110
New York State Power Authority,
General Purpose Revenue:
6.50%, 1/1/2004....................................................... 2,735,000 2,950,819
Refunding:
5.90%, 1/1/2002................................................... 3,625,000 3,802,988
6.25%, 1/1/2004................................................... 2,000,000 2,153,680
5%, 1/1/2007...................................................... 4,000,000 3,761,000
New York State Project Finance Agency:
4.75%, 11/1/2004 (Insured; FSA)......................................... 3,000,000 2,782,740
5%, 11/1/2007 (Insured; FSA)............................................ 2,650,000 2,417,118
New York State Thruway Authority:
(Emergency Highway Reconditioning and Preservation)
6%, 1/1/2002.......................................................... 2,000,000 2,108,060
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1994
PRINCIPAL
MUNICIPAL BONDS (CONTINUED) AMOUNT VALUE
------------- -------------
NEW YORK (CONTINUED)
New York State Thruway Authority (continued):
Service Contract Revenue (Local Highway and Bridge):
6.80%, 1/1/2000....................................................... $ 2,420,000 $ 2,590,949
7%, 1/1/2002.......................................................... 5,000,000 5,448,000
New York State Urban Development Corp.:
Project Revenue (Cornell Center for Theory and Simulation Science and
Engineering Grant) 5.90%, 1/1/2007.................................... 2,735,000 2,659,487
Revenue, Refunding (Correctional Facilities):
5.40%, 1/1/2006....................................................... 5,000,000 4,749,300
5.625%, 1/1/2007...................................................... 9,835,000 9,330,465
Niagara Falls:
5.70%, 6/15/2000........................................................ 1,000,000 1,017,210
5.85%, 6/15/2001........................................................ 1,475,000 1,507,317
6%, 6/15/2002........................................................... 1,250,000 1,283,913
Oneida-Herkimer Solid Waste Management Authority, Solid Waste System Revenue
6.60%, 4/1/2004......................................................... 1,150,000 1,205,465
Onondaga County Industrial Development Agency, PCR, Refunding
(Anheuser-Busch Co. Inc. Project) 6.625%, 8/1/2006...................... 4,000,000 4,185,080
Oswego County 6.60%, 6/15/2004.............................................. 1,000,000 1,079,150
Port Authority of New York and New Jersey:
(Consolidated Bonds 79th Series) 5.80%, 7/15/2003....................... 4,620,000 4,842,915
(Consolidated Bonds 73rd Series) 6.75%, 10/15/2006...................... 2,000,000 2,119,740
Rensselaer Industrial Development Agency, IDR (Albany International Corp.)
7.55%, 6/1/2007 (LOC; Norstar Bank) (b)................................. 2,000,000 2,203,920
Suffolk County Industrial Development Agency, IDR (Metavac Inc. Facilities)
7.25%, 12/1/1999 (LOC; Bank of Tokyo) (b)............................... 2,060,000 2,143,821
Suffolk County Water Authority, Waterworks Revenue Refunding
5.10%, 6/1/2004 (Insured; MBIA)......................................... 4,500,000 4,403,520
Syracuse:
COP:
(Syracuse Hancock International Airport):
6.50%, 1/1/2004................................................... 1,045,000 1,109,968
6.60%, 1/1/2005................................................... 1,105,000 1,154,349
6.70%, 1/1/2007................................................... 1,210,000 1,266,483
Public Improvement:
Refunding 4.80%, 2/15/2004............................................ 2,500,000 2,387,625
5.70%, 6/15/2004...................................................... 1,850,000 1,915,730
5.70%, 6/15/2005...................................................... 1,830,000 1,882,064
Triborough Bridge and Tunnel Authority:
(Convention Center Project) 7.25%, 1/1/1999............................. 2,750,000 2,952,070
General Purpose Revenue:
6.80%, 1/1/2002....................................................... 2,815,000 3,075,556
5.625%, 1/1/2004...................................................... 3,100,000 3,165,441
6%, 1/1/2006.......................................................... 3,250,000 3,309,150
Revenue;
6.70%, 1/1/2003....................................................... 3,000,000 3,320,910
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) MAY 31, 1994
PRINCIPAL
MUNICIPAL BONDS (CONTINUED) AMOUNT VALUE
------------- -------------
NEW YORK (CONTINUED)
Ulster County Resource Recovery Agency, Solid Waste System Revenue 5.90%, 3/1/2007 $ 1,235,000 $ 1,192,133
Westchester County Industrial Development Agency, RRR, Refunding
(Resco Company Project) 5.50%, 7/1/2006 ................................ 2,850,000 2,877,417
U.S. RELATED--14.8%
Guam:
4.35%, 11/15/1998....................................................... 2,665,000 2,578,841
5.10%, 11/15/2006....................................................... 4,000,000 3,680,000
Guam Airport Authority, Revenue 6.40%, 10/1/2005............................ 4,000,000 4,129,120
Puerto Rico, Public Improvement Refunding 5.20%, 7/1/2003................... 3,600,000 3,540,996
Puerto Rico Electric Power Authority, Power Revenue 6%, 7/1/2002............ 2,500,000 2,595,875
Puerto Rico Housing Bank and Finance Agency, Subsidy Prepayment Refunding
(Commonwealth Appropriation) 5.125%, 12/1/2004.......................... 5,000,000 4,695,000
Puerto Rico Highway and Transportation Authority, Highway Revenue Refunding:
4.80%, 7/1/2000......................................................... 4,200,000 4,110,708
6.60%, 7/1/2005 (c)..................................................... 5,000,000 4,556,250
Puerto Rico Municipal Finance Agency:
5.70%, 7/1/2003......................................................... 7,810,000 7,941,755
5.80%, 7/1/2004......................................................... 1,875,000 1,908,600
5.875%, 7/1/2007........................................................ 2,670,000 2,670,721
Virgin Islands, Subordinated Special Tax
(Insurance Claims Fund Program, GO Matching Fund) 5.65%, 10/1/2003...... 6,000,000 5,969,820
Virgin Islands Port Authority, Airport Revenue (Cyril E. King Airport
Project):
7.875%, 10/1/1997....................................................... 1,895,000 1,995,340
8.10%, 10/1/2005........................................................ 1,175,000 1,305,308
Virgin Islands Public Finance Authority, Revenue, Refunding
Matching Fund Loan Notes:
6.80%, 10/1/2000...................................................... 1,500,000 1,526,670
6.90%, 10/1/2001...................................................... 1,000,000 1,018,570
Virgin Islands Water and Power Authority, Electric System Revenue
6.90%, 7/1/1996......................................................... 2,595,000 2,716,031
-------------
TOTAL MUNICIPAL BONDS
(cost $375,675,487)..................................................... $382,153,443
=============
SHORT-TERM MUNICIPAL INVESTMENT--.7%
NEW YORK;
New York City, VRDN 2.95%
(cost $2,600,000)(d).................................................... $ 2,600,000 $ 2,600,000
=============
TOTAL INVESTMENTS--100.0%
(cost $378,275,487)..................................................... $384,753,443
=============
</TABLE>
<TABLE>
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
SUMMARY OF ABBREVIATIONS
<S> <C> <C> <C>
AMBAC American Municipal Bond Assurance Corporation LOC Letter of Credit
COP Certificate of Participation LR Lease Revenue
FGIC Financial Guaranty Insurance Corporation MBIA Municipal Bond Insurance Association
FHA Federal Housing Administration MFHR Multi-Family Housing Revenue
FSA Financial Security Assurance PCR Pollution Control Revenue
GO General Obligation RRR Resources Recovery Revenue
IDR Industrial Development Revenue VDRN Variable Rate Demand Notes
</TABLE>
<TABLE>
SUMMARY OF COMBINED RATINGS (UNAUDITED)
FITCH (E) OR MOODY'S OR STANDARD & POOR'S PERCENTAGE OF VALUE
- --------- --------- --------------------- ----------------------
<S> <C> <C> <C>
AAA Aaa AAA 15.7%
AA Aa AA 18.2
A A A 29.0
BBB Baa BBB 32.3
F1 MIG1/P1 SP1/A1 .7
Not Rated Not Rated Not Rated 4.1
--------
100.0%
======
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS:
(a) The interest rate, which is subject to change, is based upon bank
prime rates or an index of market interest rates.
(b) Secured by letters of credit.
(c) Residual interest security- the interest rate is subject to change
periodically.
(d) 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.
(e) Fitch currently provides creditworthiness information for a limited
number of investments.
(f) At May 31, 1994, the Fund had $102,317,828 (26.1%) of net assets
invested in securities whose payment of principal and interest is
dependent upon revenues generated from transportation projects.
See notes to financial statements.
<TABLE>
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
STATEMENT OF ASSETS AND LIABILITIES MAY 31, 1994
<S> <C> <C>
ASSETS:
Investments in securities, at value
(cost $378,275,487)_see statement..................................... $384,753,443
Cash.................................................................... 341,986
Interest receivable..................................................... 7,439,729
Prepaid expenses........................................................ 14,686
-------------
392,549,844
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $ 281,311
Accrued expenses........................................................ 125,467 406,778
----------- -------------
NET ASSETS ................................................................ $392,143,066
=============
REPRESENTED BY:
Paid-in capital......................................................... $386,536,154
Accumulated net realized (loss) on investments.......................... (871,044)
Accumulated net unrealized appreciation on investments-Note 3........... 6,477,956
-------------
NET ASSETS at value applicable to 22,146,288 shares outstanding
(unlimited number of $.001 par value shares of Beneficial
Interest authorized).................................................... $392,143,066
=============
NET ASSET VALUE, offering and redemption price per share
($392,143,066 / 22,146,288 shares)...................................... $17.71
======
</TABLE>
<TABLE>
STATEMENT OF OPERATIONS YEAR ENDED MAY 31, 1994
<S> <C> <C>
INVESTMENT INCOME:
INTEREST INCOME......................................................... $ 22,271,250
EXPENSES:
Management fee_-Note 2(a)............................................. $ 2,342,046
Shareholder servicing costs_Note 2(b)................................. 1,236,808
Professional fees..................................................... 53,641
Custodian fees........................................................ 41,898
Prospectus and shareholders' reports_Note 2(b)........................ 34,106
Registration fees..................................................... 29,327
Trustees' fees and expenses_Note 2(c)................................. 16,735
Miscellaneous......................................................... 33,647
-----------
3,788,208
Less--reduction in management fee due to undertakings_Note 2(a)....... 303,115
-----------
TOTAL EXPENSES.................................................... 3,485,093
-------------
INVESTMENT INCOME--NET............................................ 18,786,157
REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS:
Net realized (loss) on investments--Note 3.............................. $ (869,593)
Net unrealized (depreciation) on investments............................ (9,167,410)
-----------
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS................. (10,037,003)
-------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $ 8,749,154
=============
See notes to financial statements.
</TABLE>
<TABLE>
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED MAY 31,
---------------------------------
1993 1994
------------- --------------
<S> <C> <C>
OPERATIONS:
Investment income--net............................................... $ 12,327,721 $ 18,786,157
Net realized gain (loss) on investments.............................. 1,562,756 (869,593)
Net unrealized appreciation (depreciation) on investments for the year 9,793,046 (9,167,410)
------------- --------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............... 23,683,523 8,749,154
------------- --------------
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income--net............................................... (12,249,380) (18,916,493)
Net realized gain on investments..................................... (1,361,992) (703,348)
------------- --------------
TOTAL DIVIDENDS.................................................... (13,611,372) (19,619,841)
------------- --------------
BENEFICIAL INTEREST TRANSACTIONS:
Net proceeds from shares sold........................................ 221,713,611 283,126,747
Dividends reinvested................................................. 11,520,173 16,448,017
Cost of shares redeemed.............................................. (99,002,497) (214,699,800)
------------- --------------
INCREASE IN NET ASSETS FROM BENEFICIAL INTEREST TRANSACTIONS....... 134,231,287 84,874,964
------------- --------------
TOTAL INCREASE IN NET ASSETS................................... 144,303,438 74,004,277
NET ASSETS:
Beginning of year.................................................... 173,835,351 318,138,789
------------- --------------
End of year (including undistributed investment income-net of
$130,336 at May 31, 1993).......................................... $318,138,789 $ 392,143,066
============= ==============
SHARES SHARES
------------- --------------
CAPITAL SHARE TRANSACTIONS:
Shares sold.......................................................... 12,439,795 15,416,722
Shares issued for dividends reinvested............................... 648,502 898,331
Shares redeemed...................................................... (5,562,573) (11,789,202)
------------- --------------
NET INCREASE IN SHARES OUTSTANDING................................. 7,525,724 4,525,851
============= ==============
See notes to financial statements.
</TABLE>
<TABLE>
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE 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 year indicated. This
information has been derived from the Fund's financial statements.
YEAR ENDED MAY 31,
-----------------------------------------------------------
PER SHARE DATA: 1990 1991 1992 1993 1994
------ ------ ------ ------- ------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of year........... $16.53 $16.41 $16.73 $17.22 $18.06
------ ------ ------ ------- ------
INVESTMENT OPERATIONS:
Investment income--net....................... 1.11 1.07 1.01 .94 .88
Net realized and unrealized gain (loss) on investments (.12) .38 .57 .94 (.31)
------ ------ ------ ------- ------
TOTAL FROM INVESTMENT OPERATIONS........... .99 1.45 1.58 1.88 .57
------ ------ ------ ------- ------
DISTRIBUTIONS:
Dividends from investment income--net........ (1.11) (1.07) (1.01) (.93) (.89)
Dividends from net realized gain on investments --- (.06) (.08) (.11) (.03)
------ ------ ------ ------- ------
TOTAL DISTRIBUTIONS........................ (1.11) (1.13) (1.09) (1.04) (.92)
------ ------ ------ ------- ------
Net asset value, end of year................. $16.41 $16.73 $17.22 $18.06 $17.71
====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN.......................... 6.19% 9.13% 9.72% 11.22% 3.11%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets...... .30% .60% .85% .85% .89%
Ratio of net investment income to average net assets 6.75% 6.48% 5.95% 5.25% 4.81%
Decrease reflected in above expense ratios due
to undertakings by the Manager............. .84% .44% .18% .15% .08%
Portfolio Turnover Rate...................... 37.97% 56.43% 28.51% 17.05% 20.19%
Net Assets, end of year (000's Omitted)...... $93,572 $112,868 $173,835 $318,139 $392,143
</TABLE>
See notes to financial statements.
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
NOTES TO FINANCIAL STATEMENTS
NOTE 1--SIGNIFICANT ACCOUNTING POLICIES:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a non-diversified open-end management investment company. Dreyfus Service
Corporation ("Distributor") acts as the distributor of the Fund's shares,
which are sold to the public without a sales load. The Distributor is a
wholly-owned subsidiary of The Dreyfus Corporation ("Manager").
(A) PORTFOLIO VALUATION: The Fund's investments 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.
(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, when appropriate,
discounts on investments, is earned from settlement date and recognized on
the accrual basis. Securities purchased or sold on a when-issued or
delayed-delivery basis may be settled a month or more after the trade date.
The Fund follows an investment policy of investing primarily in municipal
obligations of one state. Economic changes affecting the state and certain of
its public bodies and municipalities may affect the ability of issuers within
the state to pay interest on, or repay principal of, municipal obligations
held by the Fund.
(C) DIVIDENDS TO SHAREHOLDERS: It is the policy of the Fund to declare
dividends daily from investment income-net. Such dividends are paid monthly.
Dividends from net realized capital gain are normally declared and paid
annually, but the Fund may make distributions on a more frequent basis to
comply with the distribution requirements of the Internal Revenue Code. To
the extent that net realized capital gain can be offset by capital loss
carryovers, 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 taxes.
The Fund has an unused capital loss carryover of approximately $40,000
available for Federal income tax purposes to be applied against future net
securities profits, if any realized subsequent to May 31,1994. The carryover
does not include net realized securities losses from November 1, 1993 through
May 31, 1994 which are treated, for Federal income tax purposes, as arising
in fiscal 1995. If not applied, the carryover expires in fiscal 2002.
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 .60 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
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
Fund's aggregate expenses, exclusive of taxes, brokerage, interest on
borrowings and extraordinary expenses, exceed 11/2% of the average value of
the Fund's net assets for any full fiscal year. However, the Manager had
undertaken from June 1, 1993 through January 11, 1994 to reduce the
management fee paid, or reimburse such excess expenses of the Fund, to the
extent that the Fund's aggregate expenses (excluding certain expenses as
described above) exceeded an annual rate of .85 of 1% of the Fund's average
daily net assets and thereafter had undertaken through January 24, 1994 to
reduce the management fee paid by, and reimburse such excess expenses of 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 reduction in management fee, pursuant to
the undertakings, amounted to $303,115 for the year ended May 31, 1994.
(B) The Fund has adopted a Service Plan (the "Plan") pursuant to which
the Fund pays the Distributor, at an annual rate of .25 of 1% of the value of
the Fund's average daily net assets, for costs and expenses in connection
with advertising, marketing and distributing the Fund's shares and for
servicing shareholder accounts. The Distributor may make payments to one or
more Service Agents (a securities dealer, financial institution, or other
industry professional) based on the value of the Fund's shares owned by
clients of the Service Agent. The Plan also separately provides for the Fund
to bear the costs of preparing, printing and distributing certain of the
Fund's prospectuses and statements of additional information and costs
associated with implementing and operating the Plan, not to exceed the
greater of $100,000 or .005 of 1% of the Fund's average daily net assets for
any full fiscal year. During the year ended May 31, 1994, $983,382 was
chargeable to the Fund pursuant to the Plan.
(C) Certain officers and trustees of the Fund are "affiliated persons,"
as defined in the Act, of the Manager and/or the Distributor. Each trustee
who is not an "affiliated person" receives an annual fee of $2,500 and an
attendance fee of $250 per meeting.
(D) On December 5, 1993, the Manager entered into an Agreement and Plan
of Merger (the "Merger Agreement") providing for the merger of the Manager
with a subsidiary of Mellon Bank Corporation ("Mellon").
Following the merger, it is planned that the Manager will be a direct
subsidiary of Mellon Bank, N.A. Closing of this merger is subject to a number
of contingencies, including receipt of certain regulatory approvals and
approvals of stockholders of the Manager and of Mellon. The merger is
expected to occur in August 1994, but could occur later.
As a result of regulatory requirements and the terms of the Merger
Agreement, the Manager will seek various approvals from the Fund's
shareholders before completion of the merger. Proxy materials, approved by
the Fund's Board, recently have been mailed to Fund shareholders.
NOTE 3--SECURITIES TRANSACTIONS:
Purchases and sales of securities amounted to $288,735,590 and
$216,056,445, respectively, for the year ended May 31, 1994, and consisted
entirely of municipal bonds and short-term municipal investments.
At May 31, 1994, accumulated net unrealized appreciation on investments
was $6,477,956, consisting of $12,478,929 gross unrealized appreciation and
$6,000,973 gross unrealized depreciation.
At May 31, 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 NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
REPORT OF ERNST & YOUNG, INDEPENDENT AUDITORS
SHAREHOLDERS AND BOARD OF TRUSTEES
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
We have audited the accompanying statement of assets and liabilities of
Dreyfus New York Tax Exempt Intermediate Bond Fund, including the statement
of investments, as of May 31, 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 May 31, 1994 by correspondence with the custodian. 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 New York Tax Exempt Intermediate Bond Fund at May 31,
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 Signature Logo)
New York, New York
June 27, 1994
DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND
IMPORTANT TAX INFORMATION (UNAUDITED)
In accordance with Federal tax law, the Fund hereby makes the following
designations regarding its fiscal year ended May 31, 1994:
_ all the dividends paid from investment income-net are "exempt-interest
dividends" (not subject to regular Federal and, for individuals who are New
York residents, New York State and New York City personal income taxes), and
_ the portion of the $.0320 per share paid by the Fund on December 9,
1993 representing a long-term capital gain distribution is $.0168 per share.
As required by Federal tax law rules, shareholders will receive
notification of their portion of the Fund's taxable ordinary dividends (if
any) and capital gain distributions (if any) paid for the 1994 calendar year
on Form 1099-DIV which will be mailed by January 31, 1995.
(Dreyfus Logo)
New York
Tax Exempt
Intermediate
Bond Fund
Annual Report
May 31, 1994
(Dreyfus Lion Logo)
(Dreyfus `D' Logo)
DREYFUS NEW YORK TAX EXEMPT
INTERMEDIATE BOND FUND
144 Glenn Curtiss Boulevard
Uniondale, NY 11556
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
DISTRIBUTOR
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
110 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. 705AR945
Registration Mark
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT
IN DREYFUS NEW YORK TAX EXEMPT INTERMEDIATE BOND FUND AND
THE LEHMAN BROTHERS 10-YEAR MUNICIPAL BOND INDEX
EXHIBIT A:
__________________________________________________________________
| | | DREYFUS NEW YORK |
| | LEHMAN BROTHERS | TAX EXEMPT |
| PERIOD | 10-YEAR MUNICIPAL | INTERMEDIATE |
| | BOND INDEX * | BOND FUND |
|---------------- | ------------------- | ------------------------|
| 6/12/87 | 10,000 | 10,000 |
| 5/31/88 | 10,841 | 10,450 |
| 5/31/89 | 11,905 | 11,415 |
| 5/31/90 | 12,781 | 12,121 |
| 5/31/91 | 14,109 | 13,229 |
| 5/31/92 | 15,421 | 14,515 |
| 5/31/93 | 17,321 | 16,143 |
| 5/31/94 | 17,915 | 16,646 |
|-----------------------------------------------------------------|
*Source: Lehman Brothers
Average Annual Total Return
------------------------------------------------------------------
One Year Ended Five Years Ended From Inception (6/12/87)
May 31, 1994 May 31, 1994 to May 31, 1994
---------------- ------------------- ------------------------
3.11% 7.84% 7.59%
inset exhibit a
