Dreyfus New York Tax Exempt Money Market Fund
ANNUAL REPORT
May 31, 1999
<PAGE>
The views expressed herein are current to the date of this report. These
views and the composition of the fund's portfolio are subject to change at
any time based on market and other conditions.
* Not FDIC-Insured
* Not Bank-Guaranteed
* May Lose Value
Year 2000 Issues (Unaudited)
The fund could be adversely affected if the computer systems used by The
Dreyfus Corporation and the fund's other service providers do not properly
process and calculate date-related information from and after January 1,
2000. The Dreyfus Corporation is working to avoid Year 2000-related problems
in its systems and to obtain assurances from other service providers that
they are taking similar steps. In addition, issuers of securities in which
the fund invests may be adversely affected by Year 2000-related problems.
This could have an impact on the value of the fund's investments and its
share price.
<PAGE>
Contents
THE FUND
- ----------------
2 Letter from the President
3 Discussion of Fund Performance
6 Statement of Investments
10 Statement of Assets and Liabilities
11 Statement of Operations
12 Statement of Changes in Net Assets
13 Financial Highlights
14 Notes to Financial Statements
17 Report of Independent Auditors
18 Important Tax Information
FOR MORE INFORMATION
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Back Cover
<PAGE>
Dreyfus New York
Tax Exempt Money Market Fund
The Fund
LETTER FROM THE PRESIDENT
- -------------------------
Dear Shareholder:
We are pleased to present this annual report for Dreyfus New York Tax Exempt
Money Market Fund, covering the 12-month period from June 1, 1998 through May
31, 1999. Inside, you'll find valuable information about how the fund was
managed during the reporting period, including a discussion with the fund's
portfolio manager, Karen Hand.
Yields on both taxable and tax-exempt money market securities remained
relatively stable during much of the spring and summer of 1998. In the fall
of 1998, however, money market yields declined significantly in the wake of
the Federal Reserve Board's decision to ease monetary policy. At the time,
the Federal Reserve was concerned about persistent economic weakness abroad.
Their adoption of lower short-term interest rates was intended to stimulate
not just domestic economic growth, but the economies of other nations as
well. In light of stronger-than-expected global economic growth during the
first five months of 1999, the Fed's strategy appears to have been effective.
Despite lower nominal interest rates for tax-exempt money market instruments,
very low inflation has continued to support attractive real returns, which
are nominal yields less the rate of inflation.
We appreciate your confidence over the past year, and we look forward to your
continued participation in Dreyfus New York Tax Exempt Money Market Fund.
Sincerely,
/s/ Stephen E. Canter
Stephen E. Canter
President and Chief Investment Officer
The Dreyfus Corporation
June 14, 1999
2
<PAGE>
Discussion of Fund Performance
- ------------------------------
Karen Hand, Portfolio Manager
How did Dreyfus New York Tax Exempt Money Market Fund perform over the
reporting period?
For the one-year period ended May 31, 1999, Dreyfus New York Tax Exempt Money
Market Fund produced a tax-exempt yield of 2.51%. After taking into account
the effect of compounding, the fund provided an effective yield of 2.54%.1
The fund provided a total return of 2.54%,2 compared to the Lipper New York
Tax-Exempt Money Market Funds category average total return of 2.65% for the
same time period.3
What is the fund's investment approach?
Our goal is to seek a high level of federal, and New York state and city tax-
exempt income while maintaining a stable $1.00 share price. We also are
especially vigilant in our efforts to preserve capital.
In pursuit of these objectives, we employ two primary strategies. First, we
attempt to add value by constructing a diverse portfolio of high-quality,
tax-exempt money market instruments from New York issuers. Second, we
actively manage the portfolio's average maturity in anticipation of interest
rate trends and supply-and-demand changes in New York's short-term municipal
marketplace.
For example, if we expect supply to increase temporarily when many
municipalities issue short-term debt at once -- as they tend to in June and
July, for example -- we may reduce the portfolio's average maturity to make
cash available for the purchase of higher-yielding securities. That's because
yields tend to rise if many issuers are competing for investor interest. If
we expect demand to surge at a time when we anticipate little issuance and,
therefore, lower yields -- as often happens in January -- we may increase the
portfolio's average maturity to maintain current yields for as long as
practical. At other times, we try
The Fund 3
<PAGE>
DISCUSSION OF FUND PERFORMANCE (continued)
to maintain an average maturity that reflects our view of short-term interest
rate trends.
What other factors influenced the fund's performance?
Although the fund, by definition, primarily contains securities from New York
issuers, the entire U.S. fixed-income marketplace was influenced during the
reporting period by economic events overseas. When the Asian currency and
credit crisis threatened Latin America last summer and fall, the Federal
Reserve Board and other central banks reduced key short-term interest rates.
This move was intended to help boost economic activity by making borrowing
less expensive for corporations. An additional consequence was lower yields
on money market securities.
Despite economic weakness in some overseas markets, the U.S. and New York
economies remained strong. Because municipalities have enjoyed higher tax
revenues during this period of economic prosperity, many have had less need
to borrow. As a result, fewer tax-exempt money market securities were issued
in New York than in the same 12-month period one year ago. Yet, demand from
investors seeking to minimize their income tax liabilities remained high.
This imbalance helped push short-term tax-exempt yields down further during
the second half of 1998. Tax-exempt yields have remained relatively stable so
far in 1999.
What is the fund's current strategy?
We have continued to focus on high-quality money market instruments from a
wide array of New York issuers. Some of the most frequently used instruments
include Variable Rate Demand Notes (VRDNs), which are issued by investment
banks through the securitization of longer term municipal bonds. With a put
feature of either one or seven days attached to each VRDN, we believe that
VRDNs
4
<PAGE>
afford a high degree of liquidity as well as high quality to the portfolio.
Accordingly, as of May 31, 1999, approximately 46% of the portfolio was composed
of VRDNs. The remaining 54% was comprised of municipal notes as well as
non-rated short-term debt from New York counties and school districts that have
been deemed equivalent to the highest credit agency ratings by Dreyfus credit
analysts.
June 14, 1999
1 Effective yield is based upon dividends declared daily and reinvested
monthly. Past performance is no guarantee of future results. Yields
fluctuate. An investment in the fund is not insured or guaranteed by the
FDIC or any other government agency. Although the fund seeks to preserve
the value of your investment at $1.00 per share, it is possible to lose
money by investing in the fund.
2 Total return includes reinvestment of dividends. Income may be subject to
state and local taxes for non-New York residents, and some income may be
subject to the Federal Alternative Minimum Tax (AMT) for certain
shareholders.
3 Source: Lipper Analytical Services, Inc.
The Fund 5
<PAGE>
STATEMENT OF INVESTMENTS
May 31, 1999
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------
Principal
Tax Exempt Investments--98.4% Amount ($) Value ($)
- -----------------------------------------------------------------------------------------
<S> <C> <C>
New York--96.5%
Buffalo, RAN 3.75%, Series A, 7/27/1999
(LOC; Landesbank Hessen) 4,000,000 4,004,537
Erie County, RAN 4%, 10/31/1999 (LOC; The Bank of New York) 5,000,000 5,017,818
Long Island Power Authority, Electric Systems Revenue, CP
2.80%, 8/12/1999 (LOC: Bayerische Landesbank and
Westdeutsche Landesbank) 5,000,000 5,000,000
Metropolitan Transportation Authority, Transportation
Facility Revenue, CP:
3%, Series 1, 7/9/1999 (LOC; ABN-Amro Bank) 10,000,000 10,000,000
2.65%, Series 1, 7/14/1999 (LOC; ABN-Amro Bank) 13,000,000 13,000,000
3.05%, Series 1, 7/20/1999 (LOC; ABN-Amro Bank) 8,000,000 8,000,000
Monroe County Industrial Development Agency, Revenue,
VRDN (Enbi Corp.)
3.70% (LOC; Rabobank Nederland) a 4,700,000 4,700,000
New York City, VRDN:
3.30%, Series B (Insured; MBIA and LOC; Bank of Austria) a 2,100,000 2,100,000
3.30%, Series B-4 (Insured; MBIA and LOC; Credit Agricole
de Indosuez) a 5,000,000 5,000,000
3.40%, Sub-Series E-2 (LOC; Morgan Guaranty Trust Co.) a 2,600,000 2,600,000
New York City Health and Hospital Corporation, Health Systems
Revenue, VRDN
3.05%, Series B (LOC; Canadian Imperial Bank of
Commerce)a 7,800,000 7,800,000
New York City Housing Development Corporation, MFMR, VRDN
(York Avenue Development Project)
4% (LOC; Midland Bank)a 7,000,000 7,000,000
New York City Industrial Development Agency, VRDN:
Civil Facility Revenue (Mercy College Project)
3.10% (LOC; The Bank of New York)a 1,600,000 1,600,000
IDR (Stroheim & Roman Inc. Project)
3.10% (LOC; Westdeutsche Landesbank)a 5,700,000 5,700,000
New York City Municipal Water Finance Authority, Water and
Sewer Systems Revenue:
CP 3.15%, 8/9/1999 (LOC: Bank of Nova Scotia,
Commerzbank and Toronto-Dominion Bank) 15,000,000 15,000,000
VRDN:
3.30%, Series C (Liquidity Facility and Insured; FGIC) a 4,000,000 4,000,000
3.30%, Series G (Liquidity Facility and Insured; FGIC) a 4,500,000 4,500,000
New York City Transitional Finance Authority, Revenue
2.90%, Sub-series B-1, 11/1/1999
(LOC; Morgan Guaranty Trust Co.) 15,000,000 15,000,000
</TABLE>
6
<PAGE>
STATEMENT OF INVESTMENTS (continued)
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------
Principal
Tax Exempt Investments (continued) Amount ($) Value ($)
- -----------------------------------------------------------------------------------------
<S> <C> <C>
New York (continued)
New York City Trust, Cultural Resource Revenue, Refunding,
VRDN (American Museum of Natural History)
3%, Series A (Insured; MBIA and BPA; Credit Suisse) a 5,765,000 5,765,000
State of New York, CP 2.65%, 7/16/1999
(LOC; Westdeutsche Landesbank) 20,000,000 20,000,000
New York State Dormitory Authority, LR, Refunding
(State University Dormitory Facilities)
5%, Series A, 7/1/1999 (Insured; AMBAC) 7,385,000 7,392,841
New York State Energy Research and Development Authority,
PCR, VRDN:
(Central Hudson Gas and Electric Co. Project)
3.20%, Series A (LOC; Union Bank of Switzerland) a 2,600,000 2,600,000
(Niagara Mohawk Power Corp.)
3.40%, Series B (LOC; Toronto-Dominion Bank) a 5,400,000 5,400,000
New York State Environmental Facilities Corporation,
RRR, VRDN (Equity Huntington Project)
3.35% (LOC: Union Bank of Switzerland) a 1,300,000 1,300,000
New York State Environmental Quality 3%, Series G,
12/8/1999 (LOC; Westdeutsche Landesbank) 7,000,000 7,000,000
New York State Housing Finance Agency, Contract Obligation,
VRDN 3.05%, Series A (LOC; Commerzbank) a 11,000,000 11,000,000
New York State Local Government Assistance Corporation,
VRDN:
3%, Series A (LOC: Bayerische Landesbank and
Westdeutsche Landesbank) a 37,600,000 37,600,000
3%, Series B (LOC; Krediet Bank) a 4,900,000 4,900,000
3%, Series F (LOC; Toronto-Dominion Bank) a 9,800,000 9,800,000
New York State Medical Care Facilities Finance Agency,
Revenue, VRDN
(Pooled Equipment Loan Program) 3%, Series 1
(LOC; Chase Manhattan Bank) a 2,200,000 2,200,000
New York State Power Authority, Revenue, CP
3%, 7/8/1999 (LOC: Bank of Nova Scotia, Commerzbank,
Credit Locale de France, Landeshessen-Thuringen,
Morgan Guaranty Trust Co. and Toronto-Dominion Bank) 5,000,000 5,000,000
Oyster Bay, RAN 3.25%, Series A, 11/30/1999 10,000,000 10,012,113
Port Authority of New York and New Jersey,
Special Obligation Revenue, VRDN
(Versatile Structure) 3.30%, Series 6
(LOC; Bank of Nova Scotia) a 8,100,000 8,100,000
</TABLE>
The Fund 7
<PAGE>
STATEMENT OF INVESTMENTS (continued)
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------
Principal
Tax Exempt Investments (continued) Amount ($) Value ($)
- -----------------------------------------------------------------------------------------
<S> <C> <C>
New York (continued)
Sachem Central School District, TAN (Holbrook) 4%, 6/25/1999 7,500,000 7,501,572
Three Village Central School District, TAN (Brookhaven and
Smithtown) 3.90%, 6/30/1999 8,000,000 8,001,836
Westchester County, TAN 2.83%, Series 1, 12/30/1999 12,000,000 12,000,661
U.S. Related--1.9%
Commonwealth of Puerto Rico, TRAN 3.50%, Series A,
7/30/1999 5,500,000 5,505,702
Total Investments (cost $291,102,080) 98.4% 291,102,080
Cash and Receivables (Net) 1.6% 4,688,025
Net Assets 100.0% 295,790,105
</TABLE>
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------
Summary of Abbreviations
<S> <C> <C> <C>
AMBAC American Municipal Bond MBIA Municipal Bond Investors
Assurance Corporation Assurance Insurance
BPA Bond Purchase Agreement Corporation
CP Commercial Paper MFMR Multi-Family Mortgage Revenue
FGIC Federal Guaranty Investment Contract PCR Pollution Revenue
IDR Industrial Development Revenue RAN Revenue Anticipation Notes
LR Lease Revenue RRR Resources Recovery Revenue
LOC Letter of Credit TAN Tax Anticipation Notes
TRAN Tax Revenue Anticipation Notes
VRDN Variable Rate Demand Notes
</TABLE>
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------
Summary of Combined Ratings (Unaudited)
Fitch or Moody's or Standard & Poor's Value (%)
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C>
F1+/F1 VMIG1/MIG1,P1 SP1+/SP1,A1+/A1 94.0
AAA/AAA (b) Aaa/Aa,A1 (b) AAA/AA (b) 2.5
Not Rated (c) Not Rated (c) Not Rated (c) 3.5
100.0
<FN>
a Securities payable on demand. Variable interest rate--subject to change.
b Notes which are not F, MIG or SP rated are represented by bond ratings of
the issuers.
c Securities which, while not rated by Fitch, Moody's and Standard & Poor's
have been determined by the Manager to be of comparable quality to those
rated securities in which the fund may invest.
</FN>
</TABLE>
See notes to financial statements.
8
<PAGE>
STATEMENT OF ASSESTS AND LIABILITIES
May 31, 1999
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------
Cost Value
- -----------------------------------------------------------------------------------------
<S> <C> <C>
Assets ($):
Investments in securities--See Statement of Investments 291,102,080 291,102,080
Cash 2,565,034
Interest receivable 2,293,267
Prepaid expenses and other assets 22,934
295,983,315
- -----------------------------------------------------------------------------------------
Liabilities ($):
Due to The Dreyfus Corporation and affiliates 152,211
Accrued expenses and other liabilities 40,999
193,210
- -----------------------------------------------------------------------------------------
Net Assets ($) 295,790,105
- -----------------------------------------------------------------------------------------
Composition of Net Assets ($):
Paid-in capital 295,854,008
Accumulated net realized gain (loss) on investments (63,903)
- -----------------------------------------------------------------------------------------
Net Assets ($) 295,790,105
- -----------------------------------------------------------------------------------------
Shares Outstanding
(unlimited number of $.001 par value shares of
Beneficial Interest authorized) 295,854,008
Net Asset Value, offering and redemption price per share ($) 1.00
</TABLE>
See nots to financial statements.
The Fund 9
<PAGE>
STATEMENT OF OPERATIONS
Year Ended May 31, 1999
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------
Investment Income ($)
- -----------------------------------------------------------------------------------------
<S> <C>
Interest Income 9,307,826
Expenses:
Management fee--Note 2(a) 1,476,899
Shareholder servicing costs--Note 2(b) 319,106
Custodian fees 30,806
Professional fees 28,485
Trustees' fees and expenses--Note 2(c) 23,273
Registration fees 13,594
Prospectus and shareholders' reports 9,657
Miscellaneous 7,694
Total Expenses 1,909,514
Investment Income--Net 7,398,312
- -----------------------------------------------------------------------------------------
Realized Gain (Loss) on Investments--Note 1(b) ($): (1,432)
Net Increase in Net Assets Resulting From Operations 7,396,880
</TABLE>
See notes to financial statements.
10
<PAGE>
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------
Year Ended May 31,
-------------------
1999 1998
- -------------------------------------------------------------------------------------------
<S> <C> <C>
Operations ($):
Investment income--net 7,398,312 8,620,715
Net realized gain (loss) on investments (1,432) (4,789)
Net Increase (Decrease) in Net Assets
Resulting from Operations 7,396,880 8,615,926
- -------------------------------------------------------------------------------------------
Dividends to Shareholders From ($):
Investment income--net (7,398,312) (8,620,715)
- -------------------------------------------------------------------------------------------
Capital Stock Transactions ($):
Net proceeds from shares sold 388,327,235 357,550,281
Dividends reinvested 6,959,328 8,147,298
Cost of shares redeemed (380,768,904) (375,947,667)
Increase (Decrease) in Net Assets from
Capital Stock Transactions 14,517,659 (10,250,088)
Total Increase (Decrease) in Net Assets 14,516,227 (10,254,877)
- -------------------------------------------------------------------------------------------
Net Assets ($):
Beginning of Period 281,273,878 291,528,755
End of Period 295,790,105 281,273,878
</TABLE>
See notes to financial statements.
The Fund 11
<PAGE>
FINANCIAL HIGHLIGHTS
The following table describes the performance for the fiscal 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 derived from the fund's
financial statements.
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------
Year Ended May 31,
----------------------------------------------
1999 1998 1997 1996 1995
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Per Share Data ($):
Net asset value, beginning
of period 1.00 1.00 1.00 1.00 1.00
Investment Operations:
Investment income--net .025 .029 .028 .030 .027
Distributions:
Dividends from investment
income--net (.025) (.029) (.028) (.030) (.027)
Net asset value, end of period 1.00 1.00 1.00 1.00 1.00
- -----------------------------------------------------------------------------------------
Total Return (%) 2.54 2.97 2.83 3.05 2.76
- -----------------------------------------------------------------------------------------
Ratios/Supplemental Data (%):
Ratio of expenses to
average net assets .65 .67 .68 .64 .68
Ratio of net investment income
to average net assets 2.50 2.93 2.79 3.00 2.71
- -----------------------------------------------------------------------------------------
Net Assets, end of period
($ x 1,000) 295,790 281,274 291,529 298,768 317,840
</TABLE>
See notes to financial statements.
12
<PAGE>
NOTES TO FINANCUAL STATEMENTS
NOTE 1--Significant Accounting Policies:
Dreyfus New York Tax Exempt Money Market Fund (the "fund") is registered
under the Investment Company Act of 1940, as amended (the "Act"), as a non-
diversified open-end management investment company. The Fund's investment
objective is to provide investors with as high a level of current income
exempt from Federal, New York State and New York City income taxes as is
consistent with the preservation of capital and the maintenance of liquidity.
The Dreyfus Corporation (the "Manager") serves as the fund's investment
adviser. The Manager is a direct subsidiary of Mellon Bank, N.A. Premier
Mutual Fund Services, Inc. is the distributor of the fund's shares, which are
sold to the public without a sales charge.
It is the fund's policy to maintain a continuous net asset value per share of
$1.00; the fund has adopted certain investment, portfolio valuation and
dividend and distribution policies to enable it to do so. There is no
assurance, however, that the fund will be able to maintain a stable net asset
value per share of $1.00.
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 are valued at amortized
cost, which has been determined by the fund's Board of Trustees to represent
the fair value of the fund's investments.
(b) Securities transactions and investment income: Securities transactions
are recorded on a trade date 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. Realized
gain and loss from securities transactions are recorded on the identified
cost basis. Cost of investments represents amortized cost. Under the terms of
the custody agreement, the fund received net earnings credits of $20,958
during the period ended May 31, 1999 based
The Fund 13
<PAGE>
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 of
1986, as amended (the "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 Code, and to make
distributions of income and net realized capital gain sufficient to relieve
it from substantially all Federal income and excise taxes.
The fund has an unused capital loss carryover of approximately $47,000
available for Federal income tax purposes to be applied against future net
securities profits, if any, realized subsequent to May 31, 1999. The
carryover does not include net realized securities losses from November 1,
1998 through May 31, 1999, which are treated for Federal income tax purposes
as arising in fiscal 2000. If not applied, $2,000 of the carryover expires in
fiscal 2002, $27,000 expires in fiscal 2003, $7,000 expires in fiscal 2004,
$3,000 expires in fiscal 2005, $4,000 expires in fiscal 2006 and $4,000
expires in fiscal 2007.
At May 31, 1999, 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).
14
<PAGE>
NOTES TO FINAANCIAL 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 value of
the fund's average daily net assets and is payable monthly. The Agreement
provides that if in any full fiscal year the aggregate expenses of the fund,
exclusive of taxes, brokerage, interest on borrowings and extraordinary
expenses, exceed 11/2% of the value of the fund's average net assets the fund
may deduct from the payments to be made to the Manager, or the Manager will
bear such excess expense. During the period ended May 31, 1999, there was no
expense reimbursement pursuant to the Agreement.
(b) Under the Shareholder Services Plan, the fund reimburses Dreyfus Service
Corporation, a wholly-owned subsidiary of the Manager, an amount not to
exceed an annual rate of .25 of 1% of the value of the fund's average daily
net assets for certain allocated expenses of providing personal services
and/or maintaining 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 period ended May 31, 1999, the fund was charged $165,861 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 May 31, 1999, the fund was charged $102,042 pursuant to the
transfer agency agreement.
(c) Each trustee who is not an "affiliated person" as defined in the Act
receives from the fund an annual fee of $1,500 and an attendance fee of $250
per meeting. The Chairman of the Board receives an additional 25% of such
compensation.
The Fund 15
<PAGE>
REPORT OF INDEPENDENT AUDITORS
Shareholders and Board of Trustees
Dreyfus New York Tax Exempt Money Market Fund
We have audited the accompanying statement of assets and liabilities of
Dreyfus New York Tax Exempt Money Market Fund, including the statement of
investments, as of May 31, 1999, and the related statement of operations for
the year then ended, the statement of changes in net assets for each of the
two years in the period then ended, and financial highlights for each of the
years indicated therein. These financial statements and financial highlights
are the responsibility of the Fund's management. Our responsibility is to
express an opinion on these financial statements and financial highlights
based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures
in the financial statements and financial highlights. Our procedures included
confirmation of securities owned as of May 31, 1999 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 Money Market Fund at May 31, 1999, 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
New York, New York
July 6, 1999
16
<PAGE>
IMPORTANT TAX INFORMATION (Unaudited)
In accordance with Federal tax law, the fund hereby designates all the
dividends paid from investment income-net during the fiscal year ended May
31, 1999 as "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).
The Fund 17
<PAGE>
For More Information
Dreyfus
New York Tax Exempt
Money Market 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
Distributor
Premier Mutual Fund Services, Inc.
60 State Street
Boston, MA 02109
To obtain information:
By telephone
Call 1-800-645-6561
By mail Write to:
The Dreyfus Family of Funds
144 Glenn Curtiss Boulevard
Uniondale, NY 11556-0144
By E-mail Send your request
to [email protected]
On the Internet Information
can be viewed online or
downloaded from:
http://www.dreyfus.com
(c) 1999, Dreyfus Service Corporation 273AR995
