Dreyfus
Tax-Smart
Growth Fund
SEMIANNUAL REPORT February 29, 2000
(reg.tm)
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 Dreyfus and
the fund's other service providers do not properly process and calculate
date-related information from and after January 1, 2000. Dreyfus has taken steps
designed to avoid year 2000-related problems in its systems and to monitor the
readiness of other service providers. 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.
Contents
THE FUND
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2 Letter from the President
3 Discussion of Fund Performance
6 Statement of Investments
9 Statement of Assets and Liabilities
10 Statement of Operations
11 Statement of Changes in Net Assets
12 Financial Highlights
13 Notes to Financial Statements
FOR MORE INFORMATION
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Back Cover
The Fund
Dreyfus
Tax-Smart Growth Fund
LETTER FROM THE PRESIDENT
Dear Shareholder:
We are pleased to present this semiannual report for Dreyfus Tax-Smart Growth
Fund, covering the six-month period from September 1, 1999 through February 29,
2000. 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, Fayez Sarofim, of Fayez Sarofim & Co., the fund's sub-investment
adviser.
The past six months have been both highly volatile and generally rewarding for
investors in U.S. stocks. Although the market's advance continued to be led
primarily by technology stocks in a fast-growing economy, other market sectors
also produced good results. As a result, by the end of 1999 most major stock
market indices hit new highs, including the Dow Jones Industrial Average, the S&
P 500 Index of large-cap stocks, the technology-heavy Nasdaq 100 and the Russell
2000 Index of small-capitalization stocks.
During the first two months of the year 2000, however, the large-capitalization
sector of the stock market corrected substantially, and small- and mid-cap
stocks generally outperformed large-capitalization stocks. Retail-, media- and
housing-related companies were particularly hard-hit, primarily because of their
significant exposure to the adverse effects of rising interest rates. On the
other hand, health care and electric utility stocks have gained strength so far
in 2000, although both had suffered declines during 1999.
We appreciate your confidence over the past six months, and we look forward to
your continued participation in Dreyfus Tax-Smart Growth Fund.
Sincerely,
Stephen E. Canter
President and Chief Investment Officer
The Dreyfus Corporation
March 23, 2000
DISCUSSION OF FUND PERFORMANCE
Fayez Sarofim, Portfolio Manager Fayez Sarofim & Co., Sub-Investment Adviser
How did Dreyfus Tax-Smart Growth Fund perform relative to its benchmark?
For the six-month period ended February 29, 2000, the fund's total return was
- -0.62% .(1) For the same period, the total return of the Standard & Poor's 500
Composite Stock Price Index (S&P 500 Index or Index), the fund's benchmark, was
4.10%.(2)
We attribute the fund' s relative underperformance during the period to the
narrow base of technology-related stocks that supported the S&P 500 Index's
rise. Because the fund held a lower percentage of these technology stocks than
the S&P 500 Index, the Index produced higher returns.
What is the fund's investment approach?
The fund seeks long-term capital appreciation consistent with minimizing
realized capital gains and taxable current income. We evaluate investment
opportunities one company at a time in order to identify large, established
growth companies that we believe are well positioned to weather difficult
economic climates and thrive during favorable times. Such companies typically
are selected for their sustained patterns of profitability, strong balance
sheets, talented management teams, expanding global presence and above-average
growth potential.
Our investment strategy is also predicated on purchasing growth at a price we
consider to be justified by a company's fundamentals. For example, while the
fund was invested in several leading technology companies during the period,
such as Intel and Microsoft, we avoided most Internet companies because we found
their prices to be higher than warranted by their financial strength and growth
rates.
Central to our objective of minimizing taxable distributions, we maintain a
" buy-and-hold" investment strategy. This strategy is based on The Fund
DISCUSSION OF FUND PERFORMANCE (CONTINUED)
remaining fully invested and on targeting long-term growth over a three- to
five-year time frame, rather than going for short-term profits.
What other factors influenced the fund's performance?
The fund was adversely influenced by lackluster performance in virtually all
market sectors except technology. Although the S&P 500 Index ended calendar year
1999 at a record high, a handful of technology stocks accounted for most of the
Index' s rise. During the first two months of 2000, when the S&P 500 Index fell
7.00% , most of the decline was attributable to non-technology stocks. While the
fund benefited from owning significant positions in a few well-established
technology stocks, our relative performance suffered because we held fewer of
these stocks than the Index.
Economic forces also affected the fund's performance. High rates of economic
growth in 1999 caused the Federal Reserve Board to continue to raise interest
rates twice more over the past six months. Higher interest rates took a toll on
interest-rate-sensitive market sectors, including consumer staples and
financials. Because we allocated more of the fund's assets to these sectors than
other areas, the fund's performance suffered.
What is the fund's current strategy?
We have continued to employ our long-term sector selection strategy, which is
designed to identify industries likely to enjoy long-term growth. During the
reporting period, this process led us to maintain the fund's emphasis on the
health care, consumer staple and financial sectors, and to de-emphasize
commodities and basic industries. Our investment discipline also led us away
from technology companies with stock prices higher than we judged to be
warranted by their business fundamentals.
While our emphasis on health care and consumer staple stocks constrained the
fund' s ability to keep pace with the S&P 500 Index, many individual holdings in
these sectors performed well. The fund' s top performers included consumer
electronics giant Sony, which benefited
from investor enthusiasm for new products. Other winners included capital goods
conglomerate General Electric, one of the fund's largest holdings as of the end
of the reporting period. Furthermore, our relatively light exposure to the
troubled commodities and basic industry sectors assisted the fund's relative
performance.
Despite rising interest rates in the United States, inflation has remained low
while consumer confidence has remained high. Economic growth in overseas markets
should also support the earnings of large, global companies. As a result, we
have seen little reason to alter our sector allocation or security selection
strategies.
March 23, 2000
(1) TOTAL RETURN INCLUDES REINVESTMENT OF DIVIDENDS AND ANY CAPITAL GAINS PAID.
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS. SHARE PRICE AND INVESTMENT
RETURN FLUCTUATE SUCH THAT UPON REDEMPTION, FUND SHARES MAY BE WORTH MORE OR
LESS THAN THEIR ORIGINAL COST.
(2) SOURCE: LIPPER ANALYTICAL SERVICES, INC. -- REFLECTS THE REINVESTMENT OF
DIVIDENDS AND, WHERE APPLICABLE, CAPITAL GAIN DISTRIBUTIONS. THE STANDARD &
POOR'S 500 COMPOSITE STOCK PRICE INDEX ("S&P 500 INDEX") IS A WIDELY ACCEPTED,
UNMANAGED INDEX OF U.S. STOCK MARKET PERFORMANCE.
The Fund
STATEMENT OF INVESTMENTS
STATEMENT OF INVESTMENTS
<TABLE>
<CAPTION>
February 29, 2000 (Unaudited)
COMMON STOCKS--99.2% Shares Value ($)
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CAPITAL GOODS--7.5%
<S> <C> <C>
Emerson Electric 12,000 546,750
General Electric 16,000 2,115,000
Honeywell International 18,000 866,250
Rockwell International 15,000 678,750
4,206,750
COMMUNICATIONS--4.7%
Bell Atlantic 12,000 587,250
BellSouth 26,000 1,059,500
SBC Communications 26,580 1,010,040
2,656,790
CONSUMER CYCLICAL--2.2%
Ford Motor 30,000 1,248,750
CONSUMER STAPLES--1.8%
Walgreen 40,000 1,032,500
ELECTRONICS--8.7%
Conexant Systems 6,000 (a) 589,500
Intel 38,000 4,294,000
4,883,500
ENERGY--5.7%
BP Amoco, ADS 23,000 1,081,000
Chevron 10,000 746,875
Exxon Mobil 18,080 1,361,650
3,189,525
FINANCE--4.6%
Bank of America 9,036 416,221
Chase Manhattan 18,000 1,433,250
SunTrust Banks 15,000 762,187
2,611,658
FINANCE--MISC.--7.7%
American Express 6,000 805,125
Associates First Capital, Cl. A 30,000 596,250
Citigroup 30,000 1,550,625
Federal National Mortgage Association 20,000 1,060,000
Merrill Lynch 3,000 307,500
4,319,500
COMMON STOCKS (CONTINUED) Shares Value ($)
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FOOD, BEVERAGE & TOBACCO--5.6%
Coca-Cola 30,000 1,453,125
PepsiCo 30,000 967,500
Philip Morris Cos. 35,000 702,187
3,122,812
HEALTH CARE--13.2%
Abbott Laboratories 20,000 655,000
American Home Products 15,000 652,500
Bristol-Myers Squibb 15,000 852,187
Johnson & Johnson 18,000 1,291,500
Merck & Co. 22,000 1,354,375
Pfizer 68,000 2,184,500
Warner-Lambert 5,000 427,813
7,417,875
HOUSEHOLD PRODUCTS--MISC.--4.9%
Colgate-Palmolive 16,000 835,000
Gillette 25,000 881,250
Procter & Gamble 12,000 1,056,000
2,772,250
INSURANCE--2.9%
Berkshire Hathaway, Cl. A 12 (a) 528,000
Berkshire Hathaway, Cl. B 6 (a) 8,640
Marsh & McLennan Cos. 14,000 1,083,250
1,619,890
MEDIA/ENTERTAINMENT--8.4%
Fox Entertainment Group, Cl. A 24,000 (a) 631,500
McDonald's 23,000 725,937
Sony, ADR 8,000 2,507,000
Viacom, Cl. B 15,000 (a) 836,250
4,700,687
PUBLISHING--1.4%
McGraw-Hill Cos. 16,000 814,000
RETAIL--1.9%
Wal-Mart Stores 22,000 1,071,125
TECHNOLOGY--15.7%
Cisco Systems 19,000 (a) 2,511,563
The Fund
STATEMENT OF INVESTMENTS (Unaudited) (CONTINUED)
COMMON STOCKS (CONTINUED) Shares Value ($)
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TECHNOLOGY (CONTINUED)
EMC 9,000 (a) 1,071,000
Hewlett-Packard 15,000 2,017,500
International Business Machines 15,000 1,530,000
Microsoft 19,000 (a) 1,698,125
8,828,188
TEXTILES--APPARREL--.2%
Polo Ralph Lauren 7,500 (a) 125,625
TRANSPORTATION--2.1%
Norfolk Southern 25,000 339,063
United Parcel Service, Cl. B 15,200 830,300
1,169,363
TOTAL COMMON STOCKS
(cost $53,643,987) 55,790,788
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PREFERRED STOCKS--.4%
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PUBLISHING;
News Corp, ADR, Cum., $.4428
(cost $101,138) 4,000 201,250
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Principal
SHORT-TERM INVESTMENTS--.4% Amount ($) Value ($)
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U.S. TREASURY BILLS:
5.05%, 3/16/2000 44,000 43,908
5.26%, 3/23/2000 86,000 85,739
5.07%, 3/30/2000 122,000 121,493
TOTAL SHORT-TERM INVESTMENTS
(cost $251,132) 251,140
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TOTAL INVESTMENT (cost $53,996,257) 100.0% 56,243,178
LIABILITIES, LESS CASH AND RECEIVABLES .0% (15,309)
NET ASSETS 100.0% 56,227,869
(A) NON-INCOME PRODUCING.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
STATEMENT OF ASSETS AND LIABILITIES
February 29, 2000 (Unaudited)
Cost Value
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ASSETS ($):
Investments in securities--See Statement of Investments 53,996,257 56,243,178
Cash 89,001
Receivable for investment securities sold 680,811
Dividends receivable 87,425
Receivable for shares of Common Stock subscribed 9,291
57,109,706
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LIABILITIES ($):
Due to The Dreyfus Corporation and affiliates 59,133
Due to Distributor 2,672
Payable for investment securities purchased 820,032
881,837
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NET ASSETS ($) 56,227,869
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COMPOSITION OF NET ASSETS ($):
Paid-in capital 54,325,034
Accumulated distributions in excess of investment income-net (2,483)
Accumulated net realized gain (loss) on investments (341,603)
Accumulated net unrealized appreciation (depreciation)
on investments--Note 3 2,246,921
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NET ASSETS ($) 56,227,869
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SHARES OUTSTANDING
(100 million shares of $.001 par value Common Stock authorized) 3,622,172
NET ASSET VALUE, offering and redemption price per share--Note 2(c) ($)
15.52
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
STATEMENT OF OPERATIONS
Six Months Ended February 29, 2000 (Unaudited)
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INVESTMENT INCOME ($):
INCOME:
Cash dividends (net of $1,346 foreign taxes withheld at source) 365,252
Interest 35,934
TOTAL INCOME 401,186
EXPENSES:
Management fee--Note 2(a) 304,754
Distribution fees--Note 2(b) 69,262
Loan commitment fees--Note 4 322
TOTAL EXPENSES 374,338
INVESTMENT INCOME--NET 26,848
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REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS--NOTE 3 ($):
Net realized gain (loss) on investments (339,940)
Net unrealized appreciation (depreciation) on investments (191,131)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS (531,071)
NET (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS (504,223)
SEE NOTES TO FINANCIAL STATEMENTS.
STATEMENT OF CHANGES IN NET ASSETS
Six Months Ended
February 29, 2000 Year Ended
(Unaudited) August 31, 1999(a)
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OPERATIONS ($):
Investment income--net 26,848 72,473
Net realized gain (loss) on investments (339,940) (1,663)
Net unrealized appreciation (depreciation)
on investments (191,131) 2,438,052
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS (504,223) 2,508,862
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DIVIDENDS TO SHAREHOLDERS FROM ($):
INVESTMENT INCOME--NET (87,987) (13,817)
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CAPITAL STOCK TRANSACTIONS ($):
Net proceeds from shares sold 13,586,254 51,207,743
Dividends reinvested 84,692 13,550
Cost of shares redeemed (7,281,035) (5,786,170)
INCREASE (DECREASE) IN NET ASSETS FROM
CAPITAL STOCK TRANSACTIONS 6,389,911 45,435,123
TOTAL INCREASE (DECREASE) IN NET ASSETS 5,797,701 47,930,168
- --------------------------------------------------------------------------------
NET ASSETS ($):
Beginning of Period 50,430,168 2,500,000
END OF PERIOD 56,227,869 50,430,168
Undistributed (distributions in excess of)
investment income--net (2,483) 58,656
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CAPITAL SHARE TRANSACTIONS (SHARES):
Shares sold 849,058 3,393,751
Shares issued for dividends reinvested 5,189 939
Shares redeemed (455,822) (370,943)
NET INCREASE (DECREASE) IN SHARES OUTSTANDING 398,425 3,023,747
(A) FROM SEPTEMBER 30, 1998 (COMMENCEMENT OF OPERATIONS) TO AUGUST 31, 1999.
SEE NOTES TO FINANCIAL STATEMENTS.
The Fund
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.
Six Months Ended
February 29, 2000 Year Ended
(Unaudited) August 31,
1999(a)
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PER SHARE DATA ($):
Net asset value, beginning of period 15.64 12.50
Investment Operations:
Investment income--net .01(b) .06(b)
Net realized and unrealized
gain (loss) on investments (.10) 3.10
Total from Investment Operations (.09) 3.16
Distributions:
Dividends from investment income--net (.03) (.02)
Net asset value, end of period 15.52 15.64
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TOTAL RETURN (%) (.62)(c) 25.26(c)
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RATIOS/SUPPLEMENTAL DATA (%):
Ratio of expenses to average net assets .67(c) 1.24(c)
Ratio of net investment income
to average net assets .05(c) .26(c)
Portfolio Turnover Rate 2.03(c) --
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Net Assets, end of period ($ x 1,000) 56,228 50,430
(A) FROM SEPTEMBER 30, 1998 (COMMENCEMENT OF OPERATIONS) TO AUGUST 31, 1999.
(B) BASED ON AVERAGE SHARES OUTSTANDING AT EACH MONTH END.
(C) NOT ANNUALIZED.
SEE NOTES TO FINANCIAL STATEMENTS.
NOTES TO FINANCIAL STATEMENTS (Unaudited)
NOTE 1--Significant Accounting Policies:
Dreyfus Tax-Smart Growth Fund (the "fund") is a separate diversified series of
The Dreyfus/Laurel Funds, Inc. (the "Company") which is registered under the
Investment Company Act of 1940, as amended (the "Act" ), as an open-end
management investment company and operates as a series company currently
offering nineteen series, including the fund. The fund's investment objective is
to achieve long-term capital appreciation consistent with minimizing realized
capital gains and taxable current income. The Dreyfus Corporation (the
" Manager" ) serves as the fund's investment adviser. The Manager is a direct
subsidiary of Mellon Bank, N.A. (" Mellon Bank" ), which is a wholly-owned
subsidiary of Mellon Financial Corporation. Fayez Sarofim & Co. ("Sarofim")
serves as the fund's sub-investment adviser. Premier Mutual Fund Services, Inc.
(the "Distributor" ) is the distributor of the fund's shares, which are sold to
the public without a sales charge.
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 (including financial futures)
are valued at the last sales price on the securities exchange on which such
securities are primarily traded or at the last sales price on the national
securities market. Securities not listed on an exchange or the national
securities market, or securities for which there were no transactions, are
valued at the average of the most recent bid and asked prices. Bid price is used
when no asked price is available. Securities for which there are no such
valuations are valued at fair value as determined in good faith under the
direction of the Board of Directors.
(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. Dividend income is
recognized on the ex-dividend date and interest income, including, where
applicable, amortization of discount on investments, is recognized on the
accrual basis.
The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
(C) FINANCIAL FUTURES: The fund may invest in financial futures contracts in
order to gain exposure to or protect against changes in the market. The fund is
exposed to market risk as a result of changes in the value of the underlying
financial instruments. Investments in financial futures require the fund to
"mark to market" on a daily basis, which reflects the change in the market value
of the contracts at the close of each day's trading. Typically, variation margin
payments are received or made to reflect daily unrealized gains or losses. When
the contracts are closed, the fund recognizes a realized gain or loss. These
investments require initial margin deposits with a custodian, which consist of
cash or cash equivalents, up to approximately 10% of the contract amount. The
amount of these deposits is determined by the exchange or Board of Trade on
which the contract is traded and is subject to change. At February 29, 2000,
there were no open financial futures contracts.
(D) DISTRIBUTIONS TO SHAREHOLDERS: Dividends are recorded on the ex-dividend
date. Dividends from investment income-net and dividends from net realized
capital gain, if any, 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, if any, it is the policy of the fund not to distribute such gain.
(E) 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 the applicable provisions of the Code,
and to make distributions of taxable income sufficient to relieve it from
substantially all Federal income and excise taxes.
NOTE 2--Investment Management Fee and Other Transactions With Affiliates:
(A) INVESTMENT MANAGEMENT FEE: Pursuant to an Investment Management agreement
with the Manager, the Manager provides or arranges for one or more third parties
and/or affiliates to provide investment advisory, administrative, custody, fund
accounting and
transfer agency services to the fund. The Manager also directs the investments
of the fund in accordance with its investment objective, policies and
limitations. For these services, the fund is contractually obligated to pay the
Manager a fee, calculated daily and paid monthly, at the annual rate of 1.10% of
the value of the fund's average daily net assets. Out of its fee, the Manager
pays all of the expenses of the fund except brokerage fees, taxes, interest,
commitment fees, Rule 12b-1 distribution fees and expenses, fees and expenses of
non-interested Directors (including counsel fees) and extraordinary expenses. In
addition, the Manager is required to reduce its fee in an amount equal to the
fund' s allocable portion of fees and expenses of the non-interested Directors
(including counsel) . Each director receives $40,000 per year, plus $5,000 for
each joint Board meeting of The Dreyfus/Laurel Funds, Inc., The Dreyfus/Laurel
Tax-Free Municipal Funds, and The Dreyfus/Laurel Funds Trust (the
" Dreyfus/Laurel Funds" ) attended, $2,000 for separate committee meetings
attended which are not held in conjunction with a regularly scheduled board
meeting and $500 for Board meetings and separate committee meetings attended
that are conducted by telephone and is reimbursed for travel and out-of-pocket
expenses. The Chairman of the Board receives an additional 25% of such
compensation (with the exception of reimbursable amounts). In the event that
there is a joint committee meeting of the Dreyfus/Laurel Funds and the Dreyfus
High Yield Strategies Fund, the $2,000 fee will be allocated between the
Dreyfus/Laurel Funds and the Dreyfus High Yield Strategies Fund. These fees and
expenses are charged and allocated to each series based on net assets. Amounts
required to be paid by the Company directly to the non-interested Directors,
that would be applied to offset a portion of the management fee payable to the
Manager, are in fact paid directly by the Manager to the non-interested
Directors.
Pursuant to a Sub-Investment Advisory Agreement between the Manager and Sarofim,
the Manager has agreed to pay Sarofim an annual fee of .30 of 1% of the value of
the fund's average daily net assets, payable monthly.
The Fund
NOTES TO FINANCIAL STATEMENTS (Unaudited) (CONTINUED)
(B) DISTRIBUTION PLAN: Under a Distribution Plan (the "Plan") adopted pursuant
to Rule 12b-1 under the Act, the fund may pay annually up to .25% of the value
of the fund's average daily net assets to compensate Mellon Bank, the Manager or
Dreyfus Service Corporation, an affiliate of the Manager, for shareholder
servicing activities and the Distributor for shareholder servicing activities
and expenses primarily intended to result in the sale of fund shares. During the
period ended February 29, 2000, the fund was charged $69,262 pursuant to the
Plan.
(C) A 1% redemption fee is charged and retained by the fund on shares redeemed
within six months following the date of issuance, including redemptions made
through the use of the fund's exchange privilege.
(D) BROKERAGE COMMISSIONS: During the period ended February 29, 2000, the fund
incurred total brokerage commissions of $8,304, of which $2,100 was paid to
Dreyfus Brokerage Services, a wholly-owned subsidiary of Mellon Financial
Corporation.
NOTE 3--Securities Transactions:
The aggregate amount of purchases and sales of investment securities, excluding
short-term securities, during the period ended February 29, 2000, amounted to
$9,949,389 and $1,095,702, respectively.
At February 29, 2000, accumulated net unrealized appreciation on investments was
$2,246,921, consisting of $9,031,927 gross unrealized appreciation and
$6,785,006 gross unrealized depreciation.
At February 29, 2000, 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).
NOTE 4--Bank Line of Credit:
The fund participates with other Dreyfus-managed funds in a $500 million
redemption credit facility (the "Facility" ) to be utilized for temporary or
emergency purposes, including the financing of redemptions. In connection
therewith, the fund has agreed to pay commit
ment fees on its pro rata portion of the Facility. Interest is charged to the
fund at rates based on prevailing market rates in effect at the time of
borrowings. During the period ended February 29, 2000, the fund did not borrow
under the Facility.
NOTE 5--Subsequent Event:
At a meeting of the fund's Board of Directors held on January 27, 2000, the
Board approved the temination of the fund's Distribution Agreement with Premier
Mutual Fund Services, Inc., and approved a new Distribution Agreement with
Dreyfus Service Corporation, a wholly-owned subsidiary of the Manager. The new
Distribution Agreement with Dreyfus Service Corporation became effective on
March 22, 2000.
The Fund
For More Information
Dreyfus Tax-Smart Growth Fund
200 Park Avenue
New York, NY 10166
Investment Adviser
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
Sub-Investment Adviser
Fayez Sarofim & Co.
Two Houston Center
Suite 2907
Houston, TX 77010
Custodian
Mellon Bank, N.A.
One Mellon Bank Center
Pittsburgh, PA 15258
Transfer Agent &
Dividend Disbursing Agent
Dreyfus Transfer, Inc.
P.O. Box 9671
Providence, RI 02940
Distributor
Dreyfus Service Corporation
200 Park Avenue
New York, NY 10166
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) 2000 Dreyfus Service Corporation 047SA002
