<PAGE> 1
DEAN WITTER GOVERNMENT INCOME TRUST Two World Trade Center, New York, New York
10048
LETTER TO THE SHAREHOLDERS September 30, 1996
DEAR SHAREHOLDER:
During the twelve-month period ended September 30, 1996, interest rates on
intermediate-term U.S. Treasury securities rose as the market perceived a
strengthening economy. This renewed vigor resulted from pent-up consumer demand
created by severe winter weather and a temporary government shutdown in early
1996. In addition, low mortgage rates, rebate- and lease-based incentives by
automobile dealers, and extraordinary "sales" by local retailers increased
housing starts and drove retail sales higher. The resulting wholesale inventory
liquidation, along with continuing strong employment data, raised the market's
concerns about a quickly rebounding economy and a possible inflation surge. On
September 30, 1996, the five-year Treasury note was yielding 6.46 percent,
compared to 6.02 percent twelve months earlier when interest rates were at their
lowest levels since the Federal Reserve Board began raising rates in February
1994.
PERFORMANCE AND PORTFOLIO
Over the twelve-month period ended September 30, 1996, rising interest rates
hindered the Trust's performance. On September 30, 1996, the Trust's net asset
value per share (NAV) was $9.08, down from $9.17 on September 30, 1995. Based on
this change, and including reinvestment of income dividends totaling $0.60 per
share, the Trust's total return (based on NAV) for the twelve-month period ended
September 30, 1996, was 6.26 percent. Over the same period, the Trust's market
price per share on the New York Stock Exchange remained unchanged at $8.25; on
this basis, total return, including reinvestment of income dividends, was 7.31
percent. On September 30, 1996, the Trust's net assets totaled approximately
$440 million. The Trust maintained its monthly dividend of $0.05 per share.
During the period under review, we gradually extended the Trust's average
maturity to 6.9 years by September 30, 1996. This enabled the Trust to continue
to provide a competitive level of income. While this strategy has thus far
proven successful in 1996, additional adjustments to the Trust's average
maturity will be made as conditions warrant.
<PAGE> 2
DEAN WITTER GOVERNMENT INCOME TRUST
LETTER TO THE SHAREHOLDERS September 30, 1996, continued
On September 30, 1996, 84 percent of the Trust's assets were invested in
mortgage-backed securities issued by the Government National Mortgage
Association (GNMAs), the Federal National Mortgage Association (FNMAs) and the
Federal Home Loan Mortgage Corp. (FHLMCs); 6 percent in U.S. Treasury
securities; 9 percent in U.S. Agency Obligations; and the remaining 1 percent in
cash equivalents. In the months ahead, as the markets permit, income and
proceeds from sales of securities or maturing securities may be reinvested in
mortgage-backed securities, which we believe continue to offer significant
long-term value, an incremental yield incentive over U.S. Treasury securities of
similar maturities and the potential for higher total returns.
LOOKING AHEAD
For the balance of 1996 and early 1997, we expect that U.S. economic growth will
continue to moderate. Before taking overt action to slow the economy, the
Federal Reserve Board is likely to look for sustained confirmation of a strong
economy and rising inflation. In the months ahead, inflation is expected to
remain subdued, albeit at slightly higher levels than in calendar 1995.
We would again like to remind shareholders that the Trustees have approved a
procedure whereby the Trust may, when appropriate, attempt to reduce or
eliminate a market discount from net asset value by repurchasing shares in the
open market or in privately negotiated transactions at a price not above market
value or net asset value, whichever is lower at the time of purchase. In
accordance with this procedure, 3,390,300 shares of the Trust were purchased on
the New York Stock Exchange over the twelve-month period ended September 30,
1996.
As reported below, the proposal to convert the Trust to an open-end investment
company failed to receive the required shareholder vote for passage at the
recent special meeting of shareholders. Accordingly, the Trust will continue to
operate as a closed-end investment company. The Trustees are continuing to
consider the matter and what future steps, if any, may be appropriate in an
effort to reduce or eliminate the discount at which the Trust's shares trade to
net asset value.
We appreciate your support of Dean Witter Government Income Trust and look
forward to continuing to serve your investment needs.
Very truly yours,
/s/ CHARLES A. FIUMEFREDDO
CHARLES A. FIUMEFREDDO
Chairman of the Board
<PAGE> 3
DEAN WITTER GOVERNMENT INCOME TRUST
LETTER TO THE SHAREHOLDERS September 30, 1996, continued
* * *
On September 4, 1996, a special meeting of shareholders of the Trust was held to
vote on approval or disapproval of a proposal to convert the Trust to an
open-end investment company. The proposal failed because it did not receive the
required affirmative vote of 80 percent of the Trust's outstanding shares. The
results of the vote on the proposal were as follows:
<TABLE>
<CAPTION>
PERCENTAGE OF
VOTE NO. OF SHARES OUTSTANDING SHARES
- ------- ------------- -------------------
<S> <C> <C>
For 25,359,080 50.83%
Against 3,928,529 7.87%
Abstain 1,606,450 3.22%
</TABLE>
Other proposals, which related to the Trust's conversion to an open-end
investment company, were structured to come before the meeting only if the
conversion proposal passed. Since the conversion proposal did not pass, these
other proposals were not brought before the meeting.
<PAGE> 4
DEAN WITTER GOVERNMENT INCOME TRUST
PORTFOLIO OF INVESTMENTS September 30, 1996
<TABLE>
<CAPTION>
PRINCIPAL DESCRIPTION
AMOUNT IN AND COUPON
THOUSANDS MATURITY DATE RATE VALUE
- -------------------------------------------------------------------------------------------
<C> <S> <C> <C>
MORTGAGE-BACKED SECURITIES (83.5%)
Federal Home Loan Mortgage Corp. (10.8%)
$ 6,874 12/01/18 - 02/01/19......................... 9.50% $ 7,329,294
22,603 07/01/09 - 08/01/20......................... 10.00 24,425,614
14,516 08/01/14 - 05/01/19......................... 10.50 15,904,191
----------
47,659,099
----------
Federal National Mortgage Assoc. (51.3%)
23,321 11/01/08 - 01/01/09......................... 6.00 22,118,405
55,244 05/01/07 - 12/01/23......................... 6.50 52,393,925
51,835 10/01/13 - 04/01/26......................... 7.00 50,004,908
44,453 01/01/22 - 07/01/25......................... 7.50 43,911,592
33,406 12/01/21 - 10/01/25......................... 8.00 33,687,931
18,218 08/01/17 - 05/01/25......................... 8.50 18,678,700
1,657 09/01/13 - 07/01/23......................... 9.00 1,728,155
2,957 06/01/18 - 01/01/21......................... 9.50 3,157,133
----------
225,680,749
----------
Government National Mortgage Assoc. (21.4%)
14,774 02/15/24 - 08/15/25......................... 7.00 14,215,064
12,020 12/15/22 - 06/15/26......................... 7.50 11,865,631
14,744 11/15/15 - 12/15/21......................... 8.00 14,882,700
37,403 05/15/16 - 11/15/24......................... 8.50 38,455,216
12,570 04/15/17 - 02/15/25......................... 9.00 13,170,567
1,378 08/15/18 - 08/15/20......................... 9.50 1,477,270
----------
94,066,448
----------
TOTAL MORTGAGE-BACKED SECURITIES
(Identified Cost $366,542,672).............................. 367,406,296
----------
U.S. GOVERNMENT & AGENCIES OBLIGATIONS (15.3%)
2,500 Federal National Mortgage Assoc.
02/01/04 - 08/01/04......................... 0.00 1,487,192
42,280 Federal National Mortgage Assoc.
Principal Strip 12/20/01 - 03/09/02......... 7.56 - 7.89+ 41,419,546
18,500 Resolution Funding Corp. Coupon Strip
01/15/05 - 01/15/08......................... 0.00 11,761,370
8,000 U.S. Treasury Note
09/30/98.................................... 4.75 7,799,920
6,500 U.S. Treasury Strip
05/15/97 - 02/15/03......................... 0.00 4,753,965
----------
TOTAL U.S. GOVERNMENT & AGENCIES OBLIGATIONS
(Identified Cost $68,136,413)............................... 67,221,993
----------
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
<PAGE> 5
DEAN WITTER GOVERNMENT INCOME TRUST
PORTFOLIO OF INVESTMENTS September 30, 1996, continued
<TABLE>
<CAPTION>
PRINCIPAL DESCRIPTION
AMOUNT IN AND COUPON
THOUSANDS MATURITY DATE RATE VALUE
- -------------------------------------------------------------------------------------------
<C> <S> <C> <C>
SHORT-TERM INVESTMENT (0.5%)
REPURCHASE AGREEMENT
$ 2,262 The Bank of New York due 10/01/96 (dated
09/30/96; proceeds $2,262,429;
collateralized by $2,221,342 U.S. Treasury
Note 8.50% due 07/15/97 valued at
$2,307,357)
(Identified Cost $2,262,115)......................... 5.00% $ 2,262,115
----------
TOTAL INVESTMENTS
(Identified Cost $436,941,200) (a)................... 99.3% 436,890,404
OTHER ASSETS IN EXCESS OF LIABILITIES.................. 0.7 3,005,648
---- ----------
NET ASSETS........................................... 100.0% $439,896,052
==== ==========
</TABLE>
- ---------------------
+ Currently a zero coupon bond and will pay interest at the rate shown at a
future specified date.
(a) The aggregate cost for federal income tax purposes approximates identified
cost. The aggregate gross unrealized appreciation was $6,507,965 and the
aggregate gross unrealized depreciation was $6,558,761, resulting in net
unrealized depreciation of $50,796.
SEE NOTES TO FINANCIAL STATEMENTS
<PAGE> 6
DEAN WITTER GOVERNMENT INCOME TRUST
FINANCIAL STATEMENTS
<TABLE>
<S> <C>
STATEMENT OF ASSETS AND LIABILITIES
September 30, 1996
ASSETS:
Investments in securities, at value
(identified cost $436,941,200)....................................... $436,890,404
Receivable for:
Interest.......................................................... 2,763,069
Principal paydowns................................................ 1,040,652
Investments sold.................................................. 3,907
Prepaid expenses and other assets..................................... 19,416
----------
TOTAL ASSETS...................................................... 440,717,448
----------
LIABILITIES:
Payable for:
Shares of beneficial interest repurchased......................... 442,994
Investment management fee......................................... 224,471
Accrued expenses and other payables................................... 153,931
----------
TOTAL LIABILITIES................................................. 821,396
----------
NET ASSETS:
Paid-in-capital....................................................... 475,481,652
Net unrealized depreciation........................................... (50,796)
Accumulated undistributed net investment income....................... 177,113
Accumulated net realized loss......................................... (35,711,917)
----------
NET ASSETS........................................................ $439,896,052
==========
NET ASSET VALUE PER SHARE,
48,438,400 shares outstanding
(unlimited shares authorized of $.01 par value)...................... $9.08
====
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
<PAGE> 7
DEAN WITTER GOVERNMENT INCOME TRUST
FINANCIAL STATEMENTS, continued
<TABLE>
<S> <C>
STATEMENT OF OPERATIONS
For the year ended September 30, 1996
NET INVESTMENT INCOME:
INTEREST INCOME........................................................ $33,600,971
---------
EXPENSES
Investment management fee.............................................. 2,780,582
Transfer agent fees and expenses....................................... 263,181
Professional fees...................................................... 117,431
Custodian fees......................................................... 78,556
Shareholder reports and notices........................................ 75,623
Registration fees...................................................... 43,721
Trustees' fees and expenses............................................ 16,329
Other.................................................................. 9,468
---------
TOTAL EXPENSES..................................................... 3,384,891
---------
NET INVESTMENT INCOME.............................................. 30,216,080
---------
NET REALIZED AND UNREALIZED GAIN (LOSS):
Net realized gain...................................................... 380,329
Net change in unrealized appreciation.................................. (7,305,945)
---------
NET LOSS........................................................... (6,925,616)
---------
NET INCREASE........................................................... $23,290,464
=========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
<PAGE> 8
DEAN WITTER GOVERNMENT INCOME TRUST
FINANCIAL STATEMENTS, continued
<TABLE>
<CAPTION>
STATEMENT OF CHANGES IN NET ASSETS
FOR THE YEAR FOR THE YEAR
ENDED ENDED
SEPTEMBER 30, SEPTEMBER 30,
1996 1995
- -----------------------------------------------------------------------------------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income............................ $ 30,216,080 $ 30,973,231
Net realized gain (loss)......................... 380,329 (2,407,664)
Net change in unrealized
appreciation/depreciation....................... (7,305,945) 25,727,799
----------- -----------
NET INCREASE................................. 23,290,464 54,293,366
Dividends from net investment income............. (30,343,494) (32,357,962)
Net decrease from transactions in shares of
beneficial interest............................. (28,522,051) (33,098,100)
----------- -----------
TOTAL DECREASE............................... (35,575,081) (11,162,696)
NET ASSETS:
Beginning of period.............................. 475,471,133 486,633,829
----------- -----------
END OF PERIOD
(Including undistributed net investment
income of
$177,113 and $304,527, respectively)......... $ 439,896,052 $ 475,471,133
=========== ===========
</TABLE>
SEE NOTES TO FINANCIAL STATEMENTS
<PAGE> 9
DEAN WITTER GOVERNMENT INCOME TRUST
NOTES TO FINANCIAL STATEMENTS September 30, 1996
1. ORGANIZATION AND ACCOUNTING POLICIES
Dean Witter Government Income Trust (the "Trust") is registered under the
Investment Company Act of 1940, as amended, as a diversified, closed-end
management investment company. The Trust's primary investment objective is to
provide as high a level of current income as is consistent with prudent
investment and, as a secondary objective, capital appreciation. The Trust
commenced operations on February 29, 1988.
The preparation of financial statements in accordance with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts and disclosures. Actual results could differ from
those estimates. The following is a summary of significant accounting policies:
A. VALUATION OF INVESTMENTS -- (1) A portfolio security listed or traded on the
New York or American Stock Exchange is valued at its latest sale price on that
exchange prior to the time when assets are valued; if there were no sales that
day, the security is valued at the latest bid price; (2) portfolio securities
for which over-the-counter market quotations are readily available are valued at
the latest available bid price prior to the time of valuation; (3) when market
quotations are not readily available, portfolio securities are valued at their
fair value as determined in good faith under procedures established by and under
the general supervision of the Trustees (valuation of debt securities for which
market quotations are not readily available may be based upon current market
prices of securities which are comparable in coupon, rating and maturity or an
appropriate matrix utilizing similar factors); and (4) short-term debt
securities having a maturity date of more than sixty days at time of purchase
are valued on a mark-to-market basis until sixty days prior to maturity and
thereafter at amortized cost based on their value on the 61st day. Short-term
debt securities having a maturity date of sixty days or less at the time of
purchase are valued at amortized cost.
B. ACCOUNTING FOR INVESTMENTS -- Security transactions are accounted for on the
trade date (date the order to buy or sell is executed). Realized gains and
losses on security transactions are determined by the identified cost method.
Discounts are accreted over the life of the respective securities. Interest
income is accrued daily.
C. FEDERAL INCOME TAX STATUS -- It is the Trust's policy to comply with the
requirements of the Internal Revenue Code applicable to regulated investment
companies and to distribute all of its taxable income to its shareholders.
Accordingly, no federal income tax provision is required.
<PAGE> 10
DEAN WITTER GOVERNMENT INCOME TRUST
NOTES TO FINANCIAL STATEMENTS September 30, 1996, continued
D. DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS -- The Trust records dividends
and distributions to its shareholders on the record date. The amount of
dividends and distributions from net investment income and net realized capital
gains are determined in accordance with federal income tax regulations which may
differ from generally accepted accounting principles. These "book/tax"
differences are either considered temporary or permanent in nature. To the
extent these differences are permanent in nature, such amounts are reclassified
within the capital accounts based on their federal tax-basis treatment;
temporary differences do not require reclassification. Dividends and
distributions which exceed net investment income and net realized capital gains
for financial reporting purposes but not for tax purposes are reported as
dividends in excess of net investment income or distributions in excess of net
realized capital gains. To the extent they exceed net investment income and net
realized capital gains for tax purposes, they are reported as distributions of
paid-in-capital.
2. INVESTMENT MANAGEMENT AGREEMENT
Pursuant to an Investment Management Agreement with Dean Witter InterCapital
Inc. (the "Investment Manager"), the Trust pays the Investment Manager a
management fee, accrued weekly and payable monthly, by applying the annual rate
of 0.60% to the Trust's weekly assets.
Under the terms of the Agreement, in addition to managing the Trust's
investments, the Investment Manager maintains certain of the Trust's books and
records and furnishes, at its own expense, office space, facilities, equipment,
clerical, bookkeeping and certain legal services and pays the salaries of all
personnel, including officers of the Trust who are employees of the Investment
Manager. The Investment Manager also bears the cost of telephone services, heat,
light, power and other utilities provided to the Trust.
3. SECURITY TRANSACTIONS AND TRANSACTIONS WITH AFFILIATES
The cost of purchases and proceeds from sales/prepayments of portfolio
securities, excluding short-term investments, for the year ended September 30,
1996 aggregated $94,881,066 and $126,337,980, respectively.
Dean Witter Trust Company, an affiliate of the Investment Manager, is the
Trust's transfer agent. At September 30, 1996, the Trust had transfer agent fees
and expenses payable of approximately $24,000.
The Trust has an unfunded noncontributory defined benefit pension plan covering
all independent Trustees of the Trust who will have served as independent
Trustees for at least five years at the time of retirement. Benefits under this
plan are based on years of service and compensation during the last
<PAGE> 11
DEAN WITTER GOVERNMENT INCOME TRUST
NOTES TO FINANCIAL STATEMENTS September 30, 1996, continued
five years of service. Aggregate pension costs for the year ended September 30,
1996 included in Trustees' fees and expenses in the Statement of Operations
amounted to $564. At September 30, 1996, the Trust had an accrued pension
liability of $49,007 which is included in accrued expenses in the Statement of
Assets and Liabilities.
4. SHARES OF BENEFICIAL INTEREST
Transactions in shares of beneficial interest were as follows:
<TABLE>
<CAPTION>
CAPITAL
PAID IN
PAR VALUE EXCESS OF
SHARES OF SHARES PAR VALUE
---------- ---------- ------------
<S> <C> <C> <C>
Balance, September 30, 1994..................................................... 55,986,400 $559,864 $536,541,939
Treasury shares purchased and retired (weighted average discount 9.80%)*........ (4,157,700) (41,577) (33,056,523)
--------- ------- -----------
Balance, September 30, 1995..................................................... 51,828,700 518,287 503,485,416
Treasury shares purchased and retired (weighted average discount 7.52%)*........ (3,390,300) (33,903) (28,488,148)
--------- ------- -----------
Balance, September 30, 1996..................................................... 48,438,400 $484,384 $474,997,268
========= ======= ===========
</TABLE>
- ---------------------
* The Trustees have voted to retire the shares purchased.
5. DIVIDENDS
On September 24, 1996, the Trust declared the following dividends from net
investment income:
<TABLE>
<CAPTION>
AMOUNT RECORD PAYABLE
PER SHARE DATE DATE
- --------- ----------------- ------------------
<S> <C> <C>
$0.05 October 4, 1996 October 18, 1996
$0.05 November 8, 1996 November 22, 1996
$0.05 December 6, 1996 December 20, 1996
</TABLE>
6. FEDERAL INCOME TAX STATUS
At September 30, 1996, the Trust had a net capital loss carryover of
approximately $35,704,000, to offset future capital gains to the extent provided
by regulations, available through September 30 of the following years:
<TABLE>
<CAPTION>
AMOUNTS IN THOUSANDS
------------------------------------------------------------------------
1997 1998 1999 2002 2003 2004 TOTAL
------- ------ ---- ------ ------ ------ -------
<S> <C> <C> <C> <C> <C> <C>
$10,496 $5,061 $191 $8,299 $9,638 $2,019 $35,704
======== ======= ===== ======= ======= ======= ========
</TABLE>
Capital losses incurred after October 31 ("post-October" losses) within the
taxable year are deemed to arise on the first business day of the Trust's next
taxable year. The Trust incurred and will elect to defer net capital losses of
approximately $8,000 during fiscal 1996.
<PAGE> 12
DEAN WITTER GOVERNMENT INCOME TRUST
FINANCIAL HIGHLIGHTS
Selected ratios and per share data for a share of beneficial interest
outstanding throughout each period:
<TABLE>
<CAPTION>
FOR THE YEAR ENDED SEPTEMBER 30*
------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
1996 1995 1994++ 1993 1992
- ---------------------------------------------------------------------------------------------------------------------------------
PER SHARE OPERATING PERFORMANCE:
Net asset value, beginning of period............................. $ 9.17 $ 8.69 $ 9.54 $ 9.72 $ 9.70
------ ----- ------- ------- ------
Net investment income............................................ 0.60 0.58 0.62 0.81 0.78
Net realized and unrealized gain (loss).......................... (0.14) 0.43 (0.77) (0.29) --
------ ----- ------- ------- ------
Total from investment operations................................. 0.46 1.01 (0.15) 0.52 0.78
------ ----- ------- ------- ------
Dividends from net investment income............................. (0.60) (0.60) (0.73) (0.70) (0.76)
------ ----- ------- ------- ------
Anti-dilutive effect of acquiring treasury shares................ 0.05 0.07 0.03 -- --
------ ----- ------- ------- ------
Net asset value, end of period................................... $ 9.08 $ 9.17 $ 8.69 $ 9.54 $ 9.72
====== ===== ======= ======= ======
Market value, end of period...................................... $ 8.25 $ 8.25 $ 7.875 $ 9.125 $ 9.25
====== ===== ======= ======= ======
TOTAL INVESTMENT RETURN+......................................... 7.31% 12.97% (5.97)% 6.51% 8.85%
RATIOS TO AVERAGE NET ASSETS:
Expenses......................................................... 0.73% 0.71% 0.70% 0.70% 0.72%
Net investment income............................................ 6.56% 6.50% 6.73% 8.54% 8.06%
SUPPLEMENTAL DATA:
Net assets, end of period, in thousands.......................... $439,896 $475,471 $486,634 $551,659 $561,749
Portfolio turnover rate.......................................... 21% 25% 59% 132% 70%
</TABLE>
- ---------------------
* The per share amounts were computed using an average number of shares
outstanding during the period.
+ Total investment return is based upon the current market value on the last
day of each period reported. Dividends are assumed to be reinvested at the
prices obtained under the Trust's dividend reinvestment plan. Total
investment return does not reflect brokerage commissions.
++ Restated for comparative purposes.
SEE NOTES TO FINANCIAL STATEMENTS
<PAGE> 13
DEAN WITTER GOVERNMENT INCOME TRUST
REPORT OF INDEPENDENT ACCOUNTANTS
TO THE SHAREHOLDERS AND TRUSTEES
OF DEAN WITTER GOVERNMENT INCOME TRUST
In our opinion, the accompanying statement of assets and liabilities, including
the portfolio of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Dean Witter Government Income Trust
(the "Trust") at September 30, 1996, 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 five years in the
period then ended, in conformity with generally accepted accounting principles.
These financial statements and financial highlights (hereafter referred to as
"financial statements") are the responsibility of the Trust's management; our
responsibility is to express an opinion on these financial statements based on
our audits. We conducted our audits of these financial statements in accordance
with generally accepted auditing standards which require that we plan and
perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements, assessing the accounting principles used and significant estimates
made by management, and evaluating the overall financial statement presentation.
We believe that our audits, which included confirmation of securities at
September 30, 1996 by correspondence with the custodian and brokers, provide a
reasonable basis for the opinion expressed above.
PRICE WATERHOUSE LLP
1177 Avenue of the Americas
New York, New York 10036
November 8, 1996
<PAGE> 14
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<PAGE> 15
(This page has been left blank intentionally.)
<PAGE> 16
TRUSTEES
Michael Bozic
Charles A. Fiumefreddo
Edwin J. Garn
John R. Haire
Dr. Manuel H. Johnson
Michael E. Nugent
Philip J. Purcell
John L. Schroeder
OFFICERS
Charles A. Fiumefreddo
Chairman and Chief Executive Officer
Sheldon Curtis
Vice President, Secretary and General Counsel
Rajesh K. Gupta
Vice President
Thomas F. Caloia
Treasurer
TRANSFER AGENT
Dean Witter Trust Company
Harborside Financial Center - Plaza Two
Jersey City, New Jersey 07311
INDEPENDENT ACCOUNTANTS
Price Waterhouse LLP
1177 Avenue of the Americas
New York, New York 10036
INVESTMENT MANAGER
Dean Witter InterCapital Inc.
Two World Trade Center
New York, New York 10048
DEAN WITTER
GOVERNMENT
INCOME TRUST
ANNUAL REPORT
SEPTEMBER 30, 1996
