DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
LETTER TO SHAREHOLDERS
Dear Shareholder:
As your Fund's semi-annual reporting period ended on June 30, 1995, the
net asset value per share was $13.11, an increase of $.70 per share from
$12.41 on December 31, 1994. Tax exempt income dividends of approximately
$.375 per share were paid during the period, representing an annualized
distribution rate per share of 5.74% based on the June 30, 1995 closing
price. We are pleased to inform you that 100% of the income from your Fund
was fully exempt from Federal and State of New Jersey income taxes. Some
shareholders may be subject to the Federal Alternative Minimum Tax (AMT) on
some portfolio income.
The last three quarters have seen a dramatic change in the behavior of
bond market prices. Last November marked the bottom of a severe downtrend.
The bellwether 30-year Treasury bond reached a high yield of 8.16% on
November 7, 1994, after being as low as 6.17% in January of 1994. These yield
adjustments were caused by a series of interest rate hikes by the Federal
Reserve Board. The Fed took those measures to subdue an economy that seemed
to be growing at an inflationary pace. As 1994 drew to a close, the bond
market continued to exhibit volatility. Economic indicators showed the
overall capacity utilization rate at 85.4%, a 15-year high, and consumer
confidence near its five-year high. Both represented strong signs of growth
to which the bond market reacted adversely.
However, during the first quarter of 1995, signs of a slowdown started to
take hold as the effects of higher interest rates set in. Existing home
sales, new construction, and auto sales weakened. More important, jobless
claims rose along with inventories, indicating slowing sales. Many
forecasters started to revise their expectation for economic growth, and a
solid market rally was established as the threat of inflation began to
subside. By the end of the first quarter of 1995, both the bond market and
your Fund had regained much of the ground lost in 1994. Since then, the first
quarter Gross Domestic Product (GDP) report of 2.7% showed a significant drop
from the fourth quarter level of 5.1%, and second quarter GDP is expected to
be below 1%. This has clearly turned some market skeptics into believers.
Market follow through drove the 30-year U.S. Treasury bond down through the
7% yield level on May 16, and ultimately to a 6.47% yield on June 22.
Confirming this substantial market move was a Federal Reserve Board easing of
25 basis points on July 6, marking a change in Fed policy in this current
market cycle. It was the first credit ease by the Fed since September of
1992.
The unexpectedly strong municipal market turnaround was largely fueled by
a shortage of securities. This technical phenomenon is pronounced in the tax
exempt market where new bond issuance is off 25% from a year ago, and yields
on existing municipals have achieved an historically rich status relative to
Treasuries. Recently, municipal bond trading and spread relationships have
corrected; in our opinion, this correction is attributable mostly to the
prospect of Federal tax reform being realized. Such a proposal, if passed,
could diminish the tax advantage municipal bonds enjoy compared to other
investments. Proposals of this kind are at the embryonic stage, and will go
through many alterations. As a result, we expect the final resolution of any
change in our present tax structure to be many months, and perhaps years,
away. The more immediate concern of investors seems to be the scarce
municipal supply that is likely to continue. Currently, the estimated net
supply of outstanding municipal debt in 1995 (estimated new issuance minus
bond redemptions and coupon payments) is negative $50 billion.
Your Fund's share price was enhanced by this scarcity. In the first six
months of this year, the New Jersey market has seen only $800 million in new
issuance compared to $2.9 billion in securities last year for the same time
period. This 72% decrease in new supply is the most for a major municipal
market state! During this time, we have kept the goal of maximizing tax exempt
income an integral piece of our investment plan. We have also selectively
traded to acquire bonds with more attractive call features than those already
owned by the Fund. Commensurately, the Fund holds a high percentage of AAA
securities (44%). This not only provides a significant degree of credit-risk
comfort, but also greater liquidity and portfolio flexibility. We think it is
one of the many strengths of your Fund.
We have included a current Statement of Investments and recent financial
statements for your review, and we look forward to serving your investment
needs in the future.
Very truly yours,
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
July 21, 1995
New York, N.Y.
<TABLE>
<CAPTION>
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS JUNE 30, 1995 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS-99.0% AMOUNT VALUE
---------------- ----------------
<S> <C> <C>
NEW JERSEY-83.3%
Atlantic City:
6.30%, 2/1/1996............................................................ $ 2,000,000 $ 2,034,020
6.30%, 2/1/1997............................................................ 2,000,000 2,069,080
Atlantic County Utilities Authority, Solid Waste System Revenue:
7%, 3/1/2008............................................................... 4,250,000 4,238,822
7.125%, 3/1/2016........................................................... 6,650,000 6,685,245
Bedminster Township Board of Education, COP 7.125%, 9/1/2010................... 2,500,000 2,716,125
Bergen County Utilities Authority, Water Pollution Control System Revenue
5.50%, 12/15/2015 (Insured; FGIC).......................................... 5,000,000 4,815,700
Bordentown Sewer Authority, Revenue 6.80%, 12/1/2025 (Insured; MBIA)........... 3,000,000 3,257,550
City of Camden:
Zero Coupon, 2/15/2010 (Insured; FSA)...................................... 2,500,000 1,074,200
Zero Coupon, 2/15/2012 (Insured; FSA)...................................... 4,585,000 1,735,422
Camden County Municipal Utilities Authority, Sewer Revenue
8.25%, 12/1/2017 (Insured; FGIC)........................................... 8,480,000 9,324,269
Camden County Pollution Control Financing Authority,
Solid Waste Disposal and Resource Recovery System Revenue:
7.50%, 12/1/2009......................................................... 3,335,000 3,388,627
7.50%, 12/1/2010......................................................... 13,000,000 13,209,040
East Orange:
Zero Coupon, 8/1/2010 (Insured; FSA)....................................... 4,240,000 1,773,931
Zero Coupon, 8/1/2011 (Insured; FSA)....................................... 2,500,000 981,100
Elk Township Board of Education, COP 7.375%, 12/1/2009 (Insured; MBIA)......... 2,000,000 2,203,860
Essex County Improvement Authority, Lease Revenue
7%, 12/1/2020 (Insured; AMBAC)............................................. 4,000,000 4,513,040
Evesham Township Board of Education, COP, Lease Purchase Agreement
6.875%, 9/1/2011 (Insured; FGIC)........................................... 3,050,000 3,343,837
Gloucester Township Municipal Utilities Authority, Revenue
5.65%, 3/1/2018 (Insured; AMBAC)........................................... 2,530,000 2,472,873
Howell Township, Refunding 6.80%, 1/1/2014 (Insured; FGIC)..................... 5,000,000 5,427,300
Hudson County Improvement Authority:
Facility Lease Revenue 7.837%, 12/1/2025 (Insured; FGIC) (a,b)............. 13,835,000 13,904,175
Multi-Family Housing Revenue (Conduit Financing - Observer Park Project)
6.90%, 6/1/2022 (Insured; FNMA).......................................... 4,190,000 4,356,343
Jersey City, Zero Coupon, 5/15/2010 (Insured; FSA)............................. 4,745,000 1,995,130
Keansburg Board of Education, COP 8%, 11/1/2014 (Prerefunded 11/1/1999) (c).... 7,750,000 8,934,820
Manchester Township Board of Education, COP
7.20%, 12/15/2009 (Prerefunded 12/15/1998) (Insured; MBIA) (c)............. 4,175,000 4,642,183
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) JUNE 30, 1995 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ---------------
NEW JERSEY (CONTINUED)
Mercer County Improvement Authority, Revenue, Refunding:
Insured Solid Waste (Resource Recovery Project) 6.70%, 4/1/2013 (Insured; FGIC) $ 11,000,000 $ 11,524,590
Solid Waste (Resource Recovery Project) 6.80%, 4/1/2005.................... 6,150,000 6,060,333
Monmouth County Improvement Authority, Revenue (Asbury Park Project)
7.375%, 12/1/2009.......................................................... 3,000,000 3,213,720
Monroe Township Municipal Utilities Authority, Water and Sewer System Revenue
6.875%, 2/1/2017 (Insured; MBIA)........................................... 5,000,000 5,311,100
Borough of Moonachie Board of Education, COP
6.375%, 3/1/2014 (Lease Purchase Agreement; Lamington Funding Corp.)....... 3,775,000 3,772,508
New Brunswick Parking Authority, Revenue, Refunding
7.125%, 9/1/2015 (Prerefunded 9/1/1999) (Insured; FGIC) (c)................ 2,000,000 2,225,540
New Jersey Economic Development Authority, Revenue:
(Community Mental Health Loan Program) 8.50%, 7/1/2017..................... 7,610,000 8,056,479
District Heating and Cooling Revenue (Trigen - Trenton Project):
6.10%, 12/1/2004......................................................... 3,375,000 3,575,576
6.20%, 12/1/2007......................................................... 2,725,000 2,824,272
Economic Development:
(American Airlines Inc. Project) 7.10%, 11/1/2031........................ 2,855,000 2,959,836
First Mortgage (The Evergreens) 9.25%, 10/1/2022......................... 5,000,000 5,294,800
First Mortgage Gross (Mega Care Inc. Project)
8.625%, 8/1/2007 (Prerefunded 8/1/1997) (c).......................... 5,000,000 5,535,250
Refunding:
(Manchester Manor Project) 6.70%, 8/1/2022 (Insured; GNMA)........... 2,500,000 2,556,775
(Stolt Terminals Inc. Project) 10.50%, 1/15/2018..................... 9,440,000 10,862,514
(Tevco Inc. Project) 8.125%, 10/1/2009 (LOC; Credit Lyonnais)(d)..... 2,500,000 2,694,900
Waste Paper Recycling (Marcal Paper Mills Inc. Project):
5.10%, 2/1/1999...................................................... 3,350,000 3,250,672
6.25%, 2/1/2009...................................................... 6,605,000 6,610,482
8.50%, 2/1/2010...................................................... 5,850,000 6,534,801
Water Facilities:
(American Water Co. Inc. Project) 6.50%, 4/1/2022 (Insured; FGIC).... 32,800,000 34,240,248
(Elizabeth Water Project):
6.60%, 8/1/2021.................................................... 6,010,000 6,133,866
6.70%, 8/1/2021.................................................... 3,965,000 4,061,468
(Hackensack Water Project):
7%, 10/1/2017...................................................... 1,500,000 1,550,850
5.80%, 3/1/2024 (Insured; MBIA).................................... 2,000,000 1,926,860
New Jersey Educational Facilities Authority, Revenue:
(New Jersey Institute of Technology) 6.90%, 7/1/2009 (Insured; MBIA)....... 2,000,000 2,170,640
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) JUNE 30, 1995 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ---------------
NEW JERSEY (CONTINUED)
New Jersey Educational Facilities Authority, Revenue (continued):
(Seton Hall University Project):
6.85%, 7/1/2019 (Insured; BIGI).......................................... $ 9,050,000 $ 9,775,086
7%, 7/1/2021............................................................. 3,500,000 3,683,540
(Trenton State College)
7.125%, 7/1/2009 (Prerefunded 7/1/1999) (Insured; AMBAC) (c)............. 4,000,000 4,453,880
(Union County College) 7.25%, 7/1/2009..................................... 2,100,000 2,247,777
New Jersey Health Care Facilities Financing Authority, Revenue:
(Bridgeton and Millville Hospitals):
8%, Series C, 7/1/2013 (Prerefunded 7/1/1998) (Insured; MBIA) (c)........ 1,735,000 1,949,273
8%, Series D, 7/1/2013 (Insured; MBIA)................................... 645,000 716,621
(Community Memorial Hospital Association) 8%, 7/1/2014 (Insured; MBIA)..... 2,500,000 2,758,675
(Deborah Heart and Lung Center Issue) 6.30%, 7/1/2023...................... 2,700,000 2,682,423
(Elmer Community Hospital)
7.90%, 2/1/2007 (Prerefunded 8/1/1997) (Insured; FHA) (c)................ 3,100,000 3,381,511
Health System (Franciscan Sisters of the Poor - Health Systems, Inc.,
Saint Mary's
Hospital) 5.875%, 7/1/2012 (Insured; MBIA)............................... 3,250,000 2,925,520
(Hunterdon Medical Center) 7%, 7/1/2020 (Insured; AMBAC)................... 5,000,000 5,460,050
(Kennedy Memorial Hospital University Medical Center):
8.375%, 7/1/2010......................................................... 2,065,000 2,404,094
6%, 7/1/2020............................................................. 4,115,000 3,891,432
(Kimball Medical Center) 8%, 7/1/2013...................................... 13,000,000 13,889,590
(Medical Center of Ocean County) 6.75%, 7/1/2020 (Insured; FSA)............ 2,000,000 2,129,480
(Newcomb Medical Center) 7.875%, 7/1/2003.................................. 2,795,000 3,012,842
(Palisades Medical Center):
7.50%, 7/1/2006.......................................................... 2,450,000 2,488,342
7.60%, 7/1/2021.......................................................... 2,350,000 2,383,558
(Princeton Medical Center) 7%, 7/1/2022 (Insured; AMBAC)................... 3,375,000 3,687,120
(Raritan Bay Medical Center) 7.25%, 7/1/2014............................... 13,000,000 12,960,090
(Refunding - Atlantic City Medical Center) 6.80%, 7/1/2011................. 2,500,000 2,607,550
(Saint Peter's Medical Center)
6%, 7/1/2021 (Prerefunded 7/1/2021) (Insured; MBIA) (c).................. 1,500,000 1,601,760
(Zurbrugg Memorial Hospital) 8.50%, 7/1/2012............................... 9,565,000 10,209,777
New Jersey Housing and Mortgage Finance Agency, Revenue:
Home Buyer:
5.95%, 4/1/2025 (Insured; MBIA).......................................... 18,400,000 17,959,504
7.70%, 10/1/2029 (Insured; MBIA)......................................... 4,820,000 5,119,370
Home Mortgage 8.10%, 10/1/2017 (Insured; MBIA)............................. 2,955,000 3,189,125
Multi-Family Housing, Refunding (Presidential Plaza at Newport Project)
7%, 5/1/2030 (Insured; FHA).............................................. 5,000,000 5,233,550
Rental Housing 6.75%, 11/1/2022............................................ 9,310,000 9,510,817
New Jersey Transit Corp., Lease Purchase Agreement, COP (Raymond Plaza East
Inc.)
6.50%, 10/1/2016 (Insured; FSA)............................................ 3,945,000 4,253,736
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) JUNE 30, 1995 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ---------------
NEW JERSEY (CONTINUED)
New Jersey Transportation Trust Fund Authority 3.712%, 5/15/1997 (a,b)......... $ 10,000,000 $ 9,750,000
New Jersey Wastewater Treatment Trust, Loan Revenue
7.375%, 5/15/2007 (Insured; MBIA).......................................... 2,000,000 2,183,940
North Jersey District Water Supply Commission:
(Wanaque North Project) 6%, 11/15/2019 (Insured; MBIA)..................... 3,850,000 3,858,432
(Wanaque South Project) 6%, 7/1/2019 (Insured; MBIA)....................... 2,000,000 2,030,640
Ocean County Pollution Control Financing Authority, PCR, Refunding
(Ciba Geigy Corp. Project) 6%, 5/1/2020.................................... 11,700,000 11,653,902
Passaic Board of Education, COP 7.875%, 4/1/2004 (Prerefunded 4/1/1999)
(LOC; Marine Midland Bank) (c,d)........................................... 4,000,000 4,522,720
Passaic County Utilities Authority, Solid Waste System Revenue 7%, 11/15/2007 5,000,000 5,005,100
Port Authority of New York and New Jersey:
(Delta Airlines Inc. Project) 6.95%, 6/1/2008.............................. 7,200,000 7,477,776
Revenue:
(Consolidated Board 71st Series) 6.50%, 1/15/2026........................ 4,000,000 4,187,120
(Consolidated Board 73rd Series) 6.75%, 4/15/2026........................ 9,000,000 9,375,480
Special Obligation (Continental-Eastern LaGuardia Project) 9.125%, 12/1/2015...... 6,500,000 7,271,680
Rutgers State University 7%, 5/1/2019 (Prerefunded 5/1/1999) (c)............... 4,525,000 5,002,161
Salem County Improvement Authority, Revenue (County Correctional Facility and
Court
House) 7.125%, 5/1/2017 (Prerefunded 5/1/1999) (Insured; AMBAC) (c)........ 2,000,000 2,219,620
Salem County Industrial Pollution Control Financing Authority, Revenue
(Atlantic City Electric Project) 7.375%, 4/15/2014......................... 2,575,000 2,745,774
Sayreville Housing Development Corp., Mortgage Revenue, Refunding
(Lakeview Section 8) 7.75%, 8/1/2024 (Insured; FHA)........................ 2,975,000 3,049,375
Southeast Morris County Municipal Utilities Authority, Water Revenue
6.50%, 1/1/2011 (Insured; FGIC)............................................ 1,475,000 1,566,538
Sussex County Municipal Utilities Authority, Solid Waste Revenue
7.875%, 12/1/2013 (Insured; BIGI) (Prerefunded 12/1/1998) (c).............. 2,000,000 2,264,380
University of Medicine and Dentistry 7.20%, 12/1/2019.......................... 5,710,000 6,276,489
West New York Municipal Utilities Authority, Sewer Revenue, Refunding
7.30%, 12/15/2017 (Prerefunded 12/15/2000) (Insured; FGIC) (c)............. 6,250,000 7,145,562
U.S. RELATED-15.7%
Guam Power Authority, Revenue 6.30%, 10/1/2022................................. 3,750,000 3,645,000
Commonwealth of Puerto Rico:
5.50%, 7/1/2013............................................................ 4,500,000 4,212,045
5.65%, 7/1/2015 (Insured; MBIA)............................................ 2,000,000 1,983,440
7.30%, 7/1/2020 (Prerefunded 7/1/2000) (c)................................. 10,850,000 12,360,537
Public Improvement 6.80%, 7/1/2021 (Prerefunded 7/1/2002) (c).............. 4,400,000 4,993,604
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
STATEMENT OF INVESTMENTS (CONTINUED) JUNE 30, 1995 (UNAUDITED)
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
---------------- ---------------
U.S. RELATED (CONTINUED)
Puerto Rico Electric Power Authority, Power Revenue, Refunding
8%, 7/1/2008 (Prerefunded 7/1/1998) (c).................................... $ 2,000,000 $ 2,257,320
Puerto Rico Highway and Transportation Authority, Highway Revenue:
6.625%, 7/1/2002........................................................... 510,000 573,531
6.197%, 7/1/2007 (a)....................................................... 11,100,000 10,447,875
6.83%, 7/1/2009 (a)........................................................ 2,950,000 2,677,125
7.75%, 7/1/2016 (Prerefunded 7/1/2000) (c)................................. 3,460,000 4,010,728
6.625%, Series S, 7/1/2018 (Prerefunded 7/1/2002) (c)...................... 9,400,000 10,570,958
6.625%, Series T, 7/1/2018 (Prerefunded 7/1/2002) (c)...................... 2,040,000 2,120,498
Puerto Rico Housing Finance Corp., MFMR
7.50%, 4/1/2022 (LOC; Government Development Bank of Puerto Rico) (d) ..... 3,355,000 3,559,085
Puerto Rico Industrial Medical and Environmental Pollution Control Facilities
Financing Authority, Revenue (Baxter Travenol Laboratories) 8%, 9/1/2012 5,000,000 5,562,350
Puerto Rico Public Buildings Authority, Guaranteed Public Education and
Health
Facilities 7%, 7/1/2019 (Prerefunded 7/1/1998) (c)......................... 2,000,000 2,185,880
Puerto Rico Urban Renewal and Housing Corp. 7.875%, 10/1/2004.................. 2,000,000 2,247,140
University of Puerto Rico, University Revenues:
5.25%, 6/1/2025 (Insured; MBIA)............................................ 5,100,000 4,676,547
Refunding 6.50%, 6/1/2013.................................................. 2,250,000 2,389,410
Virgin Islands, Matching Fund (Hugo Insurance Claims Fund Program)
7.75%, 10/1/2006........................................................... 3,475,000 3,769,333
Virgin Islands Public Finance Authority, Revenue, Refunding
(Matching Fund Loan Notes) 7.25%, 10/1/2018 ............................... 4,750,000 4,907,462
Virgin Islands Water and Power Authority, Electric System Revenue 7.40%, 7/1/2011....... 4,000,000 4,226,960
----------------
TOTAL LONG-TERM MUNICIPAL INVESTMENTS
(cost $557,045,002)........................................................ $589,574,382
================
SHORT-TERM MUNICIPAL INVESTMENTS-1.0%
NEW JERSEY:
New Jersey Economic Development Authority, Revenue, VRDN:
Industrial and Economic Development (Merck and Co.)
4.25% (LOC; Bankers Trust Co.) (d,e)..................................... $ 2,000,000 $ 2,000,000
Pollution Control:
(Merck and Co.) 4.50% (e)................................................ 800,000 800,000
Refunding (Hoffman LaRoche Project) 4.25% (LOC; Bankers Trust Co.) (d,e) 2,800,000 2,800,000
----------------
TOTAL SHORT-TERM MUNICIPAL INVESTMENTS
(cost $5,600,000).......................................................... $ 5,600,000
================
TOTAL INVESTMENTS-100.0%
(cost $562,645,002)........................................................ $595,174,382
================
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
SUMMARY OF ABBREVIATIONS
<S> <C> <S> <C>
AMBAC American Municipal Bond Assurance Corporation GNMA Government National Mortgage Association
BIGI Bond Investors Guaranty Insurance LOC Letter of Credit
COP Certificate of Participation MBIA Municipal Bond Investors Assurance
FGIC Financial Guaranty Insurance Company Insurance Corporation
FHA Federal Housing Administration MFMR Multi-Family Mortgage Revenue
FNMA Federal National Mortgage Association PCR Pollution Control Revenue
FSA Financial Security Assurance VRDN Variable Rate Demand Notes
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF COMBINED RATINGS (UNAUDITED)
FITCH (F) OR MOODY'S OR STANDARD & POOR'S PERCENTAGE OF VALUE
---------- -------- ------------------ --------------------
<S> <C> <S> <C>
AAA Aaa AAA 44.8%
AA Aa AA 6.4
A A A 19.7
BBB Baa BBB 12.1
BB Ba BB 3.9
B B B 1.2
F1 MIG1 SP1 .1
Not Rated (g) Not Rated (g) Not Rated (g) 11.8
----------
100.0%
==========
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS:
(a) Inverse floater security - the interest is subject to change
periodically.
(b) Security exempt from registration under Rule 144A of the Securities
Act of 1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers. At June 30,
1995, these securities amounted to $23,654,175 or 3.9% of net assets.
(c) Bonds which are prerefunded are collateralized by U.S. Government
securities which are held in escrow and are used to pay principal and
interest on the municipal issue and to retire the bonds in full at the
earliest refunding date.
(d) Secured by letter of credit.
(e) 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.
(f) Fitch currently provides creditworthiness information for a limited
number of investments.
(g) Securities which, while not rated by Fitch, Moody's or Standard and
Poor's, have been determined by the Manager to be of comparable quality
to those rated securities in which the Fund may invest.
See independent accountants' review report and notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 (UNAUDITED)
<S> <C> <C>
ASSETS:
Investments in securities, at value
(cost $562,645,002)-see statement........................................ $595,174,382
Cash....................................................................... 6,334,318
Interest receivable........................................................ 12,054,577
Receivable for shares of Beneficial Interest subscribed.................... 750
Prepaid expenses........................................................... 11,376
-------------
613,575,403
LIABILITIES:
Due to The Dreyfus Corporation............................................. $356,700
Due to Distributor......................................................... 7,458
Accrued expenses........................................................... 39,912 404,070
--------- -------------
NET ASSETS ................................................................... $613,171,333
=============
REPRESENTED BY:
Paid-in capital............................................................ $581,617,575
Accumulated net realized capital losses and distributions
in excess of net realized gain on investments............................ (975,622)
Accumulated net unrealized appreciation on investments-Note 3.............. 32,529,380
-------------
NET ASSETS at value applicable to 46,757,420 outstanding shares of
Common Stock, equivalent to $13.11 per share
(500 million shares of $.001 par value authorized)......................... $613,171,333
=============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
STATEMENT OF OPERATIONS SIX MONTHS ENDED JUNE 30, 1995 (UNAUDITED)
<S> <C> <C>
INVESTMENT INCOME:
INTEREST INCOME............................................................ $19,875,645
EXPENSES:
Management fee-Note 2(a)................................................. $ 1,800,810
Shareholder servicing costs-Note 2(b).................................... 930,047
Custodian fees........................................................... 36,083
Prospectus and shareholders' reports-Note 2(b)........................... 27,595
Professional fees........................................................ 26,109
Directors' fees and expenses-Note 2(c)................................... 20,281
Registration fees........................................................ 2,342
Miscellaneous............................................................ 9,981
--------------
2,853,248
Less-reduction in management fee
due to undertaking-Note 2(a)......................................... 452,169
--------------
TOTAL EXPENSES..................................................... 2,401,079
-------------
INVESTMENT INCOME-NET.............................................. 17,474,566
REALIZED AND UNREALIZED GAIN ON INVESTMENTS:
Net realized gain on investments-Note 3.................................... $ 566,342
Net unrealized appreciation on investments................................. 32,468,237
--------------
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS.................... 33,034,579
-------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................... $50,509,145
=============
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED SIX MONTHS ENDED
DECEMBER 31, JUNE 30, 1995
1994 (UNAUDITED)
--------------- ------------------
<S> <C> <C>
OPERATIONS:
Investment income-net...................................................... $ 38,130,920 $ 17,474,566
Net realized gain (loss) on investments.................................... (1,454,272) 566,342
Net unrealized appreciation (depreciation) on investments for the period (78,775,736) 32,468,237
--------------- ------------------
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS.... (42,099,088) 50,509,145
--------------- ------------------
DIVIDENDS TO SHAREHOLDERS:
From investment income-net................................................. (38,036,943) (17,568,543)
In excess of net realized gain on investments.............................. (743,575) ---
--------------- ------------------
TOTAL DIVIDENDS.......................................................... (38,780,518) (17,568,543)
--------------- ------------------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold.............................................. 167,291,374 95,033,262
Dividends reinvested....................................................... 29,894,610 13,322,776
Cost of shares redeemed.................................................... (264,596,453) (105,650,090)
--------------- ------------------
INCREASE (DECREASE) IN NET ASSETS FROM CAPITAL STOCK TRANSACTIONS........ (67,410,469) 2,705,948
--------------- ------------------
TOTAL INCREASE (DECREASE) IN NET ASSETS.............................. (148,290,075) 35,646,550
NET ASSETS:
Beginning of period........................................................ 725,814,858 577,524,783
--------------- ------------------
End of period (including undistributed investment income-net; $93,977 in 1994) $ 577,524,783 $ 613,171,333
=============== ==================
SHARES SHARES
--------------- ------------------
CAPITAL SHARE TRANSACTIONS:
Shares sold................................................................ 12,816,258 7,347,630
Shares issued for dividends reinvested..................................... 2,298,448 1,027,536
Shares redeemed............................................................ (20,301,295) (8,158,183)
--------------- ------------------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING............................ (5,186,589) 216,983
=============== ==================
See independent accountants' review report and notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Common Stock outstanding, total investment return, ratios to average net
assets and other supplemental data for each period indicated. This
information has been derived from the Fund's financial statements.
SIX MONTHS ENDED
YEAR ENDED DECEMBER 31, JUNE 30, 1995
-----------------------------------------------------------
PER SHARE DATA: 1990 1991 1992 1993 1994 (UNAUDITED)
-------- ------- --------- ---------- --------- -----------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period.. $12.36 $12.47 $13.06 $13.17 $14.03 $12.41
-------- ------- --------- ---------- --------- -----------
INVESTMENT OPERATIONS:
Investment income-net................. .83 .81 .80 .79 .78 .37
Net realized and unrealized gain (loss)
on investments...................... .11 .63 .31 .88 (1.61) .71
-------- ------- --------- ---------- --------- -----------
TOTAL FROM INVESTMENT OPERATIONS.... .94 1.44 1.11 1.67 (.83) 1.08
-------- ------- --------- ---------- --------- -----------
DISTRIBUTIONS:
Dividends from investment income-net.. (.83) (.81) (.80) (.79) (.77) (.38)
Dividends from net realized gain
on investments...................... -- (.04) (.20) (.02) -- --
Dividends in excess of net realized gain
on investments...................... -- -- -- -- (.02) --
-------- ------- --------- ---------- --------- -----------
TOTAL DISTRIBUTIONS................. (.83) (.85) (1.00) (.81) (.79) (.38)
-------- ------- --------- ---------- --------- -----------
Net asset value, end of period........ $12.47 $13.06 $13.17 $14.03 $12.41 $13.11
======== ======= ========= ========== ========= ===========
TOTAL INVESTMENT RETURN................... 7.94% 11.95% 8.77% 12.97% (6.02%) 17.62%(1)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets .77% .75% .73% .72% .77% .80%(1)
Ratio of net investment income to average
net assets.......................... 6.74% 6.36% 6.06% 5.74% 5.94% 5.82%(1)
Decrease reflected in above expense ratios
due to undertakings by the Manager.. .25% .25% .25% .25% .20% .15%(1)
Portfolio Turnover Rate............... 25.02% 22.53% 33.58% 6.05% 10.02% 3.70%(2)
Net Assets, end of period (000's Omitted) $350,416 $515,706 $614,529 $725,815 $577,525 $613,171
(1) Annualized.
(2) Not annualized.
See independent accountants' review report and
notes to financial statements.
</TABLE>
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
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. Premier Mutual
Fund Services, Inc. (the "Distributor") acts as the distributor of the Fund's
shares, which are sold to the public without a sales load. The Distributor,
located at One Exchange Place, Boston, Massachusetts 02109, is a wholly-owned
subsidiary of FDI Distribution Services, Inc., a provider of mutual fund
administration services, which in turn is a wholly-owned subsidiary of FDI
Holdings, Inc., the parent company of which is Boston Institutional Group,
Inc. The Dreyfus Corporation ("Manager") serves as the Fund's investment
adviser. The Manager is a direct subsidiary of Mellon Bank, N.A.
(A) PORTFOLIO VALUATION: The Fund's investments are valued each business
day by an independent pricing service ("Service") approved by the Fund's
Board of Directors. 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 original issue 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 from investment income-net on each business day. 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 and
excise taxes.
The Fund has an unused capital loss carryover of approximately $1,454,000
available for Federal
income tax purposes to be applied against future net securities profits, if
any, realized subsequent to December 31, 1994. 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 Fund's
aggregate expenses, exclusive of taxes, interest on borrowings, brokerage and
extraordinary expenses, exceed 1 1/2% of the average value of the Fund's net
assets for any full year. However, the Manager has undertaken from January 1,
1995 through September 30, 1995, or until such time as the net assets of the
Fund exceed $750 million, regardless of whether they remain at that level, to
reduce the management fee paid by the Fund, to the extent that the Fund's
aggregate annual expenses (excluding certain expenses as described above)
exceed an annual rate of .80 of 1% of the average daily value of the Fund's
net assets. The reduction in management fee, pursuant to the undertaking,
amounted to $452,169 for the six months ended June 30, 1995.
The undertaking may be modified by the Manager from time to time,
provided that the resulting expenses reimbursement would not be less that the
amount required pursuant to the Agreement.
(B) Under the Service Plan (the "Plan") adopted pursuant to Rule 12b-1
under the Act, the Fund (a) reimburses the Distributor for payments to
certain Service Agents for distributing the Fund's shares and servicing
shareholder accounts and (b) pays the Manager, Dreyfus Service Corporation, a
wholly-owned subsidiary of the Manager, or any other affiliate (collectively
"Dreyfus") for advertising and marketing relating to the Fund and servicing
shareholder accounts, at an aggregate annual rate of .25 of 1% of the value
of the Fund's average daily net assets. Each of the Distributor and Dreyfus
may pay Service Agents (a securities dealer, financial institution or other
industry professional) a fee in respect of the Fund's shares owned by
shareholders with whom the Service Agent has a servicing relationship or for
whom the Service Agent is the dealer or holder of record. Each of the
Distributor and Dreyfus determine the amounts to be paid to Service Agents to
which it will make payments and the basis on which such payments are made.
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 year. During the six
months ended June 30, 1995, $760,904 was charged to the Fund pursuant to the
Plan.
(C) Each director who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $2,500 and an attendance fee of $250
per meeting. The Chairman of the Board receives an additional 25% of such
compensation.
NOTE 3-SECURITIES TRANSACTIONS:
The aggregate amount of purchases and sales of investment securities
amounted to $84,720,317 and $83,781,823, respectively, for the six months
ended June 30, 1995, and consisted entirely of long-term and short-term
municipal investments.
At June 30, 1995, accumulated net unrealized appreciation on investments
was $32,529,380, consisting of $34,616,798 gross unrealized appreciation and
$2,087,418 gross unrealized depreciation.
At June 30, 1995, 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 JERSEY MUNICIPAL BOND FUND, INC.
REVIEW REPORT OF ERNST & YOUNG LLP, INDEPENDENT ACCOUNTANTS
SHAREHOLDERS AND BOARD OF DIRECTORS
DREYFUS NEW JERSEY MUNICIPAL BOND FUND, INC.
We have reviewed the accompanying statement of assets and liabilities of
Dreyfus New Jersey Municipal Bond Fund, Inc., including the statement of
investments, as of June 30, 1995, and the related statements of operations
and changes in net assets and financial highlights for the six month period
ended June 30, 1995. These financial statements and financial highlights are
the responsibility of the Fund's management.
We conducted our review in accordance with standards established by the
American Institute of Certified Public Accountants. A review of interim
financial information consists principally of applying analytical procedures
to financial data, and making inquiries of persons responsible for financial
and accounting matters. It is substantially less in scope than an audit
conducted in accordance with generally accepted auditing standards, which
will be performed for the full year with the objective of expressing an
opinion regarding the financial statements and financial highlights taken as
a whole. Accordingly, we do not express such an opinion.
Based on our review, we are not aware of any material modifications that
should be made to the interim financial statements and financial highlights
referred to above for them to be in conformity with generally accepted
accounting principles.
We have previously audited, in accordance with generally accepted
auditing standards, the statement of changes in net assets for the year ended
December 31, 1994 and financial highlights for each of the five years in the
period ended December 31, 1994 and in our report dated February 6, 1995, we
expressed an unqualified opinion on such statement of changes in net assets
and financial highlights.
Ernst & Young LLP
New York, New York
July 31, 1995
DREYFUS NEW JERSEY MUNICIPAL
BOND FUND, INC.
200 Park Avenue
New York, NY 10166
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
90 Washington Street
New York, NY 10286
TRANSFER AGENT &
DIVIDEND DISBURSING AGENT
The Shareholder Services Group, Inc.
P.O. Box 9671
Providence, RI 02940
Further information is contained
in the Prospectus, which must
precede or accompany this report.
Printed in U.S.A. 750SA956
New Jersey
Municipal
Bond Fund, Inc.
Semi-Annual
Report
June 30, 1995
(Dreyfus Logo)
