CMA
CMA NEW YORK
MUNICIPAL MONEY FUND
Annual Report
March 31, 1996
Merrill Lynch
BULL LOGO
<PAGE>
Officers and Trustees
Arthur Zeikel--President and Trustee
Ronald W. Forbes--Trustee
Cynthia A. Montgomery--Trustee
Charles C. Reilly--Trustee
Kevin A. Ryan--Trustee
Richard R. West--Trustee
Terry K. Glenn--Executive Vice President
Vincent R. Giordano--Senior Vice President
Edward J. Andrews--Vice President
Donald C. Burke--Vice President
Peter J. Hayes--Vice President
Kenneth A. Jacob--Vice President
Kevin A. Schiatta--Vice President
Helen Marie Sheehan--Vice President
Gerald M. Richard--Treasurer
Robert Harris--Secretary
Custodian
State Street Bank and Trust Company
P.O. Box 1713
Boston, MA 02101
Transfer Agent
Merrill Lynch Financial Data Services, Inc.
4800 Deer Lake Drive East
Jacksonville, FL 32246-6484
(800) 221-7210*
[FN]
*For inquiries regarding your CMA account,
call (800) CMA-INFO [(800) 262-4636].
This report is not authorized for use as an offer of sale or a
solicitation of an offer to buy shares of the Fund unless
accompanied or preceded by the Fund's current prospectus. Past
performance results shown in this report should not be considered a
representation of future performance, which will fluctuate. The Fund
seeks to maintain a consistent $1.00 net asset value per share,
although this cannot be assured. An investment in the Fund is
neither insured nor guaranteed by the US Government. Statements and
other information herein are as dated and are subject to change.
CMA New York
Municipal Money Fund
Box 9011
Princeton, NJ 08543-9011
TO OUR SHAREHOLDERS:
<PAGE>
For the year ended March 31, 1996, CMA New York Municipal Money Fund
paid shareholders a net annualized yield of 3.17%*. As of March 31,
1996, the Fund's 7-day yield was 2.81%.
The Environment
As 1995 drew to a close and 1996 began, it appeared that the US
economy was losing momentum. Lackluster retail sales, increases in
initial unemployment claims (along with weak job and income growth),
and evidence of slowing in the manufacturing sector all suggested
that the rate of economic growth was slowing, with some forecasters
even suggesting the possibility of an imminent recession. With
inflationary pressures well subdued, these signs of economic
weakness led the Federal Reserve Board to follow a more
accommodative monetary policy.
However, investor perceptions regarding the rate of future economic
growth changed dramatically with the report of stronger-than-
expected employment data for February and March. As a result, the
consensus outlook regarding the direction of business activity
shifted from expectations of weakness to anticipation of a revival
in growth of the economy. Long-term interest rates rose, and the
Federal Reserve Board left monetary policy on hold.
Investors are likely to continue to focus on the probable direction
of economic activity and Federal Reserve Board monetary policy in
the weeks ahead. At this time, inflationary pressures do not seem to
be building and the manufacturing sector is still relatively weak,
which suggest that the economy is not on the verge of overheating.
Nevertheless, it is likely that any further indication of stronger
economic activity in the weeks ahead may add to investor concerns
that accelerating economic activity could lead to higher interest
rates.
[FN]
*Based on a constant investment throughout the period, with
dividends compounded daily, and reflecting a net return to the
investor after all expenses.
Investment Outlook and Strategy
During the six-month period ended March 31, 1996, New York State's
economy continued its slow growth. As a state with a high
concentration of headquarters for banks, insurance companies and
large securities corporations, New York is expected to continue to
feel the impact of mergers and the continued restructuring of these
industries. In addition, the State is expected to feel the impact of
the continued paring of government jobs by the Pataki and Guiliani
administrations in order to cut spending. The State's unemployment
rate rose to 6.8% in January 1996 from 6.4% in December 1995, and
5.7% in December 1994. In New York City, where tourism and retail
employment made the job market more vibrant than in most of the
region, unemployment rose to 8.1% in January 1996.
<PAGE>
Standard & Poor's Corporation announced that New York State's
general obligation bond rating could come under pressure without the
achievement of structural balance in the fiscal 1997 budget in light
of Governor Pataki's announced contingency plan to fill the
projected deficit in the budget. The Governor's contingency plan
relies heavily on increased revenue assumptions and non-recurring
revenues equaling 51% of the plan amount. Failure to achieve these
results could negatively impact fiscal 1997 General Fund operations.
The Governor's 1997 plan also relies heavily on Federal subsidies
which could place reliant New York counties at shortfall risk in the
event no Federal budget is passed.
During the six-month period ended March 31, 1996, the new issuance
of short-term New York debt totaled approximately $2.83 billion, a
substantial decrease from the $5.5 billion in debt issued during the
previous six-month period. The net assets of CMA New York Municipal
Money Fund rose substantially in this period from approximately $943
million in October 1995 to $1.1 billion by the end of March 1996, a
17% increase. We maintained the average portfolio maturity of CMA
New York Municipal Money Fund in the 60-day range for the six-month
period ended March 31, 1996 in anticipation of modest New York
issuance as well as the expectation of lower interest rates. This
position did not enhance performance the last three months of 1995
because variable rate debt outperformed fixed-rate notes but
subsequently performed exceptionally well in the first quarter of
1996 since that scenario reversed itself. We continue to work very
closely with our credit department to maintain the highest quality
portfolio possible. Diversification and credit quality remain
paramount, and we will continue to closely monitor the everchanging
marketplace.
In Conclusion
We thank you for your support of CMA New York Municipal Money Fund,
and we look forward to serving your investment needs in the future.
Sincerely,
(Arthur Zeikel)
Arthur Zeikel
President
<PAGE>
(Vincent R. Giordano)
Vincent R. Giordano
Senior Vice President
(Edward J. Andrews)
Edward J. Andrews
Vice President and Portfolio Manager
May 2, 1996
Portfolio Abbreviations for CMA New York Municipal Money Fund
AMT Alternative Minimum Tax (subject to)
BAN Bond Anticipation Notes
CP Commercial Paper
GO General Obligation Bonds
HFA Housing Finance Agency
IDA Industrial Development Authority
IDR Industrial Development Revenue Bonds
M/F Multi-Family
PCR Pollution Control Revenue Bonds
RAN Revenue Anticipation Notes
TAN Tan Anticipation Notes
UT Unlimited Tax
VRDN Variable Rate Demand Notes
<PAGE>
<TABLE>
CMA NEW YORK MUNICIPAL MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (IN THOUSANDS)
<CAPTION>
Face Value
State Amount Issue (Note 1a)
<S> <C> <S> <C>
New York-- $ 1,109 Albany, New York, Housing Authority, Private Act Revenue Bonds
95.1% (Historic Bleeker Terrace), VRDN, AMT, 3.70% due 3/01/2015 (a) $ 1,109
Board Cooperative Educational Services, New York (Sole Supervisory
District), RAN:
5,000 4% due 4/04/1996 5,000
3,300 4.25% due 6/27/1996 3,303
6,400 Buffalo, New York, RAN, Series A, 4.20% due 7/16/1996 6,415
1,071 Colonie, New York, BAN, 3.875% due 2/14/1997 1,076
Eagle Tax Exempt Trust, New York, VRDN (a):
27,000 Series 1994-3201, 3.52% due 4/01/2034 27,000
7,200 Series 1994-C4, 3.47% due 8/01/2003 7,200
20,000 Series 1995-3201, 3.47% due 8/15/2024 20,000
16,333 Elmira City, New York, BAN, UT, 4.25% due 7/19/1996 16,358
4,610 Elmira Heights, New York (Central School District), BAN, UT, 4% due
1/16/1997 4,623
5,000 Erie County, New York, RAN, 4.50% due 9/20/1996 5,015
Metropolitan Transportation Authority, New York, Transportation
Facilities Revenue Bonds (b):
1,000 Series F, 8.375% due 7/01/1996 1,030
4,650 Series H, 8.50% due 7/01/1996 4,798
4,380 Monroe County, New York, BAN, UT, Series A, 4.50% due 6/07/1996 4,385
Municipal Assistance Corporation, City of New York, New York:
1,000 Refunding, Series 56, 8.25% due 7/01/1996 (b) 1,032
1,000 Series 66, 6.90% due 7/01/1996 1,008
600 Series 68, 6.80% due 7/01/1996 604
Nassau County, New York:
5,000 BAN, Series A, 3.50% due 11/15/1996 5,009
1,210 BAN, Series H, 4.25% due 8/15/1996 1,214
23,700 BAN, UT, Series H, 4% due 8/15/1996 23,754
725 Refunding, Series D, 3.75% due 5/15/1996 (c) 725
10,000 TAN, UT, Series B, 4.50% due 4/15/1996 10,003
4,600 Nassau County, New York, IDA, Civic Facilities Revenue Bonds
(Cold Spring Harbor Laboratory Project), VRDN, 3.40% due 7/01/2019 (a) 4,600
900 Nassau County, New York, IDA, Research Facilities Revenue Bonds
(Cold Spring Harbor Laboratory Project), VRDN, 3.40% due 7/01/2023 (a) 900
New York City, New York, CP:
23,800 3.80% due 4/11/1996 23,800
20,000 3.65% due 6/11/1996 20,000
6,600 3.20% due 8/06/1996 6,600
29,400 3.40% due 8/07/1996 29,400
4,000 3.35% due 8/09/1996 4,000
8,100 3.35% due 8/09/1996 8,100
1,500 3.40% due 8/09/1996 1,500
5,200 3.45% due 8/09/1996 5,200
10,000 3.50% due 8/09/1996 10,000
</TABLE>
<PAGE>
<TABLE>
CMA NEW YORK MUNICIPAL MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
<CAPTION>
Face Value
State Amount Issue (Note 1a)
<S> <C> <S> <C>
New York New York City, New York, GO, Series D:
(continued) $ 2,000 8.50% due 8/01/1996 (b) $ 2,072
2,590 UT, 6.80% due 2/01/1997 2,660
6,700 VRDN, UT, 3.10% due 2/01/2020 (a) (c) 6,700
New York City, New York, GO, VRDN, UT (a):
400 Series B, 3.25% due 10/01/2020 (c) 400
2,100 Series B, Sub-Series B-3, 3.50% due 8/15/2004 (d) 2,100
2,000 Series B, Sub-Series B-4, 3.50% due 8/15/2023 (d) 2,000
4,300 Series B, Sub-Series B-7, 3.50% due 8/15/2018 (e) 4,300
9,900 Sub-Series A-4, 3.25% due 8/01/2021 9,900
7,200 Sub-Series A-4, 3.30% due 8/01/2022 7,200
6,700 Sub-Series A-4, 3.30% due 8/01/2023 6,700
700 Sub-Series A-5, 3.50% due 8/01/2016 700
1,000 Sub-Series B-4, 3.25% due 8/15/2023 1,000
13,100 New York City, New York, Housing Development Corporation, M/F
Mortgage Revenue Bonds (Tribecca Towers), VRDN, AMT, Series A,
3.30% due 12/15/2024 (a) 13,100
2,700 New York City, New York, Housing Development Corporation, Mortgage
Revenue Bonds (Columbus Apartments), VRDN, Series A, 3.15% due
3/15/2025 (a) 2,700
New York City, New York, IDA, Civic Facilities Revenue Bonds,
VRDN (a):
3,350 (Children's Oncology Society/Ronald McDonald House), 3.05% due
5/01/2012 3,350
3,100 (Columbia Grammer School Project), 3.20% due 6/30/2014 3,100
New York City, New York, IDA, IDR, VRDN, AMT (a):
1,800 (Bowe Industrial Inc. Project), Series K, 3.25% due 11/01/2010 1,800
1,350 (Composite XXV), Series E, 3.25% due 11/01/2010 1,350
29,800 (Japan Airlines Company Ltd. Project), 3.50% due 11/01/2015 29,800
New York City, New York, Municipal Water Financing Authority, Water
and Sewer System Revenue Bonds:
6,100 CP, 3.20% due 4/04/1996 6,100
18,500 CP, 3.40% due 4/04/1996 18,500
10,000 CP, 3% due 4/19/1996 10,000
10,900 CP, 3.30% due 4/22/1996 10,900
20,000 CP, 3.35% due 4/22/1996 20,000
7,300 CP, 3.50% due 4/22/1996 7,300
22,300 VRDN, Series A, 3.25% due 6/15/2025 (a) (c) 22,300
2,000 VRDN, Series C, 3.50% due 6/15/2022 (a) (c) 2,000
21,380 VRDN, Series C, 3.50% due 6/15/2023 (a) (c) 21,380
1,900 VRDN, Series G, 3.50% due 6/15/2024 (a) (c) 1,900
New York City, New York, RAN:
36,300 Series A, 4.50% due 4/11/1996 36,307
34,500 Series B, 4.75% due 6/28/1996 34,583
New York City, New York, Trust Cultural Resource Revenue Bonds,
VRDN (a):
9,000 Refunding (American Natural Museum), Series A, 3.15% due
4/01/2021 (d) 9,000
3,700 (Soloman R. Guggenheim), Series B, 3.30% due 12/01/2015 3,700
New York State Dormitory Authority Revenue Bonds, VRDN (a):
1,100 (Cornell University), Series B, 3.30% due 7/01/2025 1,100
500 (Saint Francis Center at The Knolls), 3.20% due 7/01/2023 500
</TABLE>
<PAGE>
<TABLE>
CMA NEW YORK MUNICIPAL MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
<CAPTION>
Face Value
State Amount Issue (Note 1a)
<S> <C> <S> <C>
New York New York State Dormitory Authority, Special Obligation Revenue Bonds:
(continued) $ 1,000 (State University), Series B, 6.50% due 5/01/1996 $ 1,003
1,400 (State University Dorm Facilities), Series A, 3.70% due 7/01/1996 1,400
New York State Energy Research and Development Authority, Electric
Facilities Revenue Bonds (Long Island Lighting Co.), VRDN, AMT (a):
5,000 Series A, 3.10% due 8/01/2025 5,000
18,300 Series B, 3.10% due 11/01/2023 18,300
13,325 New York State Energy Research and Development Authority, PCR (Long
Island Lighting Co. Project), Series A, 3.25% due 3/01/1997 13,325
720 New York State Environmental Facilities Corporation, PCR, State
Water Revolving Fund (Pooled Loan), Series A, 3.70% due 5/15/1996 720
21,100 New York State Environmental Facilities Corporation, Resource Recovery
Revenue Bonds (Equity Huntington Project), VRDN, AMT, 3.60% due
11/01/2014 (a) 21,100
2,450 New York State Environmental Facilities Corporation, Solid Waste
Disposal Revenue Refunding Bonds (General Electric Co. Project), CP,
Series A, 3.10% due 4/10/1996 2,450
20,000 New York State HFA, Revenue Bonds (East 84th Street), VRDN, AMT,
Series A,3.40% due 11/01/2028 (a) 20,000
New York State Local Government Assistance Corporation Revenue Bonds,
VRDN (a):
33,300 Series B, 3.15% due 4/01/2025 33,300
1,800 Series F, 3.15% due 4/01/2025 1,800
New York State Medical Care Facilities, Finance Agency Revenue Bonds
VRDN (a):
5,700 (Children's Hospital of Buffalo), Series A, 3.25% due 11/01/2005 5,700
15,100 (Pooled Loan Equipment Program), Series A, 3.30% due 11/01/2003 15,100
New York State Power Authority, Revenue and General Purpose Bonds, CP:
5,400 3.40% due 4/12/1996 5,400
15,000 3.60% due 4/12/1996 15,000
7,800 3.40% due 4/18/1996 7,800
25,000 3.30% due 4/22/1996 25,000
10,000 3.30% due 4/22/1996 10,000
10,000 3.30% due 4/23/1996 10,000
10,000 3.30% due 4/24/1996 10,000
New York State Power Authority, Revenue and General Purpose Bonds
(Junior Lien), VRDN (a):
13,545 3.25% due 9/01/1996 13,545
23,305 3.25% due 9/01/1996 23,305
3,735 3.25% due 9/01/1996 3,735
2,300 New York State Thruway Authority, General Revenue Bonds, VRDN,
3.40% due 1/01/2024 (a) (c) 2,300
21,135 New York State Tollway Authority, Highway and Bridge Trust Fund,
Series A,4% due 4/01/1996 21,136
North Hempstead, New York, BAN:
16,675 Series B, 4% due 2/27/1997 16,741
8,769 UT, Series A, 4% due 1/30/1997 8,803
8,785 Orange County, New York, BAN, UT, 4.25% due 11/15/1996 8,816
5,250 Oswego, New York, City School District, BAN, UT, 4.40% due
10/09/1996 5,262
</TABLE>
<PAGE>
<TABLE>
CMA NEW YORK MUNICIPAL MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONCLUDED) (IN THOUSANDS)
<CAPTION>
Face Value
State Amount Issue (Note 1a)
<S> <C> <S> <C>
New York Oyster Bay, New York, UT:
(concluded) $ 2,250 4.80% due 12/01/1996 $ 2,267
1,000 BAN, 4% due 7/12/1996 1,002
800 Refunding, 3.75% due 2/15/1997 802
4,375 Port Authority of New York and New Jersey, CP, Series A and B,
3.60% due 5/14/1996 4,375
6,400 Port Authority of New York and New Jersey, Special Obligation
Revenue Bonds (Versatile Structure Obligations), VRDN, AMT,
Series 1, 3.20%due 8/01/2028 (a) 6,400
750 Putnam County, New York, BAN, 4.25% due 6/03/1996 751
2,500 Riverhead, New York, Central School District, BAN, UT, 4.375% due
12/06/1996 2,511
20,000 Rochester, New York, BAN, UT, Series I, 4.50% due 10/31/1996 20,085
1,975 Saint Lawrence County, New York, IDA, Civic Facility Revenue Bonds
(Clarkson University Project), VRDN, 3.45% due 10/01/2005 (a) 1,975
1,100 Smithtown, New York, Central School District, TAN, UT, 4.25% due
6/27/1996 1,101
29,600 Suffolk County, New York, IDA, IDR (Nissequogue Cogeneration Partners),
VRDN, 3.45% due 12/15/2023 (a) 29,600
Suffolk County, New York, TAN, UT:
14,000 Series I, 4% due 8/15/1996 14,035
8,000 Series II, 4.50% due 9/12/1996 8,023
Suffolk County, New York, Water Authority, BAN, VRDN (a):
15,000 3.30% due 2/06/2001 15,000
5,000 UT, 3.30% due 12/21/1999 5,000
11,775 Syracuse, New York, IDA, Civic Facility Revenue Bonds (Community
Development Properties--Larned Project), VRDN, 3.35% due 4/01/2018 (a) 11,775
44,000 Triborough Bridge and Tunnel Authority, New York, Special Obligation
Revenue Bonds, VRDN, 3.10% due 1/01/2024 (a) (c) 44,000
2,500 Ulster County, New York, BAN, UT, 4.25% due 11/22/1996 2,506
4,000 Westhampton Beach, New York, Unified Free School District, TAN,
4.25%due 6/26/1996 4,004
4,500 William Floyd, Unified Free School District, BAN, 4.25% due 6/28/1996 4,504
<PAGE>
Puerto Rico-- Puerto Rico Commonwealth, Government Development Bank, CP:
4.1% 7,500 3.45% due 4/03/1996 7,500
10,000 3.30% due 4/17/1996 10,000
17,000 3% due 4/22/1996 17,000
12,000 3.30% due 4/23/1996 12,000
Total Investments (Cost--$1,123,520*)--99.2% 1,123,520
Other Assets Less Liabilities--0.8% 8,744
----------
Net Assets--100.0% $1,132,264
==========
<FN>
(a)The interest rate is subject to change periodically based on
certain indexes. The interest rate shown is the rate in effect at
March, 31 1996.
(b)Prerefunded.
(c)FGIC Insured.
(d)MBIA Insured.
(e)AMBAC Insured.
*Cost for Federal income tax purposes.
See Notes to Financial Statements.
</TABLE>
<TABLE>
CMA NEW YORK MUNICIPAL MONEY FUND
STATEMENT OF ASSETS AND LIABILITIES AS OF MARCH 31, 1996
<S> <C> <C>
Assets:
Investments, at value (identified cost--$1,123,520,192) (Note 1a) $ 1,123,520,192
Cash 10,667
Receivables:
Interest $ 8,467,611
Securities sold 1,132,875 9,600,486
---------------
Prepaid registration fees and other assets (Note 1d) 55,146
---------------
Total assets 1,133,186,491
---------------
Liabilities:
Payables:
Investment adviser (Note 2) 412,413
Distributor (Note 2) 345,332
Dividends to shareholders (Note 1e) 246 757,991
---------------
Accrued expenses and other liabilities 164,532
---------------
Total liabilities 922,523
---------------
Net Assets $ 1,132,263,968
===============
<PAGE>
Net Assets Consist of:
Shares of beneficial interest, $0.10 par value, unlimited number of shares
authorized $ 113,315,363
Paid-in capital in excess of par 1,019,838,269
Accumulated realized capital losses--net (Note 4) (889,664)
---------------
Net Assets--Equivalent to $1.00 per share based on 1,133,153,632 shares of
beneficial interest outstanding $ 1,132,263,968
===============
</TABLE>
<TABLE>
CMA NEW YORK MUNICIPAL MONEY FUND
STATEMENT OF OPERATIONS FOR THE YEAR ENDED MARCH 31, 1996
<S> <C> <C>
Investment Income (Note 1c):
Interest and amortization of premium and discount earned $ 37,412,972
Expenses:
Investment advisory fees (Note 2) $ 4,591,599
Distribution fees (Note 2) 1,244,612
Transfer agent fees (Note 2) 210,200
Accounting services (Note 2) 95,052
Custodian fees 64,866
Printing and shareholder reports 59,967
Professional fees 56,680
Pricing fees 10,640
Trustees' fees and expenses 10,289
Registration fees (Note 1d) 601
Other 13,503
---------------
Total expenses 6,358,009
---------------
Investment income--net 31,054,963
Realized Gain on Investments--Net (Note 1c) 2,835
---------------
Net Increase in Net Assets Resulting from Operations $ 31,057,798
===============
See Notes to Financial Statements.
</TABLE>
<PAGE>
<TABLE>
CMA NEW YORK MUNICIPAL MONEY FUND
STATEMENTS OF CHANGES IN NET ASSETS
<CAPTION>
For the
Year Ended March 31,
Increase (Decrease) in Net Assets: 1996 1995
<S> <C> <C>
Operations:
Investment income--net $ 31,054,963 $ 21,060,951
Realized gain (loss) on investments--net 2,835 (251,800)
--------------- ---------------
Net increase in net assets resulting from operations 31,057,798 20,809,151
--------------- ---------------
Dividends to Shareholders (Note 1e):
Investment income--net (31,054,963) (21,059,960)
--------------- ---------------
Net decrease in net assets resulting from dividends to shareholders (31,054,963) (21,059,960)
--------------- ---------------
Beneficial Interest Transactions (Note 3):
Net proceeds from sale of shares 3,670,775,973 3,003,904,257
Net asset value of shares issued to shareholders in reinvestment of
dividends (Note 1e) 31,055,127 21,059,556
--------------- ---------------
3,701,831,100 3,024,963,813
Cost of shares redeemed (3,489,422,207) (2,877,620,567)
--------------- ---------------
Net increase in net assets derived from beneficial interest transactions 212,408,893 147,343,246
--------------- ---------------
Net Assets:
Total increase in net assets 212,411,728 147,092,437
Beginning of year 919,852,240 772,759,803
--------------- ---------------
End of year $ 1,132,263,968 $ 919,852,240
=============== ===============
</TABLE>
<PAGE>
<TABLE>
CMA NEW YORK MUNICIPAL MONEY FUND
FINANCIAL HIGHLIGHTS
<CAPTION>
The following per share data and ratios have been derived
from information provided in the financial statements.
For the Year Ended March 31,
Increase (Decrease) in Net Asset Value: 1996 1995 1994 1993 1992
<S> <C> <C> <C> <C> <C>
Per Share Operating Performance:
Net asset value, beginning of year $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
---------- ---------- ---------- ---------- ----------
Investment income--net .03 .03 .02 .02 .03
---------- ---------- ---------- ---------- ----------
Total from investment operations .03 .03 .02 .02 .03
---------- ---------- ---------- ---------- ----------
Less dividends from investment income--net (.03) (.03) (.02) (.02) (.03)
---------- ---------- ---------- ---------- ----------
Net asset value, end of year $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
========== ========== ========== ========== ==========
Total Investment Return 3.17% 2.59% 1.79% 2.19% 3.37%
========== ========== ========== ========== ==========
Ratios to Average Net Assets:
Expenses .64% .67% .67% .67% .68%
========== ========== ========== ========== ==========
Investment income--net 3.12% 2.59% 1.78% 2.16% 3.31%
========== ========== ========== ========== ==========
Supplemental Data:
Net assets, end of year (in thousands) $1,132,264 $ 919,852 $ 772,760 $ 665,970 $ 625,768
========== ========== ========== ========== ==========
See Notes to Financial Statements.
</TABLE>
CMA NEW YORK MUNICIPAL MONEY FUND
NOTES TO FINANCIAL STATEMENTS
1. Significant Accounting Policies:
CMA New York Municipal Money Fund (the "Fund") is part of CMA Multi-
State Municipal Series Trust (the "Trust"). The Fund is registered
under the Investment Company Act of 1940 as a non-diversified, open-
end management investment company. The following is a summary of
significant accounting policies followed by the Fund.
<PAGE>
(a) Valuation of investments--Investments are valued at amortized
cost, which approximates market value. For the purpose of valuation,
the maturity of a variable rate demand instrument is deemed to be
the next coupon date on which the interest rate is to be adjusted.
In the case of a floating rate instrument, the remaining maturity is
the demand notice payment period.
(b) Income taxes--It is the Fund's policy to comply with the
requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute substantially all of its
taxable income to its shareholders. Therefore, no Federal income tax
provision is required.
(c) Security transactions and investment income--Security
transactions are recorded on the dates the transactions are entered
into (the trade dates). Interest income (including amortization of
premium and discount) is recognized on the accrual basis. Realized
gains and losses on security transactions are determined on the
identified cost basis.
(d) Prepaid registration fees--Prepaid registration fees are charged
to expense as the related shares are issued.
(e) Dividends and distributions to shareholders--The Fund declares
dividends daily and reinvests daily such dividends (net of non-
resident alien tax withheld) in additional fund shares at net asset
value. Dividends are declared from the total of net investment
income, excluding discounts earned other than original issue
discounts. Net realized capital gains, if any, are normally
distributed annually after deducting prior years' loss carryforward.
The Fund may distribute capital gains more frequently than annually
in order to maintain the Fund's net asset value at $1.00 per share.
2. Investment Advisory Agreement and
Transactions with Affiliates:
The Fund has entered into an Investment Advisory Agreement with Fund
Asset Management, L.P. ("FAM" or "Adviser"). The general partner of
FAM is Princeton Services, Inc. ("PSI"), an indirect wholly-owned
subsidiary of Merrill Lynch & Co., Inc. ("ML & Co."), which is the
limited partner.
FAM is responsible for the management of the Fund's portfolio and
provides the necessary personnel, facilities, equipment and certain
other services necessary to the operations of the Fund. For such
services, the Fund pays a monthly fee based upon the average daily
value of the Fund's net assets, at the following annual rates: 0.50%
of the first $500 million of average daily net assets; 0.425% of
average daily net assets in excess of $500 million but not exceeding
$1 billion; and 0.375% of average daily net assets in excess of $1
billion.
<PAGE>
CMA NEW YORK MUNICIPAL MONEY FUND
NOTES TO FINANCIAL STATEMENTS (CONCLUDED)
The most restrictive annual expense limitation requires that the
Adviser reimburse the Fund to the extent the Fund's expenses
(excluding interest, taxes, distribution fees, brokerage fees and
commissions, and extraordinary items) exceed in any fiscal year 2.5%
of the Fund's first $30 million of average daily net assets, 2.0% of
the Fund's next $70 million of average daily net assets and 1.5% of
the average daily net assets in excess thereof. No fee payment will
be made to the Adviser during the year which will cause such
expenses to exceed the pro rata expense limitation at the time of
such payment.
Pursuant to the Distribution and Shareholder Servicing Plan in
compliance with Rule 12b-1 under the Investment Company Act of 1940,
Merrill Lynch, Pierce, Fenner & Smith Inc. ("MLPF&S") receives a
distribution fee from the Fund at the end of each month at the
annual rate of 0.125% of average daily net assets of the Fund. The
distribution fee is to compensate MLPF&S financial consultants and
other directly involved branch office personnel for selling shares
of the Fund and for providing direct personal services to
shareholders. The distribution fee is not compensation for the
administrative and operational services rendered to the Fund by
MLPF&S in processing share orders and administering shareholder
accounts.
Merrill Lynch Financial Data Services, Inc. ("MLFDS"), a wholly-
owned subsidiary of ML & Co., is the Fund's transfer agent.
Accounting services are provided to the Fund by FAM at cost.
Certain officers and/or trustees of the Fund are officers and/or
directors of FAM, PSI, MLPF&S, MLFDS, and/or ML & Co.
3. Shares of Beneficial Interest:
The number of shares purchased and redeemed during the period
corresponds to the amounts included in the Statements of Changes in
Net Assets for net proceeds from sale of shares and cost of shares
redeemed, respectively, since shares are recorded at $1.00 per
share.
<PAGE>
4. Capital Loss Carryforward:
At March 31, 1996, the Fund had a net capital loss carryforward of
approximately $890,000, of which $87,000 expires in 1998, $203,000
expires in 2001, $293,000 expires in 2002, $305,000 expires in 2003
and $2,000 expires in 2004. This amount will be available to offset
like amounts of any future taxable gains.
<AUDIT-REPORT>
CMA NEW YORK MUNICIPAL MONEY FUND
INDEPENDENT AUDITORS' REPORT
The Board of Trustees and Shareholders,
CMA New York Municipal Money Fund of
CMA Multi-State Municipal Series Trust:
We have audited the accompanying statement of assets and
liabilities, including the schedule of investments, of CMA New York
Municipal Money Fund of CMA Multi-State Municipal Series Trust as of
March 31, 1996, the related statements of operations for the year
then ended and changes in net assets for each of the years in the
two-year period then ended, and the financial highlights for each of
the years in the five-year period then ended. These financial
statements and the financial highlights are the responsibility of
the Fund's management. Our responsibility is to express an opinion
on these financial statements and the financial highlights based on
our audits.
We conducted our audits in accordance with generally accepted
auditing standards. Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the financial
statements and financial highlights are free of material
misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements.
Our procedures included confirmation of securities owned at March
31, 1996 by correspondence with the custodian. An audit also
includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide
a reasonable basis for our opinion.
In our opinion, such financial statements and financial highlights
present fairly, in all material respects, the financial position of
CMA New York Municipal Money Fund of CMA Multi-State Municipal
Series Trust as of March 31, 1996, the results of its operations,
the changes in its net assets, and the financial highlights for the
respective stated periods in conformity with generally accepted
accounting principles.
<PAGE>
Deloitte & Touche LLP
Princeton, New Jersey
May 2, 1996
</AUDIT-REPORT>
IMPORTANT TAX INFORMATION (UNAUDITED)
All of the net investment income distributions paid daily by CMA New
York Municipal Money Fund of CMA Multi-State Municipal Series Trust
during its taxable year ended March 31, 1996 qualify as tax-exempt
interest dividends for Federal income tax purposes.
Additionally, there were no capital gains distributed by the Fund
during the year.
Please retain this information for your records.