<PAGE>
DEAR FELLOW SHAREOWNERS,
--------------------------------------------------------------------------------
Pioneer America Income Trust ended the first half of its eighth fiscal year on
June 30, 1995. During the period, foreign central banks purchased a large
volume of U.S. government bonds to help strengthen the weak U.S. dollar. This
action -- followed by signs of an economic slowdown, continued low inflation
and expectations of lower interest rates -- helped bond prices rebound and move
sharply higher.
HOW YOUR FUND PERFORMED
For the six months ended June 30, 1995, Pioneer America Income Trust achieved
the following results:
. Class A shares -- Shareowners received income dividends totaling $0.343 per
share. The Fund's 30-day SEC yield was 5.97% as of June 30, 1995./1/ Net
asset value stood at $9.96 per share, versus $9.41 six months earlier. The
Fund's total return was 9.63% based on net asset value, and 4.73% based on
public offering price. Total return assumes the reinvestment of all
distributions at net asset value.
. Class B shares -- Shareowners received a total of $0.312 per share in income
dividends during the period. As of June 30, the Fund's 30-day SEC yield was
5.35%./1/ Net asset value stood at $9.94 per share, versus $9.40 six months
earlier. The Fund's total return was 9.18% assuming shares were held
throughout the period, and 5.18% if shares were redeemed. Total return
assumes the reinvestment of all distributions at net asset value.
AVERAGE ANNUAL TOTAL RETURNS
(as of June 30, 1995)
<TABLE>
<CAPTION>
CLASS A SHARES NET ASSET VALUE PUBLIC OFFERING PRICE*
-------------- --------------- ----------------------
<S> <C> <C>
Life-of-Fund
(6/1/88) 8.07% 7.37%
5 Years 7.71 6.72
1 Year 10.00 5.02
<CAPTION>
RETURN IF RETURN IF
CLASS B SHARES NOT REDEEMED REDEEMED**
-------------- --------------- ----------
<S> <C> <C>
Life-of-Fund
(4/29/94) 7.27% 3.88%
1 Year 9.08 5.08
</TABLE>
BOND MARKET RALLIED
Bond prices moved higher for much of the six months, thanks in large part to
continued low inflation. The Federal Reserve's (the Fed's) increase in the
benchmark federal funds rate, to a three-year high of 6% on February 1, also
added enthusiasm to the bond market. Investors saw the hike as an indication
of the Fed's resolve to keep inflation low and prevent the economy from moving
forward too quickly. Indeed, signs of a slowing economy began to surface, send-
ing long-term interest rates lower and creating an optimistic climate for in-
vesting. (Subsequently, to keep the economy from slowing too significantly, the
Fed lowered short-term interest rates by 0.25 percentage points on July 6.)
HOW PIONEER MANAGED YOUR INVESTMENT
Pioneer America Income Trust invests only in securities issued by the U.S.
Treasury and selected government agencies. Each holding in the portfolio car-
ries the government's "full faith and credit" backing, ensuring that your Fund
will receive interest and principal payments on time and in full. (Of course,
this guarantee does not extend to the price or yield of Fund shares.)
Your management made few changes to the Fund during the period, although the
addition of a few long-term bonds did trigger a modest increase in the Fund's
average maturity, to 7.5 years at June 30 from 6.1 years on December 31. We are
comfortable with this intermediate maturity range since it allows the Fund to
participate in the bond market's recent solid performance, without subjecting
shareowners to the heightened risk that often accompanies a portfolio with a
longer maturity.
Your management bought bonds with more than 20 years to maturity to take
advantage of the trend toward lower interest rates. Long-term Treasurys also
help maintain the Fund's competitive, yet conservative, duration. (Duration
indicates the extent to which a
/1/SEC yield is based on a standard formula prescribed by the Securities and
Exchange Commission. The Fund's investment adviser, Pioneering Management
Corporation, is currently reducing its management fee and certain other
expenses, otherwise returns would have been lower and the SEC yield for Class
A shares and Class B shares would have been 5.87% and 5.26%, respectively.
* Reflects deduction of the maximum 4.5% sales charge at the beginning of the
period and assumes reinvestment of all distributions at net asset value.
**Reflects deduction of the maximum 4.0% contingent deferred sales charge at
the end of the period and assumes reinvestment of all distributions.
Past performance does not guarantee future results. Returns would have been
lower without the manager's voluntary fee waiver. Share price and return fluc-
tuate, and your shares, when redeemed, may be worth more or less than their
original cost.
<PAGE>
fund's total return will likely fluctuate given a change in interest rates.) We
believe that keeping the Fund's present duration of 4.6 years is most important
in the current fast-changing interest rate environment.
As of June 30, 53% of the Fund's portfolio was invested in U.S. Treasury
securities, 44% in Government National Mortgage Association (GNMA) mortgage-
backed securities and 3% in agency obligations. We avoid derivative
investments, maintaining a commitment to high-quality, conservative investing.
During the past six months, performance of GNMAs lagged that of Treasurys.
Typically, falling interest rates prompt mortgage holders to refinance, leading
to the early retirement of mortgage-backed securities such as GNMAs. As a
result, demand for these issues tends to fall off. We saw some of this occur
during the period, although whether a significant increase in refinancing will
occur remains to be seen. Ultimately, we expect the Fund to benefit from its
position in mortgage-backed securities, especially since their recent
underperformance allowed us to add some attractively priced issues to the
Fund's existing holdings.
The accompanying chart shows the maturity of portfolio holdings at the end of
the six months.
PORTFOLIO MATURITY
(as of June 30, 1995)
0-2 years 7%
2-5 years 19%
5-7 years 33%
7-10 years 34%
10+ years 7%
LOOKING AHEAD
The Fed's lowering of short-term interest rates after the close of the semian-
nual period reflects its latest outlook toward inflation and the economy. Of
course, only time will tell whether the current climate of moderate economic
growth and low inflation will continue for an extended period. Nevertheless,
these trends have greatly improved the environment for bond investing so far in
1995. As the year progresses, your management will continue to actively monitor
and adjust the portfolio. We think your Fund presently is well positioned, par-
ticularly given the active stance the Fed has taken -- and could continue to
take -- with interest rate movements. We expect that our conservative strategy
will continue to provide Fund shareowners with a combination of comfort and
solid performance.
Please read on through the following pages, which provide the Fund's audited
Schedule of Investments as of June 30, 1995. If you have any questions about
your investment in Pioneer America Income Trust, please contact your investment
representative, or call Pioneer at 1-800-225-6292.
Respectfully,
/s/ John F. Cogan, Jr.
John F. Cogan, Jr.
Chairman and President,
Pioneer America Income Trust
August 10, 1995
<PAGE>
SCHEDULE OF INVESTMENTS--PIONEER AMERICA INCOME TRUST--JUNE 30, 1995
-------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT INVESTMENT IN SECURITIES-99.1% VALUE
-------------------------------------------------------------------------------
<C> <S> <C>
U.S. GOVERNMENT AGENCIES--46.8%
Government National Mortgage Association
$ 145,791 GNMA Midget, 9.0%, 2004 to 2005.................. $ 150,868
996,732 GNMA Midget, 9.5%, 2003 to 2006.................. 1,040,468
1,464,549 GNMA Midget, 10.0%, 2001 to 2006................. 1,537,231
167,010 GNMA Midget, 10.5%, 2000 to 2003................. 176,142
26,519,089 GNMA, 8.0%, 2024................................. 27,148,917
24,783,511 GNMA, 8.5%, 2024 to 2025......................... 25,728,259
12,699,269 GNMA, 9.0%, 2016 to 2024......................... 13,265,601
528,545 GNMA, 9.5%, 2019 to 2021......................... 555,104
2,484,366 GNMA, 10.0%, 2016 to 2020........................ 2,702,008
416,670 GNMA, 10.5%, 1998 to 2019........................ 455,957
------------
$ 72,760,555
------------
Other U.S. Government Agency Obligations
4,275,000 Financial Assistance Corp., 9.45%, 2003.......... $ 4,682,151
------------
Total U.S. Government Agencies (Cost $75,287,593). $ 77,442,706
------------
U.S. GOVERNMENT SECURITIES--52.3%
10,000,000 U.S. Treasury Bonds, 8.0%, 2021.................... $ 11,545,300
915,000 U.S. Treasury Bonds, 8.25%, 2005................... 991,201
3,000,000 U.S. Treasury Bonds, 8.375%, 2008.................. 3,387,660
1,000,000 U.S. Treasury Bonds, 8.75%, 2008................... 1,151,720
2,590,000 U.S. Treasury Bonds, 9.125%, 2009.................. 3,063,089
3,000,000 U.S. Treasury Bonds, 10.0%, 2010................... 3,781,860
4,000,000 U.S. Treasury Bonds, 10.375%, 2009................. 5,114,360
2,000,000 U.S. Treasury Bonds, 10.75%, 2003.................. 2,556,560
17,500,000 U.S. Treasury Notes, 7.5%, 2005.................... 19,055,925
2,000,000 U.S. Treasury Notes, 7.75%, 2001................... 2,162,180
4,000,000 U.S. Treasury Notes, 7.875%, 2001.................. 4,366,880
5,990,000 U.S. Treasury Notes, 8.0%, 2001.................... 6,564,680
5,000,000 U.S. Treasury Notes, 8.875%, 2000.................. 5,603,900
3,750,000 U.S. Treasury Notes, 9.0%, 1998.................... 4,051,162
2,000,000 U.S. Treasury Notes, 9.25%, 1996................... 2,035,620
3,000,000 U.S. Treasury Notes, 9.25%, 1998................... 3,280,770
2,680,000 U.S. Treasury Notes, 9.375%, 1996.................. 2,754,129
2,255,000 U.S. Treasury Notes, 9.5%, 1995.................... 2,284,946
2,775,000 U.S. Treasury Notes, 10.5%, 1995................... 2,789,735
------------
Total U.S. Government Securities (Cost
$85,720,831)..................................... $ 86,541,677
------------
TOTAL INVESTMENT IN SECURITIES (COST $161,008,424)
(a)(b)............................................ $163,984,383
------------
TEMPORARY CASH INVESTMENT--0.9%
REPURCHASE AGREEMENT--0.9%
1,500,000 Agreement with Chase Manhattan Corp., dated
6/30/95, bearing 6.125%
to be repurchased at $1,500,000 plus accrued
interest on 7/3/95, collateralized by $1,515,000
U.S. Treasury Note bearing 6.125%, due 5/15/98.... $ 1,500,766
------------
TOTAL TEMPORARY CASH INVESTMENT (Cost $1,500,000).. $ 1,500,766
------------
TOTAL INVESTMENT IN SECURITIES AND TEMPORARY CASH
INVESTMENT (Cost $162,508,424).................... $165,485,149
============
</TABLE>
(a) At June 30, 1995, the net unrealized appreciation on investments based on
cost for federal income tax purposes of $161,008,424 was as follows:
<TABLE>
<S> <C>
Aggregate gross unrealized appreciation for all investments in
which there is an excess of value over tax cost................. $ 4,222,064
Aggregate gross unrealized depreciation for all investments in
which there is an excess of tax cost over value................. (1,246,105)
------------
Net unrealized appreciation...................................... $ 2,975,959
============
</TABLE>
(b) At December 31, 1994, the Trust had a capital loss carryforward of
$5,413,884 which will expire between 2001 and 2002 if not utilized.
Note: The Trust's investments in mortgage-backed securities of the Government
National Mortgage Association (GNMA) are interests in separate pools of
mortgages. All separate investments in this issuer which have the same
coupon rate have been aggregated for the purpose of presentation in this
schedule of investments.
Purchases and sales of securities (excluding temporary cash investments) for
the six months ended June 30, 1995 aggregated $71,986,847 and $79,374,165, re-
spectively.
3
<PAGE>
BALANCE SHEET--JUNE 30, 1995
--------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
<TABLE>
<S> <C>
ASSETS:
Investment in securities, at value (including temporary
cash investment of $1,500,766) (cost $162,508,424; see
Schedule of Investments and Note 1)...................... $165,485,149
Cash...................................................... 37,727
Receivables--
Interest................................................ 2,189,611
Trust shares sold....................................... 272,641
Other..................................................... 6,052
------------
Total assets.......................................... $167,991,180
------------
LIABILITIES:
Payables--
Trust shares repurchased................................ 650,340
Dividends............................................... 208,679
Accrued expenses--
Management fees (Note 2)................................ 36,049
Other (Notes 2, 3 and 4)................................ 198,288
------------
Total liabilities..................................... $ 1,093,356
------------
NET ASSETS:
Paid-in capital (Note 1).................................. $170,182,685
Accumulated undistributed net investment income........... 55,506
Accumulated net realized loss on investments.............. (6,316,326)
Net unrealized gain on investments........................ 2,975,959
------------
Total net assets...................................... $166,897,824
============
NET ASSET VALUE PER SHARE:
Class A--(based on $163,331,883/16,394,790 shares of
beneficial interest outstanding--unlimited number of
shares authorized)................................... $ 9.96
============
Class B--(based on $3,565,941/358,691 shares of
beneficial interest outstanding--unlimited number of
shares authorized)................................... $ 9.94
============
MAXIMUM OFFERING PRICE:
Class A............................................... $ 10.43
============
</TABLE>
The accompanying notes are an integral part of these financial statements.
4
<PAGE>
STATEMENT OF OPERATIONS--FOR THE SIX MONTHS ENDED JUNE 30, 1995
--------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
<TABLE>
<S> <C> <C>
INVESTMENT INCOME (NOTE 1):
Interest......................................................... $ 6,576,775
EXPENSES:
Management fees (Note 2)............................. $ 403,568
Distribution fees (Note 4)
Class A............................................ 198,580
Class B............................................ 12,814
Transfer agent fees (Note 3)
Class A............................................ 191,780
Class B............................................ 4,216
Registration fees.................................... 50,377
Professional fees.................................... 54,293
Accounting (Note 2).................................. 50,680
Custodian fees....................................... 12,100
Printing............................................. 32,255
Fees and expenses of nonaffiliated trustees.......... 4,050
Miscellaneous........................................ 18,749
----------
Total expenses................................... $1,033,462
Less management fees waived by Pioneering
Management Corporation (Note 2)................. 210,825
----------
Net expenses................................................. $ 822,637
-----------
Net investment income..................................... $ 5,754,138
-----------
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Net realized loss on investments................................. $ (902,442)
Increase in net unrealized gain on investments................... 10,191,809
-----------
Net gain on investments...................................... $ 9,289,367
-----------
Net increase in net assets resulting from
operations............................................... $15,043,505
===========
</TABLE>
The accompanying notes are an integral part of these financial statements.
5
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE SIX MONTHS ENDED JUNE 30, 1995 AND THE YEAR ENDED DECEMBER 31, 1994
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SIX MONTHS ENDED YEAR ENDED
JUNE 30, 1995 DECEMBER 31, 1994
---------------- -----------------
<S> <C> <C>
FROM OPERATIONS:
Net investment income..................... $ 5,754,138 $ 9,410,841
Net realized loss on investments.......... (902,442) (5,382,396)
Increase (decrease) in net unrealized gain
on investments........................... 10,191,809 (9,650,678)
------------ ------------
Net increase (decrease) in net assets re-
sulting from operations.................. $ 15,043,505 $ (5,622,233)
------------ ------------
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net investment income
Class A ($0.34 and $0.66 per share, re-
spectively)............................. $ (5,669,686) $ (9,314,482)
Class B ($0.31 and $0.40 per share, re-
spectively)............................. (81,655) (47,215)
------------ ------------
Decrease in net assets resulting from dis-
tributions to shareholders............... $ (5,751,341) $ (9,361,697)
------------ ------------
FROM TRUST SHARE TRANSACTIONS:
Net proceeds from sale of shares.......... $ 14,318,487 $110,576,083
Net asset value of shares issued to
shareholders in reinvestment of
dividends................................ 4,459,127 7,078,526
Cost of shares repurchased................ (25,200,452) (44,533,695)
------------ ------------
Net increase (decrease) in net assets re-
sulting from trust share transactions... $(6,422,838) $ 73,120,914
------------ ------------
Net increase in net assets............. $ 2,869,326 $ 58,136,984
NET ASSETS:
Beginning of period....................... 164,028,498 105,891,514
------------ ------------
End of period (including undistributed net
investment income of $55,506 and $52,709,
respectively)............................ $166,897,824 $164,028,498
============ ============
</TABLE>
<TABLE>
<CAPTION>
SIX MONTHS ENDED YEAR ENDED
JUNE 30, 1995 DECEMBER 31, 1994
------------------------ ------------------------
SHARES AMOUNT SHARES AMOUNT
---------- ------------ ---------- ------------
<S> <C> <C> <C> <C>
CLASS A
Shares sold.............. 1,213,813 $ 11,802,566 10,868,373 $107,749,001
Shares issued to
shareholders in
reinvestment of
distributions........... 451,594 4,398,846 723,067 7,040,310
Less shares repurchased.. (2,477,261) (23,885,758) (4,464,315) (43,692,421)
---------- ------------ ---------- ------------
Net increase (decrease).. (811,854) $ (7,684,346) 7,127,125 $ 71,096,890
========== ============ ========== ============
CLASS B *
Shares sold.............. 257,940 $ 2,515,921 292,379 $ 2,827,082
Shares issued to
shareholders in
reinvestment of
distributions........... 6,181 60,281 4,004 38,216
Less shares repurchased.. (136,289) (1,314,694) (86,801) (841,274)
---------- ------------ ---------- ------------
Net increase............. 127,832 $ 1,261,508 209,582 $ 2,024,024
========== ============ ========== ============
</TABLE>
* Class B shares were first publicly offered on April 29, 1994.
The accompanying notes are an integral part of these financial statements.
6
<PAGE>
FINANCIAL HIGHLIGHTS--SELECTED DATA FOR A SHARE OUTSTANDING FOR THE PERIODS
PRESENTED
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
MAY 31,
SIX MONTHS FOR THE YEARS ENDED DECEMBER 31, TO
ENDED ------------------------------------------------------- DECEMBER 31,
JUNE 30, 1995 1994+ 1993 1992 1991 1990 1989 1988
------------- -------- -------- ------- ------- ------- ------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
CLASS A
Net asset value,
beginning of period.... $ 9.41 $ 10.48 $ 10.27 $ 10.35 $ 10.03 $ 10.04 $ 9.86 $10.00
-------- -------- -------- ------- ------- ------- ------- ------
INCREASE (DECREASE) FROM
INVESTMENT OPERATIONS:
Net investment income.. $ 0.34 $ 0.66 $ 0.68 $ 0.73 $ 0.84 $ 0.87 $ 0.90 $ 0.51
Net realized and
unrealized gain (loss)
on investments........ 0.55 (1.07) 0.24 (0.07) 0.33 (0.02) 0.18 (0.14)
-------- -------- -------- ------- ------- ------- ------- ------
Total increase
(decrease) from
investment
operations........... $ 0.89 $ (0.41) $ 0.92 $ 0.66 $ 1.17 $ 0.85 $ 1.08 $ 0.37
DISTRIBUTIONS TO
SHAREHOLDERS FROM:
Net investment income.. (0.34) (0.66) (0.67) (0.73) (0.85) (0.86) (0.90) (0.51)
Net realized gain...... -- -- (0.04) (0.01) -- -- -- --
-------- -------- -------- ------- ------- ------- ------- ------
Net increase (decrease)
in net asset value..... $ 0.55 $ (1.07) $ 0.21 $ (0.08) $ 0.32 $ (0.01) $ 0.18 $(0.14)
-------- -------- -------- ------- ------- ------- ------- ------
Net asset value, end of
period................. $ 9.96 $ 9.41 $ 10.48 $ 10.27 $ 10.35 $ 10.03 $ 10.04 $ 9.86
======== ======== ======== ======= ======= ======= ======= ======
Total return *.......... 9.63% (3.97)% 9.07% 6.67% 12.14% 8.99% 11.49% 3.76%
Ratio of net operating
expenses to average net
assets ................ 1.00%** 1.00 % 1.00% 1.03% 0.75% 0.75% 0.75% 0.67%**
Ratio of net investment
income to average net
assets................. 7.14%** 6.84 % 6.37% 7.01% 8.07% 8.75% 9.10% 8.86%**
Portfolio turnover rate. 89.90%** 60.50 % 41.50% 54.50% 36.54% 69.12% 66.06% 61.20%**
Net assets, end of
period (in thousands).. $163,332 $161,858 $105,892 $85,425 $43,711 $17,160 $10,533 $4,634
RATIOS ASSUMING NO
WAIVER OF FEES OR
ASSUMPTION OF EXPENSES:
Net operating expenses. 1.26%** 1.12 % 1.13% 1.25% 1.75% 1.81% 2.36% 3.01%**
Net investment income.. 6.88%** 6.72 % 6.24% 6.79% 7.07% 7.69% 7.49% 6.52%**
</TABLE>
--------
+ The per share data is based upon average shares outstanding and average
net assets for the period presented.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of
the investment at net asset value at the end of each period and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
The accompanying notes are an integral part of these financial statements.
7
<PAGE>
FINANCIAL HIGHLIGHTS--SELECTED DATA FOR A SHARE OUTSTANDING FOR THE PERIODS
PRESENTED (CONTINUED)
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
APRIL 29,
SIX MONTHS 1994 TO
ENDED DECEMBER 31,
JUNE 30, 1995 1994+
------------- ------------
<S> <C> <C>
CLASS B ***
Net asset value, beginning of period................ $ 9.40 $ 9.85
------ ------
INCREASE (DECREASE) FROM INVESTMENT OPERATIONS:
Net investment income.............................. $ 0.31 $ 0.40
Net realized and unrealized gain (loss) on
investments....................................... 0.54 (0.45)
------ ------
Total increase (decrease) from investment
operations....................................... $ 0.85 $(0.05)
DISTRIBUTIONS TO SHAREHOLDERS FROM:
Net investment income.............................. (0.31) (0.40)
------ ------
Net increase (decrease) in net asset value.......... $ 0.54 $(0.45)
------ ------
Net asset value, end of period...................... $ 9.94 $ 9.40
====== ======
Total return *...................................... 9.18% (0.57)%
Ratio of net operating expenses to average net
assets............................................. 1.73%** 1.78 %**
Ratio of net investment income to average net
assets............................................. 6.30%** 6.35 %**
Porfolio turnover rate.............................. 89.90%** 60.50 %
Net assets, end of period (in thousands)............ $3,566 $2,170
RATIOS ASSUMING NO WAIVER OF MANAGEMENT FEES OR
ASSUMPTION OF EXPENSES:
Net operating expenses.............................. 1.99%** 1.90 %**
Net investment income............................... 6.04%** 6.23 %**
</TABLE>
--------
+ The per share data is based upon average shares outstanding and average
net assets for the period presented.
* Assumes initial investment at net asset value at the beginning of each
period, reinvestment of all distributions, the complete redemption of
the investment at net asset value at the end of each period and no sales
charges. Total return would be reduced if sales charges were taken into
account.
** Annualized.
*** Class B shares were first publicly offered on April 29, 1994.
The accompanying notes are an integral part of these financial statements.
8
<PAGE>
NOTES TO FINANCIAL STATEMENTS--JUNE 30, 1995
-------------------------------------------------------------------------------
1. Pioneer America Income Trust (the Trust) is a Massachusetts business trust,
registered under the Investment Company Act of 1940 as a diversified, open-end
management company.
The Board of Trustees authorized the issuance of two share classes of the
Trust, designated as Class A and Class B shares. Class B shares were publicly
offered on April 29, 1994. Shares issued and outstanding prior to April 29,
1994 were designated as Class A shares. The shares of each class represent an
interest in the same portfolio of investments of the Trust and have equal
rights to voting, redemptions, dividends and liquidations, except that each
class of shares can bear different transfer agent and distribution fees and
have exclusive voting rights with respect to the distribution plans that have
been adopted by holders of Class A and Class B shares, respectively.
After the close of business on June 30, 1994, the Trust acquired all assets
of Pioneer America Fund, Inc. (the Fund) in exchange solely for (i) the issu-
ance of Class A shares of beneficial interest of the Trust and (ii) the as-
sumption by the Trust of the liabilities of the Fund. Following this tax-free
transfer, the Fund was liquidated and dissolved, and Class A shares of the
Trust were distributed to the former shareholders of the Fund. Prior to June
30, 1994, the Trust's name was Pioneer U.S. Government Trust.
The following is a summary of significant accounting policies consistently
followed by the Trust, which are in conformity with those generally accepted
in the investment company industry.
A. Security Valuation--Security transactions are recorded on the date the se-
curities are purchased or sold. Securities are valued based on valuations fur-
nished by an independent pricing service which utilizes a matrix system. This
matrix system reflects such factors as security prices, yields, maturities and
ratings, and is supplemented by dealer and exchange quotations and fair value
information from other sources. Principal amounts of mortgage-backed securi-
ties are adjusted for monthly principal paydowns. Premium and discount related
to mortgage-backed securities are amortized or accreted in direct proportion
to the underlying monthly paydowns. Temporary cash investments are valued at
cost plus accrued interest, which approximates market value. Interest income
is recorded on the accrual basis.
Gains and losses from sales of investments are calculated on the "identified
cost" method for both financial reporting and federal income tax purposes. It
is the Trust's practice to first select for sale those securities that have
the highest cost and also qualify for long-term capital gain or loss treatment
for tax purposes.
B. Federal Taxes--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 net investment income and net realized capital gains, if
any, to its shareholders. Therefore, no federal tax provisions are required.
The characterization of distributions to shareholders for financial reporting
purposes is determined in accordance with income tax rules. Therefore, the
source of the Trust's distributions may be shown in the accompanying financial
statements as either from or in excess of net investment income or net real-
ized gain on investment transactions, or from capital, depending on the type
of book/tax differences that may exist.
C. Trust Shares--The Trust records sales and repurchases of trust shares on
trade date. Net losses, if any, as a result of cancellations, are absorbed by
Pioneer Funds Distributor, Inc. (PFD), the principal underwriter for the Trust
and a wholly owned subsidiary of The Pioneer Group, Inc. (PGI). PFD earned
$14,357 in underwriting commissions on the sale of trust shares during the six
months ended June 30, 1995. Dividends paid by the Trust with respect to each
class of shares are calculated in the same manner, at the same time, on the
same day and are in the same amount, except that Class A and Class B shares
can bear different transfer agent and distribution fees.
D. Class Allocations--Distribution expenses are calculated based on the aver-
age daily net asset value attributable to Class A and Class B shares of the
Trust, respectively. Shareholders of Class A and Class B share all expenses
and fees paid to the service organization, Pioneering Services Corporation
(PSC), for their services, which are allocated based on the number of accounts
in each class and the ratable allocation of related out-of-pocket expenses
(see Note 3). Income, common expenses and realized and unrealized gains (loss-
es) are calculated at the Trust level and allocated daily to each class of
shares based on the respective percentage of adjusted net assets at the begin-
ning of the day.
9
<PAGE>
NOTES TO FINANCIAL STATEMENTS--JUNE 30, 1995 (CONTINUED)
--------------------------------------------------------------------------------
2. Pioneering Management Corporation (PMC) is the Fund's investment adviser,
manages the Fund's portfolio, and is a wholly owned subsidiary of PGI. Manage-
ment fees are calculated at the annual rate of 0.50% of the Trust's average
daily net assets.
PMC has agreed to waive its management fees and to assume other operating ex-
penses of the Trust to the extent necessary to limit Class A expenses to 1.0%
of the average daily net assets attributable to the Class A shares; the portion
of the Trust-wide expenses attributable to Class B shares will be reduced only
to the extent such expenses are reduced for the Class A shares. This agreement
is voluntary and temporary and may be revised or terminated by PMC at any time.
In addition, under the management agreement, certain other services and costs,
including accounting, regulatory reporting and insurance premiums are paid by
the Trust. Included in Accrued expenses--Other is $14,514 in accounting fees
payable to PMC at June 30, 1995.
3. PSC, a wholly owned subsidiary of PGI, provides substantially all transfer
agent and shareholder services to the Trust at negotiated rates. Included in
Accrued expenses--Other is $30,068 in transfer agent fees payable to PSC at
June 30, 1995.
4. The Trust has adopted a Plan of Distribution for both Class A shares (Class
A Plan) and Class B shares (Class B Plan) in accordance with Rule 12b-1 under
the Investment Company Act of 1940, pursuant to which certain distribution and
fees are paid to PFD.
Pursuant to the Class A Plan, the Trust reimburses PFD for its actual expendi-
tures to finance any activity primarily intended to result in the sale of Class
A shares or to provide services to holders of Class A shares. Reimbursement for
such expenditures, if any, may not exceed 0.25% of the Trust's average daily
net assets attributable to Class A shares. The Class B Plan provides that the
Trust may pay a distribution fee at an annual rate of 0.75% of the Trust's av-
erage daily net assets attributable to Class B shares and may pay PFD a service
fee at the annual rate of 0.25% of the Trust's average daily net assets attrib-
utable to Class B shares. Included in Accrued expenses--Other is $105,455 in
distribution fees payable to PFD at June 30, 1995.
Class B shares that are redeemed within six years of purchase are subject to a
contingent deferred sales charge (CDSC) at declining rates beginning at 4.0% of
the lesser of the current market value at the time of redemption or the origi-
nal purchase cost of the shares being redeemed. Proceeds from the CDSC are paid
to PFD. For the six months ended June 30, 1995, CDSC in the amount of $6,450
was paid to PFD.
10
<PAGE>
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
--------------------------------------------------------------------------------
To the Shareholders and the Board of Trustees of Pioneer America Income Trust:
We have audited the accompanying balance sheet of Pioneer America Income Trust,
including the schedule of investments, as of June 30,1995, and the related
statement of operations, statements of changes in net assets and financial
highlights for the periods presented. These financial statements and financial
highlights are the responsibility of the Trust's management. Our responsibility
is to express an opinion on these financial statements and financial highlights
based on our audits.
We conducted our audits in accordance with generally accepted auditing stan-
dards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial high-
lights 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 as of June
30, 1995 by correspondence with the custodian. An audit also includes assessing
the accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We believe
that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of Pio-
neer America Income Trust as of June 30, 1995, the results of its operations,
the changes in its net assets and financial highlights for the periods present-
ed, in conformity with generally accepted accounting principles.
ARTHUR ANDERSEN LLP
Boston, Massachusetts
July 28, 1995
11
<PAGE>
PIONEER
AMERICA INCOME TRUST
60 State Street Boston, MA 02109
OFFICERS
John F. Cogan, Jr., Chairman and President
David D. Tripple, Executive Vice President
Sherman B. Russ, Vice President
William H. Keough, Treasurer
Joseph P. Barri, Secretary
TRUSTEES
John F. Cogan, Jr. Marguerite A. Piret
Richard H. Egdahl, M.D. David D. Tripple
Margaret B.W. Graham Stephen K. West
John W. Kendrick John Winthrop
INVESTMENT PRINCIPAL
ADVISER UNDERWRITER
Pioneering Management Pioneer Funds
Corporation Distributor, Inc.
CUSTODIAN LEGAL COUNSEL
Brown Brothers Hale and Dorr
Harriman & Co.
SHAREHOLDER INDEPENDENT
SERVICES AND PUBLIC
TRANSFER AGENT ACCOUNTANTS
Pioneering Services Arthur Andersen LLP
Corporation
60 State Street
Boston, Massachusetts
02109
Please call Pioneer for information on:
Existing accounts, new accounts,
prospectuses, applications, and service
forms..............................1-800-225-6292
Fund yields and prices.............1-800-225-4321
Toll-free fax .....................1-800-225-4240
Retirement plans...................1-800-622-0176
Telecommunications Device for
the Deaf (TDD).....................1-800-225-1997
When distributed to persons who are not shareowners of the Fund, this report
must be accompanied by an official prospectus, which discusses the objectives,
policies, sales charges, and other information about the Fund.
0895-2631
(C)Pioneer Funds Distributor, Inc.
[LOGO OF PIONEER APPEARS HERE]
Pioneer
America Income
Trust
Semiannual Report
June 30, 1995
