<PAGE>
1995 SEMIANNUAL REPORT
CENTENNIAL
NEW YORK TAX EXEMPT TRUST
- ------------------------------------------------------------------------------
December 31, 1995
RS0780.001.0296
<PAGE>
DEAR CENTENNIAL NEW YORK TAX EXEMPT TRUST SHAREHOLDER:
1995 was a year marked by declining interest rates, making it a strong period
for capital appreciation for many areas of the bond markets.
The other side of this appreciation, however, was declining rates, meaning that
newly issued bonds were coming to market with lower yields. This factor has been
the most important catalyst behind our investment decisions for the past six
months.
Because we strive to pay the highest current tax-free income consistent with
safety of principal, the past year's rate declines caused us to lengthen the
average maturity of our portfolio in an effort to take advantage of higher-
yielding securities for as long as possible. However, because we had correctly
anticipated this trend, we'd begun our move into longer securities at the end of
1994.
Longer securities were bid up in the markets as the year progressed, and
continued to offer income superior to that of most newer issues, so the
portfolio was positioned in the right place at the right time.
The Trust's compounded annualized yield for the six months ended December 31,
1995 was 2.97%. The corresponding yield without compounding was 2.93%. For
investors in the 36% federal, 7.125% New York State and 3.4% New York City tax
brackets, this is equal to a taxable yield of 5.19% with compounding and 5.12%
without compounding.(1)
Seven-day annualized yields with and without compounding for the Trust for the
six months ended December 31, 1995 were 3.36% and 3.31%, respectively.
Looking forward, we believe the market will continue to be relatively strong.
Without a major shift in policy by the Federal Reserve, we expect to remain
focused on buying longer-term securities as much as possible. Our investment
policy over the past six months has allowed us to maintain our yield as well as
our emphasis on stability of principal, and we expect these favorable conditions
to continue.(2)
The Trust continues to offer investors income that is free from federal, New
York State and New York City income taxes. We appreciate the confidence you have
placed in the Centennial New York Tax Exempt Trust and look forward to helping
you continue to meet your financial goals in the future.
Sincerely,
/s/JAMES C. SWAIN
James C. Swain
Chairman--Centennial New York
Tax Exempt Trust
/s/BRIDGET A. MACASKILL
Bridget A. Macaskill
President--Centennial New York
Tax Exempt Trust
January 22, 1996
1. Compounded yields assume reinvestment of dividends. A portion of the
Trust's distributions may be subject to federal and state income taxes. For
investors subject to the federal and/or state alternative minimum tax, a
portion of the Trust's distributions may increase this tax.
2. The Trust is neither insured nor guaranteed by the U.S. government. There
is no assurance that the Trust will maintain a stable $1 share price in the
future.
2
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<TABLE>
<CAPTION>
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STATEMENT OF INVESTMENTS December 31, 1995 (Unaudited)
Centennial New York Tax Exempt Trust
FACE VALUE
AMOUNT SEE NOTE 1
<S> <C> <C>
- ---------------------------------------------------------------------------------------------------------------------------------
- ---------------------------------------------------------------------------------------------------------------------------------
SHORT-TERM TAX-EXEMPT OBLIGATIONS - 99.3%
- ---------------------------------------------------------------------------------------------------------------------------------
NEW YORK - 95.6%
----------------------------------------------------------------------------------------------------------------------
Albany County, New York General Obligation Revenue
Refunding Bonds, South Mall Construction Project, Series A,
FGIC Insured, 4.30%, 4/1/96 $2,000,000 $2,001,686
----------------------------------------------------------------------------------------------------------------------
Babylon, New York General Obligation Bonds, Series B,
AMBAC Insured, 4.90%(1) 1,000,000 1,000,000
----------------------------------------------------------------------------------------------------------------------
Babylon, New York Industrial Development Agency Revenue
Bonds, J. D'Addario & Co. Project, 5.05%(1) 500,000 500,000
----------------------------------------------------------------------------------------------------------------------
Buffalo, New York General Obligation Nts., Series A,
4.20%, 7/16/96 1,800,000 1,807,603
----------------------------------------------------------------------------------------------------------------------
City of New York Housing Development Corp. Multifamily
Mtg. Revenue Bonds, Columbus Project, Series A, 4.75%(1) 500,000 500,000
----------------------------------------------------------------------------------------------------------------------
City of New York Housing Development Corp. Multifamily
Mtg. Revenue Bonds, James Tower Development,
Series A, 5.10%(1) 400,000 400,000
----------------------------------------------------------------------------------------------------------------------
City of New York Industrial Development Agency Civil Facility
Revenue Bonds, Columbia Grammar School Project, 4.90%(1) 1,000,000 1,000,000
----------------------------------------------------------------------------------------------------------------------
City of New York Municipal Water Finance Authority Tax-
Exempt Commercial Paper, 3.70%, 3/14/96 2,700,000 2,700,000
----------------------------------------------------------------------------------------------------------------------
City of New York Trust Cultural Resources Revenue
Refunding Bonds, American Museum of Natural History,
Series A, MBIA Insured, 4.90%(1) 2,000,000 2,000,000
----------------------------------------------------------------------------------------------------------------------
Dormitory Authority of the State of New York Revenue
Bonds, City University System Consolidated, Escrowed to
Maturity, Series A, 7.10%, 7/1/96(2) 1,250,000 1,270,612
----------------------------------------------------------------------------------------------------------------------
Dormitory Authority of the State of New York Revenue Bonds,
Columbia University Putters Dormitory 14C Project, 5.10%(1) 1,000,000 1,000,000
----------------------------------------------------------------------------------------------------------------------
Dormitory Authority of the State of New York Revenue
Bonds, Memorial Sloan Kettering Cancer Center Project,
Series D, 3.50%, 2/2/96 1,270,000 1,270,000
----------------------------------------------------------------------------------------------------------------------
Dormitory Authority of the State of New York Revenue
Bonds, Series A, FGIC Insured, 3.29%(1) 1,000,000 1,000,000
----------------------------------------------------------------------------------------------------------------------
Dormitory Authority of the State of New York Revenue
Refunding Bonds, Ellis Hospital Project, MBIA Insured,
3.70%, 8/1/96 1,000,000 1,000,000
----------------------------------------------------------------------------------------------------------------------
Erie County, New York Revenue Anticipation Nts., 4.50%,
9/20/96 1,000,000 1,004,496
----------------------------------------------------------------------------------------------------------------------
New York State Energy Research & Development
Authority Electric Facilities Revenue Bonds, Long Island
Lighting Co., Series A, 3.69%(1) 1,000,000 1,000,000
----------------------------------------------------------------------------------------------------------------------
New York State Energy Research & Development
Authority Electric Facilities Revenue Bonds, Long Island
Lighting Co., Series B, 5.05%(1) 1,600,000 1,600,000
----------------------------------------------------------------------------------------------------------------------
New York State Energy Research & Development
Authority Pollution Control Revenue Bonds, New York
State Electric & Gas Co., Series B, 3.85%, 10/15/96(2) 1,700,000 1,700,000
----------------------------------------------------------------------------------------------------------------------
New York State Energy Research & Development
Authority Pollution Control Revenue Bonds, Rochester
Gas & Electric Co., 3.55%(1) 600,000 600,000
</TABLE>
3
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<TABLE>
<CAPTION>
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STATEMENT OF INVESTMENTS (Continued)
Centennial New York Tax Exempt Trust
FACE VALUE
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED) AMOUNT SEE NOTE 1
<S> <C> <C>
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NEW YORK (CONTINUED)
----------------------------------------------------------------------------------------------------------------------
New York State Energy Research & Development Authority
Pollution Control Revenue Refunding Bonds, Orange/Rockland
Utility Project, Series A, AMBAC Insured, 4.90%(1) $1,300,000 $1,300,000
----------------------------------------------------------------------------------------------------------------------
New York State Environmental Facilities Corp. Solid Waste
Disposal Revenue Bonds, General Electric Co. Project, Series A,
3.50%, 2/2/96(2) 1,000,000 1,000,000
----------------------------------------------------------------------------------------------------------------------
New York State Environmental Facilities Corp. Solid Waste
Disposal Revenue Refunding Bonds, General Electric Co.
Project, Series A, 3.45%, 2/2/96(2) 2,400,000 2,400,000
----------------------------------------------------------------------------------------------------------------------
New York State Housing Finance Agency Revenue Bonds,
Normandie Court I Project, 4.70%(1) 800,000 800,000
----------------------------------------------------------------------------------------------------------------------
New York State Medical Care Facilities Finance Agency
Revenue Bonds, Mt. Sinai Hospital Project, Prerefunded,
Series C, 8.875%, 1/15/96(2) 1,000,000 1,021,701
----------------------------------------------------------------------------------------------------------------------
New York State Medical Care Facilities Finance Agency Revenue
Bonds, Pooled Equipment Loan Program II-A, 5.05%(1) 700,000 700,000
----------------------------------------------------------------------------------------------------------------------
New York State Power Authority Revenue Bonds, 3.50%,
1/12/96(2) 1,000,000 1,000,000
----------------------------------------------------------------------------------------------------------------------
New York State Urban Development Corp. Revenue
Refunding Bonds, Correctional Facilities Project,
Prerefunded, 8%, 1/1/96(2) 800,000 816,000
----------------------------------------------------------------------------------------------------------------------
North Hempstead, New York Solid Waste Management
Authority Revenue Refunding Bonds, Series A, 4.85%(1) 1,700,000 1,700,000
----------------------------------------------------------------------------------------------------------------------
Port Authority of New York & New Jersey Revenue Bonds,
3.65%, 2/2/96 1,300,000 1,300,000
----------------------------------------------------------------------------------------------------------------------
Seneca County, New York Industrial Development Agency
Civic Facilities Revenue Bonds, New York Chiropractic
College, 4.95%(1) 400,000 400,000
----------------------------------------------------------------------------------------------------------------------
Suffolk County, New York Industrial Development
Agency Revenue Bonds, Nissequogue Cogen Partners
Project, 5.20%(1) 1,500,000 1,500,000
----------------------------------------------------------------------------------------------------------------------
Suffolk County, New York Public Improvement Bonds,
Series A, 5%, 10/15/96 1,000,000 1,010,328
----------------------------------------------------------------------------------------------------------------------
Triborough Bridge & Tunnel Authority of New York
Revenue Bonds, Series BT-42, 3%(1) 1,000,000 1,000,000
-----------
39,302,426
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U.S. POSSESSIONS - 3.7%
----------------------------------------------------------------------------------------------------------------------
Puerto Rico Industrial, Medical & Environmental Pollution
Control Facilities Financing Authority Revenue Bonds,
Key Pharmaceuticals, 4.35%, 12/1/96 1,500,000 1,502,664
----------------------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS, AT VALUE 99.3% 40,805,090
----------------------------------------------------------------------------------------------------------------------
OTHER ASSETS NET OF LIABILITIES 0.7 283,861
----------- ------------
NET ASSETS 100.0% $41,088,951
=========== ===========
</TABLE>
1. Floating or variable rate obligation maturing in more than one
year. The interest rate, which is based on specific, or an index of,
market interest rates, is subject to change periodically and is the
effective rate on December 31, 1995. This instrument may also have a
demand feature which allows the recovery of principal at any time, or
at specified intervals not exceeding one year, on up to 30 days'
notice. Maturity date shown represents effective maturity based on
variable rate and, if applicable, demand feature.
2. Put obligation redeemable at full face value on the date reported.
See accompanying Notes to Financial Statements.
4
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF ASSETS AND LIABILITIES December 31, 1995(Unaudited)
Centennial New York Tax Exempt Trust
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C>
ASSETS Investments, at value - see accompanying statement $40,805,090
----------------------------------------------------------------------------------------------------
Cash 126,947
----------------------------------------------------------------------------------------------------
Receivables:
Interest 359,134
Shares of beneficial interest sold 180,195
----------------------------------------------------------------------------------------------------
Other 6,819
------------
Total assets 41,478,185
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
LIABILITIES Payables and other liabilities:
Shares of beneficial interest redeemed 341,993
Service plan fees 20,063
Shareholder reports 18,757
Transfer and shareholder servicing agent fees 2,098
Dividends 521
Other 5,802
------------
Total liabilities 389,234
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
NET ASSETS $41,088,951
------------
------------
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
COMPOSITION OF Paid-in capital $41,090,767
----------------------------------------------------------------------------------------------------
NET ASSETS Accumulated net realized loss on investment transactions (1,816)
----------------------------------------------------------------------------------------------------
Net assets - applicable to 41,090,767 shares of beneficial
interest outstanding $41,088,951
--------------------
--------------------
- ------------------------------------------------------------------------------------------------------------------------------------
NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE $1.00
</TABLE>
See accompanying Notes to Financial Statements.
5
<PAGE>
<TABLE>
<CAPTION>
STATEMENT OF OPERATIONS For the Six Months Ended December 31, 1995 (Unaudited)
Centennial New York Tax Exempt Trust
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C>
INVESTMENT INCOME Interest $767,844
- ------------------------------------------------------------------------------------------------------------------------------------
EXPENSES Management fees - Note 3 102,966
----------------------------------------------------------------------------------------------------
Service plan fees - Note 3 39,235
----------------------------------------------------------------------------------------------------
Transfer and shareholder servicing agent fees - Note 3 17,759
----------------------------------------------------------------------------------------------------
Shareholder reports 10,787
----------------------------------------------------------------------------------------------------
Registration and filing fees 5,296
----------------------------------------------------------------------------------------------------
Legal and auditing fees 4,736
----------------------------------------------------------------------------------------------------
Custodian fees and expenses 1,927
----------------------------------------------------------------------------------------------------
Insurance expenses 1,494
----------------------------------------------------------------------------------------------------
Trustees' fees and expenses 770
----------------------------------------------------------------------------------------------------
Other 2,238
---------
Total expenses 187,208
---------
Less assumption of expenses by Centennial Asset Management
Corporation - Note 3 (22,875)
---------
Net expenses 164,333
- ------------------------------------------------------------------------------------------------------------------------------------
NET INVESTMENT INCOME 603,511
- ------------------------------------------------------------------------------------------------------------------------------------
NET REALIZED LOSS ON INVESTMENTS (493)
- ------------------------------------------------------------------------------------------------------------------------------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $603,018
---------
---------
</TABLE>
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
Centennial New York Tax Exempt Trust
SIX MONTHS ENDED YEAR ENDED
DECEMBER 31, 1995 JUNE 30,
(UNAUDITED) 1995
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
OPERATIONS Net investment income $ 603,511 $ 841,058
----------------------------------------------------------------------------------------------------
Net realized loss (493) (171)
--------------------------------
Net increase in net assets resulting
from operations 603,018 840,887
- ------------------------------------------------------------------------------------------------------------------------------------
DIVIDENDS AND DISTRIBUTIONS
TO SHAREHOLDERS (603,511) (842,946)
- ------------------------------------------------------------------------------------------------------------------------------------
BENEFICIAL INTEREST Net increase in net assets resulting from
TRANSACTIONS beneficial interest transactions - Note 2 5,243,632 9,328,969
- ------------------------------------------------------------------------------------------------------------------------------------
NET ASSETS Total increase 5,243,139 9,326,910
----------------------------------------------------------------------------------------------------
Beginning of period 35,845,812 26,518,902
--------------------------------
End of period $41,088,951 $35,845,812
--------------------------------
--------------------------------
</TABLE>
See accompanying Notes to Financial Statements.
6
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
Centennial New York Tax Exempt Trust
Six Months
Ended
December 31, Year Ended June 30,
1995 (Unaudited) 1995 1994 1993 1992 1991
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
PER SHARE OPERATING DATA:
Net asset value, beginning of period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
- ------------------------------------------------------------------------------------------------------------------------------------
Income from investment operations - net
investment income and net realized gain .01 .03 .02 .02 .03 .05
Dividends and distributions to shareholders (.01) (.03) (.02) (.02) (.03) (.05)
- ---------------------------------------------------------------=====================================================================
Net asset value, end of period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
=====================================================================
- ------------------------------------------------------------------------------------------------------------------------------------
TOTAL RETURN, AT NET ASSET VALUE(1) 1.48% 2.85% 1.68% 1.83% 3.11% 4.74%
- ------------------------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (in thousands) $41,089 $35,846 $26,519 $24,994 $24,103 $21,439
- ------------------------------------------------------------------------------------------------------------------------------------
Average net assets (in thousands) $40,881 $29,590 $25,419 $24,257 $23,221 $16,766
- ------------------------------------------------------------------------------------------------------------------------------------
Ratios to average net assets:
Net investment income 2.93%(2) 2.84% 1.67% 1.74% 3.00% 4.42%
Expenses, before voluntary assumption by the Manager 0.91%(2) 0.95% 1.02% 0.98% 1.09% 1.08%
Expenses, net of voluntary assumption by the Manager 0.80%(2) 0.80% 0.80% 0.80% 0.80% 0.72%
</TABLE>
1. Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period, with all dividends reinvested in additional
shares on the reinvestment date, and redemption at the net asset value calcu-
lated on the last business day of the fiscal period. Total returns are not
annualized for periods of less than one full year. Total returns reflect
changes in net investment income only.
2. Annualized.
See accompanying Notes to Financial Statements.
7
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Unaudited)
Centennial New York Tax Exempt Trust
1. SIGNIFICANT ACCOUNTING POLICIES
Centennial New York Tax Exempt Trust (the Trust) is registered under the
Investment Company Act of 1940, as amended, as a non-diversified, open-end
management investment company. The Trust's investment objective is to seek the
maximum current income exempt from Federal, New York State and New York City
income taxes for individual investors that is consistent with preservation of
capital. The Trust's investment advisor is Centennial Asset Management
Corporation (the Manager), a subsidiary of OppenheimerFunds, Inc. (OFI). The
following is a summary of significant accounting policies consistently followed
by the Trust.
INVESTMENT VALUATION. Portfolio securities are valued on the basis of amortized
cost, which approximates market value.
FEDERAL TAXES. The Trust intends to continue to comply with provisions of the
Internal Revenue Code applicable to regulated investment companies and to
distribute all of its taxable income to shareholders.
Therefore, no federal income or excise tax provision is required.
DISTRIBUTIONS TO SHAREHOLDERS. The Trust intends to declare dividends from net
investment income each day the New York Stock Exchange is open for business and
pay such dividends monthly. To effect its policy of maintaining a net asset
value of $1.00 per share, the Trust may withhold dividends or make distributions
of net realized gains.
OTHER. Investment transactions are accounted for on the date the investments are
purchased or sold (trade date). Realized gains and losses on investments are
determined on an identified cost basis, which is the same basis used for federal
income tax purposes. The Trust concentrates its investments in New York and,
therefore, may have more credit risks related to the economic conditions of New
York than a portfolio with a broader geographical diversification.
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of income and expenses during the reporting period. Actual
results could differ from those estimates.
2. SHARES OF BENEFICIAL INTEREST
The Trust has authorized an unlimited number of no par value shares of
beneficial interest. Transactions in shares of beneficial interest were as
follows:
<TABLE>
<CAPTION>
SIX MONTHS ENDED
DECEMBER 31, 1995 YEAR ENDED JUNE 30, 1995
--------------------------------------- ----------------------------------
SHARES AMOUNT SHARES AMOUNT
<S> <C> <C> <C> <C>
Sold 56,405,649 $ 56,405,649 94,305,152 $ 94,305,152
Dividends and distributions 629,447 629,447 798,765 798,765
reinvested
Redeemed (51,791,464) (51,791,464) (85,774,948) (85,774,948)
--------------------------------------- ----------------------------------
Net increase 5,243,632 $ 5,243,632 9,328,969 $ 9,328,969
======================================= ==================================
</TABLE>
8
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Unaudited) (Continued)
Centennial New York Tax Exempt Trust
3. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES
Management fees paid to the Manager were in accordance with the investment
advisory agreement with the Trust which provides for a fee of .50% on the first
$250 million of average annual net assets with a reduction of .025% on each $250
million thereafter, to .40% on net assets in excess of $1 billion. The Manager
has agreed to assume Trust expenses (with specified exceptions) in excess of the
most stringent applicable regulatory limit on Trust expenses. In addition, the
Manager has voluntarily undertaken to assume Trust expenses in excess of .80% of
average annual net assets.
Shareholder Services, Inc. (SSI), a subsidiary of OFI, is the transfer and
shareholder servicing agent for the Trust, and for other registered investment
companies. SSI's total costs of providing such services are allocated ratably to
these companies.
Under an approved service plan, the Trust may expend up to .20% of its net
assets annually to reimburse Centennial Asset Management Corporation, as
distributor, for costs incurred in connection with the personal service and
maintenance of accounts that hold shares of the Trust, including amounts paid to
brokers, dealers, banks and other institutions.
9
<PAGE>
CENTENNIAL NEW YORK TAX EXEMPT TRUST
OFFICERS AND TRUSTEES
James C. Swain, Chairman and Chief Executive Officer
Robert G. Avis, Trustee
William A. Baker, Trustee
Charles Conrad, Jr., Trustee
Jon S. Fossel, Trustee
Raymond J. Kalinowski, Trustee
C. Howard Kast, Trustee
Robert M. Kirchner, Trustee
Bridget A. Macaskill, Trustee and President
Ned M. Steel, Trustee
Michael A. Carbuto, Vice President
Andrew J. Donohue, Vice President
George C. Bowen, Vice President, Secretary and Treasurer
Robert J. Bishop, Assistant Treasurer
Scott Farrar, Assistant Treasurer
Robert G. Zack, Assistant Secretary
INVESTMENT ADVISOR AND DISTRIBUTOR
Centennial Asset Management Corporation
TRANSFER AND SHAREHOLDER SERVICING AGENT
Shareholder Services, Inc.
CUSTODIAN OF PORTFOLIO SECURITIES
Citibank, N.A.
INDEPENDENT AUDITORS
Deloitte & Touche LLP
LEGAL COUNSEL
Myer, Swanson, Adams & Wolf, P.C.
The financial statements included herein have been taken from records of the
Trust without examination by the independent auditors.
This is a copy of a report to shareholders of Centennial New York Tax Exempt
Trust. This report must be preceded or accompanied by a Prospectus of Centennial
New York Tax Exempt Trust. For material information concerning the Trust, see
the Prospectus.
For shareholder servicing, call:
1-800-525-9310 (in U.S.)
303-671-3200 (outside U.S.)
Or write:
Shareholder Services, Inc.
P.O. Box 5143
Denver, CO 80217-5143
10
