DREYFUS NEW YORK MUNICIPAL INCOME, INC.
LETTER TO SHAREHOLDERS
Dear Shareholder:
We are pleased to provide you with this report on Dreyfus New York
Municipal Income, Inc. for the six-month period ended March 31, 1998. Your
Fund produced a total return, including share price changes and interest
income generated, of 3.22%.* During the reporting period, the Fund produced
income dividends exempt from Federal, New York State and New York City
personal income taxes of $0.294 per share.** This is equivalent to an
annualized, tax-free distribution rate per share of 5.53%.***
The Economy
The United States economy seems to be well on the track to its eighth
consecutive year of expansion. Low interest rates, restrained inflation and
plentiful jobs have driven measures of consumer confidence to record levels.
Personal income has grown strongly over the reporting period and consumer
spending, after a sluggish holiday season, has picked up sharply this year.
The production side of the economy has remained strong as well, although
signs of leveling off were seen early in the year, perhaps due to the
economic problems in Asia. The first effects of the Asian economic crisis
were felt at the end of last year when after-tax corporate profits fell in
the fourth quarter, the first decline since the third quarter of 1996.
Balance of Trade figures for January (the latest data available) provided
additional evidence that the economic difficulties in Asia may be affecting
the U.S. economy.
The Federal Reserve Board expects that a reduction in demand for U.S.
exports will result from turmoil in Asia and dampen our domestic economic
growth as a result. Currency devaluations throughout Asia, in turn, have made
imports into the United States less expensive. Cheaper imports and waning
demand for U.S. exports should place additional downward pressure on domestic
prices, helping further to control inflation. The year-long decline in oil
prices has also helped. A restrained rate of inflation, in turn, would ease
some of the strains on the labor market, and help keep labor costs under
control. The upward pressure on wages has been a paramount concern of the
Federal Reserve Board because of the risk it poses for rekindling inflation.
Wage costs have been rising at about 4% over the reporting period, a rate
that has significantly outpaced inflation. New job creation has been strong
over the reporting period with the unemployment rate remaining at or near
25-year lows. Yet inflation has stayed tame. The Consumer Price Index has
risen 1.6% over the past 12 months and a broader measure of the cost of
living, the Gross Domestic Product Price Deflator, has grown at the 1.4%
level for the last two quarters of last year. The Producer Price Index was in
outright decline over the reporting period.
Restrained inflation has kept the Fed from increasing interest rates. The
last increase in short-term rates came in March 1997 when the target rate for
Federal Funds was raised by one quarter of a percent to 5.5%. (The Federal
Funds rate is the rate of interest that banks charge one another for
overnight loans.)
Low interest rates have provided a strong fundamental underpinning for
interest rate-sensitive sectors of the economy such as housing. In this case,
the Asian crisis has actually proven a stimulus to consumer spending since
international bond investors have sought the safety of U.S. Government
securities, causing interest rates to fall. This reduction in borrowing costs
has spurred mortgage refinancing, thus giving consumers additional spending
power. Mortgage rates have been at levels not seen since the 1960s. The
housing market, a critical segment of the economy, has responded accordingly.
New housing starts rose to their highest annual level in over ten years,
while resale rates of existing homes set records during the reporting period.
Overall spending on construction, both residential and commercial, has been
solid.
So far, the economy has remained remarkably robust and inflation-free. We
are sensitive to the longevity of this extraordinary economic advance and are
alert to evidence of a potential reversal in direction or an upsurge in
inflation.
Market Environment
Since our last letter, the bond market in general has turned in a strong
performance. As illustrated by the long-term Treasury Bond, rates moved from
6.32% in early October to 5.93% at the end of March; during the interim,
rates dropped to even lower levels. The municipal market participated in this
price rally, although not to the same degree. As a result, municipals have
remained attractive when compared to Treasuries. During this time period the
Federal Reserve held rates unchanged as concern over the effect of the Asian
crisis sent investors to the safe harbor of the Treasury market.
This favorable environment brought a record level of 1st quarter
financing into the municipal market. Budget surpluses are not occurring in
the Federal government alone: many states and municipalities have seen
dramatic changes in their economies with better fiscal management and strong
tax receipts enhancing their bottom lines. With interest rates remaining at
relatively low levels, municipalities can be expected to issue refunding
obligations to replace their higher interest cost, previously-issued bonds
with new issues paying lower interest rates. Refundings, along with the
issuance of "new-money" bonds, can easily swell the calendar of new issues,
temporarily necessitating price adjustments in order to attract buyers.
We are currently at the time of year when tax payments and heavy issuance
weighs on the fixed-income market. Thus far, inflation has remained under
control: however, the economy continues to remain strong and we anticipate
that although the Fed may stay on hold for the next several months, more than
likely we have seen the low point in rates for the immediate future and the
market has settled into a trading range waiting for a clearer direction.
Portfolio Overview
As we have discussed in previous communications, this Fund seeks to
provide income to shareholders exempt from Federal, New York State and New
York City taxes. The low interest rate environment over the past several
years has naturally removed a portion of our high coupon paper through
refundings, and reinvestment cannot sustain an unreasonably high interest
rate expectation. The overall New York market has seen an improvement in
credit quality and therefore a reduction in rates. Therefore, in keeping with
the declining interest rate environment, we have made an adjustment to the
current payout, changing it from .05 to .047 per share. Based on the March
31, 1998 market price per share, this provides a competitive yield of 5.31%
in today's market.
Included with this report are financial statements relating to your
Fund's holdings and its financial condition. We hope you find them
informative.
Very truly yours,
[Richard J. Moynihan signature logo]
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
April 17, 1998
New York, N.Y.
* Total return includes reinvestment of dividends and any capital gains
paid, based upon net asset value.
**Some income may be subject to state and local taxes for non-New York
residents and, for certain shareholders, to the Federal Alternative Minimum
Tax (AMT).
*** Distribution rate per share is based upon dividends per share paid
from net investment income during the period (annualized), divided by the
market price per share at the end of the period, adjusted for capital gains
distributions.
<TABLE>
<CAPTION>
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
STATEMENT OF INVESTMENTS MARCH 31, 1998 (UNAUDITED)
Principal
Long-Term Municipal Investments-99.7% Amount Value
____________ ____________
<S> <C> <C>
New York-89.1%
Albany Industrial Development Agency, LR
(New York Assembly Building Project) 7.75%, 1/1/2010...................... $ 1,190,000 $ 1,380,924
Babylon Industrial Development Agency, RRR (Ogden Martin System Babylon,
Inc.)
8.50%, 1/1/2019 (Prerefunded 7/1/1998) (a)................................ 1,330,000 1,385,461
New York City, Refunding 7.25%, 8/15/2007................................... 1,500,000 1,779,015
New York City Housing Development Corp., Mortgage Revenue
(South Williamsburg Cooperative) 7.90%, 2/1/2023 (Insured; SONYMA)........ 705,000 742,013
New York City Industrial Development Agency:
Civic Facility Revenue (YMCA of Greater New York Project)
8%, 8/1/2016 (Prerefunded 8/1/2001) (a)................................. 1,000,000 1,133,210
IDR (Brooklyn Navy Yard-Cogen Partners) 5.75%, 10/1/2036.................. 1,000,000 1,025,110
Special Facility Revenue (American Airlines Inc. Project):
8%, 7/1/2020 (Guaranteed; AMR Corp.).................................... 1,325,000 1,389,368
6.90%, 8/1/2024......................................................... 500,000 562,075
(Terminal One Group Association Project) 6%, 1/1/2019..................... 1,100,000 1,161,182
New York City Municipal Water Finance Authority, Water and Sewer System
Revenue
7.75%, 6/15/2020 (Prerefunded 6/15/2001) (a).............................. 1,250,000 1,404,263
New York State Dormitory Authority, Revenue:
Crossover, Refunding (City University) 8.20%, 7/1/2013.................... 1,000,000 1,030,490
Judicial Facility Lease (Suffolk County Issue) 9.50%, 4/15/2014........... 1,000,000 1,166,860
Refunding (State University Educational Facilities) 6%, 5/15/2025......... 1,000,000 1,067,940
Secured Hospital (Saint Agnes Hospital) 5.40%, 2/15/2025.................. 1,200,000 1,204,092
New York State Energy Research and Development Authority, PCR:
(Central Hudson Gas and Electric) 8.375%, 12/1/2028....................... 1,000,000 1,048,180
(Rochester Gas and Electric Co.) 8.375%, 12/1/2028........................ 1,500,000 1,569,510
New York State Environmental Facilities Corp., SWDR (Occidental Petroleum
Corp.)
5.70%, 9/1/2028........................................................... 1,600,000 1,636,976
New York State Housing Finance Agency, Revenue, Refunding (Health Facilities-
New York City) 8%, 11/1/2008 (Prerefunded 11/1/2000) (a).................. 660,000 737,246
New York State Medical Care Facilities Finance Agency, Revenue, Refunding
(Nyack Hospital Project) 8.30%, 11/1/2013 (Prerefunded 11/1/1998) (a)..... 2,000,000 2,092,080
New York State Mortgage Agency, Homeownership Mortgage Revenue:
6.05%, 4/1/2026........................................................... 1,000,000 1,063,300
6.125%, 4/1/2027.......................................................... 2,000,000 2,141,380
6.40%, 4/1/2027........................................................... 1,000,000 1,086,600
New York State Power Authority, Revenue and General Purpose, Refunding:
6.50%, 1/1/2019........................................................... 350,000 380,054
6.50%, 1/1/2019 (Prerefunded 1/1/2002) (a)................................ 650,000 714,233
Onondaga County Industrial Development Agency, IDR (Weyerhaeuser Project)
9%, 10/1/2007............................................................. 1,200,000 1,533,564
United Nations Development Corp., Revenue, Refunding
5.60%, 7/1/2026........................................................... 1,000,000 1,003,130
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
STATEMENT OF INVESTMENTS (CONTINUED) MARCH 31, 1998 (UNAUDITED)
Principal
Long-Term Municipal Investments (continued) Amount Value
____________ ____________
New York (continued)
Yonkers Industrial Development Agency, Civic Facility Revenue
(Saint Joseph's Hospital) 6.20%, 3/1/2020................................. $ 1,600,000 $ 1,603,232
U.S. Related-10.6%
Commonwealth of Puerto Rico 7.158%, 7/1/2018 (Insured; AMBAC) (b,c)......... 1,500,000 1,700,625
Commonwealth of Puerto Rico Infrastructure Financing Authority, Special Tax
Revenue
7.90%, 7/1/2007........................................................... 1,000,000 1,030,770
Virgin Islands Territory, Special Tax Revenue (Hugo Insurance Claims Funds
Program)
7.75%, 10/1/2006.......................................................... 1,095,000 1,218,746
____________
TOTAL LONG-TERM MUNICIPAL INVESTMENTS
(cost $34,539,976)........................................................ $36,991,629
============
Short-Term Municipal Investment-.3%
New York:
New York City Municipal Water Finance Authority, Water and Sewer System
Revenue, VRDN
3.85% (SBPA; FGIC Securities Purchase, Inc.)(d)
(cost $100,000)........................................................... $ 100,000 $ 100,000
============
TOTAL INVESTMENTS-100.0%
(cost $34,639,976)........................................................ $37,091,629
============
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
Summary of Abbreviations
<S> <C> <C> <C>
AMBAC American Municipal Bond Assurance Corporation RRR Resources Recovery Revenue
FGIC Financial Guaranty Insurance Company SBPA Standby Bond Purchase Agreement
IDR Industrial Development Revenue SONYMA State of New York Mortgage Agency
LR Lease Revenue SWDR Solid Waste Disposal Revenue
PCR Pollution Control Revenue VRDN Variable Rate Demand Notes
Summary of Combined Ratings (Unaudited)
</TABLE>
<TABLE>
<CAPTION>
Fitch (e) or Moody's or Standard & Poor's Percentage of Value
_______ ________ ________________ __________________
<S> <C> <C> <C>
AAA Aaa AAA 17.1%
AA Aa AA 16.5
A A A 23.7
BBB Baa BBB 25.4
F1 Mig1 SP1 .3
Not Rated (f) Not Rated (f) Not Rated (f) 17.0
_______
100.0%
=======
Notes to Statement of Investments:
(a) Bonds which are prerefunded are collateralized by U.S. Government
securities which are held in escrow and are used to pay principal and
interest on the municipal issue and to retire the bonds in full at the
earliest refunding date.
(b) Inverse floater security-the interest rate is subject to change
periodically.
(c) Security exempt from registration under rule 144A of the securities
act of 1933. This security may be resold in transactions exempt from
registration, normally to a qualified institutional buyer. At March 31,
1998, this security amounted to 1,700,625 or 4.5% of net assets.
(d) Securities payable on demand. The interest rate, which is subject to
change, is based upon bank prime rates or an index of market interest
rates.
(e) Fitch currently provides creditworthiness information for a limited
number of investments.
(f) Securities which, while not rated by Fitch, Moody's and Standard &
Poor's have been determined by the Manager to be of comparable quality to
those rated securities in which the Fund may invest.
SEE NOTES TO FINANCIAL STATMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
STATEMENT OF ASSETS AND LIABILITIES MARCH 31, 1998 (UNAUDITED)
Cost Value
____________ ____________
<S> <C> <C> <C>
ASSETS: Investments in securities-See Statement of Investments $34,639,976 $37,091,629
Cash....................................... 22,768
Interest receivable........................ 755,391
Prepaid expenses........................... 7,629
____________
37,877,417
____________
LIABILITIES: Due to The Dreyfus Corporation and affiliates 29,000
Accrued expenses........................... 47,196
____________
76,196
____________
NET ASSETS.................................................................. $37,801,221
============
REPRESENTED BY: Paid-in capital............................ $35,137,879
Accumulated undistributed investment income-net 141,981
Accumulated net realized gain (loss) on investments 69,708
Accumulated gross unrealized appreciation on investments 2,451,653
____________
NET ASSETS.................................................................. $37,801,221
============
SHARES OUTSTANDING
(110 MILLION SHARES OF $.001 PAR VALUE COMMON STOCK AUTHORIZED)............. 3,788,189
NET ASSET VALUE per share................................................... $9.98
======
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
STATEMENT OF OPERATIONS SIX MONTHS ENDED MARCH 31, 1998 (UNAUDITED)
INVESTMENT INCOME
<S> <C> <C> <C>
INCOME Interest Income............................ $1,254,588
EXPENSES: Management fee-Note 3(a)................... $ 131,504
Directors' fees and expenses-Note 3(c)..... 19,098
Shareholders' reports...................... 17,396
Shareholder servicing costs-Note 3(b)...... 12,891
Auditing fees.............................. 10,500
Legal fees................................. 2,847
Registration fees.......................... 2,667
Custodian fees-Note 3(b)................... 1,431
Miscellaneous.............................. 5,017
___________
Total Expenses......................... 203,351
___________
INVESTMENT INCOME-NET....................................................... 1,051,237
REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS-Note 4:
Net realized gain (loss) on investments.... $ 70,294
Net unrealized appreciation (depreciation) on investments 85,889
___________
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS...................... 156,183
___________
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $1,207,420
===========
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
STATEMENT OF CHANGES IN NET ASSETS
Six Months Ended
March 31, 1998 Year Ended
(Unaudited) September 30, 1997
______________ ___________________
<S> <C> <C>
OPERATIONS:
Investment income-net............................................... $ 1,051,237 $ 2,173,469
Net realized gain (loss) on investments............................. 70,294 64,879
Net unrealized appreciation (depreciation) on investments........... 85,889 421,528
____________ ____________
Net Increase (Decrease) in Net Assets Resulting from Operations... 1,207,420 2,659,876
____________ ____________
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income-net............................................... (1,110,931) (2,255,585)
Net realized gain on investments.................................... (65,155) (126,822)
____________ ____________
Total Dividends................................................... (1,176,086) (2,382,407)
____________ ____________
CAPITAL STOCK TRANSACTIONS:
Dividends reinvested-Note 1(c)...................................... 167,109 198,280
____________ ____________
Total Increase (Decrease) in Net Assets........................... 198,443 475,749
NET ASSETS:
Beginning of Period................................................. 37,602,778 37,127,029
____________ ____________
End of Period....................................................... $37,801,221 $37,602,778
============ ============
UNDISTRIBUTED INVESTMENT INCOME-NET................................... $ 141,981 $ 201,675
____________ ____________
Shares Shares
____________ ____________
CAPITAL SHARE TRANSACTIONS:
Increase In Shares Outstanding as a Result of Dividends Reinvested.. 16,506 19,968
============ ============
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Common Stock outstanding, total investment return, ratios to average net
assets and other supplemental data for each period indicated. This
information has been derived from the financial statements and market price
data for the Fund's shares.
Six Months Ended
March 31, 1998 Year Ended September 30,
_____________________________________________
PER SHARE DATA: (Unaudited) 1997 1996 1995 1994 1993
__________ ______ ______ ______ ______ ______
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period.. $ 9.97 $ 9.90 $10.10 $ 9.92 $10.65 $10.13
______ ______ ______ ______ ______ ______
Investment Operations:
Investment income-net................. .28 .58 .59 .61 .61 .62
Net realized and unrealized gain (loss)
on investments...................... .04 .12 (.14) .18 (.72) .53
______ ______ ______ ______ ______ ______
Total from Investment Operations...... .32 .70 .45 .79 (.11) 1.15
______ ______ ______ ______ ______ ______
Distributions:
Dividends from investment income-net.. (.29) (.60) (.60) (.60) (.61) (.58)
Dividends from net realized gain on investments (.02) (.03) (.05) (.01) (.01) (.05)
______ ______ ______ ______ ______ ______
Total Distributions................... (.31) (.63) (.65) (.61) (.62) (.63)
______ ______ ______ ______ ______ ______
Net asset value, end of period........ $ 9.98 $ 9.97 $ 9.90 $10.10 $ 9.92 $10.65
====== ====== ====== ====== ====== ======
Market value, end of period........... $ 105\8 $ 101\4 $ 101\4 $ 911\16 $ 9 $ 115\8
====== ====== ====== ====== ====== ======
TOTAL INVESTMENT RETURN(1)................ 13.82%(2) 6.58% 12.92% 14.74% (17.78%) 21.99%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets 1.08%(2) 1.03% 1.03% 1.05% 1.02% 1.06%
Ratio of net investment income
to average net assets............... 5.60%(2) 5.85% 5.94% 6.19% 5.98% 6.06%
Portfolio Turnover Rate............... 10.09%(3) 16.53% 9.59% 12.55% 5.94% 5.01%
Net Assets, end of period (000's Omitted) $37,801 $37,603 $37,127 $37,715 $37,038 $39,543
(1) Calculated based on market value.
(2) Annualized.
(3) Not annualized.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
Dreyfus New York Municipal Income, Inc. (the "Fund") is registered under
the Investment Company Act of 1940 ("Act") as a non-diversified closed-end
management investment company. The Fund's investment objective is to maximize
current income exempt from Federal, New York State and New York City personal
income taxes to the extent consistent with the preservation of capital. The
Dreyfus Corporation ("Manager") serves as the Fund's investment adviser. The
Manager is a direct subsidiary of Mellon Bank, N.A. ("Mellon").
The Fund's financial statements are prepared in accordance with generally
accepted accounting principles which may require the use of management
estimates and assumptions. Actual results could differ from those estimates.
(a) Portfolio valuation: Investments in municipal debt securities
(excluding options and financial futures on municipal and U.S. treasury
securities) are valued on the last business day of each week and month by an
independent pricing service ("Service") approved by the Board of Directors.
Investments for which quoted bid prices are readily available and are
representative of the bid side of the market in the judgment of the Service
are valued at the mean between the quoted bid prices (as obtained by the
Service from dealers in such securities) and asked prices (as calculated by
the Service based upon its evaluation of the market for such securities).
Other investments (which constitute a majority of the portfolio securities)
are carried at fair value as determined by the Service, based on methods
which include consideration of: yields or prices of municipal securities of
comparable quality, coupon, maturity and type; indications as to values from
dealers; and general market conditions. Options and financial futures on munic
ipal and U.S. treasury securities are valued at the last sales price on the
securities exchange on which such securities are primarily traded or at the
last sales price on the national securities market on the last business day
of each week and month. Investments not listed on an exchange or the national
securities market, or securities for which there were no transactions, are
valued at the average of the most recent bid and asked prices. Bid price is
used when no asked price is available.
(b) Securities transactions and investment income: Securities
transactions are recorded on a trade date basis. Realized gain and loss from
securities transactions are recorded on the identified cost basis. Interest
income, adjusted for amortization of premiums and original issue discounts on
investments, is earned from settlement date and recognized on the accrual
basis. Securities purchased or sold on a when-issued or delayed-delivery
basis may be settled a month or more after the trade date.
The Fund follows an investment policy of investing primarily in municipal
obligations of one state. Economic changes affecting the state and certain of
its public bodies and municipalities may affect the ability of issuers within
the state to pay interest on, or repay principal of, municipal obligations
held by the Fund.
(c) Dividends to shareholders: Dividends are recorded on the ex-dividend
date. Dividends from investment income-net are declared and paid monthly.
Dividends from net realized capital gain are declared and paid at least
annually. To the extent that net realized capital gain can be offset by
capital loss carryovers, if any, it is the policy of the Fund not to
distribute such gain.
For shareholders who elect to receive their distributions in additional
shares of the Fund, in lieu of cash, such distributions will be reinvested at
the lower of the market price or net asset value per share (but not less than
95% of the market price) based on the record date's respective prices. If the
net asset value per share on the record date is lower than the market price
per share, shares will be issued by the Fund at the record date's net asset
value on the payable date of the distribution. If the net asset value per
share is less than 95% of the market value, shares will be issued by the Fund
at 95% of the market value. If the market price is lower than the net asset
value per share on the record date, Mellon will purchase Fund shares in the
open market commencing on the payable date and reinvest those shares
accordingly. As a result of purchasing Fund shares in the open market, Fund
shares outstanding will not be affected by this form of reinvestment.
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) (CONTINUED)
On March 31, 1998, the Board of Directors declared a cash dividend of $.047
per share from investment income-net, payable on April 29, 1998 to
shareholders of record as of the close of business on April 15, 1998.
(d) Federal income taxes: It is the policy of the Fund to continue to
qualify as a regulated investment company, which can distribute tax exempt
dividends, by complying with the applicable provisions of the Internal
Revenue Code, and to make distributions of income and net realized capital
gain sufficient to relieve it from substantially all Federal income and
excise taxes.
NOTE 2-BANK LINE OF CREDIT:
The Fund participates with other Dreyfus-managed funds in a $100 million
unsecured line of credit primarily to be utilized for temporary or emergency
purposes. Interest is charged to the Fund at rates which are related to the
Federal Funds rate in effect at the time of borrowings. During the period
ended March 31, 1998, the Fund did not borrow under the line of credit.
NOTE 3-MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(a) Pursuant to a management agreement ("Agreement") with the Manager,
the management fee is computed at the annual rate of .70 of 1% of the value
of the Fund's average weekly net assets and is payable monthly. The Agreement
provides that if in any full fiscal year the aggregate expenses of the Fund,
exclusive of taxes, interest on borrowings, brokerage and extraordinary
expenses, exceed the expense limitation of any state having jurisdiction over
the Fund, the Fund may deduct from payments to be made to the Manager, or the
Manager will bear the amount of such excess to the extent required by state
law. There was no expense reimbursement for the period ended March 31, 1998.
(b) The Fund compensates Mellon under a transfer agency agreement for
providing personnel and facilities to perform transfer agency services for
the Fund. During the period ended March 31, 1998, the Fund was charged $6,300
pursuant to the transfer agency agreement.
The Fund compensates Mellon under a custody agreement to provide
custodial services for the Fund. During the period ended March 31,1998, the
Fund was charged $1,431 pursuant to the custody agreement.
(c) Each director who is not an "affiliated person" as defined in the Act
receives from the Fund an annual fee of $2,500 and an attendance fee of $250
per meeting. The Chairman of the Board receives an additional 25% of such
compensation.
NOTE 4-SECURITIES TRANSACTIONS:
The aggregate amount of purchases and sales of investment securities,
excluding short-term securities, during the period ended March 31, 1998
amounted to $3,787,282 and $3,716,860, respectively.
At March 31, 1998, the cost of investments for Federal income tax
purposes was substantially the same as the cost for financial reporting
purposes (see the Statement of Investments).
OFFICERS AND DIRECTORS
DREYFUS NEW YORK MUNICIPAL INCOME, INC.
200 Park Avenue
New York, NY 10166
Directors
Joseph S. DiMartino, Chairman
Lucy Wilson Benson
David W. Burke
Martin D. Fife
Whitney I. Gerard
Robert R. Glauber
Arthur A. Hartman
George L. Perry
Paul Wolfowitz
Officers
President and Treasurer
Marie E. Connolly
Vice President and Assistant Treasurer
Richard W. Ingram
Vice President and Assistant Treasurer
Mary A. Nelson
Vice President, Assistant Treasurer
and Assistant Secretary
Michael Petrucelli
Vice President and Assistant Treasurer
Joseph F. Tower, III
Vice President and Assistant Secretary
Douglas C. Conroy
Vice President and Assistant Secretary
Christopher J. Kelley
Vice President and Assistant Secretary
Kathleen K. Morrisey
Vice President and Assistant Secretary
Elba Vasquez
Portfolio Managers
Joseph P. Darcy
A. Paul Disdier
Karen M. Hand
Stephen C. Kris
Richard J. Moynihan
Jill C. Shaffro
Samuel J. Weinstock
Monica S. Wieboldt
Investment Adviser
The Dreyfus Corporation
Custodian
Mellon Bank, N.A.
Counsel
Stroock & Stroock & Lavan LLP
Transfer Agent,
Dividend Distribution Agent
and Registrar
Mellon Bank, N.A.
Stock Exchange Listing
AMEX Symbol: DNM
Initial SEC Effective Date
10/21/88
The Net Asset Value appears in the
following publications: Barron's, Closed-End Bond Funds section
under the heading "Municipal
Bond Funds" every Monday;
Wall Street Journal, Mutual Funds
section under the heading
"Closed-End Bond Funds" every
Monday; New York Times,
Money and Business Section under
the heading "Closed-End Bond
Funds-Single State Municipal Bond
Funds" every Sunday.
Notice is hereby given in accordance with Section 23(c) of the Investment
Company Act of 1940, as amended, that the Fund may purchase shares of its
common stock in the open market when it can do so at prices below the then
current net asset value per share.
Registration Mark
[Dreyfus lion "d" logo]
DREYFUS NEW YORK MUNICIPAL
INCOME, INC.
200 Park Avenue
New York, NY 10166
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
Mellon Bank, N.A.
One Mellon Bank Center
Pittsburgh, PA 15258
TRANSFER AGENT,
DIVIDEND DISTRIBUTION AGENT
AND REGISTRAR
Mellon Bank, N.A.
85 Challenger Road
Ridgefield Park, NJ 07660
Printed in U.S.A. 858SA983
Registration Mark
[Dreyfus logo]
New York
Municipal
Income, Inc.
Semi-Annual
Report
March 31, 1998
