August 24, 1994
GENERAL CALIFORNIA MUNICIPAL BOND FUND, INC.
SUPPLEMENT TO PROSPECTUS DATED DECEMBER 17, 1993
THE FOLLOWING ANTICIPATED CHANGES HAVE OCCURRED:
I. CONSUMMATION OF THE MERGER
THE FOLLOWING INFORMATION SUPPLEMENTS AND SUPERSEDES ANY CONTRARY
INFORMATION CONTAINED IN THE FUND'S PROSPECTUS.
On this date, the previously announced merger between The Dreyfus
Corporation and a subsidiary of Mellon Bank Corporation ("Mellon") was
completed, and as a result, The Dreyfus Corporation now is a wholly-owned
subsidiary of Mellon Bank, N.A. instead of a publicly-owned corporation.
Mellon is a publicly owned multibank holding company incorporated
under Pennsylvania law in 1971 and registered under the Federal Bank Holding
Company Act of 1956, as amended. Mellon provides a comprehensive range of
financial products and services in domestic and selected international
markets. Mellon is among the twenty-five largest bank holding companies in
the United States based on total assets. Mellon's principal wholly-owned
subsidiaries are Mellon Bank, N.A., Mellon Bank (DE) National Association,
Mellon Bank (MD), The Boston Company, Inc., AFCO Credit Corporation and a
number of companies known as Mellon Financial Services Corporations. Through
its subsidiaries, Mellon managed more than $130 billion in assets as of July
31, 1994, including approximately $6 billion in mutual fund assets. As of
June 30, 1994, various subsidiaries of Mellon provided non-investment
services, such as custodial or administration services, for approximately
$747 billion in assets, including approximately $97 billion in mutual fund
assets.
II. NEW DISTRIBUTOR
THE FOLLOWING INFORMATION SUPERSEDES AND REPLACES ANY CONTRARY
INFORMATION CONTAINED IN THE FUND'S PROSPECTUS AND SPECIFICALLY IN THE
SECTION ENTITLED "HOW TO BUY FUND SHARES."
The Fund's distributor is Premier Mutual Fund Services, Inc. (the
"Distributor"), located at One Exchange Place, Boston, Massachusetts 02109.
The Distributor is a wholly-owned subsidiary of Institutional Administration
Services, Inc., a provider of mutual fund administration services, the parent
company of which is Boston Institutional Group, Inc.
Accordingly, references in the Prospectus to Dreyfus Service
Corporation as the Fund's distributor should be substituted with Premier
Mutual Fund Services, Inc.
III.NEW RULE 12B-1 PLAN ARRANGEMENTS
THE FOLLOWING INFORMATION SUPERSEDES AND REPLACES THE INFORMATION IN
THE FIRST AND FOURTH PARAGRAPHS CONTAINED IN THE SECTION IN THE FUND'S
PROSPECTUS ENTITLED "SERVICE PLAN."
Under the Service Plan, adopted pursuant to Rule 12b-1 under the
Investment Company Act of 1940, the Fund (a) reimburses the Distributor for
payments to certain Service Agents for distributing the Fund's shares and
servicing shareholder accounts ("Servicing") and (b) pays The Dreyfus
Corporation, Dreyfus Service Corporation and any affiliate of either of them
(collectively, "Dreyfus") for advertising and marketing relating to the Fund
and for Servicing, at an aggregate annual rate of .25 of 1% of the value of
the Fund's average daily net assets. Each of the Distributor
(CONTINUED ON REVERSE SIDE)
and Dreyfus may pay one or more Service Agents a fee in respect of the Fund's
shares owned by shareholders with whom the Service Agent has a Servicing
relationship or for whom the Service Agent is the dealer or holder of record.
Each of the Distributor and Dreyfus determine the amounts, if any, to be paid
to Service Agents under the Service Plan and the basis on which such payments
are made. The fees payable under the Service Plan are payable without regard
to actual expenses incurred.
Management of the Fund does not intend to implement the Service Plan
and will only do so if prior written notice is given to shareholders.
IV. RESULTS OF FUND SHAREHOLDER VOTE
THE FOLLOWING INFORMATION SUPPLEMENTS AND SUPERSEDES ANY CONTRARY
INFORMATION CONTAINED IN THE FUND'S PROSPECTUS.
On August 3, 1994, the Fund's shareholders voted to (a) approve (i) a
new investment advisory agreement with The Dreyfus Corporation, (ii) a new
Service Plan, each of which became effective upon consummation of the merger
between The Dreyfus Corporation and a subsidiary of Mellon, and (b) change
certain of the Fund's fundamental policies and investment restrictions to
permit the Fund to (i) borrow money to the extent permitted under the
Investment Company Act of 1940, as amended, (ii) pledge its assets to the
extent necessary to secure borrowings and make such policy non-fundamental,
and (iii) invest up to 15% of the value of its net assets in illiquid
securities and make such policy non-fundamental.
V. REVISED MANAGEMENT POLICIES
BORROWING MONEY -- As a fundamental policy, the Fund is permitted to
borrow to the extent permitted under the Investment Company Act of 1940, as
amended. However, the Fund currently intends to borrow money only for
temporary or emergency (not leveraging) purposes, in an amount up to 15% of
the value of the Fund's total assets (including the amount borrowed) valued
at the lesser of cost or market, less liabilities (not including the amount
borrowed) at the time the borrowing is made. While borrowings exceed 5% of
the Fund's total assets, the Fund will not make any additional investments.
ILLIQUID SECURITIES -- The Fund may invest up to 15% of the value of
its net assets in securities as to which a liquid trading market does not
exist, provided such investments are consistent with the Fund's investment
objective. Such securities may include securities that are not readily
marketable, such as certain securities that are subject to legal or
contractual restrictions on resale, and repurchase agreements providing for
settlement in more than seven days after notice. As to these securities, the
Fund is subject to a risk that should the Fund desire to sell them when a
ready buyer is not available at a price the Fund deems representative of
their value, the value of the Fund's net assets could be adversely affected.
VI. OTHER MATTERS
THE FOLLOWING INFORMATION SUPPLEMENTS AND SUPERSEDES INFORMATION
CONTAINED IN THE SECTION IN THE FUND'S PROSPECTUS ENTITLED "REDEMPTION OF
FUND SHARES--REDEMPTION BY WIRE OR TELEPHONE" AND DESCRIBES A NEW TELEPHONE
REDEMPTION PRIVILEGE.
WIRE REDEMPTION PRIVILEGE -- An investor may request by wire or
telephone that redemption proceeds (minimum $1,000) be wired to the
investor's account at a bank which is a member of the Federal Reserve System,
or a correspondent bank if the investor's bank is not a member. An investor
may direct that redemption proceeds be paid by check (maximum $150,000 per
day)made out to the owners of record and mailed to the investor's address.
Redemption proceeds of less than $1,000 will be paid automatically by check.
Holders of jointly registered Fund or bank accounts may have redemption
proceeds of only up to $250,000 wired within any 30-day period. The Fund
reserves the right to refuse any redemption request, including requests made
shortly after a change of address, and may limit the amount involved or the
number of such requests.
TELEPHONE REDEMPTION PRIVILEGE -- An investor may redeem Fund shares
(maximum $150,000 per day) by telephone if the investor has checked the
appropriate box on the Fund's Account Application or has filed a Shareholder
Services Form with the Transfer Agent. The redemption proceeds will be paid
by check and mailed to the investor's address. An investor may telephone
redemption instructions by calling 1-800-221-4060 or, if the investor is
calling from overseas, call 1-401-455-3306. The Fund reserves the right to
refuse any request made by telephone, including requests made shortly after a
change of address, and may limit the amount involved or the number of
telephone redemption requests. This Privilege may be modified or terminated
at any time by the Transfer Agent or the Fund. Shares for which certificates
have been issued are not eligible for this Privilege.
131/stkr082494
