DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
LETTER TO SHAREHOLDERS
Dear Shareholder:
We are pleased to report the performance for Dreyfus Municipal Cash
Management Plus for the one-month fiscal period ended January 31, 1997 as
shown in the following table:
<TABLE>
<CAPTION>
Annualized
Annualized Yield Effective Yield*
__________________ ______________
<S> <C> <C>
Institutional Shares 3.37% 3.42%
Investor Shares 3.13% 3.17%
Administrative Shares 3.27% 3.32%
Participant Shares 2.97% 3.01%
</TABLE>
Please note that the fiscal year-end for the Fund was formally changed to
the last day of January of each year from the last
day of December of each year. The returns set forth above represent a
one-month fiscal year, and are annualized accordingly. Please understand that
this change does not have any detrimental effect on the Fund or on
shareholders.
THE ECONOMY
In recent months, the U.S. economy engine appeared to be advancing more
rapidly than it had been previously, as incoming data reflected an
accelerated pace. December's strong gains in nonfarm payrolls and the length
of the workweek, along with upward revisions of both for November, convinced
many analysts that fourth quarter Gross Domestic Product (GDP) growth would
be strong _ in the 4% range. Their estimates were, in actuality, low, as the
reported GDP rate was a brisk 4.7%. While such strong economic growth has not
yet produced higher inflation, forthcoming data on wage and benefits growth,
home sales, and purchasing managers' outlays may rekindle inflation concerns.
Some Federal Reserve Board officials have been voicing concern already,
although Fed Chairman Greenspan gave little sense of urgency in his
commentary to the Senate Budget Committee on January 21. Additionally, the
Fed Beige Book survey of national economic conditions contained few hints of
price pressures.
Given these indications, the Fed seems likely to rely on anti-inflation
rhetoric rather than action until evidence of price pressures becomes more
persuasive. Nonetheless, words of caution from Fed Chairman Alan Greenspan
during December, and January's robust economic data, have pushed up market
interest rates on six-month to one-year money market securities, as investors
began to see the possibility of higher rates ahead.
MARKET ENVIRONMENT/PORTFOLIO
The economic picture is always an important component of our overall
portfolio strategy. However, market expectations can also affect the
short-term municipal market_as was the case in this most recent period. The
anticipation of Federal Reserve activity prior to the Presidential election
this past November left the market jittery, while the lack of Fed action in
the weeks following the election helped settle the market into a trading
range. However, various other influences which affect our market (most
specifically supply/demand) can lead us to adjust our strategy, and result in
a portfolio structure and/or average maturity which may not appear to
coincide exactly with interest rate moves, economic conditions, or forecasts.
For example, during this period, one might have expected that your Fund's
average maturity would be relatively short in expectation of higher rates.
However, we were comfortable extending the average maturity beyond 50 days,
and locking in attractive rates as 1996 drew to a close, due to the
expectation of limited availability of high quality municipal note issues in
early 1997. This strategy served us well when rates dropped significantly
(albeit temporarily) in January, and also leaves flexibility to extend
further should conditions warrant and opportunities arise.
In the coming months, we expect additional technical market situations to
occur such as increased redemptions due to tax payments during April and the
maturation of significant note issues in June. As a result of these
anticipated market
events, we expect to adjust the portfolio's composition to respond to the
supply and cashflow changes in an effort to maximize your Fund's yield
performance. As we endeavor to accomplish this, we will continue to commit to
those issues which meet our high quality investment guidelines and which
provide the appropriate level of liquidity for your Fund's needs.
Additionally, we will monitor those conditions which affect our marketplace
and adjust our investment policy where necessary to enhance your Fund's
return.
Included in this report is a series of detailed statements about your
Fund's holdings and its financial condition. We hope they are informative.
Please know that we appreciate greatly your continued confidence in the Fund
and in The Dreyfus Corporation.
Very truly yours,
[Richard J. Moynihan signature logo]
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
February 18, 1997
New York, N.Y.
* Annualized effective yield takes into account the effect of compounding
and is based upon dividends declared daily and reinvested monthly.
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
STATEMENT OF INVESTMENTS JANUARY 31, 1997
Principal
Tax Exempt Investments_100.0% Amount Value
_______ _______
<S> <C> <C>
California_10.7%
California Higher Education Loan Authority Inc., Student Loan Revenue
3.75%, Series C, 6/1/97 (LOC; Student Loan Marketing Association) (a)..... $ 5,500,000 $ 5,500,000
California School Cash Reserves Program Authority
4.75%, Series A, 7/2/97 (Insured; MBIA)................................... 5,000,000 5,017,921
Los Angeles County, TRAN 4.50%, Series A, 6/30/97 (LOC: Bank of America,
Credit Suisse,
Morgan Guaranty Trust Co., Union Bank of Switzerland and WestDeutsche Landesbank) (a) 12,000,000 12,025,391
Colorado_2.1%
Colorado Student Obligation Bond Authority, Student Loan Revenue, VRDN
3.55%, Series A (LOC; Student Loan Marketing Association) (a,b)........... 4,400,000 4,400,000
Florida_2.5%
Pinellas County Housing Finance Authority, SFMR (Multi-Community Program)
3.40%, Series B, 3/1/97 (Insured; FGIC)................................... 5,250,000 5,250,000
Hawaii_3.2%
Honolulu City and County, MFHR, VRDN (HaleKua Gardens Project)
3.60%, Series A (LOC; Bank of Tokyo-Mitsubishi) (a,b)..................... 6,704,000 6,704,000
Illinois_.9%
West Chicago, IDR, VRDN (Acme Printing Ink Project)
3.925% (LOC; Bank of Tokyo-Mitsubishi) (a,b).............................. 2,000,000 2,000,000
Kentucky_.7%
Boone County, IDR, VRDN (Curtain Matheson Scientific Project)
3.70% (LOC; Toronto-Dominion Bank) (a,b).................................. 1,500,000 1,500,000
Louisiana_9.0%
Ascension Parish, Revenue, VRDN (BASF Corp. Project)
3.70% (LOC; BASF Corp.) (a,b)............................................. 10,000,000 10,000,000
New Orleans Aviation Board, Revenue, VRDN (Passenger Facility Charge
Projects)
3.85% (LOC: Banque Paribas and Canadian Imperial Bank of Commerce) (a,b).. 9,000,000 9,000,000
Massachusetts_1.4%
State of Massachusetts 4.25%, Series A, 6/10/97............................. 3,000,000 3,003,561
Michigan_10.1%
Michigan Building Authority, Revenue, CP
3.50%, Series 1, 5/1/97 (LOC; Canadian Imperial Bank of Commerce) (a)..... 7,295,000 7,295,000
Michigan Higher Education Student Loan Authority, Revenue, VRDN
3.55%, Series XII-F (Insured; AMBAC and LOC; Krediet Bank) (a,b).......... 2,000,000 2,000,000
Michigan Underground Storage, CP
3.60%, 2/5/97 (LOC; Canadian Imperial Bank of Commerce) (a)............... 6,000,000 6,000,000
Midland County Economic Development Corporation, Economic Development, LOR,
Refunding
VRDN (Dow Chemical Co. Project)
3.60%, Series B (Corp. Guaranty; Dow Chemical Co.) (b).................... 6,125,000 6,125,000
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
STATEMENT OF INVESTMENTS (CONTINUED) JANUARY 31, 1997
Principal
Tax Exempt Investments (continued) Amount Value
_______ _______
Mississippi_2.9%
Jackson County, Industrial Sewage Facility Revenue, VRDN (Chevron USA Inc. Project)
3.75% (LOC; Chevron USA Inc.) (a,b)....................................... $ 6,200,000 $ 6,200,000
Missouri_6.6%
Mexico Industrial Development Authority, Industrial Revenue, VRDN
(Optec DD USA Inc. Project) 3.925% (LOC; Industrial Bank of Japan) (a,b).. 1,000,000 1,000,000
Missouri Environmental Improvement and Energy Resource Authority, PCR
(Union Electric Co.) 3.65%, Series A, 6/1/97 (LOC; Swiss Bank Corp.) (a).. 6,500,000 6,500,000
Missouri Higher Education Loan Authority, Student Loan Revenue, Refunding,
VRDN
3.65%, Series B (Insured; MBIA and LOC; State Street Bank) (a,b).......... 6,500,000 6,500,000
New Jersey_4.7%
Burlington County, BAN 4.25%, 4/24/97....................................... 2,000,000 2,002,600
New Jersey Turnpike Authority, Revenue, Refunding, VRDN
3.35%, Series D (Insured; FGIC and Liquidity Facility; Societe Generale) (b) 8,000,000 8,000,000
New York_6.5%
New York City Municipal Water Finance Authority, Water and Sewer System, VRDN
3.65% (Insured; FGIC and Liquidity Facility; FGIC) (b).................... 6,620,000 6,620,000
State of New York, CP 3.50%, 3/5/97 (LOC; WestDeutsche Landesbank) (a)...... 7,000,000 7,000,000
North Carolina_2.9%
Craven County Industrial Facilities and Pollution Control Financing
Authority, VRDN
(Craven Wood Energy) 3.75%, Series B (LOC; ABN-Amro Bank) (a,b)........... 6,140,000 6,140,000
Ohio_7.0%
Greene County, BAN 3.88%, 6/4/97............................................ 5,000,000 5,002,595
Ohio Housing Finance Agency, Mortgage Revenue 3.40%, Series A-3, 3/3/97..... 5,000,000 5,000,000
Piqua, IDR, VRDN (Berwick Steel Co. Project) 4.80% (LOC; Sanwa Bank) (a,b).. 4,800,000 4,800,000
Pennsylvania_7.7%
Allegheny County Hospital Development Authority, VRDN (Presbyterian)
3.50%, Series C (Insured; MBIA and Liquidity Facility; PNC Bank) (b)...... 8,200,000 8,200,000
Emmaus General Authority, Revenue, VRDN
3.60% (Liquidity Facility; Credit Suisse and LOC; FSA) (a,b).............. 8,000,000 8,000,000
Rhode Island_2.1%
Rhode Island Housing and Mortgage Finance Corporation
3.65%, Series 22-A, 12/2/97 (Insured; FGIC)............................... 4,500,000 4,500,000
Texas_3.8%
Greater East Texas Higher Education Authority Inc., Student Loan Revenue
4.15%, Series B, 9/1/97 (LOC; Student Loan Marketing Association) (a)..... 3,000,000 3,000,000
State of Texas, TRAN 4.75%, 8/29/97......................................... 5,000,000 5,022,019
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
STATEMENT OF INVESTMENTS (CONTINUED) JANUARY 31, 1997
Principal
Tax Exempt Investments (continued) Amount Value
_______ _______
Vermont_2.0%
Vermont Industrial Development Authority, IDR, VRDN (Ryegate Project)
3.60% (LOC; ABN-Amro Bank) (a,b).......................................... $ 4,300,000 $ 4,300,000
Virginia_2.5%
Charles City and County Industrial Development Authority, Exempt Facility
Revenue
VRDN (Chambers Development Inc., Project)
3.70% (LOC; North Carolina National Bank) (a,b)........................... 3,700,000 3,700,000
Chesapeake Industrial Development Authority, IDR, VRDN (Sumitomo Mach Co.)
3.925% (LOC; Sumitomo Bank) (a,b)......................................... 1,500,000 1,500,000
Washington_4.7%
Washington Housing Finance Commission, VRDN 3.65% (LOC; Key Bank) (a,b)..... 10,000,000 10,000,000
West Virginia_3.6%
Marion County, Commission Solid Waste Disposal Facility Revenue, VRDN
(Granttown Project) 3.65%, Series B (LOC; National Westminster Bank) (a,b) 7,700,000 7,700,000
U.S. Related_2.4%
Commonwealth of Puerto Rico, TRAN 4%, Series A, 7/30/97..................... 5,000,000 5,011,719
_______
TOTAL INVESTMENTS (cost $211,519,806)....................................... $211,519,806
=======
</TABLE>
<TABLE>
<CAPTION>
Summary of Abbreviations
<S> <C> <S> <C>
AMBAC American Municipal Bond Assurance Corporation MBIA Municipal Bond Investors Assurance
BAN Bond Anticipation Notes Insurance Corporation
CP Commercial Paper MFHR Multi-Family Housing Revenue
FGIC Financial Guaranty Insurance Company PCR Pollution Control Revenue
FSA Financial Security Assurance SFMR Single Family Mortgage Revenue
IDR Industrial Development Revenue TRAN Tax Revenue Anticipation Notes
LOC Letter of Credit VRDN Variable Rate Demand Notes
LOR Limited Obligation Revenue
</TABLE>
<TABLE>
<CAPTION>
Summary of Combined Ratings (Unaudited)
Fitch (c) or Moody's or Standard & Poor's Percentage of Value
________ ________ __________________ ____________________
<S> <C> <C> <C>
F1+/F1 VMIG1/MIG1, P1 (d) SP1+/SP1, A1+/A1 (d) 96.7%
Not Rated (e) Not Rated (e) Not Rated (e) 3.3
____
100.0%
====
</TABLE>
Notes to Statement of Investments:
(a) Secured by letters of credit. At January 31, 1997, 63.3% of the
Fund's net assets are backed by letters of credit issued by domestic
banks, foreign banks, corporations and government agencies.
(b) 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.
(c) Fitch currently provides creditworthiness information for a limited
number of investments.
(d) P1 and A1 are the highest ratings assigned tax-exempt commercial
paper by Moody's and Standard & Poor's, respectively.
(e) Securities which, while not rated by Fitch, Moody's and Standard &
Poor's have been determined by the Fund's Board of Trustees to be of
comparable quality to those rated securities in which the Fund may
invest.
SEE NOTES TO FINANCIAL STATEMENTS.
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
STATEMENT OF ASSETS AND LIABILITIES JANUARY 31, 1997
Cost Value
_______ _______
<S> <C> <C> <C>
ASSETS: Investments in securities_See Statement of Investments $211,519,806 $211,519,806
Cash....................................... 12,544,452
Interest receivable........................ 1,598,207
_______
225,662,465
_______
LIABILITIES: Due to The Dreyfus Corporation and affiliates 28,837
Due to Distributor......................... 9,822
_______
38,659
_______
NET ASSETS.................................................................. $225,623,806
=======
REPRESENTED BY: Paid-in capital............................ $225,804,160
Accumulated net realized gain (loss) on investments (180,354)
_______
NET ASSETS ................................................................. $225,623,806
=======
</TABLE>
<TABLE>
<CAPTION>
NET ASSET VALUE PER SHARE
__________________________________
Institutional Administrative Investor Participant
Shares Shares Shares Shares
________________ ________________ _______________ ________________
<S> <C> <C> <C> <C>
Net Assets................................. $158,952,042 $ 100 $66,671,564 $ 100
Shares Outstanding......................... 159,124,825 100 66,679,135 100
NET ASSET VALUE PER SHARE.................. $1.00 $1.00 $1.00 $1.00
=== === === ===
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
STATEMENT OF OPERATIONS
One Month Ended Year Ended
January 31, 1997* December 31, 1996
__________ __________
<S> <C> <C>
INVESTMENT INCOME
INCOME Interest Income.................. $ 582,498 $8,236,541
______ ______
EXPENSES: Management fee_Note 2(a)......... $ 32,580 $ 459,763
Distribution fees_Note 2(b)...... 9,822 115,500
______ ______
Total Expenses............... 42,402 575,263
______ ______
INVESTMENT INCOME_NET............................................. 540,096 7,661,278
NET REALIZED GAIN (LOSS) ON INVESTMENTS_Note 1(b)................. (17,268) (6,563)
______ ______
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.............. $ 522,828 $7,654,715
====== ======
* The Fund has changed its fiscal year end from December 31 to January 31.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
STATEMENT OF CHANGES IN NET ASSETS
One Month Ended Year Ended Year Ended
January 31,1997(1) December 31, 1996 December 31, 1995
__________ __________ __________
<S> <C> <C> <C>
OPERATIONS:
Investment income_net........................... $ 540,096 $ 7,661,278 $ 8,688,727
Net realized gain (loss) on investments......... (17,268) (6,563) (12,665)
_________ _________ _________
Net Increase (Decrease) in Net Assets Resulting
from Operations........................... 522,828 7,654,715 8,676,062
_________ _________ _________
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income_net:
Institutional Shares (2)...................... (417,221) (6,211,606) (8,341,265)
Investor Shares (2)........................... (122,875) (1,449,672) (347,462)
_________ _________ _________
Total Dividends............................. (540,096) (7,661,278) (8,688,727)
_________ _________ _________
BENEFICIAL INTEREST TRANSACTIONS ($1.00 per share):
Net proceeds from shares sold:
Institutional Shares (2)...................... 117,012,744 1,844,365,196 2,507,919,735
Administrative Shares (3)..................... ___ 100 ___
Investor Shares (2)........................... 76,769,672 525,650,851 178,387,472
Participant Shares (3)........................ ___ 100 ___
Dividends reinvested:
Institutional Shares (2)...................... 377,341 5,716,634 7,895,480
Investor Shares (2)........................... 108,414 1,317,464 318,497
Cost of shares redeemed:
Institutional Shares (2)...................... (114,338,059) (1,888,251,730) (2,514,424,708)
Investor Shares (2)........................... (56,030,242) (503,956,089) (157,298,474)
_________ _________ _________
Increase (Decrease) in Net Assets from Beneficial
Interest Transactions..................... 23,899,870 (15,157,474) 22,798,002
_________ _________ _________
Total Increase (Decrease) in Net Assets... 23,882,602 (15,164,037) 22,785,337
NET ASSETS:
Beginning of Period............................. 201,741,204 216,905,241 194,119,904
_________ _________ _________
End of Period................................... $ 225,623,806 $ 201,741,204 $ 216,905,241
========= ========= =========
(1) The Fund has changed its fiscal year end from December 31 to January 31.
(2) Effective November 20, 1996, Class A shares were redesignated as Institutional Shares and Class B shares were
redesignated as Investor Shares.
(3) From November 21, 1996 (commencement of initial offering) to December 31, 1996.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Beneficial Interest outstanding, total investment return, ratios to average
net assets and other supplemental data for each period indicated. This
information has been derived from the Fund's financial statements.
Institutional Shares
__________________________________________________________________
One Month Ended
January 31, Year Ended December 31,
____________________________________________________
PER SHARE DATA: 1997(1) 1996(2) 1995 1994 1993 1992
____ ____ ____ ____ ____ ____
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period.. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
____ ____ ____ ____ ____ ____
Investment Operations:
Investment income_net................. .003 .034 .038 .027 .024 .031
____ ____ ____ ____ ____ ____
Distributions:
Dividends from investment income_net.. (.003) (.034) (.038) (.027) (.024) (.031)
____ ____ ____ ____ ____ ____
Net asset value, end of period........ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
==== ==== ==== ==== ==== ====
TOTAL INVESTMENT RETURN................... 3.41%(3) 3.43% 3.85% 2.76% 2.44% 3.16%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets .20%(3) .20% .20% .20% .20% .20%
Ratio of net investment income
to average net assets............... 3.38%(3) 3.38% 3.78% 2.62% 2.40% 3.04%
Decrease reflected in above expense ratios
due to undertakings by the Manager.. _ _ _ _ .07% .10%
Net Assets, end of period (000's Omitted) $158,952 $155,913 $194,088 $ 192,710 $364,583 $259,416
(1) The Fund has changed its fiscal year end from December 31 to January 31.
(2) Effective November 20, 1996, Class A shares were redesignated as Institutional Shares.
(3) Annualized.
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
FINANCIAL HIGHLIGHTS (CONTINUED)
Contained below is per share operating performance data for a share of
Beneficial Interest outstanding, total investment return, ratios to average
net assets and other supplemental data for each period indicated. This
information has been derived from the Fund's financial statements.
Administrative Shares
______________________________________
One Month Ended Period Ended
January 31, December 31,
PER SHARE DATA: 1997(1) 1996(2)
_________ _______
<S> <C> <C>
Net asset value, beginning of period................................ $ 1.00 $ 1.00
____ ___
Investment Operations:
Investment income_net............................................... .003 .004
____ ___
Distributions:
Dividends from investment income_net................................ (.003) (.004)
____ ___
Net asset value, end of period...................................... $ 1.00 $ 1.00
==== ===
TOTAL INVESTMENT RETURN................................................. 3.30%(3) 3.38%(3)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............................. .30%(3) .30%(3)
Ratio of net investment income
to average net assets............................................. 3.64%(3) 3.73%(3)
Net Assets, end of period (000's Omitted)........................... _ _
(1) The Fund has changed its fiscal year end from December 31 to January 31.
(2) From November 21, 1996 (commencement of initial offering) to December 31, 1996.
(3) Annualized.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
FINANCIAL HIGHLIGHTS (CONTINUED)
Contained below is per share operating performance data for a share of
Beneficial Interest outstanding, total investment return, ratios to average
net assets and other supplemental data for each period indicated. This
information has been derived from the Fund's financial statements.
Investor Shares
______________________________________________________________
One Month Ended
January 31, Year Ended December 31,
________________________________________
PER SHARE DATA: 1997(1) 1996(2) 1995 1994 1993(3)
_________ ___ ___ ___ ___
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period......... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
___ ___ ___ ___ ___
Investment Operations:
Investment income_net........................ .003 .031 .035 .025 .005
___ ___ ___ ___ ___
Distributions:
Dividends from investment income_net......... (.003) (.031) (.035) (.025) (.005)
___ ___ ___ ___ ___
Net asset value, end of period............... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
=== === === === ===
TOTAL INVESTMENT RETURN.......................... 3.18%(4) 3.18% 3.60% 2.51% 2.12%(4)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets...... .45%(4) .45% .45% .45% .45%(4)
Ratio of net investment income
to average net assets...................... 3.13%(4) 3.14% 3.51% 2.43% 2.14%(4)
Net Assets, end of period (000's Omitted).... $66,672 $45,828 $22,817 $1,410 $1
(1) The Fund has changed its fiscal year end from December 31 to January 31.
(2) Effective November 20, 1996, Class B shares were redesignated as Investor Shares.
(3) From September 30, 1993 (commencement of initial offering) to December 31, 1993.
(4) Annualized.
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
FINANCIAL HIGHLIGHTS (CONTINUED)
Contained below is per share operating performance data for a share of
Beneficial Interest outstanding, total investment return, ratios to average
net assets and other supplemental data for each period indicated. This
information has been derived from the Fund's financial statements.
Participant Shares
______________________________________
One Month Ended Period Ended
January 31, December 31,
PER SHARE DATA: 1997(1) 1996(2)
_________ _______
<S> <C> <C>
Net asset value, beginning of period................................ $ 1.00 $ 1.00
____ ___
Investment Operations:
Investment income_net............................................... .003 .004
____ ___
Distributions:
Dividends from investment income_net................................ (.003) (.004)
____ ___
Net asset value, end of period...................................... $ 1.00 $ 1.00
==== ===
TOTAL INVESTMENT RETURN................................................. 2.94%(3) 3.12%(3)
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............................. .60%(3) .60%(3)
Ratio of net investment income
to average net assets............................................. 3.17%(3) 3.55%(3)
Net Assets, end of period (000's Omitted)........................... ._ ._
(1) The Fund has changed its fiscal year end from December 31 to January 31.
(2) From November 21, 1996 (commencement of initial offering) to December 31, 1996.
(3) Annualized.
SEE NOTES TO FINANCIAL STATEMENTS.
</TABLE>
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
NOTES TO FINANCIAL STATEMENTS
NOTE 1_SIGNIFICANT ACCOUNTING POLICIES:
Dreyfus Municipal Cash Management Plus (the "Fund") is registered under
the Investment Company Act of 1940 ("Act") as a diversified open-end
management investment company. The Fund's investment objective is to provide
investors with as high a level of current income exempt from Federal income
tax as is consistent with the preservation of capital and the maintenance of
liquidity. The Dreyfus Corporation ("Manager") serves as the Fund's
investment adviser. The Manager is a direct subsidiary of Mellon Bank, N.A.
Premier Mutual Fund Services, Inc. (the "Distributor") acts as the
distributor of the Fund's shares, which are sold without a sales load. The
Fund is authorized to issue an unlimited number of $.001 par value shares in
the following classes of shares: Institutional Shares, Administrative Shares,
Investor Shares and Participant Shares. Effective November 20, 1996, Class A
shares were redesignated as Institutional Shares and Class B shares were
redesignated as Investor Shares. Administrative Shares, Investor Shares and
Participant Shares are subject to a Service Plan adopted pursuant to Rule
12b-1 under the Act. Other differences between the classes include the
services offered to and the expenses borne by each class and certain voting
rights.
It is the Fund's policy to maintain a continuous net asset value per
share of $1.00; the Fund has adopted certain investment, portfolio valuation
and dividend and distribution policies to enable it to do so. There is no
assurance, however, that the Fund will be able to maintain a stable net asset
value per share of $1.00.
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.
The Fund has changed its fiscal year end from December 31 to January 31.
(A) PORTFOLIO VALUATION: Investments are valued at amortized cost, which
has been determined by the Fund's Board of Trustees to represent the fair
value of the Fund's investments.
(B) SECURITIES TRANSACTIONS AND INVESTMENT INCOME: Securities
transactions are recorded on a trade date 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. Realized
gain and loss from securities transactions are recorded on the identified
cost basis. Cost of investments represents amortized cost.
(C) DIVIDENDS TO SHAREHOLDERS: It is the policy of the Fund to declare
dividends daily from investment income-net. Such dividends are paid monthly.
Dividends from net realized capital gain, if any, are normally declared and
paid annually, but the Fund may make distributions on a more frequent basis
to comply with the distribution requirements of the Internal Revenue Code. To
the extent that net realized capital gain can be offset by capital loss
carryover, it is the policy of the Fund not to distribute such gain.
(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.
The Fund has an unused capital loss carryover of approximately $180,000
available for Federal income tax purposes to be applied against future net
securities profits, if any, realized subsequent to January 31, 1997. If not
applied, $144,000 of the carryover expires in fiscal 2002, $13,000 expires in
fiscal 2003, $6,000 expires in fiscal 2004 and $17,000 expires in fiscal
2005.
At January 31, 1997, 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).
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
NOTE 2_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 .20 of 1% of the value
of the Fund's average daily net assets and is payable monthly.
Unless the Manager gives the Fund's investors 90 days notice to the
contrary, the Manager and not the Fund, will be liable for Fund expenses
(exclusive of taxes, brokerage, interest on borrowings and, with the prior
written consent of the necessary state securities commissions, extraordinary
expenses) other than the following expenses, which will be borne by the Fund:
the management fee, and with respect to the Fund's Administrative Shares,
Investor Shares and Participant Shares, Rule 12b-1 Service Plan expenses.
(B) Under the Fund's Service Plan (the "Plan") adopted pursuant to Rule
12b-1 under the Act, relating to its Administrative Shares, Investor Shares
and Participant Shares, the Fund (a) reimburses the Distributor for
distributing such classes of shares and (b) pays the Manager, Dreyfus Service
Corporation, a wholly-owned subsidiary of the Manager, and their affiliates
(collectively, "Dreyfus") for advertising and marketing relating to such
classes of shares and for providing certain services relating to shareholder
accounts in such classes of shares, such as answering shareholder inquiries
regarding the Fund and providing reports and other information, and services
related to the maintenance of shareholder accounts ("Servicing"), at an
aggregate annual rate of .10, .25 and .40 of 1% of the value of the average
daily net assets of Administrative Shares, Investor Shares and Participant
Shares, respectively. Both the Distributor and Dreyfus may pay one or more
Service Agents (a securities dealer, financial institution or other industry
professional) a fee in respect of the Fund's Administrative Shares, Investor
Shares and Participant Shares owned by the shareholders with whom the Service
Agent has a Servicing relationship or for whom the Service Agent is the
dealer or holder of record. Both the Distributor and Dreyfus determine the
amounts, if any, to be paid to the Service Agents under the Plan and the
basis on which such payments are made. The fees payable under the Plan are
payable without regard to actual expenses incurred. During the period ended
January 31, 1997, $9,822 was charged to the Fund pursuant to the Plan with
respect to the Fund's Investor Shares. The amounts charged to the Fund with
respect to Administrative Shares and Participant Shares for the period ended
January 31, 1997 were immaterial.
(C) Each trustee receives an annual fee of $3,000 and an attendance fee
of $500 per meeting.
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
REPORT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS
SHAREHOLDERS AND BOARD OF TRUSTEES
DREYFUS MUNICIPAL CASH MANAGEMENT PLUS
We have audited the accompanying statement of assets and liabilities of
Dreyfus Municipal Cash Management Plus, including the statement of
investments, as of January 31, 1997, and the related statement of operations
for the one month ended January 31, 1997 and for the year ended December 31,
1996, the statement of changes in net assets for the one month ended January
31, 1997 and for each of the two years in the period ended December 31, 1996,
and financial highlights for each of the periods indicated therein. These
financial statements and financial highlights are the responsibility of the
Fund'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
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures
in the financial statements and financial highlights. Our procedures included
confirmation of securities owned as of January 31, 1997 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 Dreyfus Municipal Cash Management Plus at January 31, 1997, the
results of its operations for the one month ended January 31, 1997 and for
the year ended December 31, 1996, the changes in its net assets for the one
month ended January 31, 1997 and for each of the two years in the period
ended December 31, 1996, and the financial highlights for each of the
indicated periods, in conformity with generally accepted accounting
principles.
[Ernst and Young LLP signature logo]
New York, New York
March 5, 1997
IMPORTANT TAX INFORMATION (UNAUDITED)
In accordance with Federal tax law, the Fund hereby designates all the
dividends paid from investment income_net during the one month ended January
31, 1997 as "exempt-interest dividends" (not generally subject to regular
Federal income tax).
[Dreyfus lion "d" logo]
Registration Mark
Registration Mark
DREYFUS MUNICIPAL
CASH MANAGEMENT PLUS
200 Park Avenue
New York, NY 10166
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
90 Washington Street
New York, NY 10286
TRANSFER AGENT &
DIVIDEND DISBURSING AGENT
Dreyfus Transfer, Inc.
P.O Box 9671
Providence, RI 02940
Printed in U.S.A. 132/676/584/594AR971
[Dreyfus logo]
Municipal Cash
Management Plus
Annual Report
January 31, 1997
