20 YEARS OF MONEY MARKET FUNDS
THE CASH MANAGEMENT TRUST OF AMERICA
THE U.S. TREASURY MONEY FUND OF AMERICA
THE TAX-EXEMPT MONEY FUND OF AMERICA
ANNUAL REPORT
for the year ended September 30, 1996
[Photo: academic cap/tassel, diploma]
[Photo: eyeglasses]
[Photo: doorknob]
[Photo: attache, gloves]
[Photo: computer keyboard]
[The American Funds Group(R)]
THE CASH MANAGEMENT TRUST OF AMERICA(R) seeks to provide income on cash
reserves, while preserving capital and maintaining liquidity, through
investments in high-quality short-term money market instruments.
THE U.S. TREASURY MONEY FUND OF AMERICA(SM) seeks to provide income on cash
reserves, while preserving capital and maintaining liquidity, through
investments in U.S. Treasury securities maturing in one year of less.
THE TAX-EXEMPT MONEY FUND OF AMERICA(SM) seeks to provide income free from
federal taxes, while preserving capital and maintaining liquidity, through
investments in high-quality municipal securities with effective maturities of
one year or less.
FOR CURRENT YIELDS, PLEASE CALL AMERICAN FUNDSLINE,(R) TOLL-FREE, AT
800/325-3590; PRESS 1 FOR YIELD INFORMATION.
ABOUT OUR COVER: Twenty years ago, The American Funds Group(R) introduced The
Cash Management Trust of America. Over the years, shareholders have used it and
the two other American Funds money market funds to meet a wide range of needs,
from managing personal finances and business accounts to longer term goals,
such as saving for a house, college tuition, and retirement.
[chart]
SEVEN-DAY ANNUALIZED RATES/1/
For the months ended September 30, 1991-September 30, 1996
<TABLE>
<CAPTION>
Date The Cash The U.S. The Tax-Exempt The Tax-Exempt
Management Treasury Money Money Money Fund of
Trust Fund of Fund of America America
of America America (taxable equivalent (federally
/2/ yield) /3/ tax-free)
<S> <C> <C> <C> <C>
September 1991 5.00 4.95 6.69 4.04
October 1991 4.74 4.77 6.36 3.84
November 1991 4.38 4.49 6.44 3.89
December 1991 4.17 4.19 6.42 3.88
January 1992 3.54 3.35 4.78 2.89
February 1992 3.43 3.32 4.37 2.64
March 1992 3.51 3.28 4.57 2.76
April 1992 3.43 3.31 4.69 2.83
May 1992 3.24 3.08 4.64 2.80
June 1992 3.25 3.14 3.94 2.38
July 1992 2.93 2.98 3.59 2.17
August 1992 2.68 2.79 3.61 2.18
September 1992 2.57 2.65 3.92 2.37
October 1992 2.49 2.49 3.49 2.11
November 1992 2.62 2.41 3.54 2.14
December 1992 2.90 2.55 3.81 2.30
January 1993 2.69 2.60 3.10 1.87
February 1993 2.54 2.58 3.23 1.95
March 1993 2.46 2.48 2.98 1.80
April 1993 2.47 2.44 2.96 1.79
May 1993 2.44 2.41 3.18 1.92
June 1993 2.51 2.41 2.88 1.74
July 1993 2.51 2.44 3.10 1.87
August 1993 2.47 2.47 2.98 1.80
September 1993 2.44 2.40 3.43 2.07
October 1993 2.43 2.39 3.03 1.83
November 1993 2.50 2.41 3.06 1.85
December 1993 2.60 2.47 3.41 2.06
January 1994 2.52 2.51 2.58 1.56
February 1994 2.47 2.42 2.95 1.78
March 1994 2.80 2.56 2.76 1.67
April 1994 3.02 2.82 3.43 2.07
May 1994 3.45 2.99 3.63 2.19
June 1994 3.64 3.20 3.49 2.11
July 1994 3.84 3.46 3.61 2.18
August 1994 3.98 3.61 4.01 2.42
September 1994 4.17 3.86 4.24 2.56
October 1994 4.40 4.02 4.40 2.66
November 1994 4.63 4.33 4.90 2.96
December 1994 5.34 4.78 6.21 3.75
January 1995 5.35 4.85 4.88 2.95
February 1995 5.46 4.98 5.71 3.45
March 1995 5.57 5.15 5.51 3.33
April 1995 5.54 5.13 5.86 3.54
May 1995 5.52 5.07 5.76 3.48
June 1995 5.44 5.03 5.20 3.14
July 1995 5.31 4.98 4.64 2.80
August 1995 5.29 4.86 4.97 3.00
September 1995 5.26 4.86 5.28 3.19
October 1995 5.27 4.85 5.15 3.11
November 1995 5.30 4.75 5.17 3.12
December 1995 5.14 4.68 5.56 3.36
January 1996 5.08 4.62 4.55 2.75
February 1996 4.78 4.43 4.44 2.68
March 1996 4.77 4.41 4.42 2.67
April 1996 4.89 4.53 4.78 2.89
May 1996 4.79 4.39 4.85 2.93
June 1996 4.77 4.47 4.64 2.80
July 1996 4.80 4.53 4.64 2.80
August 1996 4.76 4.53 4.67 2.82
September 1996 4.82 4.57 4.85 2.93
</TABLE>
/1/Equivalent to Securities and Exchange Commission yield.
/2/Since income paid by The U.S. Treasury Money Fund of America is exempt from
state and local taxes in most states, the fund's taxable equivalent yield would
be higher than the rates indicated in the chart.
/3/Represents the fund's taxable equivalent yield calculated at the maximum
39.6% federal tax rate.
[end chart]
THE FIGURES IN THIS REPORT REFLECT PAST RESULTS. THE RETURN ON AN INVESTMENT IN
THESE FUNDS WILL VARY. FUND SHARES ARE NOT DEPOSITS OR OBLIGATIONS OF, OR
INSURED OR GUARANTEED BY, THE U.S. GOVERNMENT, ANY FINANCIAL INSTITUTION, THE
FEDERAL DEPOSIT INSURANCE CORPORATION, OR ANY OTHER AGENCY, ENTITY OR PERSON.
THERE CAN BE NO ASSURANCE THAT THE FUNDS' NET ASSET VALUES WILL REMAIN CONSTANT
AT $1.00. Income from The Tax-Exempt Money Fund of America may be subject to
state or local income taxes and/or federal alternative minimum taxes. Certain
other income, as well as capital gain distributions, may be taxable.
FELLOW SHAREHOLDERS:
Fiscal 1996 was marked by a period of falling short-term interest rates during
the first 4 1/2 months followed by a modest, but more extended rise in yields.
After peaking in late 1995, short-term rates declined steadily through February
1996 as the Federal Reserve Board lowered the federal funds rate (the rate at
which banks lend money to each other) in December and again in January. After
February, short-term rates inched upward, reflecting concern that the economy
might be overheating. In the last two months of the fiscal year, short-term
rates moved within a very narrow band.
Our three money market funds followed a similar pattern during the fiscal year,
and yields for all three funds ended the period lower than a year earlier.
Within this environment, the funds continued to offer shareholders not only
investment stability but also income returns that outpaced inflation (in the
case of The Tax-Exempt Money Fund of America, taking into account its taxable
equivalent return).
Here are the results for each of our money market funds over the 12 months
ended September 30.
THE CASH MANAGEMENT TRUST OF AMERICA provided shareholders who reinvested their
dividends with a 12-month return of 5.06%. Reflecting the overall decline in
short-term interest rates over the period, the fund's seven-day annualized
yield on September 30 was 4.82%, compared with 5.26% a year earlier. As you can
see from the listing that begins on page 6, nearly 85% of the fund's portfolio
is concentrated in top-quality commercial paper.
THE U.S. TREASURY MONEY FUND OF AMERICA generated a 12-month income return of
4.66%, including reinvested dividends. The fund's seven-day annualized yield on
September 30 was 4.57%, down from 4.86% at the end of the previous fiscal year.
It is important to recognize that since all of the fund's income was generated
from investments in U.S. Treasury securities, the income paid by the fund is
exempt from state and local taxes in most states.
THE TAX-EXEMPT MONEY FUND OF AMERICA produced a federally tax-free income
return over the annual reporting period of 2.91% for shareholders who
reinvested their monthly dividends. To match the fund's federally tax-free
income return, investors in the maximum 39.6% federal tax bracket would have
had to earn a taxable return of 4.82%. In the 36% tax bracket, the taxable
equivalent would be 4.55%. On September 30, the fund's seven-day annualized
yield and its 39.6% taxable equivalent yield were 2.93% and 4.85% respectively,
down from 3.19% and 5.28% a year earlier. A portion of the fund's income may
also be exempt from state and local taxes in some states.
The chart at left illustrates the monthly pattern of yields in our three money
market funds since September 1991. It also includes a fourth line that
represents the taxable equivalent yield of The Tax-Exempt Money Fund of America
- - in other words, the taxable yield an investor in the 39.6% federal tax
bracket would have had to earn to equal the fund's tax-free yield.
A TWENTY-YEAR PERSPECTIVE
Twenty years ago this month, we launched The Cash Management Trust of America.
Over the past two decades, the fund's yield has taken a roller coaster ride
from the double-digit highs of the late $70s and early $80s to less than 3% in
the early $90s. Not surprisingly, when interest rates, and thus the fund's
yield, were at their highest, the rate of inflation was equally robust. In that
environment of very high rates, the real return to shareholders - the fund's
return less any increase in the cost of living - was often negligible, or even
negative. In fiscal 1980, for example, CMTA earned a handsome 12.71% with
dividends reinvested, but the Consumer Price Index rose 12.60%.
Despite lower yields, the fund has continued to offer shareholders positive
inflation-adjusted returns in every year in the 1990s, except 1993. While
current yields seem low by historical standards, they are still attractive when
compared with today's low rate of inflation.
One thing that has not changed over the past 20 years is the flexibility our
money market funds provide to shareholders. CMTA was launched to offer
investors a versatile and productive way to use their cash reserves. Today, all
three funds continue to attract shareholders for the same reason and serve as a
permanent part of many financial programs. We find it gratifying that the funds
offer such a wide range of uses for our shareholders. Over the next few pages,
we describe some of the innovative ways in which shareholders use the funds to
help manage their finances.
Cordially,
[signature]
Paul G. Haaga, Jr.
Chairman of the Boards
[signature]
Abner D. Goldstine
President
November 15, 1996
[chart]
A TWENTY-YEAR PERSPECTIVE: THE CASH MANAGEMENT TRUST OF AMERICA AND COMPARATIVE
YIELDS
9/30/77-9/30/96
<TABLE>
<CAPTION>
Year The Cash 3-Month Treasury Average savings Consumer Price
Management Trust Bills/2/ account/3/ Index (inflation)
of America/1/ /4/
<S> <C> <C> <C> <C>
1977 4.97 5.77 5.99 6.60
1978 5.93 7.84 6.27 8.31
1979 9.47 10.18 7.23 12.18
1980 12.03 10.32 8.63 12.6
1981 15.89 14.95 10.56 10.95
1982 13.15 8.20 10.44 5.04
1983 8.63 9.05 8.88 2.86
1984 9.85 10.41 9.16 4.27
1985 8.21 7.08 7.87 3.14
1986 6.86 5.19 6.78 1.75
1987 5.91 6.32 6.05 4.36
1988 6.77 7.23 6.44 4.17
1989 8.63 7.72 7.32 4.34
1990 7.81 7.38 7.01 6.16
1991 6.09 5.25 5.97 3.39
1992 3.57 2.97 4.09 2.99
1993 2.54 2.96 3.14 2.69
1994 3.06 4.64 3.15 2.96
1995 5.21 5.26 4.11 2.54
1996 4.94 5.15 4.11 3.00
</TABLE>
/1/A 7-day annualized yield was used for September 30, 1977; 365-day yields
were used for all other dates.
/2/Treasury bills offer a guarantee of principal and interest.
/3/Based on figures supplied by the U.S. League of Savings Institutions and the
Federal Reserve Board that reflect all kinds of savings deposits, including
longer term certificates. Such deposits, if held to maturity, offer a
guaranteed return of principal and a fixed rate of interest, but no opportunity
for capital growth. Maximum allowable interest rates were imposed by law until
1983. A 1995 figure was used for September 30, 1996 since 1996 figures are not
yet available.
/4/Computed from data supplied by the U.S. Department of Labor, Bureau of Labor
Statistics.
[end chart]
A WIDE RANGE OF USES FOR A WIDE RANGE OF PEOPLE
THE AMERICAN FUNDS MONEY MARKET FUNDS ARE DESIGNED TO BE FLEXIBLE ENOUGH FOR
INDIVIDUALS, INSTITUTIONS AND CORPORATIONS ALIKE. OVER THE YEARS, THEY HAVE
PROVIDED THOUSANDS OF SHAREHOLDERS - LIKE THOSE REPRESENTED ON THE FOLLOWING
PAGES - WITH A CONVENIENT, ECONOMICAL WAY TO EARN INCOME WITHOUT HAVING TO
WORRY ABOUT ACCOUNT MAINTENANCE OR ACTIVITY COSTS, MINIMUM INVESTMENT PERIODS
OR EARLY WITHDRAWAL PENALTIES.
WHILE THE ILLUSTRATIONS THAT FOLLOW ARE FICTIONAL, THEY WILL GIVE YOU A GOOD
IDEA OF HOW THE FUNDS CAN WORK FOR YOU IN ACTUAL SITUATIONS.
For Susan Warren, The Cash Management Trust of America is a big help in
handling three jobs. Susan owns an insurance agency and finds the fund
indispensable for dealing with both business and personal finances. At the
office she writes checks against her account for major business expenses. At
home she uses a different account to pay the mortgage, insurance premiums and
taxes. In each case, Susan earns dividends on the balance in her accounts until
the checks clear.
Susan uses the fund in yet another way. She is treasurer of a church that is
currently enlarging its chapel and adding new Sunday School classrooms. On her
financial adviser's advice, the construction money was invested in The Cash
Management Trust of America, where it immediately began earning daily income.
All the contributions to the building program - as well as the proceeds from
several fund-raising activities - have gone into that account, too. Susan
writes checks against the account to pay contractors and suppliers. Until the
checks clear, the church continues to earn dividends.
[Photo: Watermark of file folders for church, business, home, with the words,
The Cash Management Trust of America, superimposed]
[Photo: File folders for church, business, home]
[Photo: Watermark of pocketwatch with the words, The U.S. Treasury Money Fund
of America, superimposed]
[Photo: pocketwatch]
When Frank Donohue accepted a new job, he arranged to have his retirement plan
assets transferred directly into a rollover IRA invested in The U.S. Treasury
Money Fund of America. The fund served as a stable starting point for regular
investments into other American Funds. Over the next year Frank worked with his
financial adviser to diversify his retirement portfolio. He set up an automatic
exchange program to transfer a portion of his account each month into two stock
funds and two bond funds. With this program of regular investing, called dollar
cost averaging, Frank was able to purchase more shares of the funds when prices
were down, and acquired fewer when prices were up.*
Frank also decided to hold part of his retirement assets permanently in The
U.S. Treasury Money Fund of America for the preservation of capital and steady
income it seeks to provide. He knew that retirement was not far off and wanted
to protect part of his assets against the inevitable fluctuations in the stock
and bond markets.
*Dollar cost averaging does not assure a profit or protect against loss, and
its success depends largely on your willingness to continue making regular
transfers or exchanges when stock or bond fund share prices are falling.
Appropriate sales charges apply when exchanging from a money market fund to a
stock or bond fund.
For Robert and Anna Garcia, The Tax-Exempt Money Fund of America serves as a
gateway to long-term growth opportunities. When they set up their American
Funds account five years ago, Robert and Anna decided to establish a program of
automatic monthly investments from their bank account directly into the fund.
They needed to build emergency cash reserves but didn't want a large tax bill,
so The Tax-Exempt Money Fund of America was a perfect fit for them.
Then their financial adviser approached them with a novel idea: Why not invest
the monthly dividends from their money market fund into an equity fund within
The American Funds Group? That way they could keep the bulk of their cash
reserves protected from investment volatility and taxes, while easing a portion
of their investment into a stock fund for growth opportunities. The Garcias'
aim was to accumulate enough assets in both accounts to reach a new milestone
in their lives - a down payment on their first house.
[Photo: doorknob]
[Photo: Watermark of doorknob with the words, The Tax-Exempt Money Fund of
America, superimposed]
<PAGE>
<TABLE>
The Cash Management Trust of America
Investment Portfolio
September 30, 1996
Principal Market
Yield at Amount Value
Acquisition (000) (000)
<S> <C> <C> <C>
Certificates of Deposit - 4.99%
Canadian Imperial Bank of Commerce
5.36% October 4, 1996 5.36 $50,000 $50,000
5.40% November 18, 1996 5.40 15,000 15,000
Morgan Guaranty Trust Co. of New York
5.47% November 6, 1996 5.46 50,000 50,001
National Westminster Bank PLC
5.35% October 10, 1996 5.32 50,000 50,000
------
Total Certificates of Deposit 165,001
------
Commercial Paper - 84.62%
A.I. Credit Corp.
November 8, 1996 5.42 50,000 49,709
AIG Funding Inc.
October 15, 1996 5.33 25,000 24,945
Abbott Laboratories
October 21, 1996 5.34 30,000 29,907
October 23, 1996 5.33 20,000 19,934
American Brands, Inc.
October 18, 1996 5.43 20,000 19,946
American Express Credit Corp.
October 1, 1996 5.33 25,000 24,996
October 9, 1996 5.31 15,000 14,980
October 11, 1996 5.32 20,000 19,968
October 23, 1996 5.34 25,000 24,915
American General Finance Corp.
October 2, 1996 5.33 30,000 29,991
Ameritech Corp.
October 24, 1996 5.42 25,000 24,910
November 14, 1996 5.36 50,000 49,668
Associates Corp. of North America
October 1, 1996 5.80 115,000 114,982
BellSouth Telecommunications, Inc.
October 4, 1996 5.37 25,000 24,985
October 8, 1996 5.33 25,000 24,971
November 7, 1996 5.38 30,000 29,831
November 8, 1996 5.38 25,000 24,855
Beneficial Corp.
October 8, 1996 5.35 10,000 9,988
November 4, 1996 5.45 25,000 24,869
November 5, 1996 5.45 25,000 24,865
CIT Group Holdings, Inc.
November 12, 1996 5.36 30,000 29,809
November 18, 1996 5.43 35,000 34,744
CPC International Inc.
October 9, 1996* 5.39 25,000 24,966
Canadian Imperial Holdings Inc.
October 7, 1996 5.35 35,000 34,964
Chevron U.K. Investment PLC
October 9, 1996 5.31 37,000 36,951
October 15, 1996 5.38 13,000 12,971
Coca-Cola Co.
October 3, 1996 5.36 25,000 24,989
October 17, 1996 5.31 30,000 29,925
Commercial Credit Co.
October 1, 1996 5.33 10,000 9,999
October 16, 1996 5.40 40,000 39,905
John Deere Capital Corp.
October 17, 1996 5.31 20,000 19,950
November 5, 1996 5.47 20,000 19,892
E.I. du Pont de Nemours and Co.
October 4, 1996 5.29 20,000 19,988
October 17, 1996 5.32 55,000 54,865
October 21, 1996 5.36 25,000 24,922
October 29, 1996 5.40 10,000 9,957
Duracell Inc.
October 16, 1996 5.31 25,000 24,943
Electronic Data Systems Corp.
October 18, 1996* 5.39 20,000 19,946
October 22, 1996* 5.39 49,000 48,838
October 29, 1996* 5.42 7,600 7,567
Ford Motor Credit Co.
October 8, 1996 5.32 35,000 34,959
October 9, 1996 5.34 20,000 19,974
October 15, 1996 5.40 40,000 39,911
October 25, 1996 5.41 40,000 39,851
General Electric Capital Corp.
October 7, 1996 5.35 35,000 34,964
October 11, 1996 5.32 20,000 19,968
October 23, 1996 5.40 40,000 39,863
Harvard University
October 3, 1996 5.32 30,000 29,987
H.J. Heinz Co.
October 1, 1996 5.30 6,000 5,999
October 4, 1996 5.27 15,000 14,991
October 21, 1996 5.39 23,000 22,928
October 22, 1996 5.40 11,000 10,964
October 30, 1996 5.35 20,000 19,911
November 1, 1996 5.40 21,000 20,900
November 12, 1996 5.35 15,000 14,905
Hershey Foods Corp.
October 24, 1996 5.31 50,000 49,825
Hewlett-Packard Co.
October 16, 1996 5.42 20,000 19,954
October 30, 1996 5.40 29,000 28,871
IBM Credit Corp.
October 21, 1996 5.32 25,000 24,923
October 23, 1996 5.37 30,000 29,898
October 25, 1996 5.33 20,000 19,926
November 4, 1996 5.42 50,000 49,738
International Lease Finance Corp.
October 31, 1996 5.41 20,000 19,907
November 6, 1996 5.45 50,000 49,723
Eli Lilly and Co.
October 18, 1996 5.29 15,000 14,961
October 28, 1996 5.34 50,000 49,794
Lucent Technologies Inc.
October 2, 1996 5.29 35,000 34,990
November 7, 1996 5.39 65,000 64,635
November 8, 1996 5.46 20,000 19,883
Mobil Australia Finance Co.
October 18, 1996* 5.40 20,000 19,946
October 29, 1996* 5.41 30,000 29,870
October 31, 1996* 5.40 25,000 24,885
National Rural Utilities Cooperative Finance Corp.
October 7, 1996 5.35 20,000 19,979
October 10, 1996 5.35 20,000 19,970
J.C. Penney Funding Corp.
October 2, 1996 5.29 30,000 29,991
October 11, 1996 5.37 50,000 49,918
PepsiCo, Inc.
November 1, 1996 5.33 60,000 59,725
November 4, 1996 5.33 30,000 29,849
Pfizer Inc
October 3, 1996* 5.31 45,000 44,981
Procter & Gamble Co.
November 5, 1996 5.39 15,000 14,920
November 7, 1996 5.40 15,000 14,915
SAFECO Credit Co. Inc.
October 7, 1996 5.32 16,000 15,984
October 15, 1996 5.34 10,000 9,978
October 22, 1996 5.32 10,800 10,765
November 22, 1996 5.47 20,000 19,840
Sandoz Corp.
October 15, 1996* 5.38 8,300 8,282
October 17, 1996* 5.37 6,000 5,985
October 21, 1996* 5.37 10,000 9,969
November 1, 1996* 5.45 18,200 18,113
November 7, 1996* 5.39 15,000 14,920
Southwestern Bell Telephone Co.
October 28, 1996 5.32 9,000 8,963
November 15, 1996 5.37 25,000 24,830
November 22, 1996 5.34 20,200 20,042
Toronto-Dominion Holdings USA Inc.
October 30, 1996 5.35 50,000 49,779
UBS Finance (Delaware) Inc.
October 1, 1996 5.85 100,000 99,984
U S WEST Communications, Inc.
October 18, 1996 5.30 16,000 15,958
Weyerhaeuser Co.
November 14, 1996 5.39 10,000 9,933
November 18, 1996 5.40 20,000 19,854
November 19, 1996 5.41 15,000 14,888
November 21, 1996 5.45 15,000 14,883
Xerox Corp.
October 16, 1996 5.33 5,000 4,988
October 17, 1996 5.37 12,000 11,970
November 4, 1996 5.47 10,000 9,947
November 5, 1996 5.47 27,000 26,854
------
Total Commercial Paper 2,796,067
------
Federal Agency Discount Notes - 10.50%
Federal Home Loan Bank Notes
October 28, 1996 5.38 47,250 47,057
November 1, 1996 5.41 20,000 19,904
November 14, 1996 5.42 40,000 39,731
Federal Home Loan Mortgage Corp.
October 18, 1996 5.34 40,000 39,905
October 24, 1996 5.37 25,000 24,914
October 25, 1996 5.39 38,500 38,360
November 13, 1996 5.42 104,000 103,326
Federal National Mortgage Assn.
October 4, 1996 5.34 26,500 26,484
October 22, 1996 5.40 7,140 7,117
------
Total Federal Agency Discount Notes 346,798
------
Total Investment Securities (cost: $3,307,857,000) 3,307,866
Excess of payables over cash and receivables (3,744)
------
Net Assets $3,304,122
======
*Restricted securities that can be resold only to
institutional buyers. Deemed to be as liquid
as unrestricted securities in the portfolio.
See Notes to Financial Statements
</TABLE>
<PAGE>
<TABLE>
Cash Management Trust of America
Financial Statements
- ---------------------------------------- ------------------- -------------------
Statement of Assets and Liabilities
at September 30, 1996 (dollars in thousands)
- ---------------------------------------- ----------------- -----------------
<S> <C> <C>
Assets:
Investment securities at market
(cost: $3,307,857) $3,307,866
Cash 2,188
Receivables for-
Sales of fund's shares $36,009
Accrued interest 942 36,951
------------------- -------------------
3,347,005
Liabilities:
Payables for-
Repurchases of fund's shares 40,869
Dividends payable 737
Management services 797
Accrued expenses 480 42,883
------------------- -------------------
Net Assets at September 30, 1996-
Equivalent to $1.00 per share on
3,304,112,097 shares of beneficial
interest issued and outstanding;
unlimited shares authorized $3,304,122
==================
Statement of Operations
for the year
ended September 30, 1996 (dollars in thousands)
------------------- -------------------
Investment Income:
Income:
Interest $ 171,743
Expenses:
Management services fee $9,671
Distribution expenses 2,314
Transfer agent fee 4,511
Reports to shareholders 201
Registration statement and prospectus 581
Postage, stationery and supplies 1,007
Trustees' fees 29
Auditing and legal fees 52
Custodian fee 93
Taxes other than federal income tax 40 18,499
------------------- -------------------
Net investment income 153,244
-------------------
Change in Unrealized (Depreciation)
Appreciation on Investments:
Net realized gain 0
Net unrealized (depreciation)
appreciation on investments:
Beginning of year (1)
End of year 9
-------------------
Net change in unrealized (depreciation)
appreciation on investments 10
------------
Net realized gain and unrealized
depreciation on investments 10
-------------------
Net Increase in Net Assets Resulting
from Operations $153,254
==================
Statement of Changes in Net
Assets (dollars in thousands)
- ---------------------------------------- ------------------- -------------------
Year ended September 30
1996 1995
Operations: ------------------- -------------------
Net investment income $ 153,244 $ 149,779
Net realized gain on investments 0 0
Net change in unrealized appreciation
(depreciation) on investments 10 (3)
------------------- -------------------
Net increase in net assets
resulting from operations 153,254 149,776
------------------- -------------------
Dividends Paid to Shareholders (153,257) (149,784)
------------------- -------------------
Capital Share Transactions:
Proceeds from shares sold:
10,707,976,952 and 8,806,146,594
shares, respectively 10,707,977 8,806,146
Proceeds from shares issued in
reinvestment of net investment income
dividends and distributions of net
realized gain on investments:
140,296,630 and 136,777,196 shares,
respectively 140,296 136,777
Cost of shares repurchased:
10,539,920,205 and 8,684,653,956
shares, respectively (10,539,920) (8,684,654)
------------------- -------------------
Net increase in net assets resulting
from capital share transactions 308,353 258,269
------------------- -------------------
Total Increase in Net Assets 308,350 258,261
Net Assets:
Beginning of year 2,995,772 2,737,511
------------------- -------------------
End of year $3,304,122 $2,995,772
================== ==================
See Notes to Financial Statements
</TABLE>
<PAGE>
Notes to Financial Statements
1. The Cash Management Trust of America (the "fund") is registered under the
Investment Company Act of 1940 as an open-end, diversified management
investment company. The fund seeks to provide income on cash reserves, while
preserving capital and maintaining liquidity, through investments in
high-quality short-term money market instruments. The following paragraphs
summarize the significant accounting policies consistently followed by the fund
in the preparation of its financial statements:
The fund uses the penny-rounding method of valuing its shares, in
accordance with Securities and Exchange Commission (SEC) rules. This method
permits the fund to maintain a constant net asset value of $1.00 per share,
provided the market value of the fund's shares does not deviate from $1.00 by
more than one-half of 1% and the fund complies with other restrictions set
forth in the SEC rules. Portfolio securities with 60 days or less to maturity
are valued at amortized cost, which approximates market value. Securities with
original or remaining maturities in excess of 60 days are valued at prices
obtained from a bond-pricing service provided by a major dealer in bonds, when
such prices are available; however, in circumstances where the investment
adviser deems it appropriate to do so, such securities will be valued at the
mean of their representative quoted bid and asked prices or, if such prices are
not available, at the mean of such prices for securities of comparable
maturity, quality and type. Securities for which market quotations are not
readily available are valued at fair value by the Board of Trustees or a
committee thereof.
As is customary in the mutual fund industry, securities transactions are
accounted for on the date the securities are purchased or sold. Realized gains
and losses from securities transactions are reported on an identified cost
basis. Interest income is reported on the accrual basis. Dividends are
declared daily after the determination of the fund's net investment income and
paid to shareholders monthly. Discounts and premiums on securities purchased
are amortized over the life of the respective securities.
2. It is the fund's policy to continue to comply with the requirements of the
Internal Revenue Code applicable to regulated investment companies and to
distribute all of its net investment income, including any net realized gain on
investments, to its shareholders. Therefore, no federal income tax provision
is required.
As of September 30, 1996, unrealized appreciation for book and federal
income tax purposes aggregated $9,000, of which $11,000 related to appreciated
securities and $2,000 related to depreciated securities. There was no
difference between book and tax realized gains on securities transactions for
the year ended September 30, 1996. The cost of portfolio securities for book
and federal income tax purposes was $3,307,857,000 at September 30, 1996.
3. The fee of $9,671,000 for management services was paid pursuant to an
agreement with Capital Research and Management Company (CRMC), with which
certain officers and Trustees of the fund are affiliated. The Investment
Advisory and Service Agreement provides for monthly fees, accrued daily, based
on an annual rate of 0.365% of the first $275 million of average net assets and
0.3285% of such assets in excess of $275 million. The Board of Trustee's of
the fund approved a new agreement and, effective April 1, 1996, CRMC agreed to
waive any fee in excess of what it would have received under the new agreement.
The new fee schedule reduces the fee to 0.32% of the first $1 billion of
average net assets; 0.29% of such assets in excess of $1 billion but not
exceeding $2 billion; and 0.27% of such assets in excess of $2 billion. Had
such a waiver not taken place, the fee for management services would have been
$10,320,000.
Pursuant to a Plan of Distribution with American Funds Distributors, Inc.
(AFD), the fund may expend up to 0.15% of its average net assets annually for
any activities primarily intended to result in sales of fund shares, provided
the categories of expenses for which reimbursement is made are approved by the
fund's Board of Trustees. Fund expenses under the Plan include payments to
dealers to compensate them for their selling and servicing efforts. During the
year ended September 30, 1996, distribution expenses under the plan amounted to
$2,314,000. As of September 30, 1996, accrued and unpaid distribution expenses
were $156,000.
American Funds Service Company (AFS), the transfer agent for the fund, was
paid a fee of $4,511,000 under the terms of a contract that provides for
transfer agency services to be performed for the fund.
Trustees who are unaffiliated with CRMC may elect to defer part or all of
the fees earned for services as members of the Board. Amounts deferred are not
funded and are general unsecured liabilities of the fund. As of September 30,
1996, aggregate amounts deferred and earnings thereon were $26,000.
CRMC is owned by The Capital Group Companies, Inc. AFS and AFD are both
wholly owned subsidiaries of CRMC. Certain Trustees and officers of the fund
are or may be considered to be affiliated with CRMC, AFS and AFD. No such
persons received any remuneration directly from the fund.
4. The fund made purchases and sales of investment securities of
$65,600,303,000 and $65,420,922,000, respectively, during the year ended
September 30, 1996.
<PAGE>
<TABLE>
PER-SHARE DATA AND RATIOS
- ------------------------------ ------- ------ ------ ------ -------
Year Ended September 30
------- ------ ------ ------ -------
1996 1995 1994 1993 1992
------- ------ ------ ------ -------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning
of Year $1.00 $1.00 $1.00 $1.00 $1.00
------- ------ ------ ------ -------
Income from Investment Operations
Net investment income .050 .052 .031 .025 .036
------- ------ ------ ------ -------
Total income from investment operations .050 .052 .031 .025 .036
------- ------ ------ ------ -------
Less Distributions:
Dividends from net investment income (0.050) (0.052) (0.031) (0.025) (0.036)
------- ------ ------ ------ -------
Total distributions (0.050) (0.052) (0.031) (0.025) (0.036)
------- ------ ------ ------ -------
Net Asset Value, End of Year $1.00 $1.00 $1.00 $1.00 $1.00
======= ====== ====== ====== =======
Total Return 5.06% 5.34% 3.10% 2.57% 3.64%
Ratios/Supplemental Data:
Net assets, end of year (in millions) $3,304 $2,996 $2,738 $1,940 $2,090
Ratio of expenses to average net assets .60% .60% .68% .65% .63%
Ratio of net income to average net assets 4.95% 5.21% 3.14% 2.57% 3.59%
</TABLE>
Report of Independent Accountants
To the Board of Trustees and Shareholders of The Cash Management Trust of
America:
In our opinion, the accompanying statement of assets and liabilities, including
the investment portfolio, and the related statements of operations and of
changes in net assets and the per-share data and ratios present fairly, in all
material respects, the financial position of The Cash Management Trust of
America (the "Fund") at September 30, 1996, the results of its operations, the
changes in its net assets and the per-share data and ratios for the periods
indicated, in conformity with generally accepted accounting principles. These
financial statements and per-share data and ratios (hereafter referred to as
"financial statements") are the responsibility of the Fund's management; our
responsibility is to express an opinion on these financial statements based on
our audits. We conducted our audits of these financial statements in
accordance with generally accepted auditing standards which require that we
plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements, assessing the accounting principles used and
significant estimates made by management, and evaluating the overall financial
statement presentation. We believe that our audits, which included
confirmation of securities at September 30, 1996 by correspondence with the
custodian, provide a reasonable basis for the opinion expressed above.
PRICE WATERHOUSE LLP
Los Angeles, California
October 31, 1996
1996 Tax Information (unaudited)
We are required to advise you within 60 days of the fund's fiscal year-end
regarding the federal tax status of distributions.
Certain states may exempt from income taxation a portion of the dividends
paid from net investment income if derived from direct U.S. Treasury
obligations. For purposes of computing this exclusion, none of the dividends
paid by the fund from net investment income were derived from interest on
direct U.S. Treasury obligations.
Dividends and distributions received by retirement plans such as IRAs,
Keogh-type plans, and 403(b) plans need not be reported as taxable income.
However, many retirement trusts may need this information for their annual
information reporting.
SINCE THE AMOUNTS ABOVE ARE REPORTED FOR THE FISCAL YEAR AND NOT THE
CALENDAR YEAR, SHAREHOLDERS SHOULD REFER TO THEIR FORM 1099-DIV OR OTHER TAX
INFORMATION WHICH WILL BE MAILED IN JANUARY 1997 TO DETERMINE THE CALENDAR YEAR
AMOUNTS TO BE INCLUDED ON THEIR RESPECTIVE 1996 TAX RETURNS. SHAREHOLDERS
SHOULD CONSULT THEIR TAX ADVISERS.
<TABLE>
<S> <C> <C> <C>
The U.S. Treasury Money Fund of America
Investment Portfolio
September 30, 1996
Principal Market
Yield at Amount Value
Acquisition (000) (000)
- ------------------------------------------------ ------------- ------- -------------
U.S. Treasury Securities - 99.90%
U.S. Treasury bills 10/3/96 5.19% - 5.20% $ 23,255 $ 23,245
U.S. Treasury bills 10/10/96 5.18% - 5.22% 12,875 12,857
U.S. Treasury bills 10/17/96 5.19% - 5.21% 34,740 34,659
U.S. Treasury bills 10/24/96 5.09% - 5.27% 13,150 13,107
U.S. Treasury bills 10/31/96 5.02% 11,600 11,549
U.S. Treasury bills 11/7/96 5.04% - 5.20% 29,405 29,246
U.S. Treasury bills 11/14/96 5.05% - 5.19% 26,785 26,617
U.S. Treasury bills 11/21/96 5.05% - 5.23% 29,238 29,022
U.S. Treasury bills 12/5/96 5.16% - 5.17% 27,400 27,150
U.S. Treasury bills 12/12/96 5.00% - 5.20% 28,135 27,851
U.S. Treasury bills 12/19/96 5.23% 20,470 20,248
-------------
Total Investment Securities (cost: $255,528,000) 255,551
Excess of cash and receivables over payables 259
-------------
Net Assets $255,810
=============
See Notes to Financial Statements
</TABLE>
<PAGE>
<TABLE>
<S> <C> <C>
U.S. Treasury Money Fund of America
Financial Statements
- ---------------------------------------- ------------ ------------
Statement of Assets and Liabilities
at September 30, 1996 (dollars in thousands)
- ---------------------------------------- ------------ ------------
Assets:
Investment securities at market
(cost: $255,528) $255,551
Cash 499
Receivables for --
Sales of fund's shares 1,728
------------
257,778
Liabilities:
Payables for --
Repurchases of fund's shares $1,532
Dividends payable 50
Management services 61
Accrued expenses 325 1,968
------------ ------------
Net Assets at September 30, 1996 --
Equivalent to $1.00 per share on
255,788,025 shares of beneficial
interest issued and outstanding;
unlimited shares authorized $255,810
=============
Statement of Operations
for the year ended September 30, 1996 (dollars in thousands)
------------ ------------
Investment Income:
Income:
Interest $ 12,116
Expenses:
Management services fee $699
Distribution expenses 205
Transfer agent fee 251
Reports to shareholders 19
Registration statement and prospectus 157
Postage, stationery and supplies 102
Trustees' Fees 16
Auditing and legal fees 36
Custodian fee 12
Taxes other than federal income tax 5
Organization expense 2
Other expenses 12 1,516
------------
1516
Reimbursement of expenses 0
------------ ------------
Net investment income 10,600
------------
Change in Unrealized (Depreciation)
Appreciation on Investments:
Net unrealized (depreciation)
appreciation on investments:
Beginning of year (33)
End of year 23
------------
Net change in unrealized (depreciation)
appreciation on investments 56
------------
Net Increase in Net Assets Resulting
from Operations $10,656
============
Statement of Changes in Net
Assets (dollars in thousands)
- ---------------------------------------- ------------- -------------
Year ended September 30
1996 1995
Operations: ------------- -------------
Net investment income $10,600 $ 10,211
Net change in unrealized appreciation
(depreciation) on investments 56 (64)
------------- -------------
Net increase in net assets
resulting from operations 10,656 10,147
------------- -------------
Dividends Paid to Shareholders (10,601) (10,211)
------------- -------------
Capital Share Transactions:
Proceeds from shares sold:
388,209,397 and 374,035,452
shares, respectively 388,209 374,035
Proceeds from shares issued in
reinvestment of net investment income
dividends and distributions of net
realized gain on investments:
10,027,797 and 9,566,991 shares,
respectively 10,028 9,567
Cost of shares repurchased:
373,634,115 and 351,365,008
shares, respectively (373,634) (351,365)
------------- -------------
Net increase in net assets resulting
from capital share transactions 24,603 32,237
------------- -------------
Total Increase in Net Assets 24,658 32,173
Net Assets:
Beginning of year 231,152 198,979
------------- -------------
End of year $255,810 $231,152
============= =============
See Notes to Financial Statements
</TABLE>
<PAGE>
Notes to Financial Statements
1. The U.S. Treasury Money Fund of America (the "fund") is registered under
the Investment Company Act of 1940 as an open-end, diversified management
investment company. The fund seeks to provide income on cash reserves, while
preserving capital and maintaining liquidity, through investments in U.S.
Treasury securities maturing in one year or less. The following paragraphs
summarize the significant accounting policies consistently followed by the fund
in the preparation of its financial statements:
The fund uses the penny-rounding method of valuing its shares, in
accordance with Securities and Exchange Commission (SEC) rules. This method
permits the fund to maintain a constant net asset value of $1.00 per share,
provided the market value of the fund's shares does not deviate from $1.00 by
more than one-half of 1% and the fund complies with other restrictions set
forth in the SEC rules.
Portfolio securities with 60 days or less to maturity are valued at
amortized cost, which approximates market value. Portfolio securities with
original or remaining maturities in excess of 60 days are valued at prices
obtained from a bond-pricing service provided by a major dealer in bonds, when
such prices are available; however, in circumstances where the investment
adviser deems it appropriate to do so, such securities will be valued at the
mean of their representative quoted bid and asked prices or, if such prices are
not available, at the mean of such prices for securities of comparable
maturity, quality and type. Securities for which market quotations are not
readily available are valued at fair value by the Board of Trustees or a
committee thereof.
As is customary in the mutual fund industry, securities transactions
are accounted for on the date the securities are purchased or sold. Realized
gains and losses from securities transactions are reported on an identified
cost basis. Interest income is reported on the accrual basis. Dividends are
declared daily after the determination of the fund's net investment income and
are paid to shareholders monthly. Discounts and premiums on securities
purchased are amortized over the life of the respective securities.
2. It is the fund's policy to continue to comply with the requirements of the
Internal Revenue Code applicable to regulated investment companies and to
distribute all of its net investment income, including any net realized gain on
investments, to its shareholders. Therefore, no federal income tax provision is
required.
As of September 30, 1996, unrealized appreciation for book and federal
income tax purposes aggregated $23,000, of which $28,000 related to appreciated
securities and $5,000 related to depreciated securities. There was no
difference between book and tax realized gains on securities transactions for
the year ended September 30, 1996. The cost of portfolio securities for book
and federal income tax purposes was $255,528,000 at September 30, 1996.
3. The fee of $699,000 for management services was paid pursuant to an
agreement with Capital Research and Management Company (CRMC), with which
certain officers and Trustees of the fund are affiliated. The Investment
Advisory and Service Agreement provides for monthly fees, accrued daily, based
on an annual rate of 0.30% of the first $800 million of average net assets and
0.285% of such assets in excess of $800 million. The Investment Advisory and
Service Agreement provides for fee reductions to the extent that annual
operating expenses exceed 0.75% of the average daily net assets of the fund
during a period which will terminate at the earlier of such time as no
reimbursement has been required for a period of 12 consecutive months, provided
no advances are outstanding, or February 1, 2001. CRMC has also voluntarily
agreed to waive its fees to the extent necessary to ensure that the fund's
expenses do not exceed 0.675% of the average daily net assets. Expenses that
are not subject to these limitations are interest, taxes, brokerage
commissions, transaction costs and extraordinary expenses. There can be no
assurance that this voluntary fee waiver will continue in the future. For the
year ended September 30, 1996, no fees were waived.
Pursuant to a Plan of Distribution with American Funds Distributors, Inc.
(AFD), the fund may expend up to 0.15% of its average net assets annually for
any activities primarily intended to result in sales of fund shares, provided
the categories of expenses for which reimbursement is made are approved by the
fund's Board of Trustees. Fund expenses under the Plan include payments to
dealers to compensate them for their selling and servicing efforts. During the
year ended September 30, 1996, distribution expenses under the Plan amounted to
$205,000. As of September 30, 1996, accrued and unpaid distribution expenses
were $16,000.
American Funds Service Company (AFS), the transfer agent for the fund, was
paid a fee of $251,000 under the terms of a contract that provides for transfer
agency services to be performed for the fund.
Trustees who are unaffiliated with CRMC may elect to defer part or all of
the fees earned for services as members of the Board. Amounts deferred are not
funded and are general unsecured liabilities of the fund. As of September 30,
1996 aggregate amounts deferred and earnings thereon were $14,000.
CRMC is owned by The Capital Group Companies, Inc. AFS and AFD are both
wholly owned subsidiaries of CRMC. Certain Trustees and officers of the fund
are or may be considered to be affiliated with CRMC, AFS and AFD. No such
persons received any remuneration directly from the fund.
4. The fund made purchases and sales of investment securities of
$1,219,427,000 and $1,200,574,000, respectively, during the year ended
September 30, 1996.
<PAGE>
<TABLE>
<S> <C> <C> <C> <C> <C>
PER-SHARE DATA AND RATIOS
- ------------------------------ -------- -------- -------- -------- --------
Year ended September 30
-------- -------- -------- -------- --------
1996 1995 1994 1993 1992
-------- -------- -------- -------- --------
Net Asset Value, Beginning of Year $1.00 $1.00 $1.00 $1.00 $1.00
-------- -------- -------- -------- --------
Income from Investment Operations
Net investment income .046 .048 .028 .025 .036
Total income from investment -------- -------- -------- -------- --------
operations .046 .048 .028 .025 .036
-------- -------- -------- -------- --------
Less Distributions:
Dividends from net investment
income (.046) (.048) (.028) (.025) (.036)
-------- -------- -------- -------- --------
Total distributions (.046) (.048) (.028) (.025) (.036)
-------- -------- -------- -------- --------
Net Asset Value, End of Year $1.00 $1.00 $1.00 $1.00 $1.00
======== ======== ======== ======== ========
Total Return 4.66% 4.89% 2.89% 2.49% 3.61%
Ratios/Supplemental Data:
Net assets, end of year (in
millions) $256 $231 $199 $140 $106
Ratio of expenses to average
net assets .65% .67% .67% .61% .68%
Ratio of net income to
average net assets 4.53% 4.79% 2.91% 2.43% 3.51%
</TABLE>
Report of Independent Accountants
To the Board of Trustees and Shareholders of The U.S. Treasury Money Fund of
America:
In our opinion, the accompanying statement of assets and liabilities, including
the investment portfolio, and the related statements of operations and of
changes in net assets and the per-share data and ratios present fairly, in all
material respects, the financial position of The U.S. Treasury Money Fund of
America (the "Fund") at September 30, 1996, the results of its operations, the
changes in its net assets and the per-share data and ratios for the periods
indicated, in conformity with generally accepted accounting principles. These
financial statements and per-share data and ratios (hereafter referred to as
"financial statements") are the responsibility of the Fund's management; our
responsibility is to express an opinion on these financial statements based on
our audits. We conducted our audits of these financial statements in
accordance with generally accepted auditing standards which require that we
plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements, assessing the accounting principles used and
significant estimates made by management, and evaluating the overall financial
statement presentation. We believe that our audits, which included
confirmation of securities at September 30, 1996 by correspondence with the
custodian, provide a reasonable basis for the opinion expressed above.
Price Waterhouse LLP
Los Angeles, California
October 31, 1996
TAX INFORMATION (UNAUDITED)
We are required to advise you within 60 days of the fund's fiscal year-end
regarding the federal tax status of distributions.
Certain states may exempt from income taxation a portion of the dividends
paid from net investment income if derived from direct U.S. Treasury
obligations. For purposes of computing this exclusion, all of the dividends
paid by the fund from net investment income were derived from interest on
direct U.S. Treasury obligations.
Dividends received by retirement plans such as IRAs, Keogh-type plans, and
403(b) plans need not be reported as taxable income. However, many retirement
trusts may need this information for their annual information reporting.
SINCE THE AMOUNTS ABOVE ARE REPORTED FOR THE FISCAL YEAR AND NOT THE
CALENDAR YEAR, SHAREHOLDERS SHOULD REFER TO THEIR FORM 1099-DIV OR OTHER TAX
INFORMATION WHICH WILL BE MAILED IN JANUARY 1997 TO DETERMINE THE CALENDAR YEAR
AMOUNTS TO BE INCLUDED ON THEIR RESPECTIVE 1996 TAX RETURNS. SHAREHOLDERS
SHOULD CONSULT THEIR TAX ADVISERS.
<PAGE>
<TABLE>
<S> <C> <C> <C>
The Tax-Exempt Money Fund of America
Investment Portfolio, September 30, 1996
Principal Market
Yield at Amount Value
Acquisition (000) (000)
Municipal Securities
- -------------------------------------------------------- ------------- ---------- ----------
Alabama - 1.39%
The Industrial Development Board of the City of
Montgomery, Pollution Control and Solid Waste
Disposal Revenue Refunding Bonds (General
Electric Co. Project), Series 1990, TECP:
3.40% 11/15/96 3.40 $1,000 $1,000
3.50% 11/19/96 3.50 1,000 1,000
Alaska - 5.22%
Housing Finance Corporation General
Purpose Bonds, 1991 Series C, VRDN,
3.90%, 10/2/96* 3.90 3,500 3,500
City of Valdez, Marine Terminal Revenue
Refunding Bonds (ARCO Transportation
Alaska, Inc. Project):
1994 Series C, TECP, 3.60% 10/16/96 3.60 1,000 1,000
1994 Series, TECP, 3.55% 11/6/96 3.55 1,000 1,000
1994 Series C, TECP, 3.50% 11/12/96 3.50 2,000 2,000
Arizona - 4.35%
The Industrial Development Authority of the City
of Chandler, Floating Rate Monthly Demand
Industrial Development Revenue Bonds
(Parsons Municipal Services, Inc. Project),
Series 1983, VRDN, 3.75% 10/16/96* 3.75 1,000 1,000
Salt River Project Agricultural Improvement
and Power District, Promissory Notes, TECP:
Series L:
3.45% 10/2/96 3.45 1,400 1,400
3.50% 10/4/96 3.50 1,500 1,500
3.45% 11/5/96 3.45 1,000 1,000
Series G, 3.50% 11/6/96 3.50 1,350 1,350
Arkansas - 1.39%
Board of Trustees of the University of Arkansas
Various Facility Revenue Bonds (UAMS
Campus), Series 1994, VRDN, 3.90% 10/2/96* 3.90 2,000 2,000
California - 2.10%
County of Los Angeles, 1996-97 Tax and Revenue
Anticipation Notes, Series A, 4.50% 6/30/97 4.50 3,000 3,016
Colorado - 0.70%
State Tax and Revenue Anticipation Notes,
1996 Series A, 4.50% 6/27/97 4.50 1,000 1,005
Florida - 6.05%
Sunshine State Governmental Financing
Commission Revenue Bonds, TECP:
Series L:
3.30% 10/4/96 3.30 1,000 1,000
3.40% 10/8/96 3.40 1,000 1,000
3.50% 10/11/96 3.50 1,000 1,000
Series G, 3.50% 11/5/96 3.50 1,600 1,600
Jacksonville Electric Authority Electric System,
Series D-1, TECP:
3.60% 10/3/96 3.60 1,700 1,700
3.40% 10/8/96 3.40 1,000 1,000
3.50% 11/8/96 3.50 1,400 1,400
Georgia - 3.79%
Municipal Electric Authority, Subordinated
Bonds, Money Market Municipal, Project I:
1994-D, 3.50% 10/4/96 3.50 1,450 1,450
1994-E, 3.60% 10/7/96 3.60 1,000 1,000
1985-A, 3.50% 11/1/96 3.50 1,000 1,000
1985-C, 3.60% 11/5/96 3.60 1,000 1,000
1994-D, 3.50% 11/6/96 3.50 1,000 1,000
Hawaii - 3.90%
Housing Finance and Development Corporation,
Affordable Rental Housing Program Revenue
Bonds, 1993 Series A, VRDN, 3.95% 10/2/96* 3.95 1,000 1,000
City and County of Honolulu General Obligation
Bond Anticipation Notes, TECP:
3.30% 10/1/96 3.30 1,300 1,300
3.40% 10/2/96 3.40 1,300 1,300
3.45% 11/8/96 3.45 2,000 2,000
Kansas - 2.30%
City of Burlington Pollution Control
Refunding and Improvement Revenue Bonds
(Kansas City Power & Light Co. Project)
1985 Series A, TECP:
3.55% 10/3/96 3.55 1,000 1,000
3.50% 11/7/96 3.50 2,300 2,300
Kentucky - 2.91%
Pendleton County, Multi-County Lease
Revenue Bonds (Kentucky Association of
Counties Leasing Trust Program), Series
1989, Money Market Municipal:
3.60% 10/2/96 3.60 1,385 1,385
3.45% 10/7/96 3.45 1,000 1,000
3.50% 10/7/96 3.50 1,800 1,800
Louisiana - 3.69%
Public Facilities Authority Hospital
Revenue and Refunding Bonds (Willis-
Knighton Medical Center Project), Series
1993, AMBAC Insured, VRDN, 3.80% 10/2/96* 3.80 900 900
Parish of Ascension, Variable Rate Demand
Pollution Control Revenue Refunding Bonds
(Borden, Inc. Project), Series 1992,
VRDN, 3.90% 10/2/96* 3.90 3,000 3,000
Lake Charles Harbor and Terminal District,
Flexible Demand Port Facilities Revenue
Bonds (CITGO Petroleum Corp. Project),
Series 1984, VRDN, 3.85% 10/2/96* 3.85 1,400 1,400
Maryland - 4.83%
Community Development Administration, Department
of Housing and Community Development, Single-Family
Program Bonds, 1996 First and 1996 Second Series,
3.45% Mandatory Put 10/1/96 3.45 1,000 1,000
Anne Arundel County Economic Development
Revenue Bonds (Baltimore Gas and Electric
Co. Project), Series 1988, TECP:
3.45% 10/8/96 3.45 1,000 1,000
3.55% 10/9/96 3.55 1,000 1,000
3.70% 10/11/96 3.70 1,240 1,240
3.60% 11/20/96 3.60 1,700 1,700
Howard County, Consolidated Public Improvement
Commercial Paper Bond Anticipation Notes, Series B,
TECP, 3.55% 11/18/96 3.55 1,000 1,000
Massachusetts - 5.50%
Bay Transportation Authority, Series C, TECP:
3.55% 10/9/96 3.55 2,000 2,000
3.40% 10/16/96 3.40 1,900 1,900
3.50% 10/24/96 3.50 1,000 1,000
Health and Educational Facilities Authority
Revenue Bonds, Harvard University Issue,
Series L, TECP:
3.50% 11/13/96 3.50 1,000 1,000
3.50% 11/14/96 3.50 2,000 2,000
Michigan - 2.78%
Economic Development Corporation of the
Township of Cornell, Industrial Development
Revenue Refunding Bonds (Mead-Escanaba Paper
Co. Project), Series 1990, TECP:
3.45% 10/10/96 3.45 1,300 1,300
3.50% 10/24/96 3.50 2,100 2,100
Economic Development Corporation of the
County of Delta Environmental Improvement
Revenue Bonds (Mead-Escanaba Paper Co.
Project) Series 1992, VRDN, 3.90% 10/1/96* 3.90 600 600
Minnesota - 1.39%
Regents of the University of Minnesota,
Variable Rate Demand Bond, Series 1985G,
3.75% Optional Put 2/1/97 3.75 2,000 2,001
Missouri - 5.29%
Higher Education Loan Authority, Adjustable
Rate Demand Student Loan Revenue Bonds, VRDN:
Series 1990 A, 3.90% 10/2/96* 3.90 1,600 1,600
Series 1990 B, 3.90% 10/2/96* 3.90 1,000 1,000
City of Columbia, Special Obligation
Insurance Reserve Bonds, Series 1988 A,
VRDN, 3.85% 10/2/96* 3.85 1,000 1,000
City of Independence, Variable Rate Demand
Water Utility Revenue Bonds, Series 1986, TECP:
3.50% 10/3/96 3.50 1,000 1,000
3.45% 10/4/96 3.45 1,000 1,000
3.55% 10/18/96 3.55 1,000 1,000
3.55% 11/4/96 3.55 1,000 1,000
Montana - 0.70%
City of Forsyth, Flexible Demand Pollution
Control Revenue Bonds (Portland General
Electric Co. Colstrip Project),
Series 1983 A, VRDN, 3.80% 10/2/96* 3.80 1,000 1,000
North Carolina - 1.74%
Educational Facilities Finance Agency, Revenue
Bonds (Duke University Project), VRDN:
Series 1991 D, 3.75% 10/3/96* 3.75 1,500 1,500
Series 1992 A, 3.75% 10/3/96* 3.75 1,000 1,000
Ohio - 1.04%
Ohio Water Development Authority, Pollution
Control Revenue Bonds, Series 1988
(Duquesne Light Co. Project), TECP,
3.60% 11/20/96 3.60 1,500 1,500
Pennsylvania - 5.77%
Allegheny County Industrial Development
Authority, Customized Purchase Environmental
Improvement Revenue Refunding Bonds (United
States Steel Corp. Project), Series 1986, TECP,
3.35% 10/3/96 3.35 1,000 1,000
Beaver County Industrial Development Authority,
Pollution Control Revenue Refunding Bonds
(Duquesne Light Co. Beaver Valley Project),
1990 Series C, TECP:
3.50% 10/22/96 3.50 2,000 2,000
3.45% 11/21/96 3.45 2,000 2,000
Carbon County Industrial Development Authority,
Resource Recovery Revenue Bonds (Panther Creek
Partners Project), 1990 Series B, TECP,
3.55% 10/21/96 3.55 1,290 1,290
Delaware County Industrial Development Authority:
Pollution Control Revenue Refunding Bonds
(Philadelphia Electric Co. Project),
1988 Series A, FGIC Insured, TECP, 3.45% 11/4/96 3.45 1,000 1,000
Solid Waste Revenue Bonds (Scott Paper Co. Project),
Series 1984 D, VRDN, 3.80% 10/2/96* 3.80 1,000 1,000
Texas - 14.11%
State Tax and Revenue Anticipation Notes,
Series 1997, 4.75% 8/29/97 4.75 3,600 3,631
City of Austin (Travis and Williamson Counties),
Combined Utility Systems Notes, TECP:
Series G, 3.45% 10/8/96 3.45 1,000 1,000
Series A:
3.35% 10/8/96 3.35 1,000 1,000
3.50% 11/7/96 3.50 1,000 1,000
Brazos Higher Education Authority, Inc. Student
Loan Revenue Bonds, Series 1993B-1, VRDN,
3.90% 10/2/96* 3.90 1,000 1,000
Brazos River Authority, Collateralized
Pollution Control Revenue Refunding Bonds
(Texas Utilities Electric Co. Project),
Series 1994A, TECP:
3.70% 10/9/96 3.70 1,000 1,000
3.60% 11/13/96 3.60 1,000 1,000
3.50% 11/19/96 3.50 1,000 1,000
City of Brownsville Utility System, Tax Exempt
Commercial Paper Notes, Series A:
3.55% 10/31/96 3.55 1,000 1,000
3.55% 11/15/96 3.55 1,000 1,000
3.45% 11/18/96 3.45 1,000 1,000
Harris County:
General Obligation Commercial
Paper Notes. Series A, TECP, 3.50% 11/12/96 3.50 1,750 1,750
Health Facilities Development Corporation,
SCH Health Care System, Unit Priced Demand
Adjustable Revenue Bonds (Sisters of
Charity of the Incarnate Word, Houston)
Series 1985, TECP:
3.50% 10/23/96 3.50 1,900 1,900
3.50% 10/30/96 3.50 2,000 2,000
Lower Neches Valley Authority Pollution Control
Revenue Bonds (Chevron U.S.A. Inc. Project),
Series 1987, 3.65% Optional Put 2/18/97 3.65 1,000 1,000
Utah - 4.24%
Board of Regents, Student Loan Revenue Bonds, 1988
Series C, AMBAC Insured, VRDN, 3.90% 10/2/96* 3.90 1,100 1,100
Intermountain Power Agency:
Variable Rate Power Supply Revenue Bonds,
1985 Series F, 3.93% Optional Put 6/16/97 3.93 3,000 3,000
Variable Rate Power Supply Revenue and
Refunding Bonds, 1985 Series F2, TECP:
3.35% 10/7/96 3.35 1,000 1,000
3.55% 10/31/96 3.55 1,000 1,000
Virginia - 4.18%
Industrial Development Authority of Fairfax
County, Unit Priced Demand Adjustable Hospital
Revenue Bonds (Inova Health System Hospitals
Project), Series 1993B, TECP:
3.40% 10/10/96 3.40 1,100 1,100
3.45% 10/17/96 3.45 2,100 2,100
3.50% 10/21/96 3.50 1,400 1,400
Industrial Development Authority of the City
of Norfolk, Hospital Revenue Bonds (Sentara
Hospitals-Norfolk Project), Series 1990A,
TECP, 3.35% 10/9/96 3.35 1,400 1,400
Washington - 3.06%
Student Loan Finance Association,
Guaranteed Student Loan Program, 1988
Series B, VRDN, 3.70% 10/3/96* 3.70 1,000 1,000
Port of Seattle, General Obligation Bonds,
Series 1985, VRDN, 3.90% 10/2/96* 3.90 3,400 3,400
West Virginia - 3.79%
The County Commission of Marion County, Solid
Waste Disposal Facility Revenue Bonds, 1990
Series A (Grant Town Congeneration Project),
VRDN, 4.00% 10/2/96* 4.00 1,700 1,700
Public Energy Authority, Energy Revenue Bonds
(Morgantown Energy Associates Project),
1989 Series A, TECP:
3.55% 10/18/96 3.55 1,000 1,000
3.65% 10/18/96 3.65 1,000 1,000
3.60% 11/7/96 3.60 1,750 1,750
Wyoming - 2.78%
Converse County, Pollution Control Revenue Bonds,
Series 1988, TECP, 3.55% 10/17/96 3.55 1,000 1,000
Sweetwater County:
Pollution Control Revenue Bonds (PacifiCorp Projects),
Series 1990A, VRDN, 3.80% 10/2/96* 3.80 2,000 2,000
Customized Purchase Pollution Control
Revenue Refunding Bonds (PacificCorp Projects),
Series 1988A, TECP, 3.60% 11/4/96 3.60 1,000 1,000
----------
Total Tax-Exempt Securities (cost: $142,262,000) 142,268
Excess of cash, and receivables over payables 1,451
----------
Net Assets $143,719
==========
*Coupon rates may change periodically; "yield at
acquisition" reflects current coupon rate.
See Notes to Financial Statements
</TABLE>
<PAGE>
<TABLE>
<S> <C> <C>
The Tax-Exempt Money Fund of America
Financial Statements
- ------------------------------------- ------------ ------------
Statement of Assets and Liabilities
at September 30, 1996 (dollars in thousands)
- ------------------------------------- ------------ ------------
Assets:
Investment securities at market
(cost: $142,262) $142,268
Cash 423
Receivables for--
Sales of fund's shares $1,467
Accrued interest 472 1,939
------------ ------------
144,630
Liabilities:
Payables for--
Repurchases of fund's shares 843
Dividends payable 24
Management services 44 911
Accrued expenses 0
------------ ------------
Net Assets at September 30, 1996 --
Equivalent to $1.00 per share on
143,711,476 shares of beneficial
interest issued and outstanding;
unlimited shares authorized $143,719
=============
Statement of Operations
for year ended September 30, 1996 (dollars in thousands)
------------ ------------
Investment Income:
Income:
Interest $ 5,176
Expenses:
Management services fee $648
Distribution expenses 82
Transfer agent fee 150
Reports to shareholders 23
Registration statement and prospectus 91
Postage, stationery and supplies 39
Trustees' fees 17
Auditing and legal fees 40
Custodian fee 8
Taxes other than federal income tax 5
Other expenses 28
------------------
Total expenses before reimbursement 1,131
Reimbursement of expenses 173 958
------------ ------------
Net investment income 4,218
------------
Realized Gain and Change in
Unrealized (Depreciation)
Appreciation on Investments:
Net realized gain 5
Net unrealized (depreciation)
appreciation on investments:
Beginning of year (7)
End of year 6
------------
Net change in unrealized
(depreciation)
appreciation on investments 13
------------
Net realized gain and unrealized
appreciation on investments 18
------------
Net Increase in Net Assets
Resulting from Operations $4,236
============
Statement of Changes in Net
Assets (dollars in thousands)
- ---------------------------------------- ------------- -------------
Year Ended September 30
1996 1995
Operations: ------------- -------------
Net investment income $ 4,218 $ 4,914
Net realized gain (loss) 5 (12)
Net change in unrealized
appreciation on investments 13 8
------------- -------------
Net increase in net assets
resulting from operations 4,236 4,910
------------- -------------
Dividends Paid to Shareholders (4,218) (4,914)
------------- -------------
Capital Share Transactions:
Proceeds from shares sold:
225,676,042 and 254,916,915
shares, respectively 225,676 254,917
Proceeds from shares issued in
reinvestment of net investment
income dividends and distributions
of net realized gain on investments:
3,845,965 and 4,518,581 shares,
respectively 3,846 4,519
Cost of shares repurchased:
236,244,699 and 279,235,665
shares, respectively (236,243) (279,236)
------------- -------------
Net decrease in net assets
resulting from capital share
transactions (6,721) (19,800)
------------- -------------
Total Decrease in Net Assets (6,703) (19,804)
Net Assets:
Beginning of year 150,422 170,226
------------- -------------
End of year $143,719 $150,422
============= ==============
See Notes to Financial Statements
</TABLE>
<PAGE>
Notes to Financial Statements
1. The Tax-Exempt Money Fund of America (the "fund") is registered under the
Investment Company Act of 1940 as an open-end, diversified management
investment company. The fund seeks to provide income free from federal taxes,
while preserving capital and maintaining liquidity, through investments in
high-quality municipal securities maturing in one year or less. The following
paragraphs summarize the significant accounting policies consistently followed
by the fund in the preparation of its financial statements:
The fund uses the penny-rounding method of valuing its shares, in
accordance with Securities and Exchange Commission (SEC) rules. This method
permits the fund to maintain a constant net asset value of $1.00 per share,
provided the market value of the fund's shares does not deviate from $1.00 by
more than one-half of 1% and the fund complies with other restrictions set
forth in the SEC rules.
Tax-exempt securities with 60 days or less to maturity are valued at
amortized cost, which approximates market value. Securities with original or
remaining maturities in excess of 60 days are valued at prices obtained from a
national municipal bond pricing service. The pricing service takes into account
various factors such as quality, yield and maturity of tax-exempt securities
comparable to those held by the fund, as well as actual bid and asked prices on
a particular day. Securities for which pricing service values are not available
are valued at the mean of their quoted bid and asked prices. However, in
circumstances where the investment adviser deems it appropriate to do so,
securities will be valued at the mean of their quoted bid and asked prices, or,
if such prices are not available, at the mean of such prices for securities of
comparable maturity, quality and type. The maturities of variable or floating
rate instruments are deemed to be the time remaining until the next interest
rate adjustment date. Securities for which market quotations are not readily
available are valued at fair value by the Board of Trustees or a committee
thereof.
As is customary in the mutual fund industry, securities transactions are
accounted for on the date the securities are purchased or sold. Realized gains
and losses from securities transactions are reported on an identified cost
basis. Interest income is reported on the accrual basis. Dividends are declared
daily after the determination of the fund's net investment income and paid to
shareholders monthly. Discounts and premiums on securities purchased are
amortized over the life of the respective securities.
2. It is the fund's policy to continue to comply with the requirements of the
Internal Revenue Code applicable to regulated investment companies and to
distribute all of its net investment income, including any net realized gain on
investments, to its shareholders. Therefore, no federal income tax provision is
required.
As of September 30, 1996, unrealized appreciation for book and federal
income tax purposes aggregated $6,000, all of which related to appreciated
securities. There was no difference between book and tax realized gains on
securities transactions for the year ended September 30, 1996. During the year
ended September 30, 1996, the fund realized, on a tax basis, a net capital gain
of $5,000 on sales of securities. The cost of portfolio securities for book and
federal income tax purposes was $142,262,000 at September 30, 1996.
3. The fee of $648,000 for management services was paid pursuant to an
agreement with Capital Research and Management Company (CRMC), with which
certain officers and Trustees of the fund are affiliated. The Investment
Advisory and Service Agreement provides for monthly fees, accrued daily, based
on an annual rate of 0.44% of the first $200 million of average net assets;
0.42% of such assets in excess of $200 million but not exceeding $600 million;
0.38% on that portion of net assets in excess of $600 million but not exceeding
$1.2 billion; and 0.34% on that portion of net assets in excess of $1.2
billion.
The Investment Advisory and Service Agreement provides for fee reductions
to the extent that annual operating expenses exceed 0.75% of the average net
assets of the fund during a period which will terminate at the earlier of such
time as no reimbursement has been required for a period of 12 consecutive
months, provided no advances are outstanding, or October 2, 1999. CRMC has also
voluntarily agreed to waive its fees to the extent necessary to ensure that the
fund's expenses do not exceed 0.65% of the average net assets. Expenses that
are not subject to these limitations are interest, taxes, brokerage
commissions, transaction costs and extraordinary expenses. There can be no
assurance that this voluntary fee waiver will continue in the future. Fee
waivers amounted to $173,000 for the year ended September 30, 1996.
Pursuant to a Plan of Distribution with American Funds Distributors, Inc.
(AFD), the fund may expend up to 0.15% of its average net assets annually for
any activities primarily intended to result in sales of fund shares, provided
the categories of expenses for which reimbursement is made are approved by the
fund's Board of Trustees. Fund expenses under the Plan include payments to
dealers to compensate them for their selling and servicing efforts. During the
year ended September 30, 1996, distribution expenses under the Plan were
$82,000. As of September 30, 1996, accrued and unpaid distribution expenses
were $6,000.
American Funds Service Company (AFS), the transfer agent for the fund, was
paid a fee of $150,000 under the terms of a contract that provides for transfer
agency services to be performed for the fund.
Trustees who are unaffiliated with CRMC may elect to defer part or all of
the fees earned for services as members of the Board. Amounts deferred are not
funded and are general unsecured liabilities of the fund. As of September 30,
1996, aggregate amounts deferred and earnings thereon were $14,000.
CRMC is owned by The Capital Group Companies, Inc. AFS and AFD are both
wholly owned subsidiaries of CRMC. Certain Trustees and officers of the fund
are or may be considered to be affiliated with CRMC, AFS and AFD. No such
persons received any remuneration directly from the fund.
4. The fund made purchases and sales of investment securities of $766,316,000
and $772,968,000, respectively, during the year ended September 30, 1996.
<PAGE>
<TABLE>
<S> <C> <C> <C> <C> <C>
PER-SHARE DATA AND RATIOS
- ---------------------------------------------------------- ---------- ---------- ---------- ----------
Year ended September 30, 1996
---------- ---------- ---------- ---------- ----------
1996 1995 1994 1993 1992
---------- ---------- ---------- ---------- ----------
Net Asset Value, Beginning of Year $1.00 $1.00 $1.00 $1.00 $1.00
---------- ---------- ---------- ---------- ----------
Income from Investment Operations:
Net Investment income .029 .031 .020 .019 .029
---------- ---------- ---------- ---------- ----------
Total income from investment operations .029 .031 .020 .019 .029
---------- ---------- ---------- ---------- ----------
Less Distributions:
Dividends from net investment income (.029) (.031) (.020) (.019) (.029)
---------- ---------- ---------- ---------- ----------
Total distributions (.029) (.031) (.020) (.019) (.029)
---------- ---------- ---------- ---------- ----------
Net Asset Value, End of Year $1.00 $1.00 $1.00 $1.00 $1.00
========= ========= ========= ========= =========
Total Return 2.91% 3.14% 1.98% 1.90% 2.96%
Ratios/Supplemental Data:
Net assets, end of year (in millions) $144 $150 $170 $121 $108
Ratio of expenses to average net assets -
Before fee waiver .77% .75% .73% .79% .77%
Ratio of expenses to average net assets -
After fee waiver .65% .65% .65% .65% .65%
Ratio of net income to average net assets 2.88% 3.09% 1.99% 1.88% 2.95%
</TABLE>
Report of Independent Accountants
To the Board of Trustees and Shareholders of The Tax-Exempt Money Fund of
America
In our opinion, the accompanying statement of assets and liabilities, including
the investment portfolio, and the related statements of operations and of
changes in net assets and the per-share data and ratios present fairly, in all
material respects, the financial position of The Tax-Exempt Money Fund of
America (the "Fund") at September 30, 1996, the results of its operations, the
changes in its net assets and the per-share data and ratios for the periods
indicated, in conformity with generally accepted accounting principles. These
financial statements and per-share data and ratios (hereafter referred to as
"financial statements") are the responsibility of the Fund's management; our
responsibility is to express an opinion on these financial statements based on
our audits. We conducted our audits of these financial statements in accordance
with generally accepted auditing standards, which require that we plan and
perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements, assessing the accounting principles used and significant estimates
made by management, and evaluating the overall financial statement
presentation. We believe that our audits, which included confirmation of
securities at September 30, 1996
by correspondence with the custodian and brokers, provide a reasonable basis
for the opinion expressed above.
Price Waterhouse LLP
Los Angeles, California
October 31, 1996
1996 TAX INFORMATION
We are required to advise you within 60 days of the fund's fiscal year-end
regarding the federal tax status of distributions.
Dividends received by retirement plans such as IRAs, Keogh-plans, and
403(b) plans need not be reported as taxable income. However, many retirement
trusts may need this information for their annual information reporting.
Shareholders may exclude from federal taxable income any exempt-interest
dividends paid from net investment income. All of the distributions paid by the
fund during the fiscal year ended September 30, 1996 were exempt-interest
distributions within the meaning of Section 852(b)(5)(A) of the Internal
Revenue Code.
SINCE THE AMOUNTS ABOVE ARE REPORTED FOR THE FISCAL YEAR AND NOT THE
CALENDAR YEAR, SHAREHOLDERS SHOULD REFER TO THEIR FORM 1099- DIV OR OTHER TAX
INFORMATION WHICH WILL BE MAILED IN JANUARY 1997 TO DETERMINE THE CALENDAR YEAR
AMOUNTS TO BE INCLUDED ON THEIR RESPECTIVE 1996 TAX RETURNS. SHAREHOLDERS
SHOULD CONSULT THEIR TAX ADVISERS.
THE CASH MANAGEMENT TRUST OF AMERICA
THE U.S. TREASURY MONEY FUND OF AMERICA
THE TAX-EXEMPT MONEY FUND OF AMERICA
BOARD OF TRUSTEES
H. FREDERICK CHRISTIE, Rolling Hills Estates, California
Private investor; former President and
Chief Executive Officer, The Mission Group;
former President, Southern California Edison Company
DIANE C. CREEL, Long Beach, California
Chief Executive Officer and President,
The Earth Technology Corporation
(environmental engineering)
MARTIN FENTON, JR., San Diego, California
Chairman of the Board, Senior Resource Group, Inc.
(senior living centers management)
LEONARD R. FULLER, Marina del Rey, California
President, Fuller & Company, Inc.
(financial management consulting)
ABNER D. GOLDSTINE, Los Angeles, California
President
Senior Vice President and Director,
Capital Research and Management Company
PAUL G. HAAGA, JR., Los Angeles, California
Chairman of the Boards
Senior Vice President and Director,
Capital Research and Management Company
HERBERT HOOVER III, San Marino, California
Private investor
RICHARD G. NEWMAN, Los Angeles, California
Chairman of the Board, President and Chief
Executive Officer, AECOM Technology Corporation
(architectural engineering)
PETER C. VALLI, Long Beach, California
Chairman of the Board, BW/IP International, Inc.
(industrial manufacturing)
OTHER OFFICERS
NEIL L. LANGBERG, Los Angeles, California
Senior Vice President,
The Tax-Exempt Money Fund of America
Vice President - Investment Management Group,
Capital Research and Management Company
TERESA S. COOK, Los Angeles, California
Vice President, The Cash Management Trust of America
and The U.S. Treasury Money Fund of America
Senior Vice President - Investment Management Group,
Capital Research and Management Company
MICHAEL J. DOWNER, Los Angeles, California
Vice President
Senior Vice President - Fund Business Management Group,
Capital Research and Management Company
MARY C. HALL, Brea, California
Vice President and Treasurer
Senior Vice President - Fund Business Management Group,
Capital Research and Management Company
SARAH P. LUCAS, Los Angeles, California
Assistant Vice President, The Cash Management Trust of
America and The U.S. Treasury Money Fund of America
Assistant Vice President - Investment Management Group,
Capital Research and Management Company
JULIE F. WILLIAMS, Los Angeles, California
Secretary
Vice President - Fund Business Management Group,
Capital Research and Management Company
KIMBERLY S. VERDICK, Los Angeles, California
Assistant Secretary
Assistant Vice President - Fund Business Management Group,
Capital Research and Management Company
ANTHONY W. HYNES, JR., Brea, California
Assistant Treasurer
Vice President - Fund Business Management Group,
Capital Research and Management Company
Printed on recycled paper
Litho in USA CD/CG/3138
Lit No. MMF-011-1196
OFFICES OF THE FUNDS AND OF THE
INVESTMENT ADVISER,
CAPITAL RESEARCH AND MANAGEMENT COMPANY
333 South Hope Street
Los Angeles, California 90071-1443
135 South State College Boulevard
Brea, California 92821-5804
TRANSFER AGENT FOR SHAREHOLDER ACCOUNTS
American Funds Service Company
(Please write to the address nearest you.)
P.O. Box 2205
Brea, California 92822-2205
P.O. Box 659522
San Antonio, Texas 78265-9522
P.O. Box 6007
Indianapolis, Indiana 46206-6007
P.O. Box 2280
Norfolk, Virginia 23501-2280
CUSTODIAN OF ASSETS
The Chase Manhattan Bank
One Chase Manhattan Plaza
New York, New York 10081-0001
COUNSEL
Morrison & Foerster LLP
345 California Street
San Francisco, California 94104-2675
INDEPENDENT ACCOUNTANTS
Price Waterhouse LLP
400 South Hope Street
Los Angeles, California 90071-2889
PRINCIPAL UNDERWRITER
American Funds Distributors, Inc.
333 South Hope Street
Los Angeles, California 90071-1462
FOR INFORMATION ABOUT YOUR ACCOUNT OR ANY OF THE FUNDS' SERVICES, PLEASE
CONTACT YOUR FINANCIAL ADVISER OR CALL AMERICAN FUNDS SERVICE COMPANY, TOLL
FREE, AT 800/421-0180.
This report is for the information of shareholders of The Cash Management Trust
of America, The U.S. Treasury Money Fund of America and The Tax-Exempt Money
Fund of America, but it may also be used as sales literature when preceded or
accompanied by the current prospectus, which gives details about charges,
expenses, investment objectives and operating policies of the funds. If used as
sales material after December 31, 1996, this report must be accompanied by an
American Funds Group Statistical Update for the most recently completed
calendar quarter.
[The American Funds Group (R)]
