CMA
CMA OHIO
MUNICIPAL MONEY FUND
Annual Report
March 31, 1996
Merrill Lynch
BULL LOGO
<PAGE>
Officers and Trustees
Arthur Zeikel--President and Trustee
Ronald W. Forbes--Trustee
Cynthia A. Montgomery--Trustee
Charles C. Reilly--Trustee
Kevin A. Ryan--Trustee
Richard R. West--Trustee
Terry K. Glenn--Executive Vice President
Vincent R. Giordano--Senior Vice President
Edward J. Andrews--Vice President
Donald C. Burke--Vice President
Peter J. Hayes--Vice President
Kenneth A. Jacob--Vice President
Kevin A. Schiatta--Vice President
Helen Marie Sheehan--Vice President
Gerald M. Richard--Treasurer
Robert Harris--Secretary
Custodian
State Street Bank and Trust Company
P.O. Box 1713
Boston, MA 02101
Transfer Agent
Merrill Lynch Financial Data Services, Inc.
4800 Deer Lake Drive East
Jacksonville, FL 32246-6484
(800) 221-7210*
[FN]
*For inquiries regarding your CMA account,
call (800) CMA-INFO [(800) 262-4636].
This report is not authorized for use as an offer of sale or a
solicitation of an offer to buy shares of the Fund unless
accompanied or preceded by the Fund's current prospectus. Past
performance results shown in this report should not be considered a
representation of future performance, which will fluctuate. The Fund
seeks to maintain a consistent $1.00 net asset value per share,
although this cannot be assured. An investment in the Fund is
neither insured nor guaranteed by the US Government. Statements and
other information herein are as dated and are subject to change.
CMA Ohio
Municipal Money Fund
Box 9011
Princeton, NJ 08543-9011
TO OUR SHAREHOLDERS:
<PAGE>
For the year ended March 31, 1996, CMA Ohio Municipal Money Fund
paid shareholders a net annualized yield of 3.27%*. As of March 31,
1996, the Fund's 7-day yield was 2.85%.
The Environment
As 1995 drew to a close and 1996 began, it appeared that the US
economy was losing momentum. Lackluster retail sales, increases in
initial unemployment claims (along with weak job and income growth),
and evidence of slowing in the manufacturing sector all suggested
that the rate of economic growth was slowing, with some forecasters
even suggesting the possibility of an imminent recession. With
inflationary pressures well subdued, these signs of economic
weakness led the Federal Reserve Board to follow a more
accommodative monetary policy.
However, investor perceptions regarding the rate of future economic
growth changed dramatically with the report of stronger-than-
expected employment data for February and March. As a result, the
consensus outlook regarding the direction of business activity
shifted from expectations of weakness to anticipation of a revival
in growth of the economy. Long-term interest rates rose, and the
Federal Reserve Board left monetary policy on hold.
Investors are likely to continue to focus on the probable direction
of economic activity and Federal Reserve Board monetary policy in
the weeks ahead. At this time, inflationary pressures do not seem to
be building and the manufacturing sector is still relatively weak,
which suggest that the economy is not on the verge of overheating.
Nevertheless, it is likely that any further indication of stronger
economic activity in the weeks ahead may add to investor concerns
that accelerating economic activity could lead to higher interest
rates.
[FN]
*Based on a constant investment throughout the period, with
dividends compounded daily, and reflecting a net return to the
investor after all expenses.
<PAGE>
Investment Outlook and Strategy
During the six-month period ended March 31, 1996, the State of
Ohio's economic activity was slowed by an array of setbacks.
Sluggish retail sales during the holiday season combined with
slowing production schedules by auto companies contributed to
scattered layoffs. In addition, a strike by workers at two General
Motors Corp. brake plants shut down the company's auto production
for 17 days. However, these developments, which once would have
crippled economic growth, were merely a setback to economic activity
as Ohio's export industry took on a bigger role. Ohio has boosted
its overall position in global markets by promoting its products,
educating potential exporters and encouraging foreign companies to
invest in Ohio. Currently, the State exceeds the national average of
gross domestic product devoted to exports. In addition, job creation
remained relatively strong at many small and medium-sized firms,
helping to maintain job growth at approximately 65,000 new jobs on a
yearly basis. This allowed the seasonally adjusted unemployment rate
to remain below the national average for most of the six-month
period ended March 31, 1996.
Despite the pause in Ohio's economic growth during the six-month
period ended March 31, 1996, revenue collections for fiscal year
1996 are on target with budget estimates and approximately 5% ahead
of the comparable period last year. The State continues to be self
sufficient without any need to borrow in the short-term municipal
market to finance daily operations. On the other hand, various Ohio
municipalities issued a moderate $766 million in short-term
municipal notes, approximately 60% higher than the comparable period
last year.
As discussed in our last report to shareholders, we began the six-
month period ended March 31, 1996 employing a defensive approach to
the market with an average portfolio maturity in the 35-day range.
However, a combination of weaker-than-expected economic statistics,
low inflation, dwindling availability of municipal supply and the
approaching January surge in seasonal money inflows prompted a more
aggressive approach to the market at the outset of the period.
Therefore, we extended the Fund's average life to the 55-day range
and maintained it throughout January, but limited quality short-term
municipal note issuance prevented us from extending beyond this
point. We subsequently reduced the Fund's average portfolio maturity
to the 35-day range by March 31, 1996. This strategy benefited the
Fund by allowing us to take advantage of the flat yield curve
scenario which persisted for most of 1995, while limiting exposure
to the rising interest rates experienced thus far in 1996. Recent
releases of economic data exhibiting signs of strength in the
economy, combined with the Federal Reserve Board's reluctance to
lower interest rates further at the most recent Federal Open Market
Committee meeting, have caused us to pursue a neutral stance to the
market.
<PAGE>
In the coming weeks we expect to maintain the Fund's average
portfolio maturity in the 40-day range while maintaining adequate
liquidity to meet anticipated tax-related redemptions in the month
of April. During this period of technical weakness, we will look to
take advantage of yield opportunities to extend the Fund's average
portfolio maturity prior to June and July, when technical factors
may increase demand for such investments. We expect to accomplish
this while monitoring economic activity and the Federal Reserve
Board's stance on monetary policy, adjusting the Fund's strategy
accordingly. We continue to look for opportunities to diversify as
we closely monitor credit quality while seeking to offer an
attractive tax-exempt yield to our shareholders.
In Conclusion
We thank you for your support of CMA Ohio Municipal Money Fund, and
we look forward to serving your investment needs in the future.
Sincerely,
(Arthur Zeikel)
Arthur Zeikel
President
(Vincent R. Giordano)
Vincent R. Giordano
Senior Vice President
(Kevin A. Schiatta)
Kevin A. Schiatta
Vice President and Portfolio Manager
April 30, 1996
Portfolio Abbreviations for CMA Ohio Municipal Money Fund
<PAGE>
AMT Alternative Minimum Tax (subject to)
BAN Bond Anticipation Notes
CP Commercial Paper
HFA Housing Finance Agency
IDR Industrial Development Revenue Bonds
M/F Multi-Family
PCR Pollution Control Revenue Bonds
TAN Tax Anticipation Notes
UT Unlimited Tax
VRDN Variable Rate Demand Notes
<PAGE>
<TABLE>
CMA OHIO MUNICIPAL MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (IN THOUSANDS)
<CAPTION>
Face Value
State Amount Issue (Note 1a)
<S> <C> <S> <C>
Ohio--100.3% $ 495 Akron, Ohio, Sanitation Sewer System Revenue Bonds, VRDN, 3.50% due
12/01/2014 (a) $ 495
1,330 Allen County, Ohio, IDR (Nickles Bakery Project), VRDN, 4.25% due
1/02/2003 (a) 1,330
2,520 Ashtabula County, Ohio, IDR (Neff-Perkins Co. Project), VRDN, AMT,
3.65% due 6/01/2005 (a) 2,520
Avon, Ohio, Local School District, BAN, UT:
3,000 3.94% due 7/11/1996 3,004
1,950 4.16% due 7/11/1996 1,953
6,000 Beavercreek, Ohio, Local School District, BAN, UT, 4.03% due 7/18/1996 6,010
Brooklyn Heights, Ohio, IDR, VRDN, AMT (a):
475 (ATC Nymold Inc.), 3.65% due 2/01/2002 475
3,200 (Keynote Office Center), 4.375% due 12/01/2009 3,200
2,500 Butler County, Ohio, BAN, 4.28% due 11/01/1996 2,506
255 Cincinnati and Hamilton Counties, Ohio, Port Authority, IDR, Refunding
(Schottenstein Stores), VRDN, 3.45% due 9/01/1997 (a) 255
Cincinnati, Ohio, City School District:
3,850 BAN, 4.03% due 9/20/1996 3,860
4,900 TAN, 4.31% due 6/28/1996 4,907
2,300 Clermont County, Ohio, IDR (Southern Ohio Fabricator), VRDN, AMT,
Series A, 3.60% due 9/01/2005 (a) 2,300
1,500 Crawford County, Ohio, BAN, 3.875% due 8/08/1996 (b) 1,502
1,000 Cuyahoga County, Ohio, Health Care Facilities Revenue Bonds (Benjamin
Rose Institute Project), VRDN, Series B, 3.55% due 12/01/2000 (a) 1,000
14,100 Cuyahoga County, Ohio, Hospital Revenue Improvement Bonds (Cleveland
University Hospital), VRDN, 3.35% due 1/01/2016 (a) 14,100
3,355 Cuyahoga County, Ohio, IDR (Parma Care), VRDN, 3.65% due 12/01/2011 (a) 3,355
995 Cuyahoga County, Ohio, IDR, Refunding (Pleasant Lake Association
Project), VRDN, 3.50% due 5/01/2011 (a) 995
Cuyahoga County, Ohio, IDR, VRDN (a):
1,000 (Athens Pastries Inc. Project), AMT, 3.65% due 6/03/2009 1,000
5,390 (Cleveland E Excel Ltd.), AMT, 3.65% due 3/01/2019 5,390
715 (Erieview Metal Treating Project), AMT, 3.65% due 5/05/2010 715
1,925 (Puritas Association Project), 3.50% due 12/01/2006 1,925
3,950 (Suburban Pavilion Inc. Project), AMT, 4.75% due 10/02/2006 3,950
Dayton, Ohio, BAN:
675 4.05% due 7/25/1996 675
6,000 (Airport Improvement), 4.10% due 7/25/1996 6,008
Dayton, Ohio, Special Facilities Revenue Bonds (Emery Air
Freight Project), VRDN (a):
8,700 AMT, Series D, 3.65% due 10/01/2009 8,700
5,300 Series C, 3.50% due 10/01/2009 5,300
</TABLE>
<PAGE>
<PAGE>
<TABLE>
CMA OHIO MUNICIPAL MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
<CAPTION>
Face Value
State Amount Issue (Note 1a)
<S> <C> <S> <C>
Ohio $10,000 Eagle Tax Exempt Trust, Ohio, VRDN, 3.47% due 7/01/2015 (a) $ 10,000
(continued) Erie County, Ohio, IDR, VRDN (a):
500 (Brighton Manor Company Project), AMT, 3.65% due 11/01/2016 500
1,815 Refunding (Huron Health Care Center Project), 3.50% due 8/01/2007 1,815
4,515 Fairfield County, Ohio, BAN, 4.55% due 10/24/1996 (b) 4,531
843 Fairfield, Ohio, City School District, BAN, 4% due 6/27/1996 (b) 844
Franklin County, Ohio, Hospital Revenue Bonds, VRDN (a):
5,200 (Children's Hospital Project), Series B, 3.60% due 12/01/2014 5,200
7,200 (Franciscan Sisters-Saint Anthony Medical Facility), Series B, 3.35%
due 7/01/2015 7,200
1,000 (Lutheran Senior City Inc. Project), 3.50% due 5/01/2015 1,000
2,500 Franklin County, Ohio, IDR, Refunding (Heekin Can Inc. Project),
VRDN, AMT, 3.60% due 5/01/2007 (a) 2,500
5,500 Franklin County, Ohio, M/F Housing Revenue Bonds (Colonial Courts
Project), VRDN, AMT, 3.60% due 12/01/2024 (a) 5,500
2,722 Franklin, Ohio, Local School District (Muskingum County Construction
Notes), UT, 3.85% due 10/30/1996 (b) 2,729
3,300 Fulton County, Ohio, IDR (Gilders Business Holdings Project), VRDN, AMT,
3.65% due 4/01/2007 (a) 3,300
2,320 Geauga County, Ohio, IDR (Neff-Perkins Co. Project), VRDN, AMT, 3.65%
due 6/01/2005 (a) 2,320
1,000 Greene County, Ohio, IDR (FC Ltd. AFC Stamping), VRDN, AMT, 3.75% due
9/01/2016 (a) 1,000
1,450 Hamilton County, Ohio, Economic Development Revenue Bonds (Cincinnati
Performing Arts), VRDN, 3.45% due 6/15/2005 (a) 1,450
1,400 Hancock County, Ohio, IDR (Quality Material Handling Equipment), VRDN,
4.375% due 12/01/1998 (a) 1,400
1,225 Huber Heights, Ohio, IDR (Lasermike Inc. Project), VRDN, AMT, 3.65% due
12/01/2014 (a) 1,225
905 Huron, Ohio, BAN, 4.49% due 5/31/1996 (b) 905
8,400 Indian Lake, Ohio, Local School District, BAN, UT, 4.20% due 4/09/1996 8,401
2,000 Lucas County, Ohio, BAN (Sewer and Water District), 4.25% due 11/28/1996 (b) 2,006
250 Lucas County, Ohio, Hospital Revenue Bonds (Sunshine Children's Home
Project), VRDN, 3.50% due 12/01/2007 (a) 250
Marion County, Ohio, Hospital Improvement Revenue Bonds (Pooled Lease
Program), VRDN (a):
3,105 3.50% due 10/01/2022 3,105
1,455 Series A, 3.50% due 5/01/2019 1,455
2,000 Marion County, Ohio, IDR (Ohio Packaging Company Project), VRDN, AMT,
3.65% due 11/01/2015 (a) 2,000
3,155 Mentor, Ohio, IDR (Metcor Partnership/Tridelt), VRDN, AMT, 3.65% due
12/01/2008 (a) 3,155
6,135 Montgomery County, Ohio, BAN, 4.25% due 4/26/1996 6,137
2,560 Montgomery County, Ohio, IDR (Citywide Development Corp. Project),
VRDN, AMT, 3.65% due 12/01/2013 (a) 2,560
2,345 Moraine, Ohio, IDR, Refunding (Gray America Corporation Project),
VRDN, AMT, 3.65% due 12/01/2001 (a) 2,345
2,200 Northeastern, Ohio, Local School District (Clark County), BAN, UT,
4.10% due 6/11/1996 (b) 2,201
2,355 Ohio HFA, M/F Housing Revenue Bonds (Kenwood Congregate Retirement
Program), VRDN, 3.40% due 12/01/2015 (a) 2,355
5,000 Ohio State Air Quality Development Authority, PCR (Duquesne Light),
CP, AMT, 3.30% due 5/10/1996 5,000
</TABLE>
<PAGE>
<TABLE>
CMA OHIO MUNICIPAL MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONTINUED) (IN THOUSANDS)
<CAPTION>
Face Value
State Amount Issue (Note 1a)
<S> <C> <S> <C>
Ohio Ohio State Air Quality Development Authority, Revenue Refunding Bonds:
(continued) $ 2,000 (Cincinnati Gas & Electric), VRDN, Series B, 3.45% due 9/01/2030 (a) $ 2,000
1,730 (Environmental Improvement-Usx Project), 3.70% due 5/01/1996 1,730
2,910 Ohio State Higher Educational Facilities, Commission Revenue Bonds
(Mount Vernon), VRDN, 3.50% due 9/01/2009 (a) 2,910
3,400 Ohio State Higher Educational Facilities Revenue Bonds (Kenyon College
Project), VRDN, 3.45% due 4/01/2022 (a) 3,400
1,400 Ohio State, PCR, Refunding (Sohio Air Project), VRDN, 3.20% due
5/01/2022 (a) 1,400
3,300 Ohio State Water Development Authority, Environmental Improvement
Revenue Bonds (Honda America), VRDN, 3.50% due 1/01/1997 (a) 3,300
Ohio State Water Development Authority, Environmental Improvement
Revenue Bonds (Mead Corp. Project), AMT, CP:
5,000 3.40% due 4/01/1996 5,000
4,000 3.35% due 5/09/1996 4,000
Ohio State Water Development Authority, Pollution Control Facilities
Revenue Bonds (Duquesne Light Co. Project), AMT:
5,000 CP, 3.55% due 7/25/1996 5,000
3,000 VRDN, 3.45% due 10/01/2023 (a) 3,000
3,000 Ohio State Water Development Authority, Solid Waste Disposal Revenue
Bonds(American Steel & Wire Corp.), VRDN, 3.70% due 9/01/2025 (a) 3,000
600 Paulding County, Ohio, IDR, Refunding (Countrymark Cooperative Inc.
Project), VRDN, 3.55% due 3/01/1999 (a) 600
Portage County, Ohio, IDR, VRDN, AMT (a):
2,025 (NCSP L.P. Project), 3.65% due 7/01/2014 2,025
2,800 (PM Property One, Ltd.), 3.65% due 11/01/2012 2,800
1,100 Rickenbacker, Ohio, Port Authority, IDR, Refunding (Rickenbacker
Holdings, Inc.), VRDN, 3.50% due 12/01/2010 (a) 1,100
1,250 Ross County, Ohio, Hospital Revenue Bonds (Medical Center Hospital
Project), VRDN, 3.50% due 12/01/2020 (a) 1,250
Sandusky County, Ohio, IDR, VRDN, AMT (a):
1,300 (Brighton Manor Co. Project), 3.65% due 12/01/2016 1,300
2,420 (Crown Battery Manufacturing Co.), 3.50% due 8/06/2003 2,420
1,270 Seven Hills, Ohio, BAN, 4.40% due 8/01/1996 (b) 1,272
380 Solon, Ohio, IDR (Tameran Project), VRDN, AMT, 3.65% due 11/01/2004 (a) 380
1,350 Stark County, Ohio, IDR (Wilkof-Morris Project), VRDN, AMT, 3.65% due
1/01/2010 (a) 1,350
1,425 Stark County, Ohio, Sewer District Improvement Notes, 3.90% due
10/01/1996 (b) 1,428
1,000 Stow, Ohio, Refunding, BAN, 4.25% due 12/20/1996 (b) 1,004
2,250 Strongsville, Ohio, IDR (E&E Properties/Dupli System Project), VRDN,
AMT, 3.65% due 2/01/2010 (a) 2,250
900 Summit County, Ohio, Hospital Facilities Revenue Bonds (Cuyahoga Falls
General Hospital), VRDN, Series B, 3.55% due 7/01/1999 (a) 900
Summit County, Ohio, IDR:
410 (Adjusted Forest Manufacturing Project), VRDN, 3.65% due 11/01/2001 (a) 410
1,920 (Austin Printing Co. Inc. Project), VRDN, AMT, 3.65% due 8/01/2006 (a) 1,920
940 (Hardcoating Project), VRDN, AMT, 3.65% due 7/01/2002 (a) 940
760 (Lucerne Production Project), VRDN, AMT, 3.65% due 6/01/2002 (a) 760
980 (Ohio Camshaft Project), 3.50% due 10/01/1996 980
1,365 (Sigma Properties Project), VRDN, AMT, 3.65% due 6/01/2008 (a) 1,365
650 (Struktol Project), VRDN, AMT, Series A, 3.65% due 6/01/2002 (a) 650
1,125 (Texler Inc. Project), AMT, 3.95% due 5/01/1996 1,125
</TABLE>
<PAGE>
<TABLE>
CMA OHIO MUNICIPAL MONEY FUND
SCHEDULE OF INVESTMENTS AS OF MARCH 31, 1996 (CONCLUDED) (IN THOUSANDS)
<CAPTION>
Face Value
State Amount Issue (Note 1a)
<S> <C> <S> <C>
Ohio $ 1,250 Troy, Ohio, Economic Development Revenue Bonds (L&CP Corporation
(concluded) Project), AMT, 3.70% due 6/01/1996 $ 1,250
2,000 Trumbull County, Ohio, IDR (Multi-Mode-ATD Corp. Project), VRDN, AMT,
3.65% due 8/01/2010 (a) 2,000
5,400 University of Cincinnati, Ohio, General Receipts, BAN, UT, Series S,
4.25% due 8/28/1996 5,405
5,000 Upper Arlington, Ohio, City School District, UT, 4.20% due 4/11/1996 5,001
Warren County, Ohio, IDR, VRDN, AMT (a):
3,900 (Johnson & Hardin Enterprises), Series A, 3.60% due 2/01/2010 3,900
2,080 (Kardol Quality Products Project), 3.60% due 12/01/2014 2,080
1,000 Warren County, Ohio, Special Assignment, BAN, 4.58% due 9/05/1996 1,004
Wayne, Ohio, Local School District, Warren County, BAN, UT:
3,500 4.15% due 7/18/1996 3,507
2,000 4.34% due 7/18/1996 2,004
2,590 Willoughby, Ohio, IDR (Malish Brush & Specialty), VRDN, AMT, 3.65% due
6/01/2009 (a) 2,590
3,130 Wood County, Ohio, Economic Development Revenue Bonds (Great Lakes
Window Project), AMT, 4.75% due 6/01/1996 3,130
Wood County, Ohio, IDR, VRDN, AMT (a):
1,235 (B & B Box Co. Project), 3.50% due 3/01/2011 1,235
1,200 (Centaur Tool & Die Inc. Project), 3.65% due 8/01/2010 1,200
3,995 Zanesville-Muskingum County, Ohio, Port Authority, IDR (B.E. Products
Inc. Project), VRDN, AMT, 3.65% due 9/01/2004 (a) 3,995
Total Investments (Cost--$283,089*)--100.3% 283,089
Liabilities in Excess of Other Assets--(0.3%) (902)
--------
Net Assets--100.0% $282,187
========
<PAGE>
<FN>
(a)The interest rate is subject to change periodically based on
certain indexes. The interest rate shown is the rate in effect at
March 31, 1996.
(b)Bank Qualified.
*Cost for Federal income tax purposes.
See Notes to Financial Statements.
</TABLE>
<TABLE>
CMA OHIO MUNICIPAL MONEY FUND
STATEMENT OF ASSETS AND LIABILITIES AS OF MARCH 31, 1996
<S> <C> <C>
Assets:
Investments, at value (identified cost--$283,088,586) (Note 1a) $ 283,088,586
Cash 61,229
Interest receivable 1,678,006
Deferred organization expenses (Note 1d) 598
Prepaid registration fees and other assets (Note 1d) 31,265
-------------
Total assets 284,859,684
-------------
Liabilities:
Payables:
Securities purchased $ 2,407,779
Investment adviser (Note 2) 112,552
Distributor (Note 2) 86,627 2,606,958
-------------
Accrued expenses and other liabilities 65,697
-------------
Total liabilities 2,672,655
-------------
Net Assets $ 282,187,029
=============
Net Assets Consist of:
Shares of beneficial interest, $0.10 par value, unlimited number of shares authorized $ 28,221,859
Paid-in capital in excess of par 253,996,725
Accumulated realized capital losses--net (Note 4) (31,555)
-------------
Net Assets--Equivalent to $1.00 per share based on 282,218,584 shares of
beneficial interest outstanding $ 282,187,029
=============
</TABLE>
<PAGE>
<TABLE>
CMA OHIO MUNICIPAL MONEY FUND
STATEMENT OF OPERATIONS FOR THE YEAR ENDED MARCH 31, 1996
<S> <C> <C>
Investment Income (Note 1c):
Interest and amortization of premium and discount earned $ 10,165,070
Expenses:
Investment advisory fees (Note 2) $ 1,290,786
Distribution fees (Note 2) 322,038
Transfer agent fees (Note 2) 58,301
Registration fees (Note 1d) 54,214
Professional fees 47,321
Accounting services (Note 2) 35,331
Custodian fees 23,376
Printing and shareholder reports 22,195
Pricing fees 10,595
Amortization of organization expenses (Note 1d) 7,801
Trustees' fees and expenses 2,649
Other 4,817
-------------
Total expenses 1,879,424
-------------
Investment income--net 8,285,646
-------------
Net Increase in Net Assets Resulting from Operations $ 8,285,646
=============
See Notes to Financial Statements.
</TABLE>
<TABLE>
CMA OHIO MUNICIPAL MONEY FUND
STATEMENTS OF CHANGES IN NET ASSETS
<CAPTION>
For the Year Ended March 31,
Increase (Decrease) in Net Assets: 1996 1995
<S> <C> <C>
Operations:
Investment income--net $ 8,285,646 $ 5,687,952
Realized loss on investments--net -- (285)
------------- -------------
Net increase in net assets resulting from operations 8,285,646 5,687,667
------------- -------------
<PAGE>
Dividends to Shareholders (Note 1e):
Investment income--net (8,285,646) (5,687,952)
------------- -------------
Net decrease in net assets resulting from dividends to shareholders (8,285,646) (5,687,952)
------------- -------------
Beneficial Interest Transactions (Note 3):
Net proceeds from sale of shares 1,007,207,668 823,958,852
Net asset value of shares issued to shareholders in reinvestment of dividends
(Note 1e) 8,285,698 5,687,899
------------- -------------
1,015,493,366 829,646,751
Cost of shares redeemed (970,961,402) (805,646,384)
------------- -------------
Net increase in net assets derived from beneficial interest transactions 44,531,964 24,000,367
------------- -------------
Net Assets:
Total increase in net assets 44,531,964 24,000,082
Beginning of year 237,655,065 213,654,983
------------- -------------
End of year $ 282,187,029 $ 237,655,065
============= =============
</TABLE>
<TABLE>
CMA OHIO MUNICIPAL MONEY FUND
FINANCIAL HIGHLIGHTS
<CAPTION>
For the
Period
The following per share data and ratios have been derived April 29,
from information provided in the financial statements. 1991++ to
For the Year Ended March 31, March 31,
Increase (Decrease) in Net Asset Value: 1996 1995 1994 1993 1992
<S> <C> <C> <C> <C> <C>
Per Share Operating Performance:
Net asset value, beginning of period $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- -------- -------- -------- --------
Investment income--net .03 .03 .02 .02 .03
-------- -------- -------- -------- --------
Total from investment operations .03 .03 .02 .02 .03
-------- -------- -------- -------- --------
Less dividends from investment income--net (.03) (.03) (.02) (.02) (.03)
-------- -------- -------- -------- --------
Net asset value, end of period $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ======== ======== ======== ========
Total Investment Return 3.27% 2.65% 1.88% 2.27% 3.65%*
======== ======== ======== ======== ========
<PAGE>
Ratios to Average Net Assets:
Expenses, net of reimbursement .73% .74% .72% .74% .57%*
======== ======== ======== ======== ========
Expenses .73% .74% .72% .74% .82%*
======== ======== ======== ======== ========
Investment income--net 3.21% 2.64% 1.86% 2.24% 3.52%*
======== ======== ======== ======== ========
Supplemental Data:
Net assets, end of period (in thousands) $282,187 $237,655 $213,655 $187,344 $192,173
======== ======== ======== ======== ========
<FN>
*Annualized.
++Commencement of Operations.
See Notes to Financial Statements.
</TABLE>
CMA OHIO MUNICIPAL MONEY FUND
NOTES TO FINANCIAL STATEMENTS
1. Significant Accounting Policies:
CMA Ohio Municipal Money Fund (the "Fund") is part of CMA Multi-
State Municipal Series Trust (the "Trust"). The Fund is registered
under the Investment Company Act of 1940 as a non-diversified, open-
end management investment company. The following is a summary of
significant accounting policies followed by the Fund.
(a) Valuation of investments--Investments are valued at amortized
cost, which approximates market value. For the purpose of valuation,
the maturity of a variable rate demand instrument is deemed to be
the next coupon date on which the interest rate is to be adjusted.
In the case of a floating rate instrument, the remaining maturity is
the demand notice payment period.
(b) Income taxes--It is the Fund's policy to comply with the
requirements of the Internal Revenue Code applicable to regulated
investment companies and to distribute substantially all of its
taxable income to its shareholders. Therefore, no Federal income tax
provision is required.
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(c) Security transactions and investment income--Security
transactions are recorded on the dates the transactions are entered
into (the trade dates). Interest income (including amortization of
premium and discount) is recognized on the accrual basis. Realized
gains and losses on security transactions are determined on the
identified cost basis.
(d) Deferred organization expenses and prepaid registration fees--
Deferred organization expenses are charged to expense on a straight-
line basis over a five-year period. Prepaid registration fees are
charged to expense as the related shares are issued.
(e) Dividends and distributions to shareholders--The Fund declares
dividends daily and reinvests daily such dividends (net of non-
resident alien tax withheld) in additional fund shares at net asset
value. Dividends are declared from the total of net investment
income, excluding discounts earned other than original issue
discounts. Net realized capital gains, if any, are normally
distributed annually after deducting prior years' loss carryforward.
The Fund may distribute capital gains more frequently than annually
in order to maintain the Fund's net asset value at $1.00 per share.
2. Investment Advisory Agreement and
Transactions with Affiliates:
The Fund has entered into an Investment Advisory Agreement with Fund
Asset Management, L.P. ("FAM" or "Adviser"). The general partner of
FAM is Princeton Services, Inc. ("PSI"), an indirect wholly-owned
subsidiary of Merrill Lynch & Co., Inc. ("ML & Co."), which is the
limited partner.
FAM is responsible for the management of the Fund's portfolio and
provides the necessary personnel, facilities, equipment and certain
other services necessary to the operations of the Fund. For such
services, the Fund pays a monthly fee based upon the average daily
value of the Fund's net assets, at the following annual rates: 0.50%
of the first $500 million of average daily net assets; 0.425% of
average daily net assets in excess of $500 million but not exceeding
$1 billion; and 0.375% of average daily net assets in excess of $1
billion.
CMA OHIO MUNICIPAL MONEY FUND
NOTES TO FINANCIAL STATEMENTS (CONCLUDED)
The most restrictive annual expense limitation requires that the
Adviser reimburse the Fund to the extent the Fund's expenses
(excluding interest, taxes, distribution fees, brokerage fees and
commissions, and extraordinary items) exceed in any fiscal year 2.5%
of the Fund's first $30 million of average daily net assets, 2.0% of
the Fund's next $70 million of average daily net assets, and 1.5% of
the average daily net assets in excess thereof. No fee payment will
be made to the Adviser during the year which will cause such
expenses to exceed the pro rata expense limitation at the time of
such payment.
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Pursuant to the Distribution and Shareholder Servicing Plan in
compliance with Rule 12b-1 under the Investment Company Act of 1940,
Merrill Lynch, Pierce, Fenner & Smith Inc. ("MLPF&S") receives a
distribution fee from the Fund at the end of each month at the
annual rate of 0.125% of average daily net assets of the Fund. The
distribution fee is to compensate MLPF&S financial consultants and
other directly involved branch office personnel for selling shares
of the Fund and for providing direct personal services to
shareholders. The distribution fee is not compensation for the
administrative and operational services rendered to the Fund by
MLPF&S in processing share orders and administering shareholder
accounts.
Merrill Lynch Financial Data Services, Inc. ("MLFDS"), a wholly-
owned subsidiary of ML & Co., is the Fund's transfer agent.
Accounting services are provided to the Fund by FAM at cost.
Certain officers and/or trustees of the Fund are officers and/or
directors of FAM, PSI, MLPF&S, MLFDS, and/or ML & Co.
3. Shares of Beneficial Interest:
The number of shares purchased and redeemed during the period
corresponds to the amounts included in the Statements of Changes in
Net Assets for net proceeds from sale of shares and cost of shares
redeemed, respectively, since shares are recorded at $1.00 per
share.
4. Capital Loss Carryforward:
At March 31, 1996, the Fund had a net capital loss carryforward of
approximately $32,000, of which $23,000 expires in 2000, $5,000
expires in 2001 and $4,000 expires in 2002. This amount will be
available to offset like amounts of any future taxable gains.
<AUDIT-REPORT>
CMA OHIO MUNICIPAL MONEY FUND
INDEPENDENT AUDITORS' REPORT
The Board of Trustees and Shareholders,
CMA Ohio Municipal Money Fund of
CMA Multi-State Municipal Series Trust:
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We have audited the accompanying statement of assets and
liabilities, including the schedule of investments, of CMA Ohio
Municipal Money Fund of CMA Multi-State Municipal Series Trust as of
March 31, 1996, the related statements of operations for the year
then ended and changes in net assets for each of the years in the
two-year period then ended, and the financial highlights for each of
the years in the four-year period then ended and for the period
April 29, 1991 (commencement of operations) to March 31, 1992. These
financial statements and the financial highlights are the
responsibility of the Fund's management. Our responsibility is to
express an opinion on these financial statements and the 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 the 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.
Our procedures included confirmation of securities owned at March
31, 1996 by correspondence with the custodian and brokers. 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, such financial statements and financial highlights
present fairly, in all material respects, the financial position of
CMA Ohio Municipal Money Fund of CMA Multi-State Municipal Series
Trust as of March 31, 1996, the results of its operations, the
changes in its net assets, and the financial highlights for the
respective stated periods in conformity with generally accepted
accounting principles.
Deloitte & Touche LLP
Princeton, New Jersey
April 30, 1996
</AUDIT-REPORT>
IMPORTANT TAX INFORMATION (UNAUDITED)
All of the net investment income distributions paid daily by CMA
Ohio Municipal Money Fund of CMA Multi-State Municipal Series Trust
during its taxable year ended March 31, 1996 qualify as tax-exempt
interest dividends for Federal income tax purposes.
Additionally, there were no capital gains distributed by the Fund
during the year.
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Please retain this information for your records.
