CMA OHIO
MUNICIPAL MONEY FUND
Semi-Annual Report
September 30, 1997
[FUND LOGO]
[MERRILL LYNCH BULL LOGO]
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 16058 -- 9/97
[RECYCLE LOGO] Printed on post-consumer recycled paper
TO OUR SHAREHOLDERS:
For the six-month period ended September 30, 1997, CMA Ohio Municipal
Money Fund paid shareholders a net annualized yield of 3.15%*. As of
September 30, 1997, the Fund's 7-day yield was 3.33%.
Economic Environment and Investment Strategy
The state of Ohio's economy continued to experience an easing in
economic growth during the six-month period ended September 30, 1997.
Ohio's economy, which once acted as a catalyst for the rest of the
nation, is currently expanding at less than 1% year over year.
Contributing to this slowing in economic activity are the tight labor
conditions which have existed in the state for some time. With
seasonally adjusted unemployment levels in the 4% range, employers are
crossing the border looking for excess capacity elsewhere while at the
same time continuing capital improvement investments on existing
facilities. In addition, despite high consumer confidence, the state's
personal income levels have lagged the nation's since the end of 1995.
On March 31, 1997, the state ended its fiscal year on a positive note as
a combination of higher-than-expected revenues and lower-than-expected
spending led to an unobligated fund balance of $839.9 million in the
general revenue fund. Tax revenues finished fiscal year 1997 at $334.3
million, or 2.5% above estimates and 1.7% above the 1996 fiscal year. At
the same time, the general revenue fund's disbursements were $722.3
million below estimates as the state experienced a reduction in spending
for human services programs, such as Medicaid and other welfare
services. In the current economic climate, the state continues to fair
well. Total revenues for the first three months of fiscal year 1998 were
$3.8 billion, or 4.4% above the comparable period last year. These
positive results continue to allow the state to avoid borrowing in the
short-term municipal market to finance daily operations. In addition,
these results continue to allow the various Ohio municipalities to
maintain moderate borrowing levels at $659 million for the six-month
period ended September 30, 1997. Finally, the Ohio legislature continues
to wrestle with a proposed school funding reform bill and how to account
for the distribution of funds. The $1.1 billion in funding for this bill
remains uncertain as legislative conflicts appear to make the passage of
a 1% increase in the state sales tax unlikely.
As discussed in our March 31, 1997 letter to shareholders, CMA Ohio
Municipal Money Fund had adopted a defensive approach to the market. In
April, we allowed the Fund's average life to decline to the 35-day range
as we prepared to meet tax-related redemptions by replacing maturing
short-term municipal notes with variable rate demand notes (VRDNs). This
strategy benefited the Fund as the seasonal effect of low subscriptions
and high redemptions, combined with a large inventory of dealer-held
VRDNs, contributed to attractive VRDN yields.
In May and June, supply imbalances were no different than in April. With
a mixture of economic data and an uncertain Federal Reserve Board (FRB)
position, there was little incentive to participate in the fixed-rate
note market, other than for diversification purposes. During the first
three months of the period ended September 30, 1997, we selectively
purchased six-month municipal notes for diversification purposes as
yields on one-year municipal notes were only marginally higher. In July,
larger money fund subscriptions combined with large corporate demand
allowed the municipal yield curve to shift as VRDN yields fell below
municipal note and commercial paper levels. In addition, despite
continued economic strength, inflationary data remained subdued, and the
FRB remained on the sidelines. This combination of factors gave
investors renewed confidence, which allowed the Treasury market to rally
and interest rates in the six-month and one-year sectors to fall
approximately 20 basis points and 45 basis points (0.25% and 0.45%),
respectively. This rally in the Treasury market forced municipal market
investors to scramble to extend their average life as yields on one-year
notes declined approximately 10 basis points -- 15 basis points. We
changed our strategy to a more neutral approach by selectively
purchasing longer-dated municipal notes and increasing the average
portfolio maturity to the 60-day range.
Looking ahead, we expect to continue to maintain a neutral strategy,
selectively participating in the longer-dated municipal note market.
Despite the FRB's reluctance to change monetary policy thus far and
inconclusive economic data, we will proceed cautiously as employment
reports continue to suggest that tight labor conditions exist. These
tight labor conditions combined with the potential of increased economic
activity created from low interest rates could ultimately pose an
inflationary threat and force the FRB to increase interest rates. We
will continue to monitor and adjust our market strategy as economic
conditions change. However, we continue to expect that Ohio's strong
economic performance will reduce short-term note issuance. We continue
to closely monitor credit quality while seeking an attractive tax-exempt
yield for 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 months and years
ahead.
Sincerely,
/S/ARTHUR ZEIKEL
Arthur Zeikel
President
/S/VINCENT R. GIORDANO
Vincent R. Giordano
Senior Vice President
/S/KEVIN A. SCHIATTA
Kevin A. Schiatta
Vice President and Portfolio Manager
October 30, 1997
* Based on a constant investment throughout the period, with dividends
compounded daily, and reflecting a net return to the investor after all
expenses.
<TABLE>
<CAPTION>
CMA Ohio Municipal Money Fund
Schedule of Investments as of September 30, 1997 (in Thousands)
Face Value
State Amount Issue (Note 1a)
<S> <C> <C> <C>
Ohio -- 99.5% $1,090 Allen County, Ohio, IDR (Nickles Bakery Project), VRDN, 4.25% due 1/02/2003 (a) $1,090
3,800 Ashtabula County, Ohio, Hospital Facilities Revenue Bonds (Ashtabula County
Medical Center Project), VRDN, 4.15% due 12/01/2007 (a) 3,800
2,290 Ashtabula County, Ohio, IDR (Neff-Perkins Co. Project), VRDN, AMT, 4.25%
due 6/01/2005 (a) 2,290
2,000 Barberton, Ohio, City School District, BAN, 4.34% due 6/01/1998 2,005
395 Brooklyn Heights, Ohio, IDR (ATC Nymold Inc.), VRDN, AMT 4.25% due
2/01/2002 (a) 395
3,700 Butler County, Ohio, BAN, 4.29% due 8/08/1998 3,712
1,575 Cadiz, Ohio, BAN, 4.45% due 12/18/1997 1,577
2,800 Canal Winchester, Ohio, BAN, 4.375% due 8/11/1998 2,808
1,035 Canfield, Ohio, Local School District, BAN, UT, 4.50% due 10/02/1997 1,035
1,095 Canton, Ohio, IDR (Accu Plate Project), VRDN, AMT, 4.05% due 3/01/2017 (a) 1,095
3,575 Cincinnati and Hamilton County, Ohio, Port Authority, Economic Development
Revenue Bonds (Berthesda One Ltd.), 4% due 8/01/1998 3,575
7,000 Cincinnati, Ohio, City School District, BAN, 4.32% due 9/17/1998 7,024
1,770 Clark County, Ohio, BAN, 4.40% due 6/30/1998 1,776
1,400 Clermont County, Ohio, Hospital Facilities Revenue Bonds (Mercy Health
Systems), VRDN, Series B, 4.05% due 9/01/2021 (a) 1,400
1,700 Clermont County, Ohio, IDR (Southern Ohio Fabricator), VRDN, AMT, Series A,
4.25% due 9/01/2005 (a) 1,700
2,875 Columbiana County, Ohio, IDR (The Hall China Project), VRDN, AMT, 4.25%
due 1/01/2007 (a) 2,875
Cuyahoga County, Ohio, Health Care Facilities Revenue Bonds, VRDN (a):
900 (Benjamin Rose Institute Project), Series B, 4% due 12/01/2000 900
4,900 (Catholic Charities Facilities), 4.15% due 7/01/2012 4,900
14,900 Cuyahoga County, Ohio, Hospital Revenue Improvement Bonds (Cleveland
University Hospital), VRDN, 4.10% due 1/01/2016 (a) 14,900
Cuyahoga County, Ohio, IDR, VRDN (a):
940 (Athens Pastries Inc. Project), AMT, 4.25% due 6/03/2009 940
5,275 (Cleveland E Excel Ltd.), AMT, 4.25% due 3/01/2019 5,275
620 (Erieview Metal Treating Project), AMT, 4.25% due 5/05/2010 620
3,180 Refunding (Parma Care Center, Inc.), 4.25% due 12/01/2011 3,180
945 Refunding (Pleasant Lake Association Project), 4.10% due 5/01/2011 945
3,700 (Suburban Pavilion Inc. Project), AMT, 4.25% due 10/02/2006 3,700
4,000 Dublin, Ohio, City School District, GO, UT, 4.33% due 5/13/1998 4,008
Eagle Tax-Exempt Trust, Custodial Receipts (Ohio Edison), VRDN (a):
5,000 Series 95, Class 3501, 4.18% due 7/01/2015 5,000
5,000 Series 95, Class 3502, 4.18% due 7/01/2015 5,000
1,000 East Palestine, Ohio, BAN, 3.93% due 8/28/1998 1,000
Erie County, Ohio, IDR, VRDN (a):
500 (Brighton Manor Company Project), AMT, 4.25% due 11/01/2016 500
1,590 Refunding (Huron Health Care Center Project), 4.15% due 8/01/2007 1,590
3,300 Franklin County, Ohio, Health Systems Revenue Bonds (Franciscan Sisters -
Saint Anthony Medical Facility), VRDN, Series B, 4% due 7/01/2015 (a) 3,300
Franklin County, Ohio, Hospital Revenue Bonds, VRDN (a):
6,100 (Children's Hospital Project), Series B, 4.25% due 12/01/2014 6,100
1,000 (Lutheran Senior City Inc. Project), 3.95% due 5/01/2015 1,000
3,000 Franklin County, Ohio, Hospital Revenue Refunding and Improvement Bonds
(US Health Corp. Project), VRDN, Series A, 4.15% due 12/01/2021 (a) 3,000
Franklin County, Ohio, IDR:
1,395 (GSW Building Association Ltd.), 3.85% due 11/01/1997 1,395
2,500 Refunding (Heekin Can Inc. Project), VRDN, AMT, 4.25% due 5/01/2007 (a) 2,500
3,000 Franklin County, Ohio, M/F Housing Revenue Bonds (Colonial Courts Project),
VRDN, AMT, 4.20% due 12/01/2024 (a) 3,000
3,000 Fulton County, Ohio, IDR (Gilders Business Holdings Project), VRDN, AMT, 4.25%
due 4/01/2007 (a) 3,000
2,115 Geauga County, Ohio, IDR (Neff-Perkins Co. Project), VRDN, AMT, 4.25% due
6/01/2005 (a) 2,115
1,315 Gorham - Fayette, Ohio, Local School District, BAN, UT, 4.19% due 3/05/1998 1,316
2,000 Graham, Ohio, Local School District, UT, Series A, 4.29% due 5/28/1998 2,005
1,000 Greene County, Ohio, IDR (FC Ltd./AFC Stamping), VRDN, AMT, 4.25% due
9/01/2016 (a) 1,000
646 Hamilton County, Ohio, Economic Development Revenue Bonds (Cincinnati
Performing Arts), VRDN, 4.25% due 6/15/2005 (a) 646
5,600 Hamilton County, Ohio, Hospital Facilities Revenue Bonds (Alliance Health),
VRDN, Series F, 4.10% due 1/01/2018 (a)(b) 5,600
1,160 Huber Heights, Ohio, IDR (Lasermike Inc. Project), VRDN, AMT, 4.25% due
12/01/2014 (a) 1,160
4,100 Liberty, Ohio, Local School District, BAN, 4.35% due 2/17/1998 4,108
3,400 Lorain County, Ohio, BAN, 4.22% due 9/17/1998 3,408
5,000 Lorain County, Ohio, Hospital Revenue Refunding Bonds (Catholic Healthcare
Partners Inc.), CP, Series A, 3.70% due 11/03/1997 5,000
3,200 Lorain County, Ohio, IDR (DGR Investment Ltd./Trimline Die Corp.), VRDN, AMT,
4.05% due 12/01/2012 (a) 3,200
5,000 Lorain County, Ohio, Independent Living Facilities Revenue Bonds (Elyria
United Methodist Project), VRDN, Series A, 4.10% due 6/01/2022 (a) 5,000
3,000 Lucas County, Ohio, Economic Development Revenue Bonds (Hammill
Manufacturing Co. Project), VRDN, AMT, 4.35% due 5/01/2010 (a) 3,000
225 Lucas County, Ohio, Hospital Revenue Bonds (Sunshine Children's Home Project),
VRDN, 4.15% due 12/01/2007 (a) 225
4,870 Lucas County, Ohio, IDR (Reichert Stamping Co. Project), VRDN, 4.25% due
7/15/2006 (a) 4,870
435 Marion County, Ohio, Hospital Improvement Revenue Bonds (Pooled Lease
Program), VRDN, 4.15% due 5/01/2019 (a) 435
1,935 Marion County, Ohio, IDR (Mid-Ohio Packaging Company Project), VRDN, AMT,
4.25% due 11/01/2015 (a) 1,935
2,970 Mentor, Ohio, IDR (Metcor Parnership/Tridelt), VRDN, AMT, 4.25% due
12/01/2008 (a) 2,970
3,500 Mercer County, Ohio, BAN, 4.25% due 9/25/1998 3,508
6,600 Montgomery County, Ohio, Hospital Revenue Bonds (Miami Valley Hospital), CP,
Series C, 3.85% due 12/11/1997 6,600
2,470 Montgomery County, Ohio, IDR (Citywide Development Corp. Project), VRDN,
AMT, 4.25% due 12/01/2013 (a) 2,470
605 Montgomery County, Ohio, IDR (Town Centers Ltd. Partnership Project), AMT,
4% due 11/15/1997 605
1,980 Moraine, Ohio, IDR, Refunding (Gray America Corporation Project), VRDN, AMT,
4.25% due 12/01/2001 (a) 1,980
400 Mount Gilead, Ohio, BAN, 4% due 11/06/1997 400
7,000 Oak Hills, Ohio, Local School District, UT, 4.63% due 12/17/1997 7,013
2,000 Obetz, Ohio, IDR (HFI Inc. Project), VRDN, AMT, 4.25% due 10/01/2003 (a) 2,000
8,045 Ohio State Air Quality Development Authority, Environmental Improvement
Revenue Refunding Bonds (USX Project), 3.75% due 1/15/1998 8,045
7,500 Ohio State Air Quality Development Authority, PCR (Duquesne Light Co. Project),
CP, AMT, 3.60% due 10/23/1997 7,500
Ohio State Higher Educational Facilities, Commission Revenue Bonds, VRDN (a):
4,800 (Facilities Pooled Financing), 3.85% due 12/01/2016 4,800
2,760 (Mount Vernon), 4.15% due 9/01/2009 2,760
3,325 Ohio State, IDR, Refunding (General Motors Corp. Project), VRDN, 4.10% due
9/01/2001 (a) 3,325
5,100 Ohio State, PCR, Refunding (Sohio Air Project - BP Petroleum), VRDN, 4.05% due
5/01/2022 (a) 5,100
2,110 Ohio State, PCR, Refunding (Sohio Water Project - BP Petroleum), VRDN, 4.05%
due 5/01/2022 (a) 2,110
3,700 Ohio State Turnpike Commission Revenue Bonds (Municipal Security Trust
Receipts), VRDN, Series SGA-60, 4.15% due 2/15/2026 (a)(b) 3,700
9,000 Ohio State Water Development Authority, Environment Improvement Revenue
Bonds (Mead Corp. Project), CP, AMT, 3.85% due 10/29/1997 9,000
Ohio State Water Development Authority, Pollution Control Facilities Revenue
Bonds, AMT:
5,000 (Duquesne Light Co. Project), CP, 3.80% due 10/30/1997 5,000
8,500 (Ohio Edison Company), Series A, 4.10% due 5/01/1998 8,500
6,745 Ohio State Water Development Authority Revenue Bonds, VRDN, Series A, 4.15%
due 9/01/1998 (a) 6,745
3,000 Ohio State Water Development Authority, Solid Waste Disposal Revenue Bonds
(American Steel & Wire Corp.), VRDN, 4.30% due 9/01/2025 (a) 3,000
5,000 Ottawa County, Ohio, BAN, 4.125% due 8/06/1998 5,010
400 Paulding County, Ohio, IDR, Refunding (Countrymark Cooperative Inc. Project),
VRDN, 4% due 3/01/1999 (a) 400
5,400 Paulding County, Ohio, Solid Waste Disposal Revenue Bonds (Lafarge Corp.
Project), VRDN, AMT, 3.80% due 8/01/2026 (a) 5,400
Portage County, Ohio, IDR, VRDN, AMT (a):
5,750 (Commercial Turf Products Ltd. Project), 4.20% due 5/01/2022 5,750
1,410 (John E. Susong Project), Series B, 4.25% due 5/02/2016 1,410
1,685 (NCSP L.P. Project), 4.25% due 7/01/2014 1,685
2,695 (PM Property One, Ltd.), 4.25% due 11/01/2012 2,695
2,125 Refunding (John E. Susong Project), Series A, 4.25% due 5/02/2011 2,125
1,100 Rickenbacker, Ohio, Port Authority, IDR, Refunding (Rickenbacker Holdings, Inc.),
VRDN, 4.15% due 12/01/2010 (a) 1,100
1,250 Ross County, Ohio, Hospital Revenue Bonds (Medical Center Hospital Project),
VRDN, 3.95% due 12/01/2020 (a) 1,250
1,700 Saint Mary's, Ohio, BAN, 4.40% due 6/17/1998 1,705
3,000 Saint Mary's, Ohio, City School District, BAN, UT, 4.27% due 3/12/1998 3,004
1,100 Salem, Ohio, BAN, 4.45% due 5/28/1998 1,102
Sandusky County, Ohio, IDR, VRDN (a):
1,300 (Brighton Manor Co. Project), AMT, 4.25% due 12/01/2016 1,300
2,060 (Crown Battery Manufacturing Co.), AMT, 4.25% due 8/06/2003 2,060
3,000 (Louis G. Freeman Co. Project), AMT, 4.05% due 7/01/2017 3,000
4,385 (Magnesium Refining Technologies Inc. Project), AMT, Series A, 4.25%
due 9/01/2007 4,385
1,700 Scioto County, Ohio, Hospital Facilities Revenue Bonds (VHA Central Inc./Capital
Asset), VRDN, Series E, 4.15% due 12/01/2025 (a) 1,700
305 Solon, Ohio, IDR (Tameran Project), VRDN, AMT, 4.25% due 11/01/2004 (a) 305
Stark County, Ohio, IDR, VRDN, AMT (a):
2,525 (Superior Dairy Inc. Project), 4.25% due 5/01/2003 2,525
1,350 (Wilkof-Morris Project), 4.25% due 1/01/2010 1,350
2,115 Strongsville, Ohio, IDR (E&E Properties/Dupli System Project), VRDN, 4.25% due
2/01/2010 (a) 2,115
400 Summit County, Ohio, Hospital Facilities Revenue Bonds (Cuyahoga Falls General
Hospital), VRDN, Series B, 4% due 7/01/1999 (a) 400
Summit County, Ohio, IDR:
1,250 (Ace Precision Industries Inc. Project), VRDN, AMT, 4.25% due 7/01/2014 (a) 1,250
1,680 (Austin Printing Co. Inc. Project), VRDN, AMT, 4.25% due 8/01/2006 (a) 1,680
2,380 (Delco Corp. Project), VRDN, AMT, 4.25% due 6/01/2016 (a) 2,380
400 (Forest Manufacturing Project), VRDN, AMT, 4.20% due 11/01/2001 (a) 400
790 (Hardcoating Project), VRDN, AMT, 4.25% due 7/01/2002 (a) 790
575 (Lucerne Production Project), VRDN, AMT, 4.25% due 6/01/2002 (a) 575
905 (Ohio Camshaft Project), 3.75% due 10/01/1997 905
1,150 (Sigma Properties Project), VRDN, AMT, 4.25% due 6/01/2008 (a) 1,150
1,100 (Steffen Bookbinders Project), VRDN, AMT, 4.25% due 11/01/2004 (a) 1,100
500 (Struktol Project), VRDN, AMT, Series A, 4.25% due 6/01/2002 (a) 500
950 (Texler Inc. Project), AMT, 3.92% due 11/01/1997 950
1,590 Troy, Ohio, Economic Development Revenue Bonds (L&CP Corp. Project), AMT,
4% due 12/01/1997 1,590
1,985 Trumbull County, Ohio, IDR (ATD Corp. Project), VRDN, AMT, 4.25% due
8/01/2010 (a) 1,985
2,500 Union County, Ohio, IDR (Union Aggregates Co. Project), VRDN, AMT, 4.25% due
11/01/2006 (a) 2,500
1,250 Valley View, Ohio, IDR (Porter Development Project), VRDN, AMT, 4.25% due
5/01/2016 (a) 1,250
1,545 Valley View, Ohio, IDR, Refunding and Improvement (Sweet Valley Dillion Project),
VRDN, AMT, 4.25% due 4/01/2011 (a) 1,545
2,080 Warren County, Ohio, IDR (Kardol Quality Products Project), VRDN, AMT,
4.25% due 12/01/2014 (a) 2,080
2,400 Willoughby, Ohio, IDR (Malish Brush & Specialty), VRDN, AMT, 4.25% due
6/01/2009 (a) 2,400
2,860 Wood County, Ohio, Economic Development Revenue Bonds (Great Lakes Window
Project), AMT, 4.75% due 12/01/1997 2,860
Wood County, Ohio, IDR, VRDN, AMT (a):
1,175 (B&B Box Co. Project), 4.25% due 3/01/2011 1,175
1,060 (Centaur Tool & Die Inc. Project), 4.25% due 8/01/2010 1,060
1,410 Woodster, Ohio, IDR (Litco International Inc. Project), VRDN, AMT, 4.25% due
5/01/2010 (a) 1,410
3,290 Zanesville - Muskingum County, Ohio, Port Authority, IDR (B.E. Products Inc.
Project), VRDN, AMT, 4.25% due 9/01/2004 (a) 3,290
--------
Total Investments (Cost -- $342,665*) -- 99.5% 342,665
Other Assets Less Liabilities -- 0.5% 1,678
--------
Net Assets -- 100.0% $344,343
========
(a) The interest rate is subject to change periodically based on certain indexes. The interest rate shown is the rate in
effect at September 30, 1997.
(b) MBIA Insured.
* Cost for Federal income tax purposes.
Portfolio Abbreviations for CMA Ohio Municipal Money Fund
AMT Alternative Minimum Tax (subject to)
BAN Bond Anticipation Notes
CP Commercial Paper
GO General Obligation Bonds
IDR Industrial Development Revenue Bonds
M/F Multi-Family
UT Unlimited Tax
VRDN Variable Rate Demand Notes
See Notes to Financial Statements.
</TABLE>
<TABLE>
<CAPTION>
CMA Ohio Municipal Money Fund
Statement of Assets and Liabilities as of September 30, 1997
<S> <C> <C>
Assets:
Investments, at value (identified cost -- $342,665,019) (Note 1a) $342,665,019
Cash 39,337
Interest receivable 1,835,060
Prepaid registration fees and other assets (Note 1d) 98,073
------------
Total assets 344,637,489
------------
Liabilities:
Payables:
Investment adviser (Note 2) $152,782
Distributor (Note 2) 80,361
Dividends to shareholders (Note 1e) 139 233,282
--------
Accrued expenses and other liabilities 61,616
------------
Total liabilities 294,898
------------
Net Assets $344,342,591
============
Net Assets Consist of:
Shares of beneficial interest, $0.10 par value, unlimited number of shares
authorized $34,437,415
Paid-in capital in excess of par 309,936,731
Accumulated realized capital losses -- net (Note 4) (31,555)
------------
Net Assets -- Equivalent to $1.00 per share based on 344,374,146 shares of
beneficial interest outstanding $344,342,591
============
See Notes to Financial Statements.
</TABLE>
<TABLE>
<CAPTION>
CMA Ohio Municipal Money Fund
Statement of Operations for the Six Months Ended September 30, 1997
<S> <C> <C>
Investment Income (Note 1c):
Interest and amortization of premium earned $6,483,580
Expenses:
Investment advisory fees (Note 2) $840,830
Distribution fees (Note 2) 206,301
Transfer agent fees (Note 2) 31,322
Accounting services (Note 2) 29,379
Registration fees (Note 1d) 25,311
Professional fees 25,202
Custodian fees 14,688
Printing and shareholder reports 8,569
Pricing fees 6,453
Trustees' fees and expenses 1,415
Other 2,113
--------
Total expenses 1,191,583
----------
Investment income -- net 5,291,997
----------
Net Increase in Net Assets Resulting from Operations $5,291,997
==========
See Notes to Financial Statements.
</TABLE>
<TABLE>
<CAPTION>
CMA Ohio Municipal Money Fund
Statements of Changes in Net Assets
For the Six For the
Months Ended Year Ended
Sept. 30, 1997 March 31, 1997
Increase (Decrease) in Net Assets:
<S> <C> <C>
Operations:
Investment income -- net $5,291,997 $8,896,526
------------ --------------
Net increase in net assets resulting from operations 5,291,997 8,896,526
------------ --------------
Dividends to Shareholders (Note 1e):
Investment income -- net (5,291,997) (8,896,526
------------ --------------
Net decrease in net assets resulting from dividends to shareholders (5,291,997) (8,896,526)
------------ --------------
Beneficial Interest Transactions (Note 3):
Net proceeds from sale of shares 744,238,525 1,162,499,097
Net asset value of shares issued to shareholders in reinvestment of dividends
(Note 1e) 5,291,863 8,896,416)
------------ --------------
749,530,388 1,171,395,513
Cost of shares redeemed (732,360,838) (1,126,409,501)
------------ --------------
Net increase in net assets derived from beneficial interest transactions 17,169,550 44,986,012)
------------ --------------
Net Assets:
Total increase in net assets 17,169,550 44,986,012
Beginning of period 327,173,041 282,187,029
------------ --------------
End of period $344,342,591 $327,173,041
============ ==============
See Notes to Financial Statements.
</TABLE>
<TABLE>
<CAPTION>
CMA Ohio Municipal Money Fund
Financial Highlights
For the
Six Months
The following per share data and ratios have been derived Ended
from information provided in the financial statements. Sept. 30, For the Year Ended March 31,
1997 1997 1996 1995 1994
Increase (Decrease) in Net Asset Value:
<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 .02 .03 .03 .03 .02)
-------- -------- -------- -------- --------
Total from investment operations .02 .03 .03 .03 .02)
-------- -------- -------- -------- --------
Less dividends from investment income -- net (.02) (.03) (.03) (.03) (.02)
-------- -------- -------- -------- --------
Net asset value, end of period $1.00 $1.00 $1.00 $1.00 $1.00
======== ======== ======== ======== ========
Total Investment Return 3.15%* 3.00% 3.26% 2.65% 1.88%
======== ======== ======== ======== ========
Ratios to Average Net Assets:
Expenses .71%* .71% .73% .74% .72%
======== ======== ======== ======== ========
Investment income -- net 3.15%* 2.94% 3.21% 2.64% 1.86%
======== ======== ======== ======== ========
Supplemental Data:
Net assets, end of period (in thousands) $344,343 $327,173 $282,187 $237,655 $213,655
======== ======== ======== ======== ========
* Annualized.
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. These unaudited financial statements reflect all
adjustments which are, in the opinion of management, necessary to a fair
statement of the results for the interim period presented. All such
adjustments are of a normal recurring nature. 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.
(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) Prepaid registration fees -- 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 and back-up withholding 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"). 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.
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, 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, 1997, 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.
CMA Ohio
Municipal Money Fund
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
Steven T. Lewis -- Vice President
Darrin J. SanFillipo -- 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 351
Boston, MA 02101
Transfer Agent
Merrill Lynch Financial Data Services, Inc.
4800 Deer Lake Drive East
Jacksonville, FL 32246-6484
(800) 221-7210*
* For inquiries regarding your CMA account,
call (800) CMA-INFO [(800) 262-4636].
