<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
LETTER TO THE SHAREHOLDERS May 31, 2000
Two World Trade Center,
New York, New York 10048
DEAR SHAREHOLDER:
During the 12-month period ended May 31, 2000, the U.S. economic expansion
continued, though increased volatility plagued both the stock and bond markets.
Short-term U.S. Treasury prices dropped throughout the period. The
corresponding interest-rate rise reflected global economic growth, increased
borrowing from corporations and individuals alike, and anticipation that the
U.S. economy's strength would rekindle inflation. These factors prompted the
Federal Reserve Board to raise rates six times - from 4.75 percent to 6.50
percent - between June 1999 and May 2000. The effect of these increases was
less pronounced for long-term Treasuries, which benefited from a federal
government program of buying back outstanding debt. The subsequent reduction in
the supply of long-term Treasuries resulted in an inverted yield curve, where
short-term Treasury yields were higher than those of longer-term Treasuries.
The two-year U.S. Treasury note ranged in yield between 5.40 percent and 6.91
percent during the period, ending the fiscal year at 6.67 percent.
PERFORMANCE AND PORTFOLIO
For the 12-month period ended May 31, 2000, Morgan Stanley Dean Witter
Short-Term U.S. Treasury Trust produced a total return of 2.83 percent compared
to 4.03 percent for the Lehman Brothers 1-3 Year Government Bond Index. The
Fund's underperformance relative to its benchmark can be attributed to the
longer duration it maintained early in the period. The accompanying chart
compares the Fund's performance to that of the Lehman index.
The Fund shifted to a defensive posture, shortening its duration from
approximately 2.3 years at the beginning of the period to 1.6 years by the end
of May. Going forward, should the Fed signal an end to its policy of rate
tightening, the Fund will likely pursue a more constructive posture to take
advantage of potential price appreciation in short-term Treasuries. On May 31,
2000, the Fund's total net assets of $267.9 million were fully invested in U.S.
Treasuries and zero-coupon STRIPS (Separate Trading of
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
LETTER TO THE SHAREHOLDERS May 31, 2000, continued
Registered Interest and Principal of Securities). The Fund continues to offer
investors income free from state and local taxes in all 50 states and the
District of Columbia.
LOOKING AHEAD
We expect the Federal Reserve Board's interest-rate policy decisions in the
coming months to hinge on the pace of economic growth and labor costs. While
the current record-breaking expansion is extraordinary, we do not believe the
Fed will welcome above-trend growth for any length of time and will continue to
raise rates if it deems this necessary. However, short-term interest rates are
now considerably higher than they were at the beginning of the period and are
expected to inhibit both economic growth and labor costs.
We appreciate your ongoing support of Morgan Stanley Dean Witter Short-Term
U.S. Treasury Trust and look forward to continuing to serve your investment
needs.
Very truly yours,
/s/ CHARLES A. FIUMEFREDDO /s/ MITCHELL M. MERIN
CHARLES A. FIUMEFREDDO MITCHELL M. MERIN
Chairman of the Board President
2
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
FUND PERFORMANCE May 31, 2000
GROWTH OF $10,000
Date Total Lehman
-----------------------------------------
August 13, 1991 10,000 10,000
-----------------------------------------
May 31, 1992 10,655 10,685
-----------------------------------------
May 31, 1993 11,373 11,413
-----------------------------------------
May 31, 1994 11,401 11,644
-----------------------------------------
May 31, 1995 12,110 12,501
-----------------------------------------
May 31, 1996 12,606 13,161
-----------------------------------------
May 31, 1997 13,315 14,031
-----------------------------------------
May 31, 1998 14,205 15,009
-----------------------------------------
May 31, 1999 14,844 15,801
-----------------------------------------
May 31, 2000 15,265(2) 16,437
-----------------------------------------
---- Fund ----Lehman (3)
Past performance is not predictive of future returns. Investment return and
principal value will fluctuate. When you sell fund shares, they may be worth
more or less than their original cost.
AVERAGE ANNUAL TOTAL RETURNS
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Period Ended 5/31/00
---------------------------
<S> <C>
1 Year 2.83%(1)
5 Year 4.74%(1)
Since Inception (8/13/91) 4.92%(1)
</TABLE>
---------------
(1) Figure shown assumes reinvestment of all distributions. There is no sales
charge.
(2) Closing value assuming a complete redemption on May 31, 2000.
(3) The Lehman Brothers 1-3 Year Government Bond Index is a sub-index of the
Lehman Brothers Government Bond Index and is comprised of Agency and
Treasury securities with maturities of one to three years. The index
does not include any expenses, fees or charges. The Index is unmanaged
and should not be considered an investment.
3
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
PORTFOLIO OF INVESTMENTS May 31, 2000
<TABLE>
<CAPTION>
PRINCIPAL DESCRIPTION
AMOUNT IN AND COUPON
THOUSANDS MATURITY DATE RATE VALUE
----------- ------------------------------------------------ ---------- ---------------
<S> <C> <C> <C>
U.S. GOVERNMENT OBLIGATIONS (98.6%)
U.S. Treasury Notes (80.2%)
$ 4,000 08/15/03 ....................................... 5.25 % $ 3,839,280
21,600 01/31/03 ....................................... 5.50 20,952,216
20,500 11/15/04 ....................................... 5.875 19,931,945
16,000 08/15/04 ....................................... 6.00 15,649,600
12,000 12/31/01 ....................................... 6.125 11,878,440
6,000 08/31/00 ....................................... 6.25 6,002,700
38,000 10/31/01 ....................................... 6.25 37,717,280
24,000 02/15/03 ....................................... 6.25 23,704,560
22,000 08/31/01 ....................................... 6.50 21,919,700
7,000 11/15/01 ....................................... 7.50 7,064,820
15,000 02/15/01 ....................................... 7.750 15,100,950
31,000 08/15/00 ....................................... 8.75 31,172,670
------------
214,934,161
------------
U.S. Treasury Strips (18.4%)
19,000 08/15/00 ....................................... 0.00 18,776,180
8,000 08/15/01 ....................................... 0.00 7,375,360
15,900 05/15/02 ....................................... 0.00 13,962,108
11,000 05/15/03 ....................................... 0.00 9,070,930
------------
49,184,578
------------
TOTAL U.S. GOVERNMENT OBLIGATIONS
(Identified Cost $268,121,941) (a).............. 98.6% 264,118,739
OTHER ASSETS IN EXCESS OF LIABILITIES .......... 1.4 3,814,268
----- ------------
NET ASSETS ..................................... 100.0% $267,933,007
===== ============
</TABLE>
---------------------
(a) The aggregate cost for federal income tax purposes approximates
identified cost. The aggregate gross unrealized appreciation is
$7,320 and the aggregate gross unrealized depreciation is
$4,010,522, resulting in net unrealized depreciation of $4,003,202.
See Notes to Financial Statements
4
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
May 31, 2000
<TABLE>
<S> <C>
ASSETS:
Investments in securities, at value
(identified cost $268,121,941).......................... $264,118,739
Cash ..................................................... 203,878
Receivable for:
Interest .............................................. 3,373,627
Shares of beneficial interest sold .................... 1,903,132
Prepaid expenses and other assets ........................ 17,578
------------
TOTAL ASSETS .......................................... 269,616,954
------------
LIABILITIES:
Payable for:
Shares of beneficial interest repurchased ............. 1,212,191
Dividends to shareholders ............................. 205,905
Plan of distribution fee .............................. 84,161
Investment management fee ............................. 84,161
Accrued expenses and other payables ...................... 97,529
------------
TOTAL LIABILITIES ..................................... 1,683,947
------------
NET ASSETS ............................................ $267,933,007
============
COMPOSITION OF NET ASSETS:
Paid-in-capital .......................................... $294,643,266
Net unrealized depreciation .............................. (4,003,202)
Accumulated undistributed net investment income .......... 3,399
Accumulated net realized loss ............................ (22,710,456)
------------
NET ASSETS ............................................ $267,933,007
============
NET ASSET VALUE PER SHARE,
27,728,120 shares outstanding
(unlimited shares authorized of $.01 par value)......... $9.66
=====
</TABLE>
See Notes to Financial Statements
5
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
FINANCIAL STATEMENTS, continued
STATEMENT OF OPERATIONS
For the year ended May 31, 2000
<TABLE>
<S> <C>
NET INVESTMENT INCOME:
INTEREST INCOME ............................... $17,379,570
-----------
EXPENSES
Investment management fee ..................... 1,006,144
Plan of distribution fee ...................... 965,358
Transfer agent fees and expenses .............. 110,283
Professional fees ............................. 84,628
Registration fees ............................. 35,745
Shareholder reports and notices ............... 33,489
Custodian fees ................................ 20,877
Trustees' fees and expenses ................... 16,421
Other ......................................... 22,544
-----------
TOTAL EXPENSES ............................. 2,295,489
Less: expense offset .......................... (17,901)
-----------
NET EXPENSES ............................... 2,277,588
-----------
NET INVESTMENT INCOME ...................... 15,101,982
-----------
NET REALIZED AND UNREALIZED LOSS:
Net realized loss ............................. (4,097,739)
Net change in unrealized depreciation ......... (2,823,564)
-----------
NET LOSS ................................... (6,921,303)
-----------
NET INCREASE .................................. $8,180,679
===========
</TABLE>
See Notes to Financial Statements
6
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
FINANCIAL STATEMENTS, continued
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
FOR THE YEAR FOR THE YEAR
ENDED ENDED
MAY 31, 2000 MAY 31, 1999
---------------- ---------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income ................................ $ 15,101,982 $ 15,299,041
Net realized loss .................................... (4,097,739) (147,939)
Net change in unrealized depreciation ................ (2,823,564) (3,693,983)
------------ ------------
NET INCREASE ...................................... 8,180,679 11,457,119
Dividends from net investment income ................. (15,237,525) (15,365,360)
Net increase (decrease) from transactions in shares of
beneficial interest ................................ (38,068,974) 75,942,528
------------ ------------
NET INCREASE (DECREASE) ........................... (45,125,820) 72,034,287
NET ASSETS:
Beginning of period .................................. 313,058,827 241,024,540
------------ ------------
END OF PERIOD
(Including undistributed net investment income of
$3,399 and $138,942, respectively) ................ $267,933,007 $313,058,827
============ ============
</TABLE>
See Notes to Financial Statements
7
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
NOTES TO FINANCIAL STATEMENTS, May 31, 2000
1. ORGANIZATION AND ACCOUNTING POLICIES
Morgan Stanley Dean Witter Short-Term U.S. Treasury Trust (the "Fund") is
registered under the Investment Company Act of 1940, as amended (the "Act"), as
a diversified, open-end management investment company. The Fund's investment
objective is current income, preservation of principal and liquidity. The Fund
seeks to achieve its objective by investing its assets in U.S. Treasury
securities backed by the full faith and credit of the U.S. Government. The Fund
was organized as a Massachusetts business trust on June 4, 1991 and commenced
operations on August 13, 1991.
The preparation of financial statements in accordance with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts and disclosures. Actual results could differ
from those estimates.
The following is a summary of significant accounting policies:
A. VALUATION OF INVESTMENTS - (1) portfolio securities for which
over-the-counter market quotations are readily available are valued at the
latest available bid price prior to the time of valuation; (2) when
market quotations are not readily available, including circumstances under
which it is determined by Morgan Stanley Dean Witter Advisors Inc. (the
"Investment Manager"), that sale or bid prices are not reflective of a
security's market value, portfolio securities are valued at their fair value as
determined in good faith under procedures established by and under the general
supervision of the Trustees (valuation of debt securities for which market
quotations are not readily available may be based upon current market prices of
securities which are comparable in coupon, rating and maturity or an
appropriate matrix utilizing similar factors); and (3) short-term debt
securities having a maturity date of more than sixty days at time of purchase
are valued on a mark-to-market basis until sixty days prior to maturity and
thereafter at amortized cost based on their value on the 61st day. Short-term
debt securities having a maturity date of sixty days or less at the time of
purchase are valued at amortized cost.
B. ACCOUNTING FOR INVESTMENTS - Security transactions are accounted for on the
trade date (date the order to buy or sell is executed). Realized gains and
losses on security transactions are determined by the identified cost method.
Discounts are accreted over the life of the respective securities. Interest
income is accrued daily.
C. FEDERAL INCOME TAX STATUS - It is the Fund's policy to comply with the
requirements of the Internal Revenue Code applicable to regulated investment
companies and to distribute all of its taxable income to its shareholders.
Accordingly, no federal income tax provision is required.
D. DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS - The Fund records dividends and
distributions to its shareholders on the ex-dividend date. The amount of
dividends and distributions from net investment
8
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
NOTES TO FINANCIAL STATEMENTS, May 31, 2000, continued
income and net realized capital gains are determined in accordance with federal
income tax regulations which may differ from generally accepted accounting
principles. These "book/tax" differences are either considered temporary or
permanent in nature. To the extent these differences are permanent in nature,
such amounts are reclassified within the capital accounts based on their
federal tax-basis treatment; temporary differences do not require
reclassification. Dividends and distributions which exceed net investment
income and net realized capital gains for financial reporting purposes but not
for tax purposes are reported as dividends in excess of net investment income
or distributions in excess of net realized capital gains. To the extent they
exceed net investment income and net realized capital gains for tax purposes,
they are reported as distributions of paid-in-capital.
2. INVESTMENT MANAGEMENT AGREEMENT
Pursuant to an Investment Management Agreement with the Investment Manager, the
Fund pays the Investment Manager a management fee, accrued daily and payable
monthly, by applying the annual rate of 0.35% to the net assets of the Fund
determined as of the close of each business day.
3. PLAN OF DISTRIBUTION
Morgan Stanley Dean Witter Distributors Inc. (the "Distributor"), an affiliate
of the Investment Manager, is the distributor of the Fund's shares and, in
accordance with a Plan of Distribution (the "Plan") pursuant to Rule 12b-1
under the Act, finances certain expenses in connection with the distribution of
shares of the Fund.
The Fund is authorized to reimburse the Distributor for specific expenses the
Distributor incurs or plans to incur in promoting the distribution of the
Fund's shares. The amount of each monthly reimbursement payment may in no event
exceed an amount equal to a payment at the annual rate of 0.35% of the Fund's
average daily net assets during the month. For the year ended May 31, 2000, the
distribution fee was accrued at the annual rate of 0.34%.
4. SECURITY TRANSACTIONS AND TRANSACTIONS WITH AFFILIATES
The cost of purchases and proceeds from sales/maturities of portfolio
securities for the year ended May 31, 2000 aggregated $789,299,623 and
$742,325,778, respectively.
Morgan Stanley Dean Witter Trust FSB, an affiliate of the Investment Manager
and Distributor, is the Fund's transfer agent.
The Fund has an unfunded noncontributory defined benefit pension plan covering
all independent Trustees of the Fund who will have served as independent
Trustees for at least five years at the time of
9
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
NOTES TO FINANCIAL STATEMENTS, May 31, 2000, continued
retirement. Benefits under this plan are based on years of service and
compensation during the last five years of service. Aggregate pension costs for
the year ended May 31, 2000 included in Trustees' fees and expenses in the
Statement of Operations amounted to $5,106. At May 31, 2000, the Fund had an
accrued pension liability of $43,934 which is included in accrued expenses in
the Statement of Assets and Liabilities.
5. SHARES OF BENEFICIAL INTEREST
Transactions in shares of beneficial interest were as follows:
<TABLE>
<CAPTION>
FOR THE YEAR FOR THE YEAR
ENDED ENDED
MAY 31, 2000 MAY 31, 1999
------------------------------------- ----------------------------------
SHARES AMOUNT SHARES AMOUNT
----------------- ------------------- ---------------- -----------------
<S> <C> <C> <C> <C>
Shares sold ........................................ 107,024,802 $ 1,047,671,631 104,838,196 $1,054,466,860
Shares issued in reinvestment of dividends ......... 1,027,913 10,046,138 1,157,486 11,633,092
------------ ---------------- ----------- --------------
108,052,715 1,057,717,769 105,995,682 1,066,099,952
Shares repurchased ................................. (111,937,772) (1,095,786,743) (98,574,910) (990,157,424)
------------ ---------------- ----------- --------------
Net increase (decrease) ............................ (3,885,057) $ (38,068,974) 7,420,772 $ 75,942,528
============ ================ =========== ==============
</TABLE>
6. FEDERAL INCOME TAX STATUS
At May 31, 2000, the Fund had a net capital loss carryover of approximately
$19,240,000, which may be used to offset future capital gains to the extent
provided by regulations, which is available through May 31 of the following
years:
<TABLE>
<CAPTION>
AMOUNTS IN THOUSANDS
-------------------------------------------------------------
2003 2004 2005 2006 2007 2008
------------ --------- ------ ------ ------ -------
<S> <C> <C> <C> <C> <C>
$11,507 $6,271 $333 $246 $22 $861
======= ====== ==== ==== === ====
</TABLE>
Capital losses incurred after after October 31 ("post-October losses") within
the taxable year are deemed to arise on the first business day of the Fund's
next taxable year. The Fund incurred and will elect to defer net capital losses
of approximately $3,403,000 during fiscal 2000.
As of May 31, 2000, the Fund had temporary book/tax differences primarily
attributable to post-October losses.
7. RISK RELATING TO CERTAIN FINANCIAL INSTRUMENTS
The Fund may invest a portion of its assets in zero coupon U.S. Treasury
securities. Zero coupon securities are subject to substantially greater market
fluctuations during periods of changing prevailing interest rates than are
comparable debt securities.
10
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
FINANCIAL HIGHLIGHTS
Selected ratios and per share data for a share of beneficial interest
outstanding throughout each period:
<TABLE>
<CAPTION>
FOR THE YEAR ENDED MAY 31
--------------------------------------------------------------------
2000 1999 1998 1997 1996
---------------- ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C>
SELECTED PER SHARE DATA:
Net asset value, beginning of period .............. $ 9.90 $ 9.96 $ 9.85 $ 9.84 $ 9.98
-------- -------- -------- -------- --------
Income (loss) from investment operations:
Net investment income ............................ 0.51 0.50 0.53 0.54 0.54
Net realized and unrealized gain (loss) .......... (0.24) (0.06) 0.11 -- (0.14)
-------- -------- -------- -------- --------
Total income from investment operations ........... 0.27 0.44 0.64 0.54 0.40
-------- -------- -------- -------- --------
Less dividends from net investment income ......... (0.51) (0.50) (0.53) (0.53) (0.54)
-------- -------- -------- -------- --------
Net asset value, end of period .................... $ 9.66 $ 9.90 $ 9.96 $ 9.85 $ 9.84
======== ======== ======== ======== ========
TOTAL RETURN+ ..................................... 2.83% 4.50% 6.68% 5.63% 4.09%
RATIOS TO AVERAGE NET ASSETS:
Expenses .......................................... 0.80%(1) 0.80% 0.82% 0.83% 0.84%
Net investment income ............................. 5.25% 4.95% 5.30% 5.42% 5.33%
SUPPLEMENTAL DATA:
Net assets, end of period, in thousands ........... $267,933 $313,059 $241,025 $230,267 $258,637
Portfolio turnover rate ........................... 255% 164% 95% 149% 63%
</TABLE>
-------------
+ Calculated based on the net asset value as of the last business day of the
period.
(1) Does not reflect the effect of expense offset of 0.01%.
See Notes to Financial Statements
11
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
REPORT OF INDEPENDENT ACCOUNTANTS
TO THE SHAREHOLDERS AND TRUSTEES
OF MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
In our opinion, the accompanying statement of assets and liabilities, including
the portfolio of investments, and the related statements of operations and of
changes in net assets and the financial highlights present fairly, in all
material respects, the financial position of Morgan Stanley Dean Witter
Short-Term U.S. Treasury Trust (the "Fund") at May 31, 2000, the results of its
operations for the year then ended, the changes in its net assets for each of
the two years in the period then ended and the financial highlights for each of
the five years in the period then ended, in conformity with accounting
principles generally accepted in the United States. These financial statements
and financial highlights (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 auditing standards
generally accepted in the United States, 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 May 31, 2000 by correspondence with the custodian, provide a
reasonable basis for the opinion expressed above.
PricewaterhouseCoopers LLP
1177 Avenue of the Americas
New York, New York 10036
June 30, 2000
12
<PAGE>
MORGAN STANLEY DEAN WITTER SHORT-TERM U.S. TREASURY TRUST
CHANGE IN INDEPENDENT ACCOUNTANTS
On July 1, 2000 PricewaterhouseCoopers LLP resigned as independent accountants
of the Fund.
The reports of PricewaterhouseCoopers LLP on the financial statements of the
Fund for the past two fiscal years contained no adverse opinion or disclaimer
of opinion and were not qualified or modified as to uncertainty, audit scope or
accounting principle.
In connection with its audits for the two most recent fiscal years and through
July 1, 2000, there have been no disagreements with PricewaterhouseCoopers LLP
on any matter of accounting principles or practices, financial statement
disclosure, or auditing scope or procedure, which disagreements if not resolved
to the satisfaction of PricewaterhouseCoopers LLP would have caused them to
make reference thereto in their report on the financial statements for such
years.
The Fund, with the approval of its Board of Trustees and its Audit Committee,
engaged Deloitte & Touche LLP as its new independent accountants as of July 1,
2000.
13
<PAGE>
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<PAGE>
(This page has been left blank intentionally.)
<PAGE>
TRUSTEES
Michael Bozic
Charles A. Fiumefreddo
Edwin J. Garn
Wayne E. Hedien
James F. Higgins
Dr. Manuel H. Johnson
Michael E. Nugent
Philip J. Purcell
John L. Schroeder
OFFICERS
Charles A. Fiumefreddo
Chairman and Chief Executive Officer
Mitchell M. Merin
President
Barry Fink
Vice President, Secretary and General Counsel
Rajesh K. Gupta
Vice President
Sally Sancimino
Vice President
Thomas F. Caloia
Treasurer
TRANSFER AGENT
Morgan Stanley Dean Witter Trust FSB
Harborside Financial Center - Plaza Two
Jersey City, New Jersey 07311
INDEPENDENT ACCOUNTANTS
PricewaterhouseCoopers LLP
1177 Avenue of the Americas
New York, New York 10036
INVESTMENT MANAGER
Morgan Stanley Dean Witter Advisors Inc.
Two World Trade Center
New York, New York 10048
This report is submitted for the general information of shareholders of the
Fund. For more detailed information about the Fund, its officers and trustees,
fees, expenses and other pertinent information, please see the prospectus
of the Fund.
This report is not authorized for distribution to prospective investors in the
Fund unless preceded or accompanied by an effective prospectus. Read the
prospectus carefully before investing.
Morgan Stanley Dean Witter Distributors Inc., member NASD.
MORGAN STANLEY
DEAN WITTER
SHORT-TERM
U.S. TREASURY
TRUST
[Graphic]
ANNUAL REPORT
MAY 31, 2000
