MERRILL LYNCH
TECHNOLOGY
FUND, INC.
[GRAPHIC OMITTED]
STRATEGIC
Performance
Quarterly Report
June 30, 1999
<PAGE>
MERRILL LYNCH TECHNOLOGY FUND, INC.
Portfolio Information As of 6/30/99
Ten Largest Holdings Represented Percent of
in the Portfolio Net Assets
Texas Instruments Incorporated ...................................... 3.8%
Sanmina Corporation ................................................. 3.5
America Online, Inc. ................................................ 3.4
Microsoft Corporation ............................................... 3.3
Xilinx, Inc. ........................................................ 3.2
Compuware Corporation ............................................... 3.2
EMC Corporation ..................................................... 3.1
Synopsys, Inc. ...................................................... 3.0
Maxim Integrated Products, Inc. ..................................... 2.9
Flextronics International Ltd. ...................................... 2.7
Ten Largest Industriesd Percent of
Represented in the Portfolio Net Assets
Semiconductors ...................................................... 17.7%
Software ............................................................ 11.7
Telecommunications Equipment ........................................ 11.2
Contract Manufacturers .............................................. 10.4
Computer Systems .................................................... 8.3
Internet ............................................................ 7.8
Semiconductor Equipment ............................................. 6.4
Technology Services ................................................. 5.9
Personal Computers ............ ..................................... 3.4
Electronic Design Automation ........................................ 3.0
<PAGE>
Merrill Lynch Technology Fund, Inc., June 30, 1999
DEAR SHAREHOLDER
For the quarter ended June 30, 1999, Merrill Lynch Technology Fund, Inc.'s Class
A, Class B, Class C and Class D Shares had total returns of +13.31%, +13.00%,
+12.91% and +13.25%, respectively. (Results shown do not reflect sales charges
and would be lower if sales charges were included. Complete performance
information can be found on pages 4 and 5 of this report to shareholders.) It
was another relatively strong period for the technology sector, and the Fund's
Class A Shares outperformed the +7.05% total return for the unmanaged Standard &
Poor's 500 Index by 6.26 percentage points. We continue to believe that
technology offers investors the greatest growth potential of any sector because
these products and services continue to increase in performance but decrease in
price, driving remarkable productivity in homes and offices around the world. We
expect that careful technology investors will continue to be rewarded. Although
these companies have superior long-term fundamentals, their shares are volatile,
so that active managers can take advantage of opportunities to buy quickly on
short-term dips or to sell immediately into rallies that are too steep.
We fared relatively well in the June quarter compared to our peer group, and the
Fund's return for Class A Shares was within 70 basis points (0.70%) of the
average of the 107 funds that comprise the Lipper Science and Technology group.
Our return for Class A Shares was at the median of the funds included in the
Lipper group.
We often compare our industry and stock selections to those in the Merrill Lynch
100 Technology Index (MLO) because the data is publicly available on a daily
basis as compared to the less timely information found for our competitors. On
an industry level, we held a relative weight in two of the top four (of 17
total) industries in the MLO, semiconductors and telecommunications equipment.
We also benefited from adding to select software stocks before they rallied,
such as Compuware Corporation, VERITAS Software Corporation and Microsoft
Corporation. The appreciation in these issues helped carry the software industry
to among the top performers in the technology sector for the quarter.
The industries that were drags on Fund performance during the quarter were
personal computers (PCs), electronic design automation (EDA) software (software
used to design semiconductors) and Internet. We have since eliminated troubled
PC vendor, Compaq Computer Corporation, to focus on what we view as superior
industry investments in Dell Computer Corporation and Gateway Inc. In response
to deterioration in its fundamentals, we also sold our position in EDA, Cadence
Design Systems, Inc., to focus on the new leader in this group, Synopsys, Inc.
Synopsys has been one of the Fund's best performers since we added it to the
portfolio. We still have confidence in each of our Internet holdings other than
Amazon.com, Inc. We sold Amazon in order to focus on what we view as the
superior electronic commerce company, eBay Inc.
We were fortunate to have owned seven of the top 15 performers of the 100-stock
MLO Index during the quarter. These include JDS Uniphase Corporation (fiber
optics components sold to telecommunications equipment vendors); semiconductor
vendors Xilinx, Inc. and Texas Instruments Incorporated; QUALCOMM Incorporated
(wireless); telecommunications equipment vendors Tellabs, Inc. and Nortel
Networks Corporation; and contract manufacturer, Solectron Corporation. We also
held three of the 15 worst names--Gateway Inc. (PC company), EMC Corporation
(data storage provider), and America Online, Inc. (Internet leader)--which
penalized us. The PC industry has become troublesome. Although unit growth is
still robust (up between 15% and 20% year-to-year), dropping average selling
prices have caused revenues to lag. We retain a small position in Gateway. We
still have confidence in EMC and America Online, so we have not reduced our
positions in either of these two companies.
Investment Outlook
We continue to divide the outlook for our sector into three distinct periods:
o A potentially relatively weak span through the summer as investors grapple
with seasonal weakness, potential interest rate hikes (in addition to the
increase on June 30, 1999) and worries about a Year 2000-related technology
spending slowdown.
o A recovery in the second half of calendar 1999 that, like 1998, may be skewed
toward the fourth quarter as investors wait for concrete evidence that spending
will reaccelerate into the millennium.
o An unmistakable secular growth story given that technology's influence on the
economy and on the broader market continues to grow unabated.
Since precise market timing is always a losing battle in this sector, and
particularly because we are in uncharted territory in 1999 with the Year 2000
phenomenon, we will remain essentially fully invested. A cash holding beyond 5%
is not typical for the Fund. In fact, the Fund ended the June quarter with 1.8%
of net assets in cash. In summary, despite the near-term relative weakness in
technology, we believe that the sector may outperform the broader market for the
calendar year as a whole. Therefore, we are of the opinion that the sector's
relative performance is likely to improve. As a result, we have positioned the
portfolio accordingly.
Investment Strategy
In addition to seeking to be essentially fully invested in preparation for
technology stocks regaining the market's leadership, and although our purpose is
to manage a fully diversified (by industry and stock) portfolio, we must
consciously decide whether we should be overweight, neutral weight or
underweight in certain industries and stocks with respect to the MLO. With that
in mind, our industry decisions included increasing our exposure in three groups
in which we had been underweight: semiconductors, semiconductor capital
equipment and Internet.
We arrived at our decision to boost our semiconductor-related exposure after
accumulating evidence that the industry probably troughed in the third quarter
of 1998. We focused our efforts on semiconductor leaders with strong
intellectual property such as analog vendor, Maxim Integrated Products, Inc. Our
list of semiconductor capital equipment holdings includes the who's who of the
key enabling process technologies for their partners. KLA-Tencor Corporation, a
leader in yield management and process management systems, is an example of one
of these stocks. We also purchased shares of the world's largest foundry (an
outsourced manufacturer of integrated circuit production), Taiwan Semiconductor
Manufacturing Company Ltd.
We decided to increase our Internet exposure not so much to capture improving
fundamentals but to opportunistically purchase several leadership stocks that
had fallen significantly since technology securities began to tumble in February
1999.
Through secondary offerings, we added eBay Inc. and PSINet Inc.
Considering the aforementioned near-term risks to the sector, we added more
defensive holdings to the Fund. These included medical device technology leaders
Guidant Corporation and Medtronic, Inc. Another addition was Pitney Bowes Inc.,
the dominant company in the mailing equipment business. We expect these stocks
to be impacted by different dynamics than some of the more cyclical, traditional
technology companies in this uncertain short-term period for the sector.
We look to prune our portfolio of stocks that may, for fundamental or valuation
reasons, become relatively inferior holdings. In technology investing, because
product cycles move so quickly, it is very easy to do countless hours of
research on an investment and still be wrong. This is why we are diversified
(our largest industry concentration is limited to 25% of assets at time of
purchase in any one industry) and can only hold up to 5% of our Fund's assets in
any stock at time of purchase. During the June quarter, we sold the following
stocks in response to deteriorating fundamentals: Cadence Design Systems, Inc.
(electronic design automation); Compaq Computer Corporation (personal
computers); Telefonaktiebolaget LM Ericsson (telecommunications equipment);
Network Associates, Inc. (enterprise software); Oracle Corporation (enterprise
software); and Amazon.com, Inc. (Internet).
2 & 3
<PAGE>
Merrill Lynch Technology Fund, Inc., June 30, 1999
In summary, we continue to be short-term cautious on the technology sector and
the prospects for Merrill Lynch Technology Fund, Inc. We are more encouraged
about the intermediate-term outlook. Finally, we are very positive about the
sector's secular forecast.
In Conclusion
We thank you for your continued investment in Merrill Lynch Technology Fund,
Inc., and we look forward to reporting to you again in our upcoming semi-annual
report to shareholders.
Sincerely,
/s/ Terry K. Glenn
Terry K. Glenn
President and Director
/s/ Paul G. Meeks
Paul G. Meeks
Senior Vice President and
Portfolio Manager
August 5, 1999
PERFORMANCE DATA
About Fund Performance
Investors are able to purchase shares of the Fund through the Merrill
Lynch Select Pricing(SM) System, which offers four pricing alternatives:
o Class A Shares incur a maximum initial sales charge (front-end load) of
5.25% and bear no ongoing distribution or account maintenance fees. Class
A Shares are available only to eligible investors.
o Class B Shares are subject to a maximum contingent deferred sales charge
of 4% if redeemed during the first year, decreasing 1% each year
thereafter to 0% after the fourth year. In addition, Class B Shares are
subject to a distribution fee of 0.75% and an account maintenance fee of
0.25%. These shares automatically convert to Class D Shares after
approximately 8 years. (There is no initial sales charge for automatic
share conversions.)
o Class C Shares are subject to a distribution fee of 0.75% and an account
maintenance fee of 0.25%. In addition, Class C Shares are subject to a 1%
contingent deferred sales charge if redeemed within one year of purchase.
o Class D Shares incur a maximum initial sales charge of 5.25% and an
account maintenance fee of 0.25% (but no distribution fee).
None of the past results shown should be considered a representation of
future performance. Figures shown in the "Recent Performance Results" and
"Average Annual Total Return" tables assume reinvestment of all dividends
and capital gains distributions at net asset value on the ex-dividend
date. Investment return and principal value of shares will fluctuate so
that shares, when redeemed, may be worth more or less than their original
cost. Dividends paid to each class of shares will vary because of the
different levels of account maintenance, distribution and transfer agency
fees applicable to each class, which are deducted from the income
available to be paid to shareholders.
Recent Performance Results*
<TABLE>
<CAPTION>
12 Month 3 Month Since Inception
Total Return Total Return Total Return
=======================================================================================================
<S> <C> <C> <C>
ML Technology Fund, Inc. Class A Shares +57.89% +13.31% +266.50%
- -------------------------------------------------------------------------------------------------------
ML Technology Fund, Inc. Class B Shares +56.35 +13.00 +240.39
- -------------------------------------------------------------------------------------------------------
ML Technology Fund, Inc. Class C Shares +56.27 +12.91 + 56.84
- -------------------------------------------------------------------------------------------------------
ML Technology Fund, Inc. Class D Shares +57.58 +13.25 + 63.00
=======================================================================================================
</TABLE>
* Investment results shown do not reflect sales charges; results shown would
be lower if a sales charge was included. Total investment returns are
based on changes in net asset values for the periods shown, and assume
reinvestment of all dividends and capital gains distributions at net asset
value on the ex-dividend date. The Fund's since inception periods began on
4/27/92 for Class A and Class B Shares and on 10/21/94 for Class C and
Class D Shares.
Average Annual Total Return
% Return Without % Return With
Class A Shares* Sales Charge Sales Charge**
================================================================================
Year Ended 6/30/99 +57.89% +49.61%
- --------------------------------------------------------------------------------
Five Years Ended 6/30/99 +12.35 +11.15
- --------------------------------------------------------------------------------
Inception (4/27/92) through 6/30/99 +19.84 +18.95
- --------------------------------------------------------------------------------
* Maximum sales charge is 5.25%.
** Assuming maximum sales charge.
% Return % Return
Class B Shares* Without CDSC With CDSC**
================================================================================
Year Ended 6/30/99 +56.35% +52.35%
- --------------------------------------------------------------------------------
Five Years Ended 6/30/99 +11.21 +11.21
- --------------------------------------------------------------------------------
Inception (4/27/92) through 6/30/99 +18.61 +18.61
- --------------------------------------------------------------------------------
* Maximum contingent deferred sales charge is 4% and is reduced to 0% after
4 years.
** Assuming payment of applicable contingent deferred sales charge.
================================================================================
% Return % Return
Class C Shares* Without CDSC With CDSC**
================================================================================
Year Ended 6/30/99 +56.27% +55.27%
- --------------------------------------------------------------------------------
Inception (10/21/94) through 6/30/99 +10.07 +10.07
- --------------------------------------------------------------------------------
* Maximum contingent deferred sales charge is 1% and is reduced to 0% after
1 year.
** Assuming payment of applicable contingent deferred sales charge.
================================================================================
% Return Without % Return With
Class D Shares* Sales Charge Sales Charge**
================================================================================
Year Ended 6/30/99 +57.58% +49.30%
- --------------------------------------------------------------------------------
Inception (10/21/94) through 6/30/99 +10.98 + 9.71
- --------------------------------------------------------------------------------
* Maximum sales charge is 5.25%.
** Assuming maximum sales charge.
3 & 4
<PAGE>
Merrill Lynch Technology Fund, Inc., June 30, 1999
SCHEDULE OF INVESTMENTS (in US dollars)
<TABLE>
<CAPTION>
Shares Percent of
COUNTRY Industries Held Stocks Cost Value Net Assets
==================================================================================================================================
<C> <S> <C> <C> <C> <C> <C>
Canada Contract Manufacturers 160,000 Celestica Inc. $ 4,481,968 $ 6,930,000 1.3%
-------------------------------------------------------------------------------------------------------------------------
Telecommunications 91,000 Nortel Networks Corporation 3,307,777 7,899,937 1.5
Equipment
-------------------------------------------------------------------------------------------------------------------------
Total Investments in Canada 7,789,745 14,829,937 2.8
==================================================================================================================================
Finland Telecommunications 134,000 Nokia Oyj `A' (ADR)* 9,794,277 12,269,375 2.4
Equipment
-------------------------------------------------------------------------------------------------------------------------
Total Investments in Finland 9,794,277 12,269,375 2.4
==================================================================================================================================
Israel Telecommunications 178,900 ECI Telecom Limited 4,763,482 5,903,700 1.1
Equipment
-------------------------------------------------------------------------------------------------------------------------
Total Investments in Israel 4,763,482 5,903,700 1.1
==================================================================================================================================
Singa- Contract 260,000 Flextronics International Ltd. 5,518,404 14,365,000 2.7
pore Manufacturers
-------------------------------------------------------------------------------------------------------------------------
Total Investments in Singapore 5,518,404 14,365,000 2.7
==================================================================================================================================
Taiwan Semiconductors 326,000 Taiwan Semiconductor Manufacturing
Company Ltd. (ADR)* 7,000,935 11,084,000 2.1
-------------------------------------------------------------------------------------------------------------------------
Total Investments in Taiwan 7,000,935 11,084,000 2.1
==================================================================================================================================
United Components 251,800 General Cable Corporation 3,890,072 4,028,800 0.8
States -------------------------------------------------------------------------------------------------------------------------
Computer Systems 296,000 EMC Corporation 10,747,970 16,280,000 3.1
101,400 Electronics for Imaging, Inc. 1,929,705 5,209,425 1.0
57,000 International Business Machines Corporation 4,971,132 7,367,250 1.4
110,000 Network Appliance, Inc. 4,350,577 6,146,250 1.1
128,000 Sun Microsystems, Inc. 2,608,000 8,816,000 1.7
----------- ----------- ----
24,607,384 43,818,925 8.3
-------------------------------------------------------------------------------------------------------------------------
Contract Manufacturers 194,000 Jabil Circuit, Inc. 3,537,258 8,754,250 1.7
243,800 Sanmina Corporation 5,448,118 18,498,325 3.5
95,000 Solectron Corporation 4,945,453 6,335,313 1.2
----------- ----------- ----
13,930,829 33,587,888 6.4
-------------------------------------------------------------------------------------------------------------------------
Data Communications 212,000 Cisco Systems, Inc. 5,485,500 13,660,750 2.6
-------------------------------------------------------------------------------------------------------------------------
Distribution 294,000 Ingram Micro Inc. (Class A) 12,212,655 7,570,500 1.4
-------------------------------------------------------------------------------------------------------------------------
Diversified 122,100 General Instrument Corporation 4,860,948 5,189,250 1.0
-------------------------------------------------------------------------------------------------------------------------
Electronic Design 282,900 Synopsys, Inc. 11,721,829 15,594,863 3.0
Automation
-------------------------------------------------------------------------------------------------------------------------
Internet 160,000 America Online, Inc. 12,442,952 17,680,000 3.4
27,900 eBay Inc. 4,743,000 4,221,619 0.8
49,000 Exodus Communications, Inc. 2,120,909 5,876,937 1.1
89,400 PSINet Inc. 5,032,105 3,905,663 0.8
52,600 Yahoo! Inc. 7,894,211 9,057,063 1.7
----------- ----------- ----
32,233,177 40,741,282 7.8
-------------------------------------------------------------------------------------------------------------------------
Medical Technology 88,000 Guidant Corporation 4,005,257 4,526,500 0.9
70,000 Medtronic, Inc. 4,659,200 5,451,250 1.0
----------- ----------- ----
8,664,457 9,977,750 1.9
-------------------------------------------------------------------------------------------------------------------------
Peripherals 74,600 Lexmark International Group, Inc. (Class A) 3,376,165 4,928,262 0.9
77,300 Pitney Bowes Inc. 4,752,297 4,966,525 1.0
----------- ----------- ----
8,128,462 9,894,787 1.9
-------------------------------------------------------------------------------------------------------------------------
Personal Computers 234,000 Dell Computer Corporation 7,648,530 8,643,375 1.7
154,400 Gateway Inc. 7,201,451 9,109,600 1.7
----------- ----------- ----
14,849,981 17,752,975 3.4
-------------------------------------------------------------------------------------------------------------------------
Semiconductor Equipment 182,200 Applied Materials, Inc. 10,588,797 13,460,025 2.6
82,900 KLA-Tencor Corporation 4,757,648 5,372,956 1.0
91,700 Novellus Systems, Inc. 5,790,955 6,252,794 1.2
117,100 Teradyne, Inc. 4,699,139 8,401,925 1.6
----------- ----------- ----
25,836,539 33,487,700 6.4
-------------------------------------------------------------------------------------------------------------------------
Semiconductors 270,000 Altera Corporation 5,606,563 9,922,500 1.9
157,000 Intel Corporation 8,484,002 9,331,687 1.7
225,200 Maxim Integrated Products, Inc. 7,890,750 14,975,800 2.9
137,700 Texas Instruments Incorporated 7,612,598 19,966,500 3.8
165,800 Vitesse Semiconductor Corporation 6,901,382 11,253,675 2.1
289,000 Xilinx, Inc. 6,598,206 16,545,250 3.2
----------- ----------- ----
43,093,501 81,995,412 15.6
-------------------------------------------------------------------------------------------------------------------------
Software 210,700 BMC Software, Inc. 9,975,592 11,364,631 2.2
107,000 Citrix Systems, Inc. 2,988,875 6,012,062 1.1
520,000 Compuware Corporation 12,485,830 16,510,000 3.2
194,000 Microsoft Corporation 8,349,035 17,484,250 3.3
102,600 VERITAS Software Corporation 7,327,972 9,740,588 1.9
----------- ----------- ----
41,127,304 61,111,531 11.7
-------------------------------------------------------------------------------------------------------------------------
Technology Services 106,800 DST Systems, Inc. 5,618,776 6,715,050 1.3
558,000 Keane, Inc. 17,367,982 12,624,750 2.4
81,100 Sterling Commerce, Inc. 2,703,710 2,960,150 0.6
224,100 Unisys Corporation 6,733,050 8,725,894 1.6
----------- ----------- ----
32,423,518 31,025,844 5.9
-------------------------------------------------------------------------------------------------------------------------
Telecommunications 82,800 AT&T Corp. 4,724,568 4,621,275 0.9
83,000 MCI WorldCom Inc. 4,144,250 7,138,000 1.4
20,000 QUALCOMM Incorporated 2,696,992 2,870,000 0.5
----------- ----------- ----
11,565,810 14,629,275 2.8
-------------------------------------------------------------------------------------------------------------------------
</TABLE>
6 & 7
<PAGE>
Merrill Lynch Technology Fund, Inc., June 30, 1999
SCHEDULE OF INVESTMENTS (condluded) (in US dollars)
<TABLE>
<CAPTION>
Shares Percent of
COUNTRY Industries Held Stocks Cost Value Net Assets
==================================================================================================================================
<C> <S> <C> <C> <C> <C> <C>
United Telecommunications 97,000 ADC Telecommunications, Inc. $ 2,755,285 $ 4,413,500 0.8%
States Equipment 43,000 JDS Uniphase Corporation 1,720,000 7,138,000 1.4
(concl- 155,205 Lucent Technologies Inc. 3,880,536 10,466,637 2.0
uded) 154,000 Tellabs, Inc. 3,613,810 10,404,625 2.0
------------ ------------ ----
11,969,631 32,422,762 6.2
-------------------------------------------------------------------------------------------------------------------------
Total Investments in the United States 306,601,597 456,490,294 87.1
==================================================================================================================================
Total Investments in Stocks 341,468,440 514,942,306 98.2
==================================================================================================================================
<CAPTION>
SHORT-TERM Face
SECURITIES Amount Issue
==================================================================================================================================
<S> <C> <C> <C> <C> <C>
Commercial $7,755,000 General Electric Capital Corp.,
Paper** 5.75% due 7/01/1999 7,755,000 7,755,000 1.5
-------------------------------------------------------------------------------------------------------------------------
Total Investments in Short-Term
Securities 7,755,000 7,755,000 1.5
==================================================================================================================================
Total Investments $349,223,440 522,697,306 99.7
============
Other Assets Less Liabilities 1,708,752 0.3
----------- -----
Net Assets $524,406,058 100.0%
============ =====
==================================================================================================================================
Net Asset Value: Class A--Based on net assets of $237,854,672 and 37,766,228
shares outstanding $ 6.30
============
Class B--Based on net assets of $234,337,125 and 39,672,542
shares outstanding $ 5.91
============
Class C--Based on net assets of $14,747,855 and 2,515,018
shares outstanding $ 5.86
============
Class D--Based on net assets of $37,466,406 and 5,999,685 shares
outstanding $ 6.24
============
==================================================================================================================================
</TABLE>
* American Depositary Receipts (ADR).
** Commercial Paper is traded on a discount basis; the interest rate shown
reflects the discount rate paid at the time of purchase by the Fund.
PORTFOLIO CHANGES
For the Quarter Ended June 30, 1999
Additions
AT&T Corp.
*AppliedTheory Corporation
*Backweb Technologies Ltd.
*Brocade Communications Systems, Inc.
*Careerbuilder, Inc.
*Donaldson, Lufkin & Jenrette, Inc.-- DLJdirect
eBay Inc.
*Extreme Networks, Inc.
General Instrument Corporation
Guidant Corporation
*High Speed Access Corp.
*iXL Enterprises, Inc.
*Informatica Corporation
*Juniper Networks, Inc.
*Latitude Communications, Inc.
*Maker Communications, Inc.
*Marimba, Inc.
*PLX Technology, Inc.
PSINet Inc.
*Phone.com, Inc.
*Portal Software, Inc.
QUALCOMM Incorporated
*Razorfish Inc.
*Redback Networks Inc.
*Software.com, Inc.
Solectron Corporation
*StarMedia Network, Inc.
Sterling Commerce, Inc.
*US Internetworking Inc.
*Value America, Inc.
Deletions
Amazon.com, Inc.
*AppliedTheory Corporation
Ascend Communications, Inc.
Autodesk, Inc.
*Backweb Technologies Ltd.
*Brocade Communications Systems, Inc.
Cadence Design Systems, Inc.
*Careerbuilder, Inc.
Compaq Computer Corporation
*Donaldson, Lufkin & Jenrette, Inc.-- DLJdirect
*Extreme Networks, Inc.
*High Speed Access Corp.
*iXL Enterprises, Inc.
*Informatica Corporation
*Juniper Networks, Inc.
*Latitude Communications, Inc.
*Maker Communications, Inc.
*Marimba, Inc.
Network Associates, Inc.
Oracle Corporation
*PLX Technology, Inc.
PMC-Sierra, Inc.
*Phone.com, Inc.
*Portal Software, Inc.
*Razorfish Inc.
*Redback Networks Inc.
Seagate Technology, Inc.
*Software.com, Inc.
*StarMedia Network, Inc.
Telefonaktiebolaget LM Ericsson (ADR)
*US Internetworking Inc.
*Value America, Inc.
*Added and deleted in the same quarter.
8 & 9
<PAGE>
Merrill Lynch Technology Fund, Inc., June 30, 1999
OFFICERS AND DIRECTORS
Terry K. Glenn, President and Director
Donald Cecil, Director
Roland M. Machold, Director
Edward H. Meyer, Director
Charles C. Reilly, Director
Richard R. West, Director
Arthur Zeikel, Director
Edward D. Zinbarg, Director
Paul G. Meeks, Senior Vice President and Portfolio Manager
Donald C. Burke, Vice President and Treasurer
Robert E. Putney, III, Secretary
Custodian
The Chase Manhattan Bank
Global Securities Services
4 Chase MetroTech Center, 18th Floor
Brooklyn, NY 11245
Transfer Agent
Financial Data Services, Inc.
4800 Deer Lake Drive East
Jacksonville, FL 32246-6484
(800) 637-3863
10
<PAGE>
This report is not authorized for use as an offer of sale or a solicitation of
an offer to buy shares of the Company unless accompanied or preceded by the
Company's current prospectus. Past performance results shown in this report
should not be considered a representation of future performance. Investment
return and principal value of shares will fluctuate so that shares, when
redeemed, may be worth more or less than their original cost. Statements and
other information herein are as dated and are subject to change.
Merrill Lynch
Technology Fund, Inc.
Box 9011
Princeton, NJ
08543-9011 #16091--6/99
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