LETTER TO SHAREHOLDERS
Dear Shareholder:
As your Fund ended its annual reporting period on March 31, 1995, its net
asset value was $13.02 per share. Income dividends of approximately $.661 per
share were paid during this period, representing a distribution rate per
share of 5.07% based on the March 31, 1995 closing net asset value. In
addition, we are pleased to report that all dividends paid from net
investment income during this period were exempt from Federal and State of
California income taxes, although certain shareholders may be subject to the
Federal Alternative Minimum Tax (AMT) on some portfolio income.
As 1994 drew to a close, the bond market continued to exhibit great
volatility. Yields, as measured by the Bond Buyer 20-Bond GO Index, rose
dramatically during the year from a low of 5.25% in February to a high of
7.06% in November.* Much of this rise was attributable to tightening moves by
the Federal Reserve Board during the year in an effort to slow what appeared
to be a very strong economy. The last gasp of this yield rally occurred with
the release of strong retail sales data at year-end. Early in the first
quarter of 1995, a solid market recovery was underway as the threat of
inflation began to wane.
While the economy grew at its fastest pace in 10 years during 1994, there
are developing signs that the expansion is moderating as higher interest
rates take hold. As an example, existing home sales, new home construction
and auto sales have shown weakness during the first quarter of 1995. In
addition, jobless claims increased and inventories rose during the quarter as
sales slowed. Many forecasts of economic growth in the first half of 1995 are
being adjusted downward to reflect this recent slowdown.
With inflation remaining subdued and economic activity seeming to slow,
the case for further Fed tightening near term seems weak. In fact, the only
fear of tighter monetary policy of late stems from possible efforts by the
Fed to support a weak U.S. dollar. The economic weakness of our major trading
partners, Canada and Mexico, augments the probability that our own economy
will continue to decelerate.
During the previous year, we continued to emphasize coupon income and
strove to maintain a fully invested portfolio position. New money entering
the Fund declined somewhat from the rapid advances of earlier years and
contributed to a more subdued level of activity. The Fund's volatility levels
declined as a result of the emphasis on higher coupons and the normal aging
of a stable portfolio. The Fund's credit quality profile continued high with
a strong emphasis on triple-A rated securities.
While there are many factors which affected the performance of the Fund
during this very volatile year, such as interest rate hikes, inflation
pressures and certain conditions in the municipal marketplace, the main
factor which, in large measure, drove portfolio activity, and therefore
performance, was the outflow of assets from the Fund during 1994 as the
market weakened. This outflow coincided with two events which began in
February of 1994: 1)the Federal Reserve commenced to increase rates to slow in
flation, which led to market declines that lasted until November 1994, and
2)the Fund began to assess expenses that had previously been waived, thereby
lowering its yield. The Fund's assets declined almost one third during 1994,
primarily from redemptions of shares. This required that sales be made in a
declining market environment, or that newly-received money be used to cover
share redemptions instead of being invested in higher-yielding securities.
The sale of existing long-term securities to cover withdrawals in a
dramatically declining market intensified the downward pressure on net asset
value. By the beginning of the first quarter of 1995, however, these
pressures had abated as the market began to recover. The Fund showed
improvement by the end of March 1995, with a total return ranking of twelve
among twenty-nine funds in the California Intermediate Municipal Debt Funds
Category as reported by
Lipper Analytical Services, Inc. for the first quarter of 1995.** While we
were disappointed in the relative performance on a total return basis for the
full fiscal year, we were very pleased with the Fund's performance in meeting
its primary goal_the maximization of tax exempt income_during the reporting
period. Its twelve-month yield for the period ended March 31, 1995 put it in
the first quartile (7th out of 29 funds) of the California Intermediate
Municipal Debt Funds Category as measured by Lipper. Of course, past
performance is no guarantee of future results.***
Our strategy in this environment is to remain fully invested in order to
take advantage of any potential market improvement and provide a high level
of tax exempt income. The municipal market is also benefiting from sharply
reduced levels of supply compared to previous years, which have intensified
demand and should continue to help price performance. Our view of a
continuation of the market rally is a cautious one, however, since much of
the advance in bond prices may already be behind us_even as the economy
slows further. As the year goes forward, we will strongly consider slowly
adding more defensive, higher-coupon securities to the portfolio in
anticipation of an increase in inflationary pressures by midyear.
We have included a current Statement of Investments and recent financial
statements for your review. We greatly appreciate your investment in the Fund
and look forward to serving your investment needs in the future.
Very truly yours,
[Richard J. Moynihan's signature logo]
Richard J. Moynihan
Director, Municipal Portfolio Management
The Dreyfus Corporation
April 13, 1995
New York, N.Y.
* The Bond Buyer 20-Bond GO Index is made up of general obligation bonds
maturing in 20 years and has a rating roughly equivalent to A1.
** SOURCE: LIPPER ANALYTICAL SERVICES, INC. - The Fund's ranking reflects
the waiver of a portion of the Fund's management fee payable, without which
returns and the ranking would have been lower. For the one-year period ended
March 31, 1995, the Fund's total return ranked 18 out of 24 funds in the
relevant Lipper category.
*** The Fund's yield ranking reflects the absorption of certain expenses by
The Dreyfus Corporation without which the Fund's performance and rankings
would have been lower.
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT IN DREYFUS CALIFORNIA
INTERMEDIATE MUNICIPAL
Dollars
$12,400
Lehman Brothers 10-Year Municipal Bond Index*
$12,202
Dreyfus California Intermediate Municipal
Bond Fund
BOND FUND AND THE LEHMAN BROTHERS 10-YEAR MUNICIPAL BOND INDEX
*Source: Lehman Brothers
AVERAGE ANNUAL TOTAL RETURNS
ONE YEAR ENDED FROM INCEPTION (4/20/92)
MARCH 31, 1995 TO MARCH 31, 1995
--------- --------------
4.76% 6.98%
Past performance is not predictive of future performance.
The above graph compares a $10,000 investment made in the Dreyfus California
Intermediate Municipal Bond Fund on 4/20/92 (Inception Date) to a $10,000
investment made in the Lehman Brothers 10-Year Municipal Bond Index on that
date. For comparative purposes, the value of the Index on 4/30/92 is used as
the beginning value on 4/20/92. All dividends and capital gain distributions
are reinvested.
The Fund invests primarily in California municipal securities and maintains a
portfolio with a weighted-average maturity ranging between 3 and 10 years.
The Fund's performance takes into account fees and expenses. Unlike the Fund,
the Lehman Brothers 10-Year Municipal Bond Index is an unmanaged total return
performance benchmark for the investment-grade, geographically unrestricted
10-year tax exempt bond market, consisting of municipal bonds with maturities
of more than 8 years and less than 12 years. The Index does not take into
account charges, fees and other expenses. Also, unlike the Fund which
principally limits investments to California municipal obligations, the Index
is not State-specific. Further information relating to Fund performance, inclu
ding expense reimbursements, if applicable, is contained in the Condensed
Financial Information section of the Prospectus and elsewhere in this report.
<TABLE>
<CAPTION>
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
STATEMENT OF INVESTMENTS MARCH 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS-100.0% AMOUNT VALUE
------- -------
<S> <C> <C>
CALIFORNIA-97.6%
Alameda County, COP (Capital Projects) 6%, 6/1/2000......................... $ 500,000 $ 509,940
State of California, GO:
6%, 9/1/2001............................................................ 2,000,000 2,092,900
6.20%, 9/1/2002......................................................... 500,000 529,785
6.50%, 3/1/2005......................................................... 10,000,000 10,763,800
6.40%, 2/1/2006 (Insured; MBIA)......................................... 5,000,000 5,388,550
California Department of Water Resources, Water Systems Revenue
(Central Valley Project) 5.90%, 12/1/2005............................... 1,175,000 1,227,875
California Health Facilities Financing Authority, Revenue:
(Adventist Health System / West) 6.40%, 3/1/2002 (Insured; MBIA)........ 500,000 537,455
(Catholic Healthcare West):
4.50%, 7/1/2002....................................................... 2,500,000 2,346,275
4.70%, 7/1/2003....................................................... 2,500,000 2,366,975
(Downey Community Hospital):
5%, 5/15/2001......................................................... 2,250,000 2,140,380
5.10%, 5/15/2002...................................................... 2,500,000 2,355,750
5.20%, 5/15/2003...................................................... 2,500,000 2,345,175
(Marin General Hospital):
5.50%, 8/1/2001 (Insured; FSA)........................................ 1,580,000 1,621,443
5.60%, 8/1/2002 (Insured; FSA)........................................ 1,670,000 1,720,417
5.70%, 8/1/2003 (Insured; FSA)........................................ 1,760,000 1,821,160
Refunding (Saint Francis Memorial Hospital) 5.75%, 11/1/2003............ 1,130,000 1,141,357
California Housing Finance Agency, Revenue:
(Home Mortgage) 5.80%, 8/1/2003......................................... 1,135,000 1,137,860
(Multi-Unit Rental Housing) 6.50%, 8/1/2005............................. 500,000 516,170
California Pollution Control Financing Authority, Revenue:
Pollution Control (Laidlaw, Inc.) 6.50%, 5/1/2002 (LOC; Bank of America) (a) 1,500,000 1,525,620
Solid Waste Disposal (North County Recycling Center)
6.20%, 7/1/2002 (LOC; Union Bank of Switzerland) (a).................. 2,000,000 2,063,280
California Public Capital Improvements Financing Authority, Revenue
(Joint Powers Agency-Pooled Projects) 8.25%, 3/1/1998................... 285,000 312,272
California Public Works Board, LR:
(Community Colleges) 5.90%, 9/1/1998.................................... 1,975,000 2,011,478
(Department of Corrections-Calipatria) 6.10%, 9/1/2003 (Insured; MBIA).. 1,000,000 1,062,760
Refunding:
(Department of Corrections-Del Norte) 4.50%, 12/1/2001................ 2,845,000 2,611,625
(Department of Corrections-State Prisons):
5%, 12/1/2001..................................................... 5,000,000 4,963,300
(Susanville) 5%, 6/1/2005......................................... 3,000,000 2,769,570
(Various Universities of California Projects) 5.10%, 6/1/2004..... 3,070,000 2,897,312
(Secretary of State) 6.10%, 12/1/2004 (Insured; AMBAC).................. 6,100,000 6,488,631
(Various Community College Projects ) 6%, 12/1/2008 (Insured; AMBAC).... 3,975,000 4,041,621
(Various Universities of California Projects ) 5.90%, 12/1/2003 (Insured; AMBAC) 1,000,000 1,050,390
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) MARCH 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
------- -------
CALIFORNIA (CONTINUED)
California Statewide Community Development Authority, LR
(Oakland Convention Centers Project) 6%, 10/1/2004 (Insured; AMBAC)..... $ 2,700,000 $ 2,849,958
Central Coast Water Authority, Revenue (Water Project)
6.15%, 10/1/2005 (Insured; AMBAC)....................................... 2,000,000 2,119,480
Central Valley Financing Authority, Cogeneration Project Revenue
(Carson Ice General Project) 5.70%, 7/1/2003............................ 2,000,000 1,957,380
Clovis Unified School District, Refunding 4.70%, 8/1/1997................... 3,000,000 2,997,840
Contra Costa County, COP (Merrithew Memorial Hospital Replacement)
6.20%, 11/1/2001........................................................ 1,145,000 1,172,205
Daly City, COP, Refunding:
5.30%, 6/1/2001 (Insured; MBIA)......................................... 1,170,000 1,181,536
5.30%, 6/1/2002 (Insured; MBIA)......................................... 1,230,000 1,236,445
Desert Sands, Unified School District, COP 4.75%, 3/1/2001.................. 7,030,000 6,610,660
East Bay Municipal Utility District, Water Systems Revenue, Refunding:
6%, 6/1/2004............................................................ 1,365,000 1,428,500
6%, 6/1/2005............................................................ 560,000 582,350
6.10%, 6/1/2006......................................................... 2,000,000 2,082,380
Encinitas Union School District, COP (Measure B Capital Projects):
4.875%, 9/1/2000........................................................ 1,000,000 968,290
5%, 9/1/2001............................................................ 1,000,000 970,070
Escondido Joint Powers Financing Authority, LR (Escondido Civic Center
Project)
6%, 9/1/2005 (Insured; AMBAC)........................................... 1,400,000 1,461,908
Fairfield Public Financing Authority, Revenue (Fairfield Redevelopment
Projects):
4.70%, 8/1/2002 (Insured; CGIC)......................................... 1,525,000 1,461,835
4.80%, 8/1/2003 (Insured; CGIC)......................................... 1,910,000 1,828,825
Fontana Redevelopment Agency, Tax Allocation, Refunding
(Jurupa Hills Redevelopment Project) 6.90%, 10/1/2002................... 435,000 444,165
Garden Grove Agency, Community Development, Tax Allocation, Refunding
(Garden Grove Community Project):
5.20%, 10/1/2001...................................................... 1,225,000 1,190,173
5.30%, 10/1/2002...................................................... 1,285,000 1,242,582
Industry Urban Development Agency, Tax Allocation, Refunding
(Civic Recreation Project No. 1) 5.40%, 5/1/2002 (Insured; MBIA)........ 2,500,000 2,542,500
Long Beach, COP (Fleet Services Project) 6.10%, 5/1/2001.................... 500,000 525,575
Long Beach Harbor, Revenue:
4.50%, 5/15/2001........................................................ 5,000,000 4,780,300
4.50%, 5/15/2002........................................................ 5,240,000 4,943,154
City of Los Angeles:
(Judgment Obligation):
5%, 8/1/2001.......................................................... 4,400,000 4,362,028
5%, 8/1/2002.......................................................... 3,000,000 2,952,810
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) MARCH 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
------- -------
CALIFORNIA (CONTINUED)
City of Los Angeles (continued):
Revenue:
Harbor Department 6%, 8/1/2006........................................ $ 1,320,000 $ 1,353,026
Home Mortgage 9.875%, 12/1/2004....................................... 55,000 56,346
Mortgage, Refunding:
5.75%, 7/1/2002 (Insured; MBIA)................................... 1,000,000 1,019,470
5%, 1/1/2005 (Insured; MBIA)...................................... 980,000 935,479
Wastewater System:
5.90%, 6/1/2003 (Insured; AMBAC).................................. 1,000,000 1,048,040
6%, 6/1/2004 (Insured; AMBAC)..................................... 1,000,000 1,053,930
Los Angeles Convention and Exhibition Center Authority, LR, Refunding
4.90%, 8/15/2005 (Insured; MBIA)........................................ 2,190,000 2,072,112
Los Angeles County, COP:
(Edmund D. Edelman Children's Court):
5.80%, 4/1/2001 (Insured; AMBAC)...................................... 500,000 520,250
6%, 4/1/2003 (Insured; AMBAC)......................................... 500,000 526,910
(Hospital Information System-LAC-USU Medical Center) 5.90%, 12/1/1997... 400,000 407,260
(Marina Del Ray):
5.50%, 7/1/1997....................................................... 5,155,000 5,142,628
6.25%, 7/1/2003....................................................... 10,000,000 10,011,500
(Multiple Capital Facilities Project II) 7%, 3/1/2003................... 1,000,000 1,066,610
Los Angeles County Capital Asset Leasing Corporation, Leasehold Revenue,
Refunding
5.75%, 12/1/2004 (Insured; AMBAC)....................................... 2,600,000 2,659,748
Los Angeles County Transportation Commission:
COP 5%, 7/1/1996........................................................ 1,500,000 1,495,215
Sales Tax Revenue, Refunding:
5.75%, 7/1/2001 (Insured; FGIC)....................................... 1,250,000 1,299,000
6%, 7/1/2004 (Insured; FGIC).......................................... 2,000,000 2,108,600
Martinez Unified School District, Refunding:
5.25%, 8/1/2001......................................................... 1,030,000 1,021,173
5.50%, 8/1/2003......................................................... 1,170,000 1,170,597
5.75%, 8/1/2004......................................................... 1,240,000 1,259,133
Mojave Water Agency (Improvement District M-Morongo Basin):
5.875%, 9/1/1999........................................................ 690,000 694,271
6%, 9/1/2000............................................................ 730,000 732,679
New Haven Unified School District, COP, Refunding 5.15%, 7/1/2000........... 4,090,000 3,983,333
Northern California Power Agency, Public Power Revenue, Refunding:
(Geothermal Project) 5.50%, 7/1/2005
(GIC: Bayerische Landesbank and Sanwa Bank) .......................... 5,000,000 4,903,700
(Hydroelectric Power Project):
5.75%, 7/1/2001 (Insured; MBIA)....................................... 1,210,000 1,257,432
5.80%, 7/1/2002 (Insured; MBIA)....................................... 570,000 594,225
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) MARCH 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
------- -------
CALIFORNIA (CONTINUED)
Oakland Redevelopment Agency, Refunding
(Central District Redevelopment-Senior Tax Allocation):
5.65%, 2/1/2003 (Insured; AMBAC)...................................... $ 1,500,000 $ 1,544,790
5.75%, 2/1/2004 (Insured; AMBAC)...................................... 1,500,000 1,551,270
Pasadena, COP, Refunding (Capital Project):
5.90%, 1/1/2002......................................................... 250,000 254,283
6%, 1/1/2003............................................................ 400,000 408,896
Port Oakland, Revenue:
Port:
5.50%, 11/1/1999 (Insured; MBIA)...................................... 1,000,000 1,014,070
6.10%, 11/1/2003 (Insured; MBIA)...................................... 1,245,000 1,305,034
Special Facilities (Mitsui O.S.K. Lines Ltd.)
6.40%, 1/1/2003 (LOC; Industrial Bank of Japan) (a)................... 1,000,000 1,028,120
Riverside County:
Asset Leasing Corp., Leasehold Revenue (Riverside County Hospital
Project)
5.90%, 6/1/2002....................................................... 3,000,000 2,994,510
Housing Authority, MFHR, Refunding (El Dorado Apartments Project)
5.40%, 6/1/2003....................................................... 7,600,000 7,418,208
Transportation Commission, Sales Tax Revenue:
5.30%, 6/1/2002 (Insured; AMBAC)...................................... 2,500,000 2,528,000
5.40%, 6/1/2003 (Insured; AMBAC)...................................... 4,000,000 4,052,360
Sacramento County, MFHR (Parcwood Apartments) 4.90%, 9/1/1997............... 2,000,000 1,981,740
San Bernardino County, COP (West Valley Detention Center)
5.90%, 11/1/2001 (Insured; MBIA)........................................ 1,000,000 1,049,330
San Diego County Water Authority, Water Revenue, COP, Refunding:
5.30%, 5/1/2002 (Insured; FGIC)......................................... 3,000,000 3,033,360
5.40%, 5/1/2003 (Insured; FGIC)......................................... 2,000,000 2,026,020
San Francisco Bay Area Rapid Transit District, Sales Tax Revenue,
Subordinated Notes
4.60%, 7/1/1997 (Insured; AMBAC)........................................ 2,000,000 2,001,540
San Francisco City and County Airports Commission, International Airport
Revenue,
Refunding 6.20%, 5/1/2004............................................... 500,000 533,565
San Francisco Unified School District, COP, Refunding 5.70%, 9/1/2003 (Insured; MBIA) 1,000,000 1,025,440
San Joaquin County, COP (General Hospital Project):
5.70%, 9/1/2001......................................................... 2,250,000 2,201,490
5.80%, 9/1/2002......................................................... 2,250,000 2,199,600
City of Santa Cruz, COP, Refunding (1992 Refunding Project):
5.875%, 5/1/1998........................................................ 500,000 508,905
6%, 5/1/1999............................................................ 500,000 512,305
Santa Maria Redevelopment Agency, Revenue, Refunding
(Town Center and West Side Parking Facilities) 4.625%, 6/1/2001 (Insured; FSA) 2,665,000 2,564,450
Sierra View Local Hospital District, Health Facility Revenue:
5.80%, 3/1/2002 (Guaranteed by; State of California).................... 500,000 500,530
5.90%, 3/1/2003 (Guaranteed by; State of California).................... 755,000 756,132
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
STATEMENT OF INVESTMENTS (CONTINUED) MARCH 31, 1995
PRINCIPAL
LONG-TERM MUNICIPAL INVESTMENTS (CONTINUED) AMOUNT VALUE
------- -------
CALIFORNIA (CONTINUED)
Southern California Public Power Authority, Transmission Project Revenue,
Refunding
(Southern Transmission Project) 5.625%, 7/1/2003........................ $ 1,800,000 $ 1,845,774
Southern California Rapid Transit District, Revenue
(Special Benefit Assessment District No. A1) 5.75%, 9/1/2005 (Insured; AMBAC) 8,750,000 9,026,238
Watsonville Mammoth Lakes, COP 7.50%, 6/1/1999.............................. 65,000 64,984
U.S. RELATED-2.4%
Commonwealth of Puerto Rico, Improvement Revenue, Refunding 5.10%, 7/1/2002. 2,000,000 1,953,020
Guam Airport Authority, Revenue 5.80%, 10/1/1999............................ 1,705,000 1,706,995
Puerto Rico Public Buildings Authority, Guaranteed Public Education and
Health Facilities
6.60%, 7/1/2004 (Prerefunded 7/1/2002) (b).............................. 500,000 552,055
Virgin Islands Public Finance Authority, Revenue, Refunding 6.60%, 10/1/1998 1,530,000 1,578,501
-------
TOTAL LONG-TERM MUNICIPAL INVESTMENTS
(cost $236,323,645)..................................................... $236,368,257
===========
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF ABBREVIATIONS
<S> <C> <S> <C>
AMBAC American Municipal Bond Assurance Corporation GO General Obligation
CGIC Capital Guaranty Insurance Corporation LOC Letter of Credit
COP Certificate of Participation LR Lease Revenue
FGIC Financial Guaranty Insurance Company MBIA Municipal Bond Investors Assurance Insurance
FSA Financial Security Assurance Corporation
GIC Guaranteed Investment Contract MFHR Multi-Family Housing Revenue
</TABLE>
<TABLE>
<CAPTION>
SUMMARY OF COMBINED RATINGS (UNAUDITED)
FITCH (C) OR MOODY'S OR STANDARD & POOR'S PERCENTAGE OF VALUE
- ----- ----- ---------- ------------
<S> <C> <S> <C>
AAA Aaa AAA 43.0%
AA Aa AA 15.1
A A A 32.3
BBB Baa BBB 2.5
Not Rated (d) Not Rated (d) Not Rated (d) 7.1
____
100.0%
======
</TABLE>
NOTES TO STATEMENT OF INVESTMENTS:
(a) Secured by letters of credit.
(b) Bonds which are prerefunded are collateralized by U.S. Government
securities which are held in escrow and are used to pay principal and
interest on the municipal issue and to retire the bonds in full at the
earliest refunding date.
(c) Fitch currently provides creditworthiness information for a limited
number of investments.
(d) Securities which, while not rated by Fitch, Moody's or Standard &
Poor's, have been determined by the Manager to be of comparable quality
to those securities in which the Fund may invest.
See notes to financial statements.
<TABLE>
<CAPTION>
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
STATEMENT OF ASSETS AND LIABILITIES MARCH 31, 1995
<S> <C> <C>
ASSETS:
Investments in securities, at value
(cost $236,323,645)-see statement..................................... $236,368,257
Receivable for investment securities sold............................... 3,389,069
Interest receivable..................................................... 3,347,261
Prepaid expenses........................................................ 26,480
-----------
243,131,067
LIABILITIES:
Due to The Dreyfus Corporation.......................................... $ 51,089
Due to Custodian........................................................ 2,980,256
Payable for shares of Beneficial Interest redeemed...................... 68,521
Accrued expenses and other liabilities.................................. 82,717 3,182,583
------ ---------
NET ASSETS ................................................................ $239,948,484
==============
REPRESENTED BY:
Paid-in capital......................................................... $248,137,705
Accumulated net realized (loss) on investments.......................... (8,233,833)
Accumulated net unrealized appreciation on investments-Note 3........... 44,612
---------
NET ASSETS at value applicable to 18,423,889 shares outstanding
(unlimited number of $.001 par value shares of Beneficial Interest
authorized)............................................................. $239,948,484
===============
NET ASSET VALUE, offering and redemption price per share
($239,948,484 / 18,423,889 shares)...................................... $13.02
=======
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
STATEMENT OF OPERATIONS YEAR ENDED MARCH 31, 1995
<S> <C> <C>
INVESTMENT INCOME:
INTEREST INCOME......................................................... $14,605,039
EXPENSES:
Management fee-Note 2(a).............................................. $ 1,608,398
Shareholder servicing costs-Note 2(b)................................. 354,788
Professional fees..................................................... 41,743
Custodian fees........................................................ 32,763
Trustees' fees and expenses-Note 2(c)................................. 25,895
Prospectus and shareholders' reports.................................. 16,056
Registration fees..................................................... 6,155
Miscellaneous......................................................... 41,483
------
2,127,281
Less-reduction in management fee due to
undertakings-Note 2(a)............................................ 1,265,273
--------
TOTAL EXPENSES.................................................. 862,008
-------
INVESTMENT INCOME-NET........................................... 13,743,031
REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS:
Net realized (loss) on investments-Note 3............................... $(8,206,327)
Net unrealized appreciation on investments....................... 4,986,720
--------
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS............... (3,219,607)
---------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $10,523,424
===========
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
STATEMENT OF CHANGES IN NET ASSETS
YEAR ENDED MARCH 31,
----------------
1994 1995
------- -------
<S> <C> <C>
OPERATIONS:
Investment income-net................................................... $ 13,486,373 $ 13,743,031
Net realized (loss) on investments...................................... (18,793) (8,206,327)
Net unrealized appreciation (depreciation) on investments for the year.. (9,616,969) 4,986,720
-------- -------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.................. 3,850,611 10,523,424
-------- -------
DIVIDENDS TO SHAREHOLDERS:
From investment income-net.............................................. (13,486,373) (13,743,031)
In excess of net realized gain on investments........................... (6,314) --
------- -------
TOTAL DIVIDENDS....................................................... (13,492,687) (13,743,031)
------- -------
BENEFICIAL INTEREST TRANSACTIONS:
Net proceeds from shares sold........................................... 282,941,979 125,817,911
Dividends reinvested.................................................... 10,372,642 9,983,535
Cost of shares redeemed................................................. (151,024,758) (185,996,730)
------- -------
INCREASE (DECREASE) IN NET ASSETS FROM BENEFICIAL INTEREST TRANSACTIONS 142,289,863 (50,195,284)
------- -------
TOTAL INCREASE (DECREASE) IN NET ASSETS........................... 132,647,787 (53,414,891)
NET ASSETS:
Beginning of year....................................................... 160,715,588 293,363,375
------- -------
End of year............................................................. $293,363,375 $239,948,484
======== =========
SHARES SHARES
------- -------
CAPITAL SHARE TRANSACTIONS:
Shares sold............................................................. 20,646,813 9,727,979
Shares issued for dividends reinvested.................................. 758,642 773,219
Shares redeemed......................................................... (11,042,081) (14,507,181)
------- -------
NET INCREASE (DECREASE) IN SHARES OUTSTANDING......................... 10,363,374 (4,005,983)
========== ==========
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
FINANCIAL HIGHLIGHTS
Contained below is per share operating performance data for a share of
Beneficial Interest outstanding, total investment return, ratios to average
net assets and other supplemental data for each year indicated. This
information has been derived from the Fund's financial statements.
YEAR ENDED MARCH 31,
-----------------
PER SHARE DATA: 1993(1) 1994 1995
---- ---- ----
<S> <C> <C> <C>
Net asset value, beginning of year.................................... $12.50 $13.32 $13.08
---- ---- ----
INVESTMENT OPERATIONS:
Investment income-net................................................. .70 .72 .66
Net realized and unrealized gain (loss) on investments................ .82 (.24) (.06)
---- ---- ----
TOTAL FROM INVESTMENT OPERATIONS.................................... 1.52 .48 .60
---- ---- ----
DISTRIBUTIONS:
Dividends from investment income-net.................................. (.70) (.72) (.66)
Dividends in excess of net realized gain on investments............... -- -- --
---- ---- ----
TOTAL DISTRIBUTIONS................................................. (.70) (.72) (.66)
---- ---- ----
Net asset value, end of year.......................................... $13.32 $13.08 $13.02
====== ======= ======
TOTAL INVESTMENT RETURN................................................... 13.20%(2) 3.52% 4.76%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............................... -- .04% .32%
Ratio of net investment income to average net assets.................. 5.61%(2) 5.25% 5.13%
Decrease reflected in above expense ratios due to undertakings
by the Manager...................................................... .99%(2) .78% .47%
Portfolio Turnover Rate............................................... 6.74%(3) 6.32% 17.28%
Net Assets, end of year (000's Omitted)............................... $160,716 $293,363 $239,948
(1) From April 20, 1992 (commencement of operations) to March 31, 1993.
(2) Annualized.
(3) Not annualized.
See notes to financial statements.
</TABLE>
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
NOTES TO FINANCIAL STATEMENTS
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
The Fund is registered under the Investment Company Act of 1940 ("Act")
as a non-diversified open- end management investment company. Dreyfus Service
Corporation, until August 24, 1994, acted as the exclusive distributor of the
Fund's shares, which are sold to the public without a sales charge. Dreyfus
Service Corporation is a wholly-owned subsidiary of The Dreyfus Corporation
("Manager"). Effective August 24, 1994, the Manager became a direct
subsidiary of Mellon Bank, N.A.
On August 24, 1994, Premier Mutual Fund Service, Inc. (the "Distributor")
was engaged as the Fund's distributor. The Distributor, located at One
Exchange Place, Boston, Massachusetts 02109, is a wholly-owned subsidiary of
Institutional Administration Services, Inc., a provider of mutual fund
administration services, the parent company of which is Boston Institutional
Group, Inc.
(A) PORTFOLIO VALUATION: The Fund's investments are valued each business
day by an independent pricing service ("Service") approved by the Board of
Trustees. Investments for which quoted bid prices are readily available and
are representative of the bid side of the market in the judgment of the
Service are valued at the mean between the quoted bid prices (as obtained by
the Service from dealers in such securities) and asked prices (as calculated
by the Service based upon its evaluation of the market for such securities).
Other investments (which constitute a majority of the portfolio securities)
are carried at fair value as determined by the Service, based on methods
which include consideration of: yields or prices of municipal securities of
comparable quality, coupon, maturity and type; indications as to values from
dealers; and general market conditions.
(B) SECURITIES TRANSACTIONS AND INVESTMENT INCOME: Securities
transactions are recorded on a trade date basis. Realized gain and loss from
securities transactions are recorded on the identified cost basis. Interest
income, adjusted for amortization of premiums and original issue discounts on
investments, is earned from settlement date and recognized on the accrual
basis. Securities purchased or sold on a when-issued or delayed-delivery
basis may be settled a month or more after the trade date.
The Fund follows an investment policy of investing primarily in municipal
obligations of one state. Economic changes affecting the state and certain of
its public bodies and municipalities may affect the ability of issuers within
the state to pay interest on, or repay principal of, municipal obligations
held by the Fund.
(C) DIVIDENDS TO SHAREHOLDERS: It is the policy of the Fund to declare
dividends daily from investment income-net. Such dividends are paid monthly.
Dividends from net realized capital gain, if any, are normally declared and
paid annually, but the Fund may make distributions on a more frequent basis
to comply with the distribution requirements of the Internal Revenue Code. To
the extent that net realized capital gain can be offset by capital loss
carryovers, it is the policy of the Fund not to distribute such gain.
(D) FEDERAL INCOME TAXES: It is the policy of the Fund to continue to
qualify as a regulated investment company, which can distribute tax exempt
dividends, by complying with the applicable provisions of the Internal
Revenue Code, and to make distributions of income and net realized capital
gain sufficient to relieve it from substantially all Federal income and
excise taxes.
The Fund has an unused capital loss carryover of approximately $2,551,000
available for Federal income tax purposes to be applied against future net
securities profit, if any, realized subsequent to March 31, 1995. The
carryover does not include net realized securities losses from November 1,
1994 through March 31, 1995 which are treated, for Federal income tax
purposes, as arising in fiscal 1996. If
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
not applied, the carryover expires in fiscal 2003.
NOTE 2-MANAGEMENT FEE AND OTHER TRANSACTIONS WITH AFFILIATES:
(A) Pursuant to a management agreement ("Agreement") with the Manager,
the management fee is computed at the annual rate of .60 of 1% of the average
daily value of the Fund's net assets and is payable monthly. The Agreement
provides for an expense reimbursement from the Manager should the Fund's
aggregate expenses, exclusive of taxes, brokerage, interest on borrowings and
extraordinary expenses, exceed the expense limitation of any state having
jurisdiction over the Fund for any full fiscal year. The most stringent state
expense limitation applicable to the Fund presently requires reimbursement of
expenses in any full fiscal year that such expenses (excluding certain
expenses as described above) exceed 2 1/2% of the first $30 million, 2% of
the next $70 million and 1 1/2% of the excess over $100 million of the
average value of the Fund's net assets in accordance with California "blue
sky" regulations. However, the Manager had undertaken from April 1, 1994
through April 13, 1995, to reduce the management fee paid by the Fund, to the
extent that the Fund's aggregate expenses (excluding certain expenses as
described above) exceeded specified annual percentages of the Fund's average
daily net assets. The reduction in management fee, pursuant to the undertaking
s, amounted to $1,265,273 for the year ended March 31, 1995.
The Manager has currently undertaken from April 14, 1995 through June 30,
1995 or until such time as the net assets of the Fund exceed $375 million,
regardless of whether they remain at that level, whichever occurs sooner, to
waive receipt of the management fee payable to it by the Fund in excess of an
annual rate of .35 of 1% of the average daily value of the Funds' net assets.
(B) Pursuant to the Fund's Shareholder Services Plan, the Fund reimburses
Dreyfus Service Corporation an amount not to exceed an annual rate of .25 of
1% of the value of the Fund's average daily net assets for servicing
shareholder accounts. The services provided may include personal services
relating to shareholder accounts, such as answering shareholder inquiries
regarding the Fund and providing reports and other information, and services
related to the maintenance of shareholder accounts. During the year ended
March 31, 1995, the Fund was charged an aggregate of $158,620 pursuant to the
Shareholder Service Plan.
(C) Prior to August 24, 1994, certain officers and trustees of the Fund
were "affiliated persons," as defined in the Act, of the Manager and/or
Dreyfus Service Corporation. Each trustee who is not an "affiliated person"
receives an annual fee of $1,500 and an attendance fee of $500 per meeting.
Prior to August 10, 1994, the attendance fee was $250 per meeting. The
Chairman of the Board receives an additional 25% of such compensation.
NOTE 3-SECURITIES TRANSACTIONS:
The aggregate amount of purchases and sales of investment securities
amounted to $128,295,021 and $175,854,797, respectively, for the year ended
March 31, 1995, and consisted entirely of long-term and short-term municipal
investments.
At March 31, 1995, accumulated net unrealized appreciation on investments
was $44,612, consisting of $3,133,090 gross unrealized appreciation and
$3,088,478 gross unrealized depreciation.
At March 31, 1995, the cost of investments for Federal income tax
purposes was substantially the same as the cost for financial reporting
purposes (see the Statement of Investments).
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
REPORT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS
SHAREHOLDERS AND BOARD OF TRUSTEES
DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
We have audited the accompanying statement of assets and liabilities of
Dreyfus California Intermediate Municipal Bond Fund, including the statement
of investments, as of March 31, 1995, and the related statement of operations
for the year then ended, the statement of changes in net assets for each of
the two years in the period then ended, and financial highlights for each of
the years indicated therein. These financial statements and financial
highlights are the responsibility of the Fund's management. Our
responsibility is to express an opinion on these financial statements and
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
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 as of March 31, 1995 by correspondence with the custodian.
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, the financial statements and financial highlights
referred to above present fairly, in all material respects, the financial
position of Dreyfus California Intermediate Municipal Bond Fund at March 31,
1995, 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 indicated years, in conformity with
generally accepted accounting principles.
[Ernst and Young LLP signature logo]
New York, New York
May 2, 1995
IMPORTANT TAX INFORMATION (UNAUDITED)
In accordance with Federal tax law, the Fund hereby designates all the
dividends paid from investment income-net during the fiscal year ended March
31, 1995 as "exempt-interest dividends" (not subject to regular Federal and,
for individuals who are California residents, California personal income
taxes).
As required by Federal tax law rules, shareholders will receive
notification of their portion of the Fund's taxable ordinary dividends (if
any) and capital gain distributions (if any) paid for the 1995 calendar year
on Form 1099-DIV which will be mailed by January 31, 1996.
[Dreyfus lion "d" logo]
DREYFUS CALIFORNIA INTERMEDIATE
MUNICIPAL BOND FUND
200 Park Avenue
New York, NY 10166
MANAGER
The Dreyfus Corporation
200 Park Avenue
New York, NY 10166
CUSTODIAN
The Bank of New York
90 Washington Street
New York, NY 10286
TRANSFER AGENT &
DIVIDEND DISBURSING AGENT
The Shareholder Services Group, Inc.
P.O. Box 9671
Providence, RI 02940
Further information is contained
in the Prospectus, which must
precede or accompany this report.
Printed in U.S.A. 902AR953
[Dreyfus logo]
California
Intermediate
Municipal
Bond Fund
Annual Report
March 31, 1995
COMPARISON OF CHANGE IN VALUE OF $10,000 INVESTMENT
IN DREYFUS CALIFORNIA INTERMEDIATE MUNICIPAL BOND FUND
AND THE LEHMAN BROTHERS 10-YEAR MUNICIPAL BOND INDEX
EXHIBIT A:
____________________________________________________
| | | |
| | LEHMAN BROTHERS | |
| PERIOD | 10-YEAR | DREYFUS CALIFORNIA |
| | MUNICIPAL | INTERMEDIATE |
| | BOND INDEX * | MUNICIPAL BOND FUND |
|-----------|-----------------|---------------------|
| 4/20/92 | 10,000 | 10,000 |
| 3/31/93 | 11,217 | 11,251 |
| 3/31/94 | 11,532 | 11,647 |
| 3/31/95 | 12,400 | 12,202 |
|---------------------------------------------------|
* Source: Lehman Brothers
