Independent Account's Report
To the Board of Directors
Dreyfus Investment Grade Bond Funds, Inc.-Dreyfus Intermediate Term Income
Fund
We have examined management's assertion about Dreyfus Investment Grade Bond
Funds, Inc.-Dreyfus Intermediate Term Income Fund's (the "Company")
compliance with the requirements of subsections (b) and (c) of Rule 17f-2 of
the Investment Company Act of 1940 ("the Act") as of November 30, 1997, with
respect to securities and similar investments reflected in the investment
account of the Company, included in the accompanying Management Statement
Regarding Compliance with Certain Provisions of the Investment Company Act of
1940. Management is responsible for the Company's compliance with those
requirements. Our responsibility is to express an opinion on management's
assertion about the Company's compliance based on our examination.
Our examination was made in accordance with standards established by the
American Institute of Certified Public Accountants and accordingly, included
examining, on a test basis, evidence about the Company's compliance with
those requirements and performing such other procedures as we considered
necessary in the circumstances. Included among our procedures were the
following tests performed as of November 30, 1997, and with respect to
agreement of security and similar investments purchases and sales, for the
period from July 31, 1997 (the date of last examination)through November 30,
1997;
Count and inspection of all securities and similar investments located in the
vault of Mellon Bank in New York, without prior notice to management;
Confirmation of all securities and similar investments held by institutions
in book entry form (i.e., the Federal Reserve Bank of Boston, the Depository
Trust Company and the Participant Trust Company);
Reconciliation of confirmation results as to all such securities and
investments to the books and records of the Company and Mellon Bank;
Confirmation of all repurchase agreements, if any, with brokers/banks and
agreement of underlying collateral with Mellon Bank's records;
Agreement of investment purchases and sales or maturities since our last
examination from the books and records of the Company to broker confirmations.
We believe that our examination provides a reasonable basis for our opinion.
Our examination does not provide a legal determination on the Company's
compliance with specified requirements.
In our opinion, management's assertion that Dreyfus Investment Grade Bond
Funds, Inc.-Dreyfus Intermediate Term Income Fund was in compliance with the
requirements of subsections (b) and (c) of Rule 17f-2 of the Investment
Company Act of 1940 as of November 30, 1997 with respect to securities and
similar investments reflected in the investment account of the Company is
fairly stated, in all material respects.
This report is intended solely for the information and use of management of
Dreyfus Investment Grade Bond Funds, Inc.-Dreyfus Intermediate Term Income
Fund and the Securities and Exchange Commission and should not be used for
any other purpose.
ERNST & YOUNG LLP
New York, New York
January 2, 1998
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM N-17f-2
Certificate of Accounting or Securities and Similar
Investments in the Custody of
Management Investment Companies
Pursuant to Rule 17f-2 [17 CRF 270.17f-2]
1. Investment Company Act File Date examination
Number: completed:
811- 6718 01/02/98
2. State Identification Number:
AL AK AZ AR CA CO
CT DE DC FL GA HI
ID IL IN IA KS KY
LA ME MD MA MI MN
MS MO MI NE NV NH
NJ NM NY NC ND OH
OK OR PA RI SC SD
TN TX UT VT VA WA
WV WI WY PUERTO
RICO
Other
Specify:
3. Exact name of investment company as specified in registration statement:
4. Address of principal executive office: (number, street, city, state,
zip code)
200 Park Avenue, 55th Floor , New York, NY 10166
INSTRUCTIONS
The Form must be completed by investment companies that have custody of
securities or similar investments
Investment Company
1. All items must be completed by the investment company.
2. Give this Form to the independent public accountant who, in compliance
with Rule 17f-2 under the Act and applicable state law, examine
securities and similar investments in the custody of the investment
company.
Accountant
3. Submit this Form to the Securities and Exchange Commission and
appropriate state securities administrators when filing the certificate
of accounting required by Rule 17f-2 under the Act and applicable state
law. File the original and one copy with the Securities and Exchange
Commissions's principal office in Washington D.C., one copy with the
regional office for the region in which the investment company's
principal business operations are conducted, and one copy with the
appropriate state administrator(s), if applicable.
THIS FORM MUST BE GIVEN TO YOUR INDEPENDENT PUBLIC ACCOUNTANT
