LETTER TO SHAREHOLDERS
Dear Shareholder:
At the time of our last letter, the two-year Treasury Note was yielding
5.20%. At the inception of Dreyfus Institutional Short Term Treasury Fund on
October 29, 1993, the two-year Treasury Note was yielding approximately
4.00%. Right now, the two-year Treasury Note is yielding 6.88%. To say that
the fixed-income market has been volatile is an understatement. This increase
of 288 basis points is proof enough of an unfriendly market.
From its inception to September 30, 1994, when the two-year Treasury Note
saw an increase of over 250 basis points, Dreyfus Institutional Short Term
Treasury Fund Class A Shares had a positive total return of 2.84%* and an
annualized distribution rate per share of 5.27%.** For Class B Shares, the
total return was 3.13%, with an annualized distribution rate per share of
5.02%.
Achieving these positive returns in the fixed-income market, as rates
moved higher over the past year, has been difficult. Because of these
returns, however, we are pleased to report that, from inception to September
30, 1994, Dreyfus Institutional Short Term Treasury Fund has ranked second
among 14 funds in Lipper Short U.S. Treasury Funds for A Shares, and first
among 14 funds for Class B Shares.*** In addition, for this same period the
Fund's Class A shares outperformed the Merrill Lynch Treasury Master Index -
Short-Term (which had a total return of 1.096%) by approximately 174 basis
points.
Looking ahead, bad news first. Exports and wage pressures are rising. In
the overall inflation picture, these two components are alarming, and will be
something to watch closely. (Europe can heat up our economy by buying our
products. In our last letter, exports were still weak and did not appear to
be an inflationary threat.) The U.S. dollar has also weakened dramatically as
an apparent no-confidence vote toward the Fed. (When foreign investors feel
that a government is letting inflation get ahead by not raising rates fast
enough, they often repatriate their money.) Foreign investors unwilling to
buy our debt because of the perceived inflation add more volatility to our
market.
We are currently anticipating a Federal Funds rate of 5.75% by the first
quarter of 1995. The two-year Treasury Note is currently trading at a spread
of 213 basis points over the current Fed Funds rate (6.88 - current Fed Funds
rate of 4.75 = 2.13). Fair value for this spread is between 150-175 basis
points; therefore it is safe to say that the market has priced in a move of
at least 50 basis points, if not more.
We are not sure, however, that every member of the Federal Open Market
Committee agrees with the market that more rate hikes are needed. The
economic data will have to continue growing stronger to get a yes vote from
all members. We believe that it takes a much longer time than the market is
anticipating before you can see the effects of higher rates on the economy.
The other side of the equation is that the contrarians are coming forward and
every business journal, magazine, newspaper and television report is becoming
more bullish with the current levels in the bond market. It has us wondering
when the asset allocators will give the signal to move more aggressively into
bonds from other assets. Watching everything as it unfolds, we will continue
to monitor and adjust the portfolio as required in this market.
As you know, your Fund only invests in U.S. Treasury securities and
overnight repurchase agreements collateralized by U.S. Government securities.
Because we cannot use options, futures, derivatives, etc. as some of the
other funds in our peer group do, we must take a top-down approach to our
investing style. What this has meant over the past year is a constant search
for value, adjusting duration frequently and in general being nimble in
recognizing market direction. Currently, the Fund is invested primarily in
discount paper, as premium paper has become much more expensive. In the past,
we have used structures with premiums and discounts depending on what or
where the best relative value was in the sector. We are currently maintaining
an average portfolio maturity of about one year; this more defensive
structure is in apprehension of upcoming economic data. But, as always, when
we determine the timing to be right we will make the necessary adjustments to
the portfolio.
We want to thank you for choosing Dreyfus and Dreyfus Institutional Short
Term Treasury Fund as your investment vehicle. As always, our aim is to
provide you with an attractive investment that continues to meet your
objectives and goals.
Sincerely,
(LOGO SIGNATURE)
Gerald E. Thunelius
Portfolio Manager
November 1, 1994
New York, N.Y.
*Total return represents the change during the period in a hypothetical
account with dividends reinvested.
**Annualized distribution rate per share is based upon dividends per share
paid from net investment income during the period
divided by the net asset value per share at the end of the period.
***SOURCE: LIPPER ANALYTICAL SERVICES, INC. - Reflects the reinvestment of
income dividends and, where applicable, capital gain distributions.
Ranking reflects the absorption of certain fund expenses by The Dreyfus
Corporation.
PERFORMANCE
COMPARISON OF CHANGE IN VALUE OF $10,000,000 INVESTMENT IN DREYFUS
INSTITUTIONAL SHORT TERM TREASURY FUND CLASS A AND CLASS B SHARES
AND THE MERRILL LYNCH TREASURY MASTER INDEX - SHORT-TERM
[EXHIBIT A]
*Source: Merrill Lynch, Pierce, Fenner and Smith, Inc.
<TABLE>
<CAPTION>
ACTUAL AGGREGATE TOTAL RETURN
- ----------------------------------------------------------------------------------------------------------------------
CLASS A CLASS B
- -------------------------------------------- -----------------------------------------------------
<S> <C> <S> <C>
From Inception (10/29/93) From Inception (10/29/93)
to September 30, 1994................ 2.84% to September 30, 1994.................... 3.13 %
</TABLE>
Past performance is not predictive of future results.
The above graph compares a $10,000,000 investment made in Class A and Class B
shares of Dreyfus Institutional Short Term Treasury Fund on 10/29/93
(Inception Date) to a $10,000,000 investment made in the Merrill Lynch
Treasury Master Index - Short-Term on that date. For comparative purposes,
the value of the Index on 10/31/93 is used as the beginning value on 10/29/93.
All dividends and capital gain distributions are reinvested.
The Fund invests exclusively in U.S. Treasury securities and repurchase
agreements in respect thereof. The Fund's portfolio of U.S. Treasury
securities will generally have a dollar-weighted average maturity not to
exceed two years. The Fund's performance takes into account fees and expenses.
Unlike the Fund, the Merrill Lynch Treasury Master Index - Short-Term is an
unmanaged performance benchmark for Treasury securities with maturities of
1-2.99 years. The Index does not take into account charges, fees and others
expenses. Further information relating to Fund performance including any
expense reimbursements, if applicable, is contained in the Condensed Financial
Information section of the Prospectus and elsewhere in this Report.
<TABLE>
<CAPTION>
DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND
STATEMENT OF INVESTMENTS SEPTEMBER 30, 1994
PRINCIPAL
U.S. TREASURY NOTES-107.7% AMOUNT VALUE
---------- ------------
<S> <C> <C>
4 1/4%, 7/31/1995....................................................... $ 10,000,000 $ 9,870,310
10 1/2%, 8/15/1995...................................................... 2,500,000 2,596,875
4 1/4%, 11/30/1995...................................................... 20,000,000 19,593,760
9 1/4%, 1/15/1996....................................................... 10,000,000 10,365,630
7 5/8%, 4/30/1996....................................................... 5,000,000 5,091,405
4 1/4%, 5/15/1996....................................................... 5,000,000 4,835,940
7 3/8%, 5/15/1996....................................................... 20,000,000 20,290,620
6 1/4%, 8/31/1996....................................................... 10,000,000 9,943,750
6 1/2%, 9/30/1996....................................................... 30,000,000 29,950,770
6 1/2%, 8/15/1997....................................................... 10,000,000 9,757,810
------------
TOTAL U.S. TREASURY NOTES
(cost $122,898,582)..................................................... $122,296,870
============
SHORT-TERM INVESTMENTS-.4%
REPURCHASE AGREEMENT;
Yamaichi International (America), Inc., 4 3/4%
dated 9/30/1994, due 10/3/1994 in the amount
of $436,173 (fully collateralized by $420,000 U.S.
Treasury Notes, 8 1/2%, 5/15/1995, value $440,668)
(cost $436,000)......................................................... $ 436,000 $ 436,000
============
TOTAL INVESTMENTS
(cost $123,334,582)..................................................... 108.1% $ 122,732,870
====== =============
LIABILITIES, LESS CASH AND RECEIVABLES...................................... (8.1%) $ (9,164,776)
====== =============
NET ASSETS ........................................................... 100.0% $ 113,568,094
====== =============
See notes to financial statements.
DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND
STATEMENT OF ASSETS AND LIABILITIES SEPTEMBER 30, 1994
ASSETS:
Investments in securities, at value
(cost $123,334,582)-see statement..................................... $122,732,870
Cash.................................................................... 183,199
Interest receivable..................................................... 1,536,284
-------------
124,452,353
LIABILITIES:
Due to the Dreyfus Corporation.......................................... $ 25,432
Payable for investment securities purchased............................. 9,992,052
Payable for shares of Beneficial Interest redeemed...................... 866,775 10,884,259
--------------- --------------
NET ASSETS ................................................................ $113,568,094
=============
REPRESENTED BY:
Paid-in capital......................................................... $114,938,486
Accumulated net realized (loss) on investments.......................... (768,680)
Accumulated gross unrealized (depreciation) on investments.............. (601,712)
-------------
NET ASSETS at value......................................................... $113,568,094
=============
Shares of Beneficial Interest outstanding:
Class A Shares
(unlimited number of $.001 par value shares authorized)............... 46,152,728
=============
Class B Shares
(unlimited number of $.001 par value shares authorized)............... 11,752,885
=============
NET ASSET VALUE per share:
Class A Shares
($90,421,495 / 46,152,728 shares)..................................... $1.96
======
Class B Shares
($23,146,599 / 11,752,885 shares)..................................... $1.97
======
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND
STATEMENT OF OPERATIONS
FROM OCTOBER 29, 1993 (COMMENCEMENT OF OPERATIONS) TO SEPTEMBER 30, 1994
INVESTMENT INCOME:
<S> <C> <C>
INTEREST INCOME......................................................... $3,328,950
EXPENSES:
Management fee-Note 2(a).............................................. $119,741
Distribution fees (Class B shares)-Note 2(b).......................... 49,702
---------
TOTAL EXPENSES.................................................... 169,443
----------
INVESTMENT INCOME-NET............................................. 3,159,507
REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS:
Net realized (loss) on investments-Note 3............................... $(768,680)
Net unrealized (depreciation) on investments............................ (601,712)
----------
NET REALIZED AND UNREALIZED (LOSS) ON INVESTMENTS................. (1,370,392)
----------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........................ $1,789,115
==========
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND
STATEMENT OF CHANGES IN NET ASSETS
FROM OCTOBER 29, 1993 (COMMENCEMENT OF OPERATIONS) TO SEPTEMBER 30, 1994
OPERATIONS:
<S> <C>
Investment income-net.................................................................. $ 3,159,507
Net realized (loss) on investments..................................................... (768,680)
Net unrealized (depreciation) on investments for the period............................ (601,712)
---------------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS................................. 1,789,115
--------------
DIVIDENDS TO SHAREHOLDERS FROM:
Investment income-net:
Class A shares....................................................................... (2,162,627)
Class B shares....................................................................... (996,880)
--------------
TOTAL DIVIDENDS.................................................................. (3,159,507)
--------------
BENEFICIAL INTEREST TRANSACTIONS:
Net proceeds from shares sold:
Class A shares....................................................................... 189,416,535
Class B shares....................................................................... 54,832,853
Dividends reinvested:
Class A shares....................................................................... 1,141,340
Class B shares....................................................................... 925,959
Cost of shares redeemed:
Class A shares....................................................................... (99,275,672)
Class B shares....................................................................... (32,202,529)
--------------
INCREASE IN NET ASSETS FROM BENEFICIAL INTEREST TRANSACTIONS..................... 114,838,486
--------------
TOTAL INCREASE IN NET ASSETS................................................... 113,468,094
NET ASSETS:
Beginning of period-Note 1............................................................. 100,000
--------------
End of period.......................................................................... $113,568,094
=============
</TABLE>
<TABLE>
<CAPTION>
SHARES
--------------------------------
PERIOD ENDED SEPTEMBER 30, 1994
----------------------------------
CLASS A CLASS B
--------- ---------
<S> <C> <C>
CAPITAL SHARE TRANSACTIONS:
Shares sold.......................................................... 95,733,812 27,524,886
Shares issued for dividends reinvested............................... 579,653 467,409
Shares redeemed...................................................... (50,185,737) (16,264,410)
------------- -------------
NET INCREASE IN SHARES OUTSTANDING................................. 46,127,728 11,727,885
============= ==============
See notes to financial statements.
</TABLE>
<TABLE>
<CAPTION>
DREYFUS INSTITUTIONAL SHORT TERM TREASURY 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 the period from October 29, 1993
(commencement of operations) to September 30, 1994. This information has been
derived from the Fund's financial statements.
PER SHARE DATA: CLASS A SHARES CLASS B SHARES
-------------- --------------
<S> <C> <C>
Net asset value, beginning of period.................................... $2.00 $2.00
------ ------
INVESTMENT OPERATIONS:
Investment income-net................................................... .10 .09
Net realized and unrealized (loss) on investments....................... (.04) (.03)
------ ------
TOTAL FROM INVESTMENT OPERATIONS...................................... .06 .06
------ ------
DISTRIBUTIONS;
Dividends from investment income-net.................................... (.10) (.09)
------ ------
Net asset value, end of period.......................................... $1.96 $1.97
====== ======
TOTAL INVESTMENT RETURN (1)................................................. 3.08% 3.39%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets (1)............................. .20% .45%
Ratio of net investment income to average net assets (1)................ 5.41% 5.01%
Portfolio Turnover Rate (2)............................................. 41.26% 41.26%
Net Assets, end of period (000's Omitted)............................... $90,421 $23,147
- -----------------------------
(1) Annualized.
(2) Not annualized.
See notes to financial statements.
</TABLE>
DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND
NOTES TO FINANCIAL STATEMENTS
NOTE 1-SIGNIFICANT ACCOUNTING POLICIES:
Dreyfus Institutional Short Term Treasury Fund (the "Fund") was organized
as a Massachusetts business trust on March 12, 1992 and had no operations
until October 29, 1993 (commencement of operations) other than matters
relating to its organization and registration as a diversified open-end
management investment company under the Investment Company Act of 1940
("Act") and the Securities Act of 1933 and the sale and issuance of 25,000
Class A shares and 25,000 Class B shares of Beneficial Interest ("Initial
Shares") to The Dreyfus Corporation ("Manager"). Dreyfus Service Corporation
acted as the distributor of the Fund's shares until August 24, 1994. Dreyfus
Service Corporation is a wholly-owned subsidiary of the Manager. Effective
August 24, 1994, the Manager became a direct subsidiary of Mellon Bank, N.A.
On August 24, 1994, Premier Mutual Fund Services, 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.
The Fund offers both Class A and Class B shares. Class A shares are
subject to a Shareholder Services Plan and Class B shares are subject to a
Service Plan adopted pursuant to Rule 12b-1 under the Act. Other differences
between the two Classes include the services offered to and the expenses
borne by each Class and certain voting rights.
(A) PORTFOLIO VALUATION: The Fund's investments (excluding short-term
investments) are valued at the mean between the quoted bid prices and asked
prices. Short-term investments are carried at amortized cost, which
approximates value.
(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 including, where applicable, amortization of discount on investments,
is recognized on the accrual basis.
The Fund may enter into repurchase agreements with financial
institutions, deemed to be creditworthy by the Fund's Manager, subject to the
seller's agreement to repurchase and the Fund's agreement to resell such
securities at a mutually agreed upon price. Securities purchased subject to
repurchase agreements are deposited with the Fund's custodian and, pursuant
to the terms of the repurchase agreement, must have an aggregate market value
greater than or equal to the repurchase price plus accrued interest at all
times. If the value of the underlying securities falls below the value of the
repurchase price plus accrued interest, the Fund will require the seller to
deposit additional collateral by the next business day. If the request for
additional collateral is not met, or the seller defaults on its repurchase
obligation, the Fund maintains the right to sell the underlying securities at
market value and may claim any resulting loss against the seller.
(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 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, if any, it is the policy of the Fund not to distribute such gain.
DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
(D) FEDERAL INCOME TAXES: It is the policy of the Fund to continue to
qualify as a regulated investment company, if such qualification is in the
best interest of its shareholders, by complying with the applicable
provisions of the Internal Revenue Code, and to make distributions of taxable
income sufficient to relieve it from substantially all Federal income and
excise taxes.
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 .20 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 Funds' net assets in accordance with
California "blue sky" regulations. The Manager, and not the Fund, is liable
for those expenses of the Fund (excluding certain expenses as described
above) other than management fee, and with respect to the Fund's Class B
shares, Rule 12b-1 Service Plan expenses.
The Manager may modify the existing undertaking provided that the Fund's
shareholders are given 90 days prior notice.
(B) On August 4, 1994, Fund shareholders approved the adoption of a new
Class B Service Plan (the "Plan") pursuant to Rule 12b-1 under the Act.
Effective August 24, 1994, the Fund reimburses the Distributor for
distributing the Fund's Class B shares. The Fund also pays The Dreyfus
Corporation and Dreyfus Service Corporation, and their affiliates
(collectively "Dreyfus") for advertising and marketing relating to the Fund's
Class B shares and for providing certain services relating to Class B
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 ("Servicing"), at an aggregate annual
rate of .25 of 1% of the value of the Fund's Class B average daily net
assets. Both the Distributor and Dreyfus may pay one or more Service Agents a
fee in respect of the Fund's Class B shares owned by the shareholders with
whom the Service Agent has a Servicing relationship or for whom the Service
Agent is the dealer or holder of record. Both the Distributor and Dreyfus
determine the amounts, if any, to be paid to the Service Agents under the
Plan and the basis on which such payments are made. The fees payable under
the Plan are payable without regard to actual expenses incurred.
Prior to August 24, 1994, the Fund's Service Plan ("Prior Class B Service
Plan") provided that the Fund pay Dreyfus Service Corporation at an annual
rate of .25 of 1% of the value to the Fund's Class B shares average daily net
assets, for costs and expenses in connection with advertising, marketing and
distributing Class B shares and for providing certain services to holders of
Class B shares. Dreyfus Service Corporation made payments to one or more
Service Agents based on the value of the Fund's Class B shares owned by
clients of the Service Agent.
During the period ended September 30, 1994, $6,928 was charged to the
Fund pursuant to the Plan and $42,774 was charged to the Fund pursuant to the
Prior Class B Service Plan.
DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
(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 from the Fund an annual fee of $1,000 and an attendance fee of $250
per meeting.
NOTE 3-SECURITIES TRANSACTIONS:
The aggregate amount of purchases and sales of investment securities,
other than short-term securities, during the period ended September 30, 1994,
amounted to $1,763,026,870 and $1,649,381,346, respectively.
At September 30, 1994, 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 INSTITUTIONAL SHORT TERM TREASURY FUND
REPORT OF ERNST & YOUNG LLP, INDEPENDENT AUDITORS
SHAREHOLDERS AND BOARD OF DIRECTORS
DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND
We have audited the accompanying statement of assets and liabilities of
Dreyfus Institutional Short Term Treasury Fund, including the statement of
investments, as of September 30, 1994, and the related statements of
operations and changes in net assets and financial highlights for the period
from October 29, 1993 (commencement of operations) to September 30, 1994.
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 audit.
We conducted our audit 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 September 30, 1994 by correspondence with the custodian
and brokers. 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 audit provides
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 Institutional Short Term Treasury Fund at September 30,
1994, and the results of its operations, the changes in its net assets and
the financial highlights for the period from October 29, 1993 to September
30, 1994, in conformity with generally accepted accounting principles.
[ERNST AND YOUNG LLP SIGNATURE]
New York, New York
November 1, 1994
DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND
IMPORTANT TAX INFORMATION (UNAUDITED)
For State individual income tax purposes, the Fund hereby designates
73.86% of the ordinary income dividends paid during the period October 29,
1993 (commencement of operations) to September 30, 1994 as attributable to
interest income from direct obligations of the United States. Such dividends
are currently exempt from taxation for individual income purposes in most
states, including New York and California, and the District of Columbia.
DREYFUS INSTITUTIONAL
SHORT TERM TREASURY FUND
144 Glenn Curtiss Boulevard
Uniondale, NY 11556
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. 721AR949
Institutional
Short Term
Treasury Fund
Annual Report
September 30, 1994
COMPARISON OF CHANGE IN VALUE OF $10,000,000 INVESTMENT
IN DREYFUS INSTITUTIONAL SHORT TERM TREASURY FUND CLASS A
SHARES AND CLASS B SHARES AND THE MERRILL LYNCH
TREASURY MASTER INDEX - SHORT-TERM
EXHIBIT A:
____________________________________________________________
| |MERRILL LYNCH | DREYFUS | DREYFUS |
| | TREASURY | INSTITUTIONAL | INSTITUTIONAL |
| | MASTER | SHORT-TERM | SHORT-TERM |
|PERIOD | INDEX - | TREASURY FUND | TREASURY FUND |
| | SHORT-TERM * | CLASS A SHARES | CLASS B SHARES |
|-------|--------------|-------------------|-----------------|
|10/29/9| 10,000,000 | 10,000,000 | 10,000,000 |
|12/31/9| 10,039,381 | 10,037,102 | 10,083,008 |
|3/31/94| 9,989,287 | 10,061,702 | 10,101,904 |
|6/30/94| 9,997,494 | 10,186,895 | 10,221,277 |
|9/30/94| 10,096,045 | 10,284,036 | 10,312,544 |
|-------|--------------|-------------------|-----------------|
