UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549 |
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT
INVESTMENT COMPANIES |
| |
| Investment Company Act file number | 811-5527 |
DREYFUS NEW JERSEY MUNICIPAL MONEY MARKET FUND, INC.
(Exact name of Registrant as specified in charter) |
c/o The Dreyfus Corporation
200 Park Avenue
New York, New York 10166
(Address of principal executive offices) (Zip code) |
Michael A. Rosenberg, Esq.
200 Park Avenue
New York, New York 10166
(Name and address of agent for service) |
| | |
| Registrant's telephone number, including area code: | (212) 922-6000 |
| Date of fiscal year end: | 11/30 | |
| Date of reporting period: | 5/31/09 | |
1
| |
| Item 1. | Reports to Stockholders. |
2
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The views expressed in this report reflect those of the portfolio manager only through the end of the period covered and do not necessarily represent the views of Dreyfus or any other person in the Dreyfus organization. Any such views are subject to change at any time based upon market or other conditions and Dreyfus disclaims any responsibility to update such views.These views may not be relied on as investment advice and, because investment decisions for a Dreyfus fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Dreyfus fund.
Not FDIC-Insured • Not Bank-Guaranteed • May Lose Value
| | Contents |
| | THE FUND |
| 2 | A Letter from the CEO |
| 3 | Discussion of Fund Performance |
| 6 | Understanding Your Fund’s Expenses |
| 6 | Comparing Your Fund’s Expenses With Those of Other Funds |
| 7 | Statement of Investments |
| 21 | Statement of Assets and Liabilities |
| 22 | Statement of Operations |
| 23 | Statement of Changes in Net Assets |
| 24 | Financial Highlights |
| 25 | Notes to Financial Statements |
| | FOR MORE INFORMATION |
| | Back Cover |
Dreyfus New Jersey
Municipal Money Market Fund, Inc. |
A LETTER FROM THE CEO
Dear Shareholder: |
We present to you this semiannual report for Dreyfus New Jersey Municipal Money Market Fund, Inc., covering the six-month period from December 1, 2008, through May 31, 2009.
While most financial markets went on a wild ride during the fund’s reporting period, money market yields generally moved in one direction — down — trending alongside short-term interest rates to historical lows. The Federal Reserve Board’s target of 0% to 0.25% for the overnight federal funds rate along with historic levels of demand for “cash” have served as anchors for money market yields in a domestic economy that has struggled with a 6.3% annualized contraction over the fourth quarter of 2008 and a 5.7% revised estimate of economic contraction during the first quarter of 2009.
The stock and bond markets’ enormous swings have caused investors to wonder if the markets are forecasting sustainable economic improvement, or could this be a bear market rally where securities reach such depressed levels that even the slightest hint of good news lifts prices.We generally have remained cautious in the absence of real economic progress, but the market’s gyrations illustrate an important feature of many rallies — when they snap back, the rebounds are often quick and sharp, potentially leaving investors on the sidelines. That’s why we encourage you to speak regularly with your financial consultant, who can discuss with you the potential benefits of adhering to a long-term investment strategy while still being considerate of your current liquid asset needs.
For information about how the fund performed during the reporting period, as well as market perspectives, we have provided a Discussion of Fund Performance given by the fund’s Portfolio Manager.
Thank you for your continued confidence and support.
| | Jonathan R. Baum
Chairman and Chief Executive Officer
The Dreyfus Corporation
June 15, 2009 |
2
DISCUSSION OF FUND PERFORMANCE
For the period of December 1, 2008, through May 31, 2009, as provided by Joseph Irace, Senior Portfolio Manager
Fund and Market Performance Overview
For the six-month period ended May 31, 2009, Dreyfus New Jersey Municipal Money Market Fund produced an annualized yield of 0.51%. Taking into account the effects of compounding, the fund produced an annualized effective yield of 0.51%.1
Yields of tax-exempt money market instruments declined to historically low levels during the reporting period as the Federal Reserve Board (the “Fed”) slashed short-term interest rates to combat a faltering U.S. economy and an ongoing financial crisis.
The Fund’s Investment Approach
The fund’s objective is to seek as high a level of current income exempt from federal and New Jersey state income taxes as is consistent with the preservation of capital and the maintenance of liquidity.The fund also seeks to maintain a stable $1.00 share price.To pursue its goal, the fund normally invests substantially all of its assets in short-term, high-quality municipal obligations that provide income exempt from federal and New Jersey state income taxes. The fund also may invest in high-quality, short-term structured notes, which are derivative instruments whose value is tied to underlying municipal obligations.
When pursuing the fund’s objective, we employ two primary strategies. First, we attempt to add value by constructing a portfolio of high-quality, tax-exempt money market municipal obligations that provide income exempt from federal and New Jersey state income taxes. Second, we actively manage the fund’s average maturity in anticipation of interest-rate trends and supply-and-demand changes in New Jersey’s short-term municipal marketplace.
For example, if we expect an increase in short-term supply, we may reduce the weighted average maturity of the fund, which should better
The Fund 3
| DISCUSSION OF FUND PERFORMANCE (continued) |
position the fund to purchase new securities with higher yields, if higher yields materialize.Yields tend to rise when there is an increase in new-issue supply competing for investor interest. New securities generally are issued with maturities in the one-year range and tend to lengthen the fund’s weighted average maturity if purchased. If we anticipate limited new-issue supply, we may extend the fund’s average maturity to maintain then-current yields for as long as we think practical. At other times, we try to maintain an average maturity that reflects our view of short-term interest-rate trends and future supply-and-demand considerations.
Money Market Yields Plunged During the Downturn
By the time the reporting period began, economic conditions had deteriorated sharply as a result of weakness in housing markets, rising unemployment and declining consumer confidence, plunging the U.S. economy into its longest recession since the 1930s. In response, the Fed implemented several reductions in the overnight federal funds rate, which began the reporting period at just 1%.
In addition, a credit crisis escalated into a full-blown global financial crisis after the bankruptcy of investment bank Lehman Brothers in September 2008. Dealers and insurers of municipal money market instruments were punished during the crisis by severe investment losses. These developments caused dislocations among some short-term money market instruments and a surge in redemptions from some funds. In an effort to restore investor confidence, the U.S. Department of the Treasury initiated theTemporary Guarantee Program for Money Market Funds. Such measures calmed investors, and yields among affected instruments returned to normalized levels. On March 31, the U.S. government announced a further extension of the Temporary Guarantee Program for Money Market Funds until September 18, 2009.
After the start of the reporting period, the Fed continued its attempts to restore stability to the credit markets with massive injections of liquidity and an additional rate cut, which drove the Fed’s target range for the federal funds rate to a record low of between 0% and 0.25% by the end of 2008.As a result, money market yields fell to historically low levels.
4
The financial crisis and economic downturn put severe pressure on the fiscal conditions of many states and municipalities, which faced weak housing markets, rising unemployment, reduced tax collections and intensifying demands on social services programs. New Jersey was particularly hard-hit by job losses among its residents who worked in the financial services industry.
Amid Turmoil, a Focus on Quality and Liquidity
We focused throughout the reporting period on direct-obligation, high-quality municipal securities that have been independently approved for the fund by our credit analysts. We generally avoided money market instruments from New Jersey issuers that we regarded as vulnerable to the state’s budget problems.
We set the fund’s weighted average maturity in a range that was shorter than industry averages in case of unexpected liquidity needs. However, yield differences have remained relatively narrow along the market’s maturity range, so this conservative positioning did not detract materially from the fund’s performance.
Preserving Capital Is Our Priority
Continued risk aversion among investors has created a bifurcated mar-ket.Yields of money market instruments from New Jersey issuers with questionable credit profiles generally have been higher than yields from issuers who are relatively insulated from the downturn. Nonetheless, we believe the prudent course is to refrain from chasing higher yields, instead maintaining a conservative credit selection strategy with an emphasis on preservation of capital and liquidity.
June 15, 2009
| |
| | An investment in the fund is not insured or guaranteed by the FDIC or any other government |
| | agency. Although the fund seeks to preserve the value of your investment at $1.00 per share, it is |
| | possible to lose money by investing in the fund. |
| 1 | Annualized effective yield is based upon dividends declared daily and reinvested monthly. Past |
| | performance is no guarantee of future results.Yields fluctuate. Income may be subject to state and |
| | local taxes for non-New Jersey residents, and some income may be subject to the federal alternative |
| | minimum tax (AMT) for certain investors. |
The Fund 5
UNDERSTANDING YOUR FUND’S EXPENSES (Unaudited)
As a mutual fund investor, you pay ongoing expenses, such as management fees and other expenses. Using the information below, you can estimate how these expenses affect your investment and compare them with the expenses of other funds.You also may pay one-time transaction expenses, including sales charges (loads) and redemption fees, which are not shown in this section and would have resulted in higher total expenses. For more information, see your fund’s prospectus or talk to your financial adviser.
Review your fund’s expenses
The table below shows the expenses you would have paid on a $1,000 investment in Dreyfus New Jersey Municipal Money Market Fund, Inc. from December 1, 2008 to May 31, 2009. It also shows how much a $1,000 investment would be worth at the close of the period, assuming actual returns and expenses.
| |
| Expenses and Value of a $1,000 Investment |
| assuming actual returns for the six months ended May 31, 2009 |
| |
| Expenses paid per $1,000† | $3.15 |
| Ending value (after expenses) | $1,022.60 |
|
| COMPARING YOUR FUND’S EXPENSES |
| WITH THOSE OF OTHER FUNDS (Unaudited) |
Using the SEC’s method to compare expenses
The Securities and Exchange Commission (SEC) has established guidelines to help investors assess fund expenses. Per these guidelines, the table below shows your fund’s expenses based on a $1,000 investment, assuming a hypothetical 5% annualized return. You can use this information to compare the ongoing expenses (but not transaction expenses or total cost) of investing in the fund with those of other funds.All mutual fund shareholder reports will provide this information to help you make this comparison. Please note that you cannot use this information to estimate your actual ending account balance and expenses paid during the period.
| |
| Expenses and Value of a $1,000 Investment |
| assuming a hypothetical 5% annualized return for the six months ended May 31, 2009 |
| |
| Expenses paid per $1,000† | $3.18 |
| Ending value (after expenses) | $1,021.79 |
† Expenses are equal to the fund’s annualized expense ratio of .63%, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half year period).
6
| | | | | |
| STATEMENT OF INVESTMENTS | | | | |
| May 31, 2009 (Unaudited) | | | | | |
| |
| |
| |
| |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments—99.7% | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey—97.3% | | | | | |
| Bergen County Improvement | | | | | |
| Authority, MFHR (Kentshire | | | | | |
| Apartments Project) (Liquidity | | | | | |
| Facility; FNMA and LOC; FNMA) | 0.28 | 6/7/09 | 21,000,000 | a | 21,000,000 |
| Camden County Improvement | | | | | |
| Authority, County Guaranteed | | | | | |
| LR, Refunding | 3.00 | 12/1/09 | 2,235,000 | | 2,257,117 |
| Camden County Improvement | | | | | |
| Authority, Health Care | | | | | |
| Redevelopment Project Revenue | | | | | |
| (Cooper Health System | | | | | |
| Obligated Group Issue) (LOC; | | | | | |
| Commerce Bank NA) | 0.29 | 6/7/09 | 12,760,000 | a | 12,760,000 |
| Camden County Improvement | | | | | |
| Authority, MFHR (Liberty Park | | | | | |
| Housing Project) (Liquidity | | | | | |
| Facility; FHLMC and LOC; FHLMC) | 0.62 | 6/7/09 | 6,945,000 | a,b | 6,945,000 |
| Camden County Improvement | | | | | |
| Authority, Special Revenue | | | | | |
| (Congregation Beth El Project) | | | | | |
| (LOC; Commerce Bank NA) | 0.39 | 6/7/09 | 1,900,000 | a | 1,900,000 |
| Camden County Industrial | | | | | |
| Development Authority, Senior | | | | | |
| Redevelopment Revenue | | | | | |
| (Harvest Village Project) | | | | | |
| (LOC; JPMorgan Chase Bank) | 0.13 | 6/1/09 | 8,000,000 | a | 8,000,000 |
| Delaware River and Bay Authority, | | | | | |
| Revenue, Refunding | | | | | |
| (LOC; TD Bank) | 0.07 | 6/7/09 | 1,200,000 | a | 1,200,000 |
| Essex County Improvement | | | | | |
| Authority, Revenue (Jewish | | | | | |
| Community Center of MetroWest, | | | | | |
| Inc. Project) (LOC; Wachovia Bank) | 0.30 | 6/7/09 | 500,000 | a | 500,000 |
| Greater Egg Harbor Regional High | | | | | |
| School District, Temporary Notes | 3.50 | 8/26/09 | 2,000,000 | | 2,002,338 |
| Haddonfield Borough, | | | | | |
| Water and Sewer Utility Revenue | 3.50 | 7/15/09 | 230,000 | | 230,409 |
| Highland Park Borough, | | | | | |
| GO Notes (Insured; FSA) | 3.13 | 6/15/09 | 375,000 | | 375,184 |
| Hopatcong Borough, | | | | | |
| GO Notes, BAN | 2.50 | 9/18/09 | 4,758,195 | | 4,764,177 |
The Fund 7
STATEMENT OF INVESTMENTS (Unaudited) (continued)
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| Jefferson Township, | | | | | |
| GO Notes, BAN | 2.25 | 7/1/09 | 3,135,973 | | 3,136,605 |
| Long Branch, | | | | | |
| GO Notes, BAN | 2.25 | 8/14/09 | 1,100,000 | | 1,100,283 |
| Mercer County Improvement | | | | | |
| Authority, Revenue (Children’s | | | | | |
| Home Society Project) | | | | | |
| (LOC; Wachovia Bank) | 0.50 | 6/7/09 | 355,000 | a | 355,000 |
| Middlesex County, | | | | | |
| GO Notes | 3.25 | 6/1/09 | 950,000 | | 950,000 |
| Morristown, | | | | | |
| GO Notes, BAN | 3.00 | 6/16/09 | 5,775,000 | | 5,777,107 |
| New Jersey, | | | | | |
| COP (Equipment Lease | | | | | |
| Purchase Agreement) | 5.00 | 6/15/09 | 2,000,000 | | 2,002,813 |
| New Jersey, | | | | | |
| COP, Refunding (Equipment | | | | | |
| Lease Purchase Agreement) | 5.25 | 6/15/09 | 1,250,000 | | 1,251,458 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (Duke Farms | | | | | |
| Foundation Project) (LOC; | | | | | |
| Northern Trust Company) | 0.10 | 6/1/09 | 6,000,000 | a | 6,000,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (Fisk Alloy | | | | | |
| Wire Inc. and Affiliates | | | | | |
| Project) (LOC; Wachovia Bank) | 0.60 | 6/7/09 | 510,000 | a | 510,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (Hathaway | | | | | |
| Associates, LLC Project) | | | | | |
| (LOC; Wachovia Bank) | 0.60 | 6/7/09 | 1,850,000 | a | 1,850,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (J James Realty | | | | | |
| Project) (LOC; Wachovia Bank) | 0.60 | 6/7/09 | 100,000 | a | 100,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (Marco | | | | | |
| Holdings, LLC Project) | | | | | |
| (LOC; Wachovia Bank) | 0.60 | 6/7/09 | 1,115,000 | a | 1,115,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (Maroukian | | | | | |
| Realty, LLC Project) (LOC; | | | | | |
| Commerce Bank NA) | 0.49 | 6/7/09 | 1,320,000 | a | 1,320,000 |
8
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| New Jersey Economic Development | | | | | |
| Authority, EDR (RCC Properties, LLC | | | | | |
| Project) (LOC; Wachovia Bank) | 0.60 | 6/7/09 | 1,410,000 | a | 1,410,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (Saint Peters | | | | | |
| Preparatory School Project) | | | | | |
| (LOC; Wachovia Bank) | 0.50 | 6/7/09 | 250,000 | a | 250,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (Stone | | | | | |
| Brothers Secaucus LLC | | | | | |
| Project) (LOC; TD Bank) | 0.49 | 6/7/09 | 2,010,000 | a | 2,010,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (Superior | | | | | |
| Bakers, Inc./Ginsburg Bakery, | | | | | |
| Inc. Project) (LOC; PNC Bank NA) | 0.59 | 6/7/09 | 1,735,000 | a | 1,735,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (The Center School | | | | | |
| Project) (LOC; Bank of America) | 0.35 | 6/7/09 | 565,000 | a | 565,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (The Challenge | | | | | |
| Printing Company, Inc. | | | | | |
| Project) (LOC; Wachovia Bank) | 0.60 | 6/7/09 | 1,785,000 | a | 1,785,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (The Challenge | | | | | |
| Printing Company, Inc. | | | | | |
| Project) (LOC; Wachovia Bank) | 0.60 | 6/7/09 | 520,000 | a | 520,000 |
| New Jersey Economic Development | | | | | |
| Authority, EDR (The Pennington | | | | | |
| School Project) (LOC; Citizens | | | | | |
| Bank of Pennsylvania) | 2.50 | 6/7/09 | 1,525,000 | a | 1,525,000 |
| New Jersey Economic Development | | | | | |
| Authority, First Mortgage Revenue, | | | | | |
| Refunding (Franciscan Oaks | | | | | |
| Project) (LOC; Wachovia Bank) | 0.30 | 6/7/09 | 1,000,000 | a | 1,000,000 |
| New Jersey Economic Development | | | | | |
| Authority, IDR, Refunding (VPR | | | | | |
| Commerce Center Project) | | | | | |
| (LOC; PNC Bank NA) | 0.38 | 6/7/09 | 1,620,000 | a | 1,620,000 |
| New Jersey Economic Development | | | | | |
| Authority, Market Transition Facility | | | | | |
| Senior Lien Revenue, Refunding | 5.00 | 7/1/09 | 12,370,000 | | 12,405,048 |
The Fund 9
STATEMENT OF INVESTMENTS (Unaudited) (continued)
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Applewood | | | | | |
| Estates Project) (LOC; | | | | | |
| Commerce Bank NA) | 0.20 | 6/7/09 | 1,275,000 | a | 1,275,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Buchanan | | | | | |
| and Zweigle Project) (LOC; | | | | | |
| Wachovia Bank) | 0.60 | 6/7/09 | 1,755,000 | a | 1,755,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Cascade | | | | | |
| Corporation—Courthouse | | | | | |
| Convalescent and Rehabilitation | | | | | |
| Center and Eastern Shore Nursing | | | | | |
| and Rehabilitation Center Projects) | | | | | |
| (LOC; Bank of America) | 0.35 | 6/7/09 | 5,275,000 | a | 5,275,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Cascade | | | | | |
| Corporation—Courthouse | | | | | |
| Convalescent and Rehabilitation | | | | | |
| Center and Eastern Shore Nursing | | | | | |
| and Rehabilitation Center Projects) | | | | | |
| (LOC; Bank of America) | 0.35 | 6/7/09 | 4,210,000 | a | 4,210,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Catholic | | | | | |
| Charities Project) (LOC; | | | | | |
| Wachovia Bank) | 0.45 | 6/7/09 | 1,200,000 | a | 1,200,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Catholic | | | | | |
| Community Services Project) | | | | | |
| (LOC; Wachovia Bank) | 0.50 | 6/7/09 | 480,000 | a | 480,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Crane’s | | | | | |
| Mill Project) (LOC; TD Bank) | 0.25 | 6/7/09 | 400,000 | a | 400,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Falcon | | | | | |
| Safety Products, Inc. Project) | | | | | |
| (LOC; PNC Bank NA) | 0.54 | 6/7/09 | 2,010,000 | a | 2,010,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Joseph H. | | | | | |
| Moreng, Jr. and James Moreng | | | | | |
| Leasing Partnership) (LOC; | | | | | |
| Wachovia Bank) | 0.55 | 6/7/09 | 530,000 | a | 530,000 |
10
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| New Jersey Economic | | | | | |
| Development Authority, | | | | | |
| Revenue (Melrich Road | | | | | |
| Development Company, LLC | | | | | |
| Project) (LOC; Wachovia Bank) | 0.60 | 6/7/09 | 270,000 | a | 270,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (MZR Real | | | | | |
| Estate, L.P. Project) (LOC; | | | | | |
| Wachovia Bank) | 0.60 | 6/7/09 | 2,000,000 | a | 2,000,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Parke | | | | | |
| Place Associates, LLC Project) | | | | | |
| (LOC; Commerce Bank NA) | 0.49 | 6/7/09 | 2,385,000 | a | 2,385,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Somerset | | | | | |
| Hills YMCA Project) (LOC; | | | | | |
| Commerce Bank NA) | 0.39 | 6/7/09 | 3,580,000 | a | 3,580,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (Stuart | | | | | |
| Country Day School of the | | | | | |
| Sacred Heart, Princeton, Inc. | | | | | |
| Project) (LOC; Allied Irish Banks) | 0.75 | 6/7/09 | 2,325,000 | a | 2,325,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (The Cooper | | | | | |
| Health System Project) | | | | | |
| (LOC; TD Bank) | 0.25 | 6/7/09 | 6,400,000 | a | 6,400,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (The Hun | | | | | |
| School of Princeton Project) | | | | | |
| (LOC; Allied Irish Banks) | 1.09 | 6/7/09 | 100,000 | a | 100,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue (The | | | | | |
| Montclair Art Museum Project) | | | | | |
| (LOC; JPMorgan Chase Bank) | 0.25 | 6/7/09 | 5,260,000 | a | 5,260,000 |
| New Jersey Economic Development | | | | | |
| Authority, Revenue, Refunding | | | | | |
| (Station Plaza Park and Ride, L.P. | | | | | |
| Project) (LOC; Wachovia Bank) | 0.60 | 6/7/09 | 3,885,000 | a | 3,885,000 |
| New Jersey Economic Development | | | | | |
| Authority, School Facilities | | | | | |
| Construction Revenue | 5.00 | 9/1/09 | 200,000 | | 201,616 |
The Fund 11
STATEMENT OF INVESTMENTS (Unaudited) (continued)
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| New Jersey Economic Development | | | | | |
| Authority, School Facilities | | | | | |
| Construction Revenue | 5.00 | 9/1/09 | 2,320,000 | | 2,341,852 |
| New Jersey Economic Development | | | | | |
| Authority, School Facilities | | | | | |
| Construction Revenue (Liquidity | | | | | |
| Facility; Bank of America) | 0.59 | 6/7/09 | 8,100,000 | a,b | 8,100,000 |
| New Jersey Economic Development | | | | | |
| Authority, School Facilities | | | | | |
| Construction Revenue, Refunding | | | | | |
| (LOC; Allied Irish Banks) | 0.75 | 6/7/09 | 30,740,000 | a | 30,740,000 |
| New Jersey Economic Development | | | | | |
| Authority, School Facilities | | | | | |
| Construction Revenue, Refunding | | | | | |
| (LOC; Dexia Credit Locale) | 1.00 | 6/7/09 | 1,530,000 | a | 1,530,000 |
| New Jersey Economic Development | | | | | |
| Authority, Senior Care Revenue | | | | | |
| (Bayshore Health Care Center | | | | | |
| Project) (LOC; KBC Bank) | 0.32 | 6/7/09 | 1,100,000 | a | 1,100,000 |
| New Jersey Economic Development | | | | | |
| Authority, Special Facility | | | | | |
| Revenue (Port Newark Container | | | | | |
| Terminal LLC Project) (LOC; | | | | | |
| Citibank NA) | 0.40 | 6/7/09 | 36,220,000 | a | 36,220,000 |
| New Jersey Economic Development | | | | | |
| Authority, Thermal Energy | | | | | |
| Facilites Revenue (Thermal | | | | | |
| Energy Limited Partnership I | | | | | |
| Project) (LOC; Bank One NA) | 0.35 | 6/7/09 | 3,800,000 | a | 3,800,000 |
| New Jersey Educational Facilities | | | | | |
| Authority, Higher Education | | | | | |
| Facilities Trust Fund | | | | | |
| Revenue, Refunding | 5.00 | 9/1/09 | 1,150,000 | | 1,160,832 |
| New Jersey Educational Facilities | | | | | |
| Authority, Revenue (Institute | | | | | |
| for Defense Analyses Issue) (LOC; | | | | | |
| Branch Banking and Trust Co.) | 0.35 | 6/7/09 | 4,900,000 | a | 4,900,000 |
| New Jersey Educational Facilities | | | | | |
| Authority, Revenue (The | | | | | |
| William Paterson University of | | | | | |
| New Jersey Issue) (Insured; | | | | | |
| Assured Guaranty) | 4.00 | 7/1/09 | 1,150,000 | | 1,151,805 |
12
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| New Jersey Educational Facilities | | | | | |
| Authority, Revenue, Refunding | | | | | |
| (The College of Saint | | | | | |
| Elizabeth Issue) (LOC; RBS | | | | | |
| Citizens NA) | 2.90 | 6/7/09 | 18,800,000 | a | 18,800,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (AHS Hospital Corporation Issue) | | | | | |
| (LOC; JPMorgan Chase Bank) | 0.10 | 6/7/09 | 5,000,000 | a | 5,000,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (AtlantiCare Regional Medical | | | | | |
| Center) (LOC; Wachovia Bank) | 0.28 | 6/7/09 | 10,700,000 | a | 10,700,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Christian Health Care Center | | | | | |
| Issue) (LOC; Valley National Bank) | 0.27 | 6/7/09 | 7,485,000 | a | 7,485,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Holland Christian Home | | | | | |
| Association) (LOC; Valley | | | | | |
| National Bank) | 0.38 | 6/7/09 | 1,000,000 | a | 1,000,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Hospital Capital Asset | | | | | |
| Financing Program) (LOC; | | | | | |
| JPMorgan Chase Bank) | 0.18 | 6/7/09 | 1,900,000 | a | 1,900,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Hospital Capital Asset | | | | | |
| Financing Program) (LOC; | | | | | |
| JPMorgan Chase Bank) | 0.18 | 6/7/09 | 650,000 | a | 650,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Hospital Capital Asset | | | | | |
| Financing Program) (LOC; | | | | | |
| JPMorgan Chase Bank) | 0.18 | 6/7/09 | 1,625,000 | a | 1,625,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Hospital Capital Asset | | | | | |
| Financing Program) (LOC; | | | | | |
| JPMorgan Chase Bank) | 0.18 | 6/7/09 | 400,000 | a | 400,000 |
The Fund 13
STATEMENT OF INVESTMENTS (Unaudited) (continued)
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Saint Barnabas Health Care | | | | | |
| System Issue) (LOC; JPMorgan | | | | | |
| Chase Bank) | 0.07 | 6/7/09 | 12,000,000 | a | 12,000,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Somerset Medical Center | | | | | |
| Issue) (LOC; TD Bank) | 0.25 | 6/7/09 | 3,100,000 | a | 3,100,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (South Jersey Hospital, Inc.) | | | | | |
| (LOC; Wachovia Bank) | 0.39 | 6/7/09 | 5,200,000 | a | 5,200,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (The Community Hospital Group, | | | | | |
| Inc.) (LOC; Wachovia Bank) | 0.28 | 6/7/09 | 17,240,000 | a | 17,240,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (The Community Hospital Group, | | | | | |
| Inc.) (LOC; Wachovia Bank) | 0.30 | 6/7/09 | 500,000 | a | 500,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Virtua Health Issue) | 0.25 | 6/7/09 | 7,000,000 | a | 7,000,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Virtua Health Issue) (LOC; | | | | | |
| JPMorgan Chase Bank) | 0.10 | 6/1/09 | 11,400,000 | a | 11,400,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue | | | | | |
| (Virtua Health Issue) | | | | | |
| (LOC; TD Bank) | 0.25 | 6/7/09 | 2,000,000 | a | 2,000,000 |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue, | | | | | |
| Refunding (Christian Health | | | | | |
| Care Center Issue) (LOC; | | | | | |
| Valley National Bank) | 0.30 | 6/7/09 | 4,530,000 | a | 4,530,000 |
14
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| New Jersey Health Care Facilities | | | | | |
| Financing Authority, Revenue, | | | | | |
| Refunding (Underwood-Memorial | | | | | |
| Hospital Issue) (LOC; UBS AG) | 0.31 | 6/7/09 | 13,190,000 | a | 13,190,000 |
| New Jersey Housing and Mortgage | | | | | |
| Finance Agency, MFHR (LOC; | | | | | |
| Dexia Credit Locale) | 1.75 | 6/7/09 | 1,990,000 | a | 1,990,000 |
| New Jersey Housing and Mortgage | | | | | |
| Finance Agency, SFHR | | | | | |
| (Liquidity Facility; Dexia | | | | | |
| Credit Locale) | 2.05 | 6/7/09 | 10,625,000 | a | 10,625,000 |
| New Jersey Transit Corporation, | | | | | |
| COP (Federal Transit | | | | | |
| Administration Grants) | 5.50 | 9/15/09 | 8,000,000 | | 8,099,227 |
| New Jersey Transportation | | | | | |
| Trust Fund Authority | | | | | |
| (Transportation System) | 5.50 | 6/15/09 | 1,000,000 | | 1,001,304 |
| New Jersey Transportation Trust | | | | | |
| Fund Authority (Transportation | | | | | |
| System) (Prerefunded) | 5.13 | 6/15/09 | 175,000 | c | 175,199 |
| New Jersey Transportation Trust | | | | | |
| Fund Authority, Grant | | | | | |
| Anticipation Bonds | 5.00 | 6/15/09 | 4,000,000 | | 4,004,302 |
| New Jersey Turnpike Authority, | | | | | |
| Turnpike Revenue (Insured; FSA | | | | | |
| and Liquidity Facility; Dexia | | | | | |
| Credit Locale) | 1.50 | 6/7/09 | 30,900,000 | a | 30,900,000 |
| New Jersey Turnpike | | | | | |
| Authority, Turnpike | | | | | |
| Revenue (Insured; FSA | | | | | |
| and Liquidity Facility; | | | | | |
| Dexia Credit Locale) | 1.50 | 6/7/09 | 19,500,000 | a | 19,500,000 |
| Newark, | | | | | |
| GO Notes, Refunding | 2.50 | 10/1/09 | 3,535,000 | | 3,546,519 |
| Parsippany-Troy Hill Township, | | | | | |
| GO Notes, Refunding | 3.00 | 12/1/09 | 250,000 | | 252,788 |
The Fund 15
STATEMENT OF INVESTMENTS (Unaudited) (continued)
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| Port Authority of New York and New | | | | | |
| Jersey (Consolidated Bonds, | | | | | |
| 122nd Series) | 5.25 | 7/15/09 | 7,000,000 | | 7,024,937 |
| Port Authority of New York and New | | | | | |
| Jersey (Consolidated Bonds, | | | | | |
| 133rd Series) (Insured; FSA) | 2.50 | 7/15/09 | 380,000 | | 380,225 |
| Port Authority of New York and New | | | | | |
| Jersey (Consolidated Bonds, | | | | | |
| 139th Series) (Liquidity | | | | | |
| Facility; Dexia Credit Locale | | | | | |
| and LOC; Dexia Credit Locale) | 2.53 | 6/7/09 | 4,980,000 | a,b | 4,980,000 |
| Port Authority of New York and New | | | | | |
| Jersey (Consolidated Bonds, | | | | | |
| 152nd Series) (Liquidity | | | | | |
| Facility; JPMorgan Chase Bank) | 0.45 | 6/7/09 | 1,660,000 | a,b | 1,660,000 |
| Port Authority of New York and New | | | | | |
| Jersey, CP (Liquidity | | | | | |
| Facility; Landesbank | | | | | |
| Hessen-Thuringen Girozentrale) | 1.10 | 6/2/09 | 15,000,000 | | 15,000,000 |
| Port Authority of New York and New | | | | | |
| Jersey, CP (Liquidity | | | | | |
| Facility; Landesbank | | | | | |
| Hessen-Thuringen Girozentrale) | 1.10 | 6/4/09 | 2,000,000 | | 2,000,000 |
| Port Authority of New York and New | | | | | |
| Jersey, Equipment Notes | 0.45 | 6/7/09 | 1,255,000 | a | 1,255,000 |
| Port Authority of New York and New | | | | | |
| Jersey, Equipment Notes | 0.45 | 6/7/09 | 5,800,000 | a | 5,800,000 |
| Port Authority of New York and New | | | | | |
| Jersey, Special Obligation | | | | | |
| Revenue (Versatile Structure | | | | | |
| Obligation) (LOC; Bayerische | | | | | |
| Landesbank) | 0.40 | 6/1/09 | 10,600,000 | a | 10,600,000 |
| Princeton Borough, | | | | | |
| GO Notes, BAN | 2.50 | 6/12/09 | 4,297,000 | | 4,297,890 |
16
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| Puttable Floating Option Tax | | | | | |
| Exempt Receipts (New Jersey | | | | | |
| Economic Development | | | | | |
| Authority, Assisted Living | | | | | |
| Facility Revenue (Meridian | | | | | |
| Assisted Living at Bridgewater | | | | | |
| Project)) (LOC; Merrill Lynch | | | | | |
| Capital Services and Liquidity | | | | | |
| Facility; Merrill Lynch | | | | | |
| Capital Services) | 1.52 | 6/7/09 | 14,150,000 | a,b | 14,150,000 |
| Rutherford, | | | | | |
| GO Notes, BAN | 1.50 | 6/30/09 | 7,000,000 | | 7,002,741 |
| South Orange Village Township, | | | | | |
| BAN | 2.50 | 9/11/09 | 3,695,373 | | 3,699,919 |
| Tobacco Settlement Financing | | | | | |
| Corporation of New Jersey, | | | | | |
| Tobacco Settlement | | | | | |
| Asset-Backed Bonds | 5.00 | 6/1/09 | 895,000 | | 895,000 |
| Tobacco Settlement Financing | | | | | |
| Corporation of New Jersey, | | | | | |
| Tobacco Settlement | | | | | |
| Asset-Backed Bonds (Liquidity | | | | | |
| Facility; Merrill Lynch | | | | | |
| Capital Services and LOC; | | | | | |
| Merrill Lynch and Company Inc.) | 0.82 | 6/7/09 | 32,400,000 | a,b | 32,400,000 |
| Tobacco Settlement Financing | | | | | |
| Corporation of New Jersey, | | | | | |
| Tobacco Settlement | | | | | |
| Asset-Backed Bonds (Liquidity | | | | | |
| Facility; Merrill Lynch | | | | | |
| Capital Services and LOC; | | | | | |
| Merrill Lynch) | 0.82 | 6/7/09 | 5,115,000 | a,b | 5,115,000 |
| Wayne Township, | | | | | |
| GO Notes, BAN | 2.50 | 9/18/09 | 3,000,000 | | 3,002,625 |
The Fund 17
STATEMENT OF INVESTMENTS (Unaudited) (continued)
| | | | | |
| Short-Term | Coupon | Maturity | Principal | | |
| Investments (continued) | Rate (%) | Date | Amount ($) | | Value ($) |
| New Jersey (continued) | | | | | |
| Westfield, | | | | | |
| GO Notes, BAN | 1.50 | 7/17/09 | 2,000,000 | | 2,000,623 |
| U.S. Related—2.4% | | | | | |
| Eagle Tax-Exempt Trust | | | | | |
| (Puerto Rico Sales Tax | | | | | |
| Financing Corporation, Sales | | | | | |
| Tax Revenue, BAN) (Liquidity | | | | | |
| Facility; Citibank NA and LOC; | | | | | |
| Citibank NA) | 0.64 | 6/7/09 | 8,000,000 | a,b | 8,000,000 |
| Puerto Rico Industrial, Tourist, | | | | | |
| Educational, Medical and | | | | | |
| Environmental Control | | | | | |
| Facilities Financing Authority, | | | | | |
| Environmental Control Facilities | | | | | |
| Revenue (Bristol-Myers | | | | | |
| Squibb Company Project) | 0.44 | 6/7/09 | 6,300,000 | a | 6,300,000 |
| |
| Total Investments (cost $586,191,943) | | | 99.7% | | 586,191,943 |
| |
| Cash and Receivables (Net) | | | .3% | | 1,533,501 |
| |
| Net Assets | | | 100.0% | | 587,725,444 |
|
| a Variable rate demand note—rate shown is the interest rate in effect at May 31, 2009. Maturity date represents the |
| next demand date, or the ultimate maturity date if earlier. |
| b Securities exempt from registration under Rule 144A of the Securities Act of 1933.These securities may be resold in |
| transactions exempt from registration, normally to qualified institutional buyers. At May 31, 2009, these securities |
| amounted to $81,350,000 or 13.8% of net assets. |
| c This security is prerefunded; the date shown represents the prerefunded date. 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. |
18
| | | |
| Summary of Abbreviations | | |
| |
| ABAG | Association of Bay Area Governments | ACA | American Capital Access |
| AGC | ACE Guaranty Corporation | AGIC | Asset Guaranty Insurance Company |
| AMBAC | American Municipal Bond | | |
| | Assurance Corporation | ARRN | Adjustable Rate Receipt Notes |
| BAN | Bond Anticipation Notes | BIGI | Bond Investors Guaranty Insurance |
| BPA | Bond Purchase Agreement | CGIC | Capital Guaranty Insurance Company |
| CIC | Continental Insurance Company | CIFG | CDC Ixis Financial Guaranty |
| CMAC | Capital Markets Assurance Corporation | COP | Certificate of Participation |
| CP | Commercial Paper | EDR | Economic Development Revenue |
| EIR | Environmental Improvement Revenue | FGIC | Financial Guaranty Insurance |
| | | | Company |
| FHA | Federal Housing Administration | FHLB | Federal Home Loan Bank |
| FHLMC | Federal Home Loan Mortgage | FNMA | Federal National |
| | Corporation | | Mortgage Association |
| FSA | Financial Security Assurance | GAN | Grant Anticipation Notes |
| GIC | Guaranteed Investment Contract | GNMA | Government National |
| | | | Mortgage Association |
| GO | General Obligation | HR | Hospital Revenue |
| IDB | Industrial Development Board | IDC | Industrial Development Corporation |
| IDR | Industrial Development Revenue | LOC | Letter of Credit |
| LOR | Limited Obligation Revenue | LR | Lease Revenue |
| MFHR | Multi-Family Housing Revenue | MFMR | Multi-Family Mortgage Revenue |
| PCR | Pollution Control Revenue | PILOT | Payment in Lieu of Taxes |
| RAC | Revenue Anticipation Certificates | RAN | Revenue Anticipation Notes |
| RAW | Revenue Anticipation Warrants | RRR | Resources Recovery Revenue |
| SAAN | State Aid Anticipation Notes | SBPA | Standby Bond Purchase Agreement |
| SFHR | Single Family Housing Revenue | SFMR | Single Family Mortgage Revenue |
| SONYMA | State of New York Mortgage Agency | SWDR | Solid Waste Disposal Revenue |
| TAN | Tax Anticipation Notes | TAW | Tax Anticipation Warrants |
| TRAN | Tax and Revenue Anticipation Notes | XLCA | XL Capital Assurance |
The Fund 19
STATEMENT OF INVESTMENTS (Unaudited) (continued)
| | | | | |
| Summary of Combined Ratings (Unaudited) | |
| |
| Fitch | or | Moody’s | or | Standard & Poor’s | Value (%)† |
| F1+,F1 | | VMIG1,MIG1,P1 | | SP1+,SP1,A1+,A1 | 77.0 |
| AAA,AA,Ad | | Aaa,Aa,Ad | | AAA,AA,Ad | 7.9 |
| Not Ratede | | Not Ratede | | Not Ratede | 15.1 |
| | | | | | 100.0 |
| |
| † | Based on total investments. |
| d | Notes which are not F, MIG and SP rated are represented by bond ratings of the issuers. |
| e | Securities which, while not rated by Fitch, Moody’s and Standard & Poor’s, have been determined by the Manager to |
| | be of comparable quality to those rated securities in which the fund may invest. |
| See notes to financial statements. |
20
|
| STATEMENT OF ASSETS AND LIABILITIES |
| May 31, 2009 (Unaudited) |
| | |
| | Cost | Value |
| Assets ($): | | |
| Investments in securities—See Statement of Investments | 586,191,943 | 586,191,943 |
| Interest receivable | | 2,054,009 |
| Prepaid expenses | | 78,390 |
| | | 588,324,342 |
| Liabilities ($): | | |
| Due to The Dreyfus Corporation and affiliates—Note 2(b) | | 279,868 |
| Cash overdraft due to Custodian | | 216,033 |
| Payable for shares of Common Stock redeemed | | 75,038 |
| Accrued expenses | | 27,959 |
| | | 598,898 |
| Net Assets ($) | | 587,725,444 |
| Composition of Net Assets ($): | | |
| Paid-in capital | | 587,707,206 |
| Accumulated net realized gain (loss) on investments | | 18,238 |
| Net Assets ($) | | 587,725,444 |
| Shares Outstanding | | |
| (2 billion shares of $.001 par value Common Stock authorized) | | 587,803,873 |
| Net Asset Value, offering and redemption price per share ($) | | 1.00 |
| |
| See notes to financial statements. | | |
The Fund 21
| |
| STATEMENT OF OPERATIONS | |
| Six Months Ended May 31, 2009 (Unaudited) | |
| |
| |
| |
| |
| Investment Income ($): | |
| Interest Income | 3,021,166 |
| Expenses: | |
| Management fee—Note 2(a) | 1,334,025 |
| Shareholder servicing costs—Note 2(b) | 149,665 |
| Treasury insurance expense—Note 1(e) | 110,840 |
| Professional fees | 42,027 |
| Custodian fees—Note 2(b) | 28,228 |
| Directors’ fees and expenses—Note 2(c) | 24,866 |
| Registration fees | 9,973 |
| Prospectus and shareholders’ reports | 9,848 |
| Miscellaneous | 15,228 |
| Total Expenses | 1,724,700 |
| Less—reduction in fees due to earnings credits—Note 1(b) | (36,274) |
| Net Expenses | 1,688,426 |
| Investment Income—Net, representing net increase | |
| in net assets resulting from operations | 1,332,740 |
| |
| See notes to financial statements. | |
22
STATEMENT OF CHANGES IN NET ASSETS
| | |
| | Six Months Ended | |
| | May 31, 2009 | Year Ended |
| | (Unaudited) | November 30, 2008 |
| Operations ($): | | |
| Investment income—net | 1,332,740 | 10,988,478 |
| Net realized gain (loss) on investments | — | 18,238 |
| Net Increase (Decrease) in Net Assets | | |
| Resulting from Operations | 1,332,740 | 11,006,716 |
| Dividends to Shareholders from ($): | | |
| Investment income—net | (1,332,740) | (11,089,133) |
| Capital Stock Transactions ($1.00 per share): | | |
| Net proceeds from shares sold | 586,093,422 | 1,222,479,994 |
| Dividends reinvested | 1,104,016 | 9,160,392 |
| Cost of shares redeemed | (496,558,147) | (1,211,386,455) |
| Increase (Decrease) in Net Assets | | |
| from Capital Stock Transactions | 90,639,291 | 20,253,931 |
| Total Increase (Decrease) in Net Assets | 90,639,291 | 20,171,514 |
| Net Assets ($): | | |
| Beginning of Period | 497,086,153 | 476,914,639 |
| End of Period | 587,725,444 | 497,086,153 |
| |
| See notes to financial statements. | | |
The Fund 23
FINANCIAL HIGHLIGHTS
The following table describes the performance for the fiscal periods indicated. Total return shows how much your investment in the fund would have increased (or decreased) during each period, assuming you had reinvested all dividends and distributions.These figures have been derived from the fund’s financial statements.
| | | | | | | | |
| | | | | | | Ten Months | | |
| | Six Months Ended | | | | Ended | Year Ended |
| | May 31, 2009 | Year Ended November 30, | November 30, | January 31, |
| | (Unaudited) | 2008 | 2007 | 2006 | 2005a | 2005 | 2004 |
| Per Share Data ($): | | | | | | | |
| Net asset value, | | | | | | | | |
| beginning of period | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 |
| Investment Operations: | | | | | | | |
| Investment income—net | .003 | .021 | .031 | .027 | .015 | .006 | .005 |
| Distributions: | | | | | | | | |
| Dividends from | | | | | | | | |
| investment | | | | | | | | |
| income—net | | (.003) | (.021) | (.031) | (.027) | (.015) | (.006) | (.005) |
| Net asset value, | | | | | | | | |
| end of period | | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 |
| Total Return (%) | .52b | 2.13 | 3.11 | 2.76 | 1.79b | .64 | .46 |
| Ratios/Supplemental | | | | | | | |
| Data (%): | | | | | | | | |
| Ratio of total expenses | | | | | | | |
| to average net assets | .65b | .60 | .62 | .64 | .65b | .65 | .64 |
| Ratio of net expenses | | | | | | | |
| to average net assets | .63b | .59 | .61 | .64 | .65b | .65c | .64 |
| Ratio of net investment | | | | | | | |
| income to average | | | | | | | |
| net assets | | .50b | 2.05 | 3.07 | 2.73 | 1.79b | .63 | .46 |
| Net Assets, | | | | | | | | |
| end of period | | | | | | | | |
| ($ x 1,000) | 587,725 | 497,086 | 476,915 | 374,567 | 372,699 | 342,316 372,384 |
| |
| a | The fund has changed its fiscal year end from January 31 to November 30. |
| b | Annualized. |
| c | Expense waivers and/or reimbursements amounted to less than .01%. |
| See notes to financial statements. |
24
NOTES TO FINANCIAL STATEMENTS (Unaudited)
NOTE 1—Significant Accounting Policies:
Dreyfus New Jersey Municipal Money Market Fund, Inc. (the “fund”) is registered under the Investment Company Act of 1940, as amended (the “Act”), as a non-diversified open-end management investment company.The fund’s investment objective is to provide investors with as high a level of current income exempt from federal and New Jersey state income taxes as is consistent with the preservation of capital and the maintenance of liquidity. The Dreyfus Corporation (the “Manager” or “Dreyfus”), a wholly-owned subsidiary of The Bank of New York Mellon Corporation (“BNY Mellon”), serves as the fund’s investment adviser. MBSC Securities Corporation (the “Distributor”), a wholly-owned subsidiary of the Manager, is the distributor of the fund’s shares, which are sold without a sales charge.
It is the fund’s policy to maintain a continuous net asset value per share of $1.00; the fund has adopted certain investment, portfolio valuation and dividend and distribution policies to enable it to do so.There is no assurance, however, that the fund will be able to maintain a stable net asset value per share of $1.00.
The fund’s financial statements are prepared in accordance with U.S. generally accepted accounting principles, which may require the use of management estimates and assumptions. Actual results could differ from those estimates.
The fund enters into contracts that contain a variety of indemnifications. The fund’s maximum exposure under these arrangements is unknown.The fund does not anticipate recognizing any loss related to these arrangements.
(a) Portfolio valuation: Investments in securities are valued at amortized cost in accordance with Rule 2a-7 of the Act, which has been determined by the Board of Directors to represent the fair value of the fund’s investments.
The Fund 25
NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)
The fund adopted Statement of Financial Accounting Standards No. 157 “FairValue Measurements” (“FAS 157”). FAS 157 establishes an authoritative definition of fair value, sets out a framework for measuring fair value, and requires additional disclosures about fair value measurements.
Various inputs are used in determining the value of the fund’s investments relating to FAS 157.These inputs are summarized in the three broad levels listed below.
Level 1—quoted prices in active markets for identical investments.
Level 2—other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.).
Level 3—significant unobservable inputs (including the fund’s own assumptions in determining the fair value of investments).
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. For example, money market securities are valued using amortized cost, in accordance with rules under the Act. Generally, amortized cost approximates the current fair value of a security, but since the value is not obtained from a quoted price in an active market, such securities are reflected as Level 2.
The following is a summary of the inputs used as of May 31, 2009 in valuing the fund’s investments:
| |
| | Investments in |
| Valuation Inputs | Securities ($) |
| Level 1—Quoted Prices | — |
| Level 2—Other Significant Observable Inputs | 586,191,943 |
| Level 3—Significant Unobservable Inputs | — |
| Total | 586,191,943 |
In April 2009, the Financial Accounting Standards Board (“FASB”) issued FASB Staff Position No. 157-4,“Determining Fair Value When the Volume and Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions That Are Not
26
Orderly” (“FSP 157-4”). FSP 157-4 provides additional guidance for estimating fair value in accordance with FAS 157, when the volume and level of activity for the asset or liability have significantly decreased as well as guidance on identifying circumstances that indicate a transaction is not orderly. FSP 157-4 is effective for fiscal years and interim periods ending after June 15, 2009. Management is currently evaluating the impact the adoption of FSP 157-4 will have on the fund’s financial statement disclosures.
(b) Securities transactions and investment income: Securities transactions are recorded on a trade date basis. Interest income, adjusted for accretion of discount and amortization of premium on investments, is earned from settlement date and recognized on the accrual basis. Realized gains and losses from securities transactions are recorded on the identified cost basis. Cost of investments represents amortized cost.
The fund has arrangements with the custodian and cash management banks whereby the fund may receive earnings credits when positive cash balances are maintained, which are used to offset custody and cash management fees. For financial reporting purposes, the fund includes net earnings credits as an expense offset in the Statement of Operations.
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 gains, 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 of 1986, as amended (the “Code”).To the extent that net realized capital gains can be offset by capital loss carryovers, it is the policy of the fund not to distribute such gains.
The Fund 27
NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)
(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 Code, and to make distributions of income and net realized capital gain sufficient to relieve it from substantially all federal income and excise taxes.
As of and during the period ended May 31, 2009, the fund did not have any liabilities for any uncertain tax positions.The fund recognizes interest and penalties, if any, related to uncertain tax positions as income tax expense in the Statement of Operations. During the period, the fund did not incur any interest or penalties.
Each of the tax years in the three-year period ended November 30, 2008 remains subject to examination by the Internal Revenue Service and state taxing authorities.
The tax character of distributions paid to shareholders during the fiscal year ended November 30, 2008 was as follows: tax exempt income $10,988,478, ordinary income $96,712 and long-term capital gains $3,943.The tax character of current year distributions will be determined at the end of the current fiscal year.
At May 31, 2009, 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).
(e) Treasury’s Temporary Guarantee Program: The fund has entered into a Guarantee Agreement with the United States Department of the Treasury (the “Treasury”) to participate in the Treasury’s Temporary Guarantee Program for Money Market Funds (the “Program”).
Under the Program, the Treasury guarantees the share price of shares of the fund held by shareholders as of September 19, 2008 at $1.00 per share if the fund’s net asset value per share falls below $0.995 (a “Guarantee Event”) and the fund liquidates. Recovery under the Program is subject to certain conditions and limitations.
28
Fund shares acquired by investors after September 19, 2008 that increase the number of fund shares the investor held at the close of business on September 19, 2008 are not eligible for protection under the Program. In addition, fund shares acquired by investors who did not hold fund shares at the close of business on September 19, 2008 are not eligible for protection under the Program.
The Program, which was originally set to expire on December 18, 2008, was initially extended by the Treasury until April 30, 2009 and has been further extended by the Treasury until September 18, 2009, after which the Secretary of the Treasury will review the need for, and terms of, the Program. Participation in the initial term and the extended periods of the Program required a payment to the Treasury in the amount of .01%, .015% and .015%, respectively, of the fund’s shares outstanding as of September 19, 2008 (valued at $1.00 per share).This expense is being borne by the fund without regard to any expense limitation currently in effect.
NOTE 2—Management Fee and Other Transactions with Affiliates:
(a) Pursuant to a management agreement with the Manager, the management fee is computed at the annual rate of .50% of the value of the fund’s average daily net assets and is payable monthly.
The Manager has undertaken to reimburse expenses in the event that current yields drop below a certain level.This undertaking is voluntary and not contractual and may be terminate at any time. During the period ended May 31, 2009, there was no expense reimbursement pursuant to the undertaking.
(b) Under the Shareholder Services Plan, the fund reimburses the Distributor an amount not to exceed an annual rate of ..25% of the value of the fund’s average daily net assets for certain allocated expenses of providing personal services and/or maintaining shareholder accounts.
The Fund 29
NOTES TO FINANCIAL STATEMENTS (Unaudited) (continued)
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 period ended May 31, 2009, the fund was charged $74,860 pursuant to the Shareholder Services Plan.
The fund compensates Dreyfus Transfer, Inc., a wholly-owned subsidiary of the Manager, under a transfer agency agreement, for providing personnel and facilities to perform transfer agency services for the fund. During the period ended May 31, 2009, the fund was charged $39,839 pursuant to the transfer agency agreement.
The fund compensates The Bank of New York Mellon, a subsidiary of BNY Mellon and an affiliate of Dreyfus, under a cash management agreement for performing cash management services related to fund subscriptions and redemptions. During the period ended May 31, 2009, the fund was charged $4,127 pursuant to the cash management agreement. These fees were offset by earnings credit pursuant to the cash management agreement.
The fund also compensates The Bank of New York Mellon under a custody agreement for providing custodial services for the fund. During the period ended May 31, 2009, the fund was charged $28,228 pursuant to the custody agreement.
During the period ended May 31, 2009, the fund was charged $3,291 for services performed by the Chief Compliance Officer.
The components of “Due to The Dreyfus Corporation and affiliates” in the Statement of Assets and Liabilities consist of: management fees $241,302, custodian fees $24,216, chief compliance officer fees $1,150 and transfer agency per account fees $13,200.
(c) Each Board member also serves as a Board member of other funds within the Dreyfus complex. Annual retainer fees and attendance fees are allocated to each fund based on net assets.
30
NOTES
| |
| Item 2. | Code of Ethics. |
| | Not applicable. |
| Item 3. | Audit Committee Financial Expert. |
| | Not applicable. |
| Item 4. | Principal Accountant Fees and Services. |
| | Not applicable. |
| Item 5. | Audit Committee of Listed Registrants. |
| | Not applicable. |
| Item 6. | Investments. |
| (a) | Not applicable. |
| Item 7. | Disclosure of Proxy Voting Policies and Procedures for Closed-End Management |
| | Investment Companies. |
| | Not applicable. |
| Item 8. | Portfolio Managers of Closed-End Management Investment Companies. |
| | Not applicable. |
| Item 9. | Purchases of Equity Securities by Closed-End Management Investment Companies and |
| | Affiliated Purchasers. |
| | Not applicable. [CLOSED END FUNDS ONLY] |
| Item 10. | Submission of Matters to a Vote of Security Holders. |
| | There have been no material changes to the procedures applicable to Item 10. |
| Item 11. | Controls and Procedures. |
(a) The Registrant's principal executive and principal financial officers have concluded, based on their evaluation of the Registrant's disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the Registrant's disclosure controls and procedures are reasonably designed to ensure that information required to be disclosed by the Registrant on Form N-CSR is recorded, processed, summarized and reported within the required time periods and that information required to be disclosed by the Registrant in the reports that it files or submits on Form N-CSR is accumulated and communicated to the Registrant's management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.
(b) There were no changes to the Registrant's internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant's internal control over financial reporting.
3
(a)(1) Not applicable.
(a)(2) Certifications of principal executive and principal financial officers as required by Rule 30a-2(a) under the Investment Company Act of 1940.
(a)(3) Not applicable.
(b) Certification of principal executive and principal financial officers as required by Rule 30a-2(b) under the Investment Company Act of 1940.
4
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the Registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.
DREYFUS NEW JERSEY MUNICIPAL MONEY MARKET FUND, INC.
| |
| By: | /s/ J. David Officer |
| | J. David Officer, |
| President |
| |
| Date: | July 23, 2009 |
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this Report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.
| |
| By: | /s/ J. David Officer |
| | J. David Officer, |
| President |
| |
| Date: | July 23, 2009 |
| |
| By: | /s/ James Windels |
| | James Windels, |
| Treasurer |
| |
| Date: | July 23, 2009 |
5
EXHIBIT INDEX
(a)(2) Certifications of principal executive and principal financial officers as required by Rule 30a-2(a) under the Investment Company Act of 1940. (EX-99.CERT)
(b) Certification of principal executive and principal financial officers as required by Rule 30a-2(b) under the Investment Company Act of 1940. (EX-99.906CERT)
6
