Cash Trust Series NCSR Certified annual shareholder report (management investment company)

United States

Securities and Exchange Commission

Washington, D.C. 20549

Form N-CSR

Certified Shareholder Report of Registered Management Investment Companies

811-5843

(Investment Company Act File Number)

Cash Trust Series, Inc.

_______________________________________________________________

(Exact Name of Registrant as Specified in Charter)

Federated Investors Funds

4000 Ericsson Drive

Warrendale, Pennsylvania 15086-7561

(Address of Principal Executive Offices)

(412) 288-1900

(Registrant's Telephone Number)

John W. McGonigle, Esquire

Federated Investors Tower

1001 Liberty Avenue

Pittsburgh, Pennsylvania 15222-3779

(Name and Address of Agent for Service)

(Notices should be sent to the Agent for Service)

Date of Fiscal Year End: 05/31/09

Date of Reporting Period: 05/31/09

Item 1. Reports to Stockholders

Federated
World-Class Investment Manager

Government Cash Series

A Portfolio of Cash Trust Series, Inc.

ANNUAL SHAREHOLDER REPORT

May 31, 2009

FINANCIAL HIGHLIGHTS
SHAREHOLDER EXPENSE EXAMPLE
PORTFOLIO OF INVESTMENTS SUMMARY TABLES
PORTFOLIO OF INVESTMENTS
STATEMENT OF ASSETS AND LIABILITIES
STATEMENT OF OPERATIONS
STATEMENT OF CHANGES IN NET ASSETS
NOTES TO FINANCIAL STATEMENTS
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
BOARD OF DIRECTORS AND CORPORATION OFFICERS
EVALUATION AND APPROVAL OF ADVISORY CONTRACT
VOTING PROXIES ON FUND PORTFOLIO SECURITIES
QUARTERLY PORTFOLIO SCHEDULE

Not FDIC Insured * May Lose Value * No Bank Guarantee

Financial Highlights

(For a Share Outstanding Throughout Each Period)

Year Ended May 31	2009			2008			2007			2006	¹		2005
Net Asset Value, Beginning of Period	$1.00			$1.00			$1.00			$1.00			$1.00
Income From Investment Operations:
Net investment income	0.0063			0.0324			0.0424			0.0302			0.0099
Less Distributions:
Distributions from net investment income	(0.0063	)		(0.0324	)		(0.0424	)		(0.0302	)		(0.0099	)
Net Asset Value, End of Period	$1.00			$1.00			$1.00			$1.00			$1.00
Total Return²	0.64	%		3.29	%		4.32	%		3.06	%		0.99	%

Ratios to Average Net Assets:
Net expenses	1.00	%		1.05	%		1.05	%		1.05	%		1.05	%
Net investment income	0.60	%		3.08	%		4.24	%		2.98	%		1.08	%
Expense waiver/reimbursement³	0.11	%		0.01	%		0.03	%		0.05	%		0.02	%
Supplemental Data:
Net assets, end of period (000 omitted)	$946,354		$850,101			$549,287			$487,625			$546,590

1 Beginning with the year ended May 31, 2006, the Fund was audited by Ernst & Young LLP. The previous year was audited by another independent registered public accounting firm.

2 Based on net asset value.

3 This expense decrease is reflected in both the net expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Shareholder Expense Example (unaudited)

As a shareholder of the Fund, you incur ongoing costs, including management fees and to the extent applicable, distribution (12b-1) fees and/or shareholder services fees and other Fund expenses. This Example is intended to help you to understand your ongoing costs (in dollars) of investing in the Fund and to compare these costs with the ongoing costs of investing in other mutual funds. It is based on an investment of $1,000 invested at the beginning of the period and held for the entire period from December 1, 2008 to May 31, 2009.

ACTUAL EXPENSES

The first section of the table below provides information about actual account values and actual expenses. You may use the information in this section, together with the amount you invested, to estimate the expenses that you incurred over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first section under the heading entitled "Expenses Paid During Period" to estimate the expenses attributable to your investment during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The second section of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. Thus, you should not use the hypothetical account values and expenses to estimate the actual ending account balance or your expenses for the period. Rather, these figures are required to be provided to enable you to compare the ongoing costs of investing in the Fund with other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

Please note that the expenses shown in the table are meant to highlight your ongoing costs only. Therefore, the second section of the table is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

	Beginning Account Value 12/1/2008	Ending Account Value 5/31/2009	Expenses Paid During Period¹
Actual	$1,000	$1,000.50	$4.69
Hypothetical (assuming a 5% return before expenses)	$1,000	$1,020.24	$4.73

1 Expenses are equal to the Fund's annualized net expense ratio of 0.94%, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half-year period).

Portfolio of Investments Summary Tables (unaudited)

At May 31, 2009, the Fund's portfolio composition¹ was as follows:

Security Type	Percentage of Total Net Assets
U.S. Government Agency Securities	54.8	%
Repurchase Agreements	45.1	%
U.S. Treasury Securities	0.7	%
Other Assets and Liabilities - Net²	(0.6	)%
TOTAL	100.0	%

At May 31, 2009, the Fund's effective maturity schedule³ was as follows:

Securities with an Effective Maturity of:	Percentage of Total Net Assets
1-7 Days	46.7	%
8-30 Days	12.3	%
31-90 Days	28.2	%
91-180 Days	6.6	%
181 Days or more	6.8	%
Other Assets and Liabilities - Net²	(0.6	)%
TOTAL	100.0	%

1 See the Fund's Prospectus and Statement of Additional Information for a description of the principal types of securities in which the Fund invests.

2 Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.

3 Effective maturity is determined in accordance with the requirements of Rule 2a-7 under the Investment Company Act of 1940, which regulates money market mutual funds.

Portfolio of Investments

May 31, 2009

Principal Amount					Value
			GOVERNMENT AGENCIES--54.8%
$	4,000,000	¹	Federal Farm Credit System Floating Rate Notes, 0.305%, 6/8/2009	$	4,000,000
	49,750,000	²	Federal Home Loan Bank System Discount Notes, 0.220% - 3.200%, 7/13/2009 - 1/11/2010		49,568,928
	175,000,000	¹	Federal Home Loan Bank System Floating Rate Notes, 0.250% - 1.293%, 6/1/2009 - 8/25/2009		174,948,377
	63,135,000		Federal Home Loan Bank System Notes, 0.330% - 5.250%, 6/4/2009 - 4/1/2010		63,185,402
	35,000,000	²	Federal Home Loan Mortgage Corp. Discount Notes, 0.250% - 0.732%, 8/17/2009 - 2/23/2010		34,916,797
	78,000,000	¹	Federal Home Loan Mortgage Corp. Floating Rate Notes, 0.246% - 1.263%, 6/1/2009 - 8/24/2009		77,987,998
	6,000,000		Federal Home Loan Mortgage Corp. Notes, 7.000%, 3/15/2010		6,307,860
	48,807,000	²	Federal National Mortgage Association Discount Notes, 0.320% - 3.200%, 6/10/2009 - 12/21/2009		48,736,887
	41,000,000	¹	Federal National Mortgage Association Floating Rate Notes, 0.410% - 0.913%, 6/1/2009 - 8/12/2009		40,993,783
	17,800,000		Federal National Mortgage Association Notes, 6.625% - 7.250%, 9/15/2009 - 1/15/2010		18,230,494
			TOTAL GOVERNMENT AGENCIES		518,876,526
			U.S. TREASURY--0.7%
	6,000,000	²	United States Treasury Bills, 0.705%, 12/17/2009		5,976,618
Principal Amount					Value
			REPURCHASE AGREEMENTS--45.1%
$	25,000,000	³	Interest in $2,600,000,000 joint repurchase agreement 0.21%, dated 5/27/2009 under which BNP Paribas Securities Corp. will repurchase securities provided as collateral for $2,600,621,833 on 7/7/2009. The securities provided as collateral at the end of the period were U.S. Government Agency securities with various maturities to 9/1/2047 and the market value of those underlying securities was $2,652,077,350.	$	25,000,000
	7,000,000	³	Interest in $725,000,000 joint repurchase agreement 0.25%, dated 5/6/2009 under which BNP Paribas Securities Corp. will repurchase securities provided as collateral for $725,307,118 on 7/7/2009. The securities provided as collateral at the end of the period were U.S. Government Agency securities with various maturities to 7/1/2045 and the market value of those underlying securities was $746,374,838.		7,000,000
	25,000,000	³	Interest in $3,500,000,000 joint repurchase agreement 0.20%, dated 5/27/2009 under which Barclays Capital, Inc. will repurchase securities provided as collateral for $3,500,641,667 on 6/30/2009. The securities provided as collateral at the end of the period were U.S. Government Agency securities with various maturities to 9/20/2038 and the market value of those underlying securities was $3,600,953,473.		25,000,000
	25,000,000	³	Interest in $2,000,000,000 joint repurchase agreement 0.18%, dated 5/26/2009 under which Credit Suisse First Boston Corp. will repurchase securities provided as collateral for $2,000,070,000 on 6/2/2009. The securities provided as collateral at the end of the period were U.S. Government Agency securities with various maturities to 10/15/2047 and the market value of those underlying securities was $2,060,036,157.		25,000,000
	9,000,000	³	Interest in $1,050,000,000 joint repurchase agreement 0.24%, dated 5/15/2009 under which ING Financial Markets LLC will repurchase securities provided as collateral for $1,050,217,000 on 6/15/2009. The securities provided as collateral at the end of the period were U.S. Government Agency securities with various maturities to 7/25/2048 and the market value of those underlying securities was $1,081,605,928.		9,000,000
	135,822,000		Interest in $8,200,000,000 joint repurchase agreement 0.17%, dated 5/29/2009 under which JPMorgan Securities, Inc. will repurchase securities provided as collateral for $8,200,116,167 on 6/1/2009. The securities provided as collateral at the end of the period were U.S. Treasury securities with various maturities to 5/25/2018 and the market value of those underlying securities was $8,364,000,305.		135,822,000
	100,000,000		Interest in $500,000,000 joint repurchase agreement 0.19%, dated 5/29/2009 under which Merrill Lynch Government Securities/Money Market will repurchase securities provided as collateral for $500,007,917 on 6/1/2009. The securities provided as collateral at the end of the period were U.S. Government Agency securities with various maturities to 10/15/2037 and the market value of those underlying securities was $515,000,747.		100,000,000
Principal Amount					Value
			REPURCHASE AGREEMENTS--continued
$	75,000,000		Interest in $2,000,000,000 joint repurchase agreement 0.20%, dated 5/29/2009 under which Societe Generale New York will repurchase securities provided as collateral for $2,000,033,333 on 6/1/2009. The securities provided as collateral at the end of the period were U.S. Government Agency securities with various maturities to 12/16/2040 and the market value of those underlying securities was $2,052,573,023.	$	75,000,000
	25,000,000		Interest in $150,000,000 joint repurchase agreement 0.22%, dated 5/29/2009 under which Westdeutsche Landesbank Girozentrale, New York will repurchase securities provided as collateral for $150,002,750 on 6/1/2009. The securities provided as collateral at the end of the period were U.S. Government Agency securities with various maturities to 5/1/2036 and the market value of those underlying securities was $153,566,527.		25,000,000
			TOTAL REPURCHASE AGREEMENTS		426,822,000
			TOTAL INVESTMENTS--100.6% (AT AMORTIZED COST)⁴		951,675,144
			OTHER ASSETS AND LIABILITIES - NET--(0.6)%⁵		(5,320,924	)
			TOTAL NET ASSETS--100%	$	946,354,220

1 Floating rate note with current rate and next reset date shown.

2 Discount rate at time of purchase.

3 Although the repurchase date is more than seven days after the date of purchase, the Fund has the right to terminate the repurchase agreement at any time with seven-days' notice.

4 Also represents cost for federal tax purposes.

5 Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.

Note: The categories of investments are shown as a percentage of total net assets at May 31, 2009.

Various inputs are used in determining the value of the Fund's investments. These inputs are summarized in the three broad levels listed below:

Level 1--quoted prices in active markets for identical securities

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 an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used, as of May 31, 2009, in valuing the Fund's assets carried at fair value:

Valuation Inputs		Investments in Securities
Level 1--Quoted Prices and Investments in Mutual Funds		$ --
Level 2--Other Significant Observable Inputs		951,675,144
Level 3--Significant Unobservable Inputs		- --
TOTAL		$ 951,675,144

See Notes which are an integral part of the Financial Statements

Statement of Assets and Liabilities

May 31, 2009

Assets:
Investments in repurchase agreements	$	426,822,000
Investments in securities		524,853,144
Total investments in securities, at amortized cost and value			$	951,675,144
Income receivable				1,428,532
Receivable for shares sold				98,478
Prepaid temporary guarantee program insurance (Note 2)				117,665
TOTAL ASSETS				953,319,819
Liabilities:
Payable for investments purchased	$	6,396,527
Payable for shares redeemed		152,143
Bank overdraft		176,171
Payable for distribution services fee (Note 5)		1,694
Accrued expenses		239,064
TOTAL LIABILITIES				6,965,599
Net assets for 946,352,653 shares outstanding			$	946,354,220
Net Assets Consist of:
Paid-in capital			$	946,352,653
Undistributed net investment income				1,567
TOTAL NET ASSETS			$	946,354,220
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
($946,354,220 ÷ 946,352,653 shares outstanding), $0.001 par value, 12,500,000,000 shares authorized				$1.00

See Notes which are an integral part of the Financial Statements

Statement of Operations

Year Ended May 31, 2009

Investment Income:
Interest							$	16,760,111
Expenses:
Investment adviser fee (Note 5)				$	5,218,443
Administrative personnel and services fee (Note 5)					812,517
Custodian fees					55,109
Transfer and dividend disbursing agent fees and expenses					1,200,496
Directors'/Trustees' fees					9,698
Auditing fees					17,400
Legal fees					6,974
Portfolio accounting fees					127,567
Distribution services fee (Note 5)					1,043,689
Shareholder services fee (Note 5)					2,607,571
Account administration fee					1,650
Share registration costs					82,631
Printing and postage					48,334
Insurance premiums					6,603
Taxes					85,922
Miscellaneous					287,957
TOTAL EXPENSES					11,612,561
Waivers and Reimbursement (Note 5):
Waiver of investment adviser fee	$	(348,646	)
Waiver of administrative personnel and services fee		(18,270	)
Waiver of distribution services fee		(112,520	)
Waiver of shareholder services fee		(663,712	)
Reimbursement of shareholder services fee		(14,469	)
TOTAL WAIVERS AND REIMBURSEMENT					(1,157,617	)
Net expenses								10,454,944
Net investment income							$	6,305,167

See Notes which are an integral part of the Financial Statements

Statement of Changes in Net Assets

Year Ended May 31		2009			2008
Increase (Decrease) in Net Assets
Operations:
Net investment income	$	6,305,167		$	22,367,838
Distributions to Shareholders:
Distributions from net investment income		(6,300,169	)		(22,370,873	)
Share Transactions:
Proceeds from sale of shares		3,284,763,558			2,440,473,021
Net asset value of shares issued to shareholders in payment of distributions declared		6,528,352			21,282,968
Cost of shares redeemed		(3,195,044,045	)		(2,160,938,574	)
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS		96,247,865			300,817,415
Change in net assets		96,252,863			300,814,380
Net Assets:
Beginning of period		850,101,357			549,286,977
End of period (including undistributed (distributions in excess of) net investment income of $1,567 and $(3,431), respectively)	$	946,354,220		$	850,101,357

See Notes which are an integral part of the Financial Statements

Notes to Financial Statements

May 31, 2009

1. ORGANIZATION

Cash Trust Series, Inc. (the "Corporation") is registered under the Investment Company Act of 1940, as amended (the "Act"), as an open-end management investment company. The Corporation consists of four portfolios. The financial statements included herein are only those of Government Cash Series (the "Fund"), a diversified portfolio. The financial statements of the other portfolios are presented separately. The assets of each portfolio are segregated and a shareholder's interest is limited to the portfolio in which shares are held. Each portfolio pays its own expenses. The primary investment objective of the Fund is current income consistent with stability of principal and liquidity.

2. SIGNIFICANT ACCOUNTING POLICIES

The following is a summary of significant accounting policies consistently followed by the Fund in the preparation of its financial statements. These policies are in conformity with U.S. generally accepted accounting principles (GAAP).

Investment Valuation

Securities are valued at amortized cost. Under the amortized cost valuation method, an investment is valued initially at its cost as determined in accordance with GAAP. The Fund then adjusts the amount of interest income accrued each day over the term of the investment to account for any difference between the initial cost of the investment and the amount payable at its maturity. If amortized cost is determined not to approximate market value, the fair value of the portfolio securities will be determined under procedures established by and under the general supervision of the Board of Directors.

Repurchase Agreements

It is the policy of the Fund to require the other party to a repurchase agreement to transfer to the Fund's custodian or sub-custodian eligible securities or cash with a market value (after transaction costs) at least equal to the repurchase price to be paid under the repurchase agreement. The eligible securities are transferred to accounts with the custodian or sub-custodian in which the Fund holds a "securities entitlement" and exercises "control" as those terms are defined in the Uniform Commercial Code. The Fund has established procedures for monitoring the market value of the transferred securities and requiring the transfer of additional eligible securities if necessary to equal at least the repurchase price. These procedures also allow the other party to require securities to be transferred from the account to the extent that their market value exceeds the repurchase price or in exchange for other eligible securities of equivalent market value.

With respect to agreements to repurchase U.S. government securities and cash items, the Fund treats the repurchase agreement as an investment in the underlying securities and not as an obligation of the other party to the repurchase agreement. Other repurchase agreements are treated as obligations of the other party secured by the underlying securities. Nevertheless, the insolvency of the other party or other failure to repurchase the securities may delay the disposition of the underlying securities or cause the Fund to receive less than the full repurchase price. Under the terms of the repurchase agreement, any amounts received by the Fund in excess of the repurchase price and related transaction costs must be remitted to the other party.

The Fund may enter into repurchase agreements in which eligible securities are transferred into joint trading accounts maintained by the custodian or sub-custodian for investment companies and other clients advised by the Fund's Adviser and its affiliates. The Fund will participate on a pro rata basis with the other investment companies and clients in its share of the securities transferred under such repurchase agreements and in its share of proceeds from any repurchase or other disposition of such securities.

Investment Income, Expenses and Distributions

Investment transactions are accounted for on a trade-date basis. Realized gains and losses from investment transactions are recorded on an identified-cost basis. Interest income and expenses are accrued daily. Distributions to shareholders are recorded on the ex-dividend date. Distributions of net investment income are declared daily and paid monthly.

Premium and Discount Amortization

All premiums and discounts are amortized/accreted.

Federal Taxes

It is the Fund's policy to comply with the Subchapter M provision of the Internal Revenue Code (the "Code") and to distribute to shareholders each year substantially all of its income. Accordingly, no provision for federal income tax is necessary. The Fund complies with the provisions of Financial Accounting Standards Board (FASB) Interpretation No. 48 (FIN 48), "Accounting for Uncertainty in Income Taxes." As of and during the year ended May 31, 2009, the Fund did not have a liability for any uncertain tax positions. The Fund recognizes interest and penalties, if any, related to tax liabilities as income tax expense in the Statement of Operations. As of May 31, 2009, tax years 2006 through 2009 remain subject to examination by the Fund's major tax jurisdictions, which include the United States of America, the state of Maryland and the Commonwealth of Pennsylvania.

Other Taxes

As an open-end management investment company incorporated in the state of Maryland but domiciled in the Commonwealth of Pennsylvania, the Fund is subject to the Pennsylvania Franchise Tax. This franchise tax is assessed annually on the value of the Fund, as represented by average net assets for the tax year.

When-Issued and Delayed Delivery Transactions

The Fund may engage in when-issued or delayed delivery transactions. The Fund records when-issued securities on the trade date and maintains security positions such that sufficient liquid assets will be available to make payment for the securities purchased. Securities purchased on a when-issued or delayed delivery basis are marked to market daily and begin earning interest on the settlement date. Losses may occur on these transactions due to changes in market conditions or the failure of counterparties to perform under the contract.

Temporary Guarantee Program

The Treasury's obligation under the Program is triggered only if the Fund's net asset value (NAV) per share falls below $0.995, and remains below $0.995 until the Fund is liquidated. Pursuant to the Guarantee Agreement that a Fund was required to enter into in order to participate in the Program, a Fund generally is required to liquidate within 30 days of the date on which its NAV fell below $0.995. The Treasury will make payments under the Program after the Fund has liquidated and otherwise complied with various technical requirements imposed by the Treasury. The distribution of liquidation proceeds to shareholders would be delayed beyond the normal period for payment of proceeds on a normal redemption of shares. The Program would cover Eligible Shareholders in the amount necessary to bring the NAV of their holdings (to a maximum based on their Eligible Holdings) up to $1.00 per share. As of the date of this Report, the Program has approximately $50 billion available to support all participating money market funds. For the initial three months of the Program, which expired on December 18, 2008, the fee incurred by the Fund was 0.01% of the amount of its net assets as of September 19, 2008. For the period December 19, 2008 to April 30, 2009 and the period May 1, 2009 to September 18, 2009, the fee incurred by the Fund is 0.015% and 0.015%, respectively, of the amount of its net assets as of September 19, 2008 (accordingly, the Fund's gross expenses will increase by these amounts). The fees indicated above would equate to approximately 0.04% of Fund expenses on an annualized basis, which amount may vary depending upon asset levels. This fee is recognized ratably over the period of participation in the Program and is included in miscellaneous expense on the Fund's Statement of Operations. Given that asset levels may vary, the yield impact of these fees may vary over time.

Other

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts of assets, liabilities, expenses and revenues reported in the financial statements. Actual results could differ from those estimated.

3. CAPITAL STOCK

The following table summarizes capital stock activity:

Year Ended May 31	2009		2008
Shares sold	3,284,763,558		2,440,473,021
Shares issued to shareholders in payment of distributions declared	6,528,352		21,282,968
Shares redeemed	(3,195,044,045	)	(2,160,938,574	)
NET CHANGE RESULTING FROM FUND SHARE TRANSACTIONS	96,247,865		300,817,415

4. FEDERAL TAX INFORMATION

The tax character of distributions as reported on the Statement of Changes in Net Assets for the years ended May 31, 2009 and 2008, was as follows:

		2009		2008
Ordinary income		$6,300,169		$22,370,873

As of May 31, 2009, the components of distributable earnings on a tax basis were as follows:

Undistributed net investment income

1,567

5. INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Adviser Fee

Federated Investment Management Company is the Fund's investment adviser (the "Adviser"). The advisory agreement between the Fund and the Adviser provides for an annual fee equal to 0.50% of the Fund's average daily net assets. The Adviser may voluntarily choose to waive any portion of its fee. The Adviser can modify or terminate this voluntary waiver at any time at its sole discretion. For the year ended May 31, 2009, the Adviser waived $348,646 of its fee.

Administrative Fee

Federated Administrative Services (FAS), under the Administrative Services Agreement, provides the Fund with administrative personnel and services. The fee paid to FAS is based on the average aggregate daily net assets of certain Federated funds as specified below:

Administrative Fee		Average Aggregate Daily Net Assets of the Federated Funds
0.150%		on the first $5 billion
0.125%		on the next $5 billion
0.100%		on the next $10 billion
0.075%		on assets in excess of $20 billion

The administrative fee received during any fiscal year shall be at least $150,000 per portfolio and $40,000 per each additional class of Shares. FAS may voluntarily choose to waive any portion of its fee. FAS can modify or terminate this voluntary waiver at any time at its sole discretion. For the year ended May 31, 2009, the net fee paid to FAS was 0.076% of average daily net assets of the Fund. FAS waived $18,270 of its fee.

Distribution Services Fee

The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will reimburse Federated Securities Corp. (FSC), the principal distributor, from the daily net assets of the Fund to finance activities intended to result in the sale of these shares. The Plan provides that the Fund may incur distribution expenses of up to 0.35% of average daily net assets, annually, to reimburse FSC. FSC may voluntarily choose to waive any portion of its fee. FSC can modify or terminate this voluntary waiver at any time at its sole discretion. For the year ended May 31, 2009, FSC voluntarily waived $112,520 of its fee. When FSC receives fees, it may pay some or all of them to financial intermediaries whose customers purchase shares. For the year ended May 31, 2009, FSC did not retain any fees paid by the Fund.

Shareholder Services Fee

The Fund may pay fees (Service Fees) up to 0.25% of the average daily net assets of the Fund's Shares to financial intermediaries or to Federated Shareholder Services Company (FSSC) for providing services to shareholders and maintaining shareholder accounts. FSSC may voluntarily reimburse the Fund for shareholder services fees. This voluntary reimbursement can be modified or terminated at any time. For the year ended May 31, 2009, FSSC voluntarily reimbursed $14,469 of shareholder services fees. For the year ended May 31, 2009, FSSC did not receive any fees paid by the Fund. In addition, for the year ended May 31, 2009, unaffiliated third-party financial intermediaries voluntarily waived $663,712 of Service Fees. This voluntary waiver can be modified or terminated at any time.

General

Certain Officers and Directors of the Fund are Officers and Directors or Trustees of the above companies.

6. LINE OF CREDIT

The Fund participates in a $100,000,000 unsecured, uncommitted revolving line of credit (LOC) agreement with PNC Bank. The LOC was made available for extraordinary or emergency purposes, primarily for financing redemption payments. Borrowings are charged interest at a rate offered to the Fund by PNC Bank at the time of the borrowing. As of May 31, 2009, there were no outstanding loans. During the year ended May 31, 2009, the Fund did not utilize the LOC.

7. INTERFUND LENDING

Pursuant to an Exemptive Order issued by the Securities and Exchange Commission (SEC), the Fund, along with other funds advised by subsidiaries of Federated Investors, Inc., may participate in an interfund lending program. This program provides an alternative credit facility allowing the funds to borrow from other participating affiliated funds. As of May 31, 2009, there were no outstanding loans. During the year ended May 31, 2009, the program was not utilized.

8. LEGAL PROCEEDINGS

Since October 2003, Federated Investors, Inc. and related entities (collectively, "Federated") and various Federated funds ("Federated Funds") have been named as defendants in several class action lawsuits now pending in the United States District Court for the District of Maryland. The lawsuits were purportedly filed on behalf of people who purchased, owned and/or redeemed shares of Federated-sponsored mutual funds during specified periods beginning November 1, 1998. The suits are generally similar in alleging that Federated engaged in illegal and improper trading practices including market timing and late trading in concert with certain institutional traders, which allegedly caused financial injury to the mutual fund shareholders. These lawsuits began to be filed shortly after Federated's first public announcement that it had received requests for information on shareholder trading activities in the Federated Funds from the SEC, the Office of the New York State Attorney General ("NYAG") and other authorities. In that regard, on November 28, 2005, Federated announced that it had reached final settlements with the SEC and the NYAG with respect to those matters. As Federated previously reported in 2004, it has already paid approximately $8.0 million to certain funds as determined by an independent consultant. As part of these settlements, Federated agreed to pay for the benefit of fund shareholders additional disgorgement and a civil money penalty in the aggregate amount of an additional $72 million. Federated entities have also been named as defendants in several additional lawsuits that are now pending in the United States District Court for the Western District of Pennsylvania, alleging, among other things, excessive advisory and Rule 12b-1 fees. The Board of the Federated Funds retained the law firm of Dickstein Shapiro LLP to represent the Federated Funds in these lawsuits. Federated and the Federated Funds and their respective counsel have been defending this litigation and none of the Federated Funds remains a defendant in any of the lawsuits (though some could potentially receive any recoveries as nominal defendants). Additional lawsuits based upon similar allegations may be filed in the future. The potential impact of these lawsuits, all of which seek unquantified damages, attorneys' fees and expenses, and future potential similar suits is uncertain. Although we do not believe that these lawsuits will have a material adverse effect on the Federated Funds, there can be no assurance that these suits, the ongoing adverse publicity and/or other developments resulting from the regulatory investigations will not result in increased Federated Fund redemptions, reduced sales of Federated Fund shares or other adverse consequences for the Federated Funds.

9. RECENT ACCOUNTING PRONOUNCEMENTS

In April 2009, FASB released 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 Orderly" (FSP FAS 157-4), which is effective for interim and annual reporting periods ending after June 15, 2009. FSP FAS 157-4 provides additional guidance for estimating fair value in accordance with FASB Statement No. 157, Fair Value Measurements .. Management has concluded that the adoption of FSP FAS 157-4 is not expected to have a material impact on the Fund's net assets or results of operations.

Report of Independent Registered Public Accounting Firm

TO THE BOARD OF DIRECTORS OF CASH TRUST SERIES, INC. AND SHAREHOLDERS OF GOVERNMENT CASH SERIES:

We have audited the accompanying statement of assets and liabilities of Government Cash Series (the "Fund") (one of the portfolios constituting Cash Trust Series, Inc.), including the portfolio of investments, as of May 31, 2009, and the related statement of operations for the year then ended, the statement of changes in net assets for each of the two years in the period then ended and the financial highlights for each of the four years in the period then ended. These financial statements and financial highlights are the responsibility of the Fund's management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. The financial highlights for the year ended May 31, 2005 were audited by another independent registered public accounting firm whose report, dated July 19, 2005, expressed an unqualified opinion on those financial highlights.

We conducted our audits in accordance with standards of the Public Company Accounting Oversight Board (United States). 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. We were not engaged to perform an audit of the Fund's internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of May 31, 2009 by correspondence with the custodian and brokers or by other appropriate auditing procedures where replies from brokers were not received. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of the Government Cash Series, a portfolio of Cash Trust Series, Inc., at May 31, 2009, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for each of the four years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Ernst & Young LLP

Boston, Massachusetts
July 20, 2009

Board of Directors and Corporation Officers

The Board is responsible for managing the Corporation's business affairs and for exercising all the Corporation's powers except those reserved for the shareholders. The following tables give information about each Board member and the senior officers of the Fund. Where required, the tables separately list Board members who are "interested persons" of the Fund (i.e., "Interested" Board members) and those who are not (i.e., "Independent" Board members). Unless otherwise noted, the address of each person listed is Federated Investors Tower, 1001 Liberty Avenue, Pittsburgh, PA 15222. The address of all Independent Board members listed is 4000 Ericsson Drive, Warrendale, PA 15086-7561; Attention: Mutual Fund Board. As of December 31, 2008, the Corporation comprised 4 portfolios, and the Federated Fund Complex consisted of 40 investment companies (comprising 148 portfolios). Unless otherwise noted, each Officer is elected annually. Unless otherwise noted, each Board member oversees all portfolios in the Federated Fund Complex and serves for an indefinite term. The Fund's Statement of Additional Information includes additional information about Corporation Directors and is available, without charge and upon request, by calling 1-800-341-7400.

INTERESTED DIRECTORS BACKGROUND


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
John F. Donahue* Birth Date: July 28, 1924 DIRECTOR Began serving: May 1989		Principal Occupations: Director or Trustee of the Federated Fund Complex; Chairman and Director, Federated Investors, Inc.; Chairman of the Federated Fund Complex's Executive Committee. Previous Positions: Chairman of the Federated Fund Complex; Trustee, Federated Investment Management Company; Chairman and Director, Federated Investment Counseling.


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
J. Christopher Donahue* Birth Date: April 11, 1949 DIRECTOR AND PRESIDENT Began serving: May 1989		Principal Occupations: Principal Executive Officer and President of the Federated Fund Complex; Director or Trustee of some of the Funds in the Federated Fund Complex; President, Chief Executive Officer and Director, Federated Investors, Inc.; Chairman and Trustee, Federated Investment Management Company; Trustee, Federated Investment Counseling; Chairman and Director, Federated Global Investment Management Corp.; Chairman, Federated Equity Management Company of Pennsylvania and Passport Research, Ltd. (investment advisory subsidiary of Federated); Trustee, Federated Shareholder Services Company; Director, Federated Services Company. Previous Positions: President, Federated Investment Counseling; President and Chief Executive Officer, Federated Investment Management Company, Federated Global Investment Management Corp. and Passport Research, Ltd.

* Family relationships and reasons for "interested" status: John F. Donahue is the father of J. Christopher Donahue; both are "interested" due to their beneficial ownership of shares of Federated Investors, Inc. and the positions they hold with Federated and its subsidiaries.

INDEPENDENT DIRECTORS BACKGROUND


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
John T. Conroy, Jr. Birth Date: June 23, 1937 DIRECTOR Began serving: August 1991		Principal Occupations: Director or Trustee of the Federated Fund Complex; Chairman of the Board, Investment Properties Corporation; Partner or Trustee in private real estate ventures in Southwest Florida; Assistant Professor of Theology, Blessed Edmund Rice School for Pastoral Ministry. Previous Positions: President, Investment Properties Corporation; Senior Vice President, John R. Wood and Associates, Inc., Realtors; President, Naples Property Management, Inc. and Northgate Village Development Corporation.

Nicholas P. Constantakis Birth Date: September 3, 1939 DIRECTOR Began serving: February 1998		Principal Occupation: Director or Trustee of the Federated Fund Complex. Other Directorships Held: Director and Chairman of the Audit Committee, Michael Baker Corporation (engineering and energy services worldwide). Previous Position: Partner, Andersen Worldwide SC.


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
John F. Cunningham Birth Date: March 5, 1943 DIRECTOR Began serving: January 1999		Principal Occupations: Director or Trustee of the Federated Fund Complex. Other Directorships Held: Chairman, President and Chief Executive Officer, Cunningham & Co., Inc. (strategic business consulting); Trustee Associate, Boston College. Previous Positions: Director, QSGI, Inc. (technology services company); Director, Redgate Communications and EMC Corporation (computer storage systems); Chairman of the Board and Chief Executive Officer, Computer Consoles, Inc.; President and Chief Operating Officer, Wang Laboratories; Director, First National Bank of Boston; Director, Apollo Computer, Inc.

Peter E. Madden Birth Date: March 16, 1942 DIRECTOR Began serving: August 1991		Principal Occupation: Director or Trustee, and Chairman of the Board of Directors or Trustees, of the Federated Fund Complex. Other Directorships Held: Board of Overseers, Babson College. Previous Positions: Representative, Commonwealth of Massachusetts General Court; President, State Street Bank and Trust Company and State Street Corporation (retired); Director, VISA USA and VISA International; Chairman and Director, Massachusetts Bankers Association; Director, Depository Trust Corporation; Director, The Boston Stock Exchange.

Charles F. Mansfield, Jr. Birth Date: April 10, 1945 DIRECTOR Began serving: January 1999		Principal Occupations: Director or Trustee of the Federated Fund Complex; Management Consultant. Other Directorships Held: Chairman, Audit Committee. Previous Positions: Chief Executive Officer, PBTC International Bank; Partner, Arthur Young & Company (now Ernst & Young LLP); Chief Financial Officer of Retail Banking Sector, Chase Manhattan Bank; Senior Vice President, HSBC Bank USA (formerly, Marine Midland Bank); Vice President, Citibank; Assistant Professor of Banking and Finance, Frank G. Zarb School of Business, Hofstra University; Executive Vice President, DVC Group, Inc. (marketing, communications and technology).


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
R. James Nicholson Birth Date: February 4, 1938 DIRECTOR Began serving: January 2008		Principal Occupations: Director or Trustee of the Federated Fund Complex; Senior Counsel, Brownstein Hyatt Farber Schrek, P.C.; Former Secretary of the U.S. Dept. of Veterans Affairs; Former U.S. Ambassador to the Holy See; Former Chairman of the Republican National Committee. Other Directorships Held: Director, Horatio Alger Association; Director, The Daniels Fund. Previous Positions: Colonel, U.S. Army Reserve; Partner, Calkins, Kramer, Grimshaw and Harring, P.C.; General Counsel, Colorado Association of Housing and Building; Chairman and CEO, Nicholson Enterprises, Inc. (real estate holding company); Chairman and CEO, Renaissance Homes of Colorado.

Thomas M. O'Neill Birth Date: June 14, 1951 DIRECTOR Began serving: October 2006		Principal Occupations: Director or Trustee of the Federated Fund Complex; Managing Director and Partner, Navigator Management Company, L.P. (investment and strategic consulting); Consultant, EZE Castle Software (investment order management software); Partner, Midway Pacific (lumber). Other Directorships Held: Board of Overseers, Children's Hospital of Boston; Visiting Committee on Athletics, Harvard College; Director, EZE Castle Software. Previous Positions: Chief Executive Officer and President, Managing Director and Chief Investment Officer, Fleet Investment Advisors; President and Chief Executive Officer, Aeltus Investment Management, Inc.; General Partner, Hellman, Jordan Management Co., Boston, MA; Chief Investment Officer, The Putnam Companies, Boston, MA; Credit Analyst and Lending Officer, Fleet Bank.

John S. Walsh Birth Date: November 28, 1957 DIRECTOR Began serving: January 1999		Principal Occupations: Director or Trustee of the Federated Fund Complex; President and Director, Heat Wagon, Inc. (manufacturer of construction temporary heaters); President and Director, Manufacturers Products, Inc. (distributor of portable construction heaters); President, Portable Heater Parts, a division of Manufacturers Products, Inc. Previous Position: Vice President, Walsh & Kelly, Inc.

James F. Will Birth Date: October 12, 1938 DIRECTOR Began serving: April 2006		Principal Occupations: Director or Trustee of the Federated Fund Complex; formerly, Vice Chancellor and President, Saint Vincent College. Other Directorships Held: Trustee, Saint Vincent College; Alleghany Corporation. Previous Positions: Chairman, President and Chief Executive Officer, Armco, Inc.; President and Chief Executive Officer, Cyclops Industries; President and Chief Operating Officer, Kaiser Steel Corporation.

OFFICERS


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years and Previous Position(s)
John W. McGonigle Birth Date: October 26, 1938 EXECUTIVE VICE PRESIDENT AND SECRETARY Began serving: May 1989		Principal Occupations: Executive Vice President and Secretary of the Federated Fund Complex; Vice Chairman, Executive Vice President, Secretary and Director, Federated Investors, Inc. Previous Positions: Trustee, Federated Investment Management Company and Federated Investment Counseling; Director, Federated Global Investment Management Corp., Federated Services Company and Federated Securities Corp.

Richard A. Novak Birth Date: December 25, 1963 TREASURER Began serving: January 2006		Principal Occupations: Principal Financial Officer and Treasurer of the Federated Fund Complex; Senior Vice President, Federated Administrative Services; Financial and Operations Principal for Federated Securities Corp., Edgewood Services, Inc. and Southpointe Distribution Services, Inc. Previous Positions: Controller of Federated Investors, Inc.; Vice President, Finance of Federated Services Company; held various financial management positions within The Mercy Hospital of Pittsburgh; Auditor, Arthur Andersen & Co.

Richard B. Fisher Birth Date: May 17, 1923 VICE CHAIRMAN Began serving: August 2002		Principal Occupations: Vice Chairman or Vice President of some of the Funds in the Federated Fund Complex; Vice Chairman, Federated Investors, Inc.; Chairman, Federated Securities Corp. Previous Positions: President and Director or Trustee of some of the Funds in the Federated Fund Complex; Executive Vice President, Federated Investors, Inc.; Director and Chief Executive Officer, Federated Securities Corp.

Brian P. Bouda Birth Date: February 28, 1947 CHIEF COMPLIANCE OFFICER AND SENIOR VICE PRESIDENT Began serving: August 2004		Principal Occupations: Senior Vice President and Chief Compliance Officer of the Federated Fund Complex; Vice President and Chief Compliance Officer of Federated Investors, Inc. and Chief Compliance Officer of its subsidiaries. Mr. Bouda joined Federated in 1999 and is a member of the American Bar Association and the State Bar Association of Wisconsin.


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years and Previous Position(s)
Deborah A. Cunningham Birth Date: September 15, 1959 CHIEF INVESTMENT OFFICER Began serving: May 2004		Principal Occupations: Deborah A. Cunningham has been the Fund's Portfolio Manager since January 1994. Ms. Cunningham was named Chief Investment Officer of money market products in 2004 and serves as a Senior Portfolio Manager. Ms. Cunningham was named an Executive Vice President of the Fund's Adviser in 2009. She joined Federated in 1981 and was a Senior Vice President of the Fund's Adviser from 1997 to 2009. Ms. Cunningham is a Chartered Financial Analyst and received her M.S.B.A. in Finance from Robert Morris College.

Mary Jo Ochson Birth Date: September 12, 1953 VICE PRESIDENT Began serving: November 1998		Principal Occupations: Ms. Ochson was named Chief Investment Officer of tax-exempt fixed-income products in 2004 and is a Vice President of the Corporation. She joined Federated in 1982 and has been a Senior Portfolio Manager and a Senior Vice President of the Fund's Adviser since 1996. Ms. Ochson is a Chartered Financial Analyst and received her M.B.A. in Finance from the University of Pittsburgh.

Evaluation and Approval of Advisory
Contract - May 2009

GOVERNMENT CASH SERIES (THE "FUND")

The Fund's Board reviewed the Fund's investment advisory contract at meetings held in May 2009. The Board's decision regarding the contract reflects the exercise of its business judgment on whether to continue the existing arrangements.

In this connection, the Federated funds' Board had previously appointed a Senior Officer, whose duties include specified responsibilities relating to the process by which advisory fees are to be charged to a Federated fund. The Senior Officer has the authority to retain consultants, experts, or staff as may be reasonably necessary to assist in the performance of his duties, reports directly to the Board, and may be terminated only with the approval of a majority of the independent members of the Board. The Senior Officer prepared and furnished to the Board an independent, written evaluation that covered topics discussed below. The Board considered that evaluation, along with other information, in deciding to approve the advisory contract.

During its review of the contract, the Board considered compensation and benefits received by the Adviser. This included the fees received for services provided to the Fund by other entities in the Federated organization and research services received by the Adviser from brokers that execute Federated fund trades, as well as advisory fees. The Board is also familiar with and considered judicial decisions concerning allegedly excessive investment advisory fees, which have indicated that the following factors may be relevant to an Adviser's fiduciary duty with respect to its receipt of compensation from a fund: the nature and quality of the services provided by the Adviser, including the performance of the fund; the Adviser's cost of providing the services; the extent to which the Adviser may realize "economies of scale" as a fund grows larger; any indirect benefits that may accrue to the Adviser and its affiliates as a result of the Adviser's relationship with a fund; performance and expenses of comparable funds; and the extent to which the independent Board members are fully informed about all facts the Board deems relevant bearing on the Adviser's services and fees. The Board further considered management fees (including any components thereof) charged to institutional and other clients of the Adviser for what might be viewed as like services, and the cost to the Adviser and its affiliates of supplying services pursuant to the management fee agreements, excluding any intra-corporate profit and profit margins of the Adviser and its affiliates for supplying such services. The Board was aware of these factors and was guided by them in its review of the Fund's advisory contract to the extent it considered them to be appropriate and relevant, as discussed further below.

The Board considered and weighed these circumstances in light of its substantial accumulated experience in governing the Fund and working with Federated on matters relating to the Federated funds, and was assisted in its deliberations by independent legal counsel. Throughout the year, the Board has requested and received substantial and detailed information about the Fund and the Federated organization that was in addition to the extensive materials that comprise and accompany the Senior Officer's evaluation. Federated provided much of this information at each regular meeting of the Board, and furnished additional reports in connection with the particular meeting at which the Board's formal review of the advisory contract occurred. Between regularly scheduled meetings, the Board also received information on particular matters as the need arose. Thus, the Board's consideration of the advisory contract included review of the Senior Officer's evaluation, accompanying data and additional reports covering such matters as: the Adviser's investment philosophy, revenue, profitability, personnel and processes; investment and operating strategies; the Fund's short- and long-term performance (in absolute terms, both on a gross basis and net of expenses, as well as in relationship to its particular investment program and certain competitor or "peer group" funds and/or other benchmarks, as appropriate), and comments on the reasons for performance; the Fund's investment objectives; the Fund's expenses (including the advisory fee itself and the overall expense structure of the Fund, both in absolute terms and relative to similar and/or competing funds, with due regard for contractual or voluntary expense limitations); the use and allocation of brokerage commissions derived from trading the Fund's portfolio securities (if any); and the nature, quality and extent of the advisory and other services provided to the Fund by the Adviser and its affiliates. The Board also considered the preferences and expectations of Fund shareholders and their relative sophistication; the continuing state of competition in the mutual fund industry and market practices; the range of comparable fees for similar funds in the mutual fund industry; the Fund's relationship to the Federated family of funds which include a comprehensive array of funds with different investment objectives, policies and strategies which are available for exchange without the incurrence of additional sales charges; compliance and audit reports concerning the Federated funds and the Federated companies that service them (including communications from regulatory agencies), as well as Federated's responses to any issues raised therein; and relevant developments in the mutual fund industry and how the Federated funds and/or Federated are responding to them. The Board's evaluation process is evolutionary. The criteria considered and the emphasis placed on relevant criteria change in recognition of changing circumstances in the mutual fund marketplace.

With respect to the Fund's performance and expenses in particular, the Board has found the use of comparisons to other mutual funds with comparable investment programs to be particularly useful, given the high degree of competition in the mutual fund business. The Board focused on comparisons with other similar mutual funds more heavily than non-mutual fund products or services because it is believed that they are more relevant. For example, other mutual funds are the products most like the Fund, they are readily available to Fund shareholders as alternative investment vehicles, and they are the type of investment vehicle in fact chosen and maintained by the Fund's investors. The range of their fees and expenses therefore appears to be a generally reliable indication of what consumers have found to be reasonable in the precise marketplace in which the Fund competes. The Fund's ability to deliver competitive performance when compared to its peer group was a useful indicator of how the Adviser is executing the Fund's investment program, which in turn assisted the Board in reaching a conclusion that the nature, extent, and quality of the Adviser's investment management services were such as to warrant continuation of the advisory contract. In this regard, the Senior Officer has reviewed Federated's fees for providing advisory services to products outside the Federated family of funds (e.g., institutional and separate accounts). He concluded that mutual funds and institutional accounts are inherently different products. Those differences include, but are not limited to, different types of targeted investors; being subject to different laws and regulations; different legal structures; different average account sizes; different associated costs; different portfolio management techniques made necessary by different cash flows; and portfolio manager time spent in review of securities pricing. The Senior Officer did not consider these fee schedules to be determinative in judging the appropriateness of mutual fund advisory contracts.

The Senior Officer reviewed reports compiled by Federated, using data supplied by independent fund ranking organizations, regarding the performance of, and fees charged by, other mutual funds, noting his view that comparisons to fund peer groups are highly important in judging the reasonableness of proposed fees.

The Fund's performance fell below the median of the relevant peer group for the one-year period covered by the report. The Board discussed the Fund's performance with the Adviser and recognized the efforts being undertaken by the Adviser. The Board will continue to monitor these efforts and the performance of the Fund.

The Board also received financial information about Federated, including reports on the compensation and benefits Federated derived from its relationships with the Federated funds. These reports covered not only the fees under the advisory contracts, but also fees received by Federated's subsidiaries for providing other services to the Federated funds under separate contracts (e.g., for serving as the Federated funds' administrator). The reports also discussed any indirect benefit Federated may derive from its receipt of research services from brokers who execute Federated fund trades. In addition, the Board considered the fact that, in order for a fund to be competitive in the marketplace, Federated and its affiliates frequently waived fees and/or reimbursed expenses and have disclosed to fund investors and/or indicated to the Board their intention to do so in the future, where appropriate. Moreover, the Board receives regular reports regarding the institution or elimination of these voluntary waivers.

Federated furnished reports, requested by the Senior Officer, that reported revenues on a fund-by-fund basis and made estimates of the allocation of expenses on a fund-by-fund basis, using allocation methodologies specified by the Senior Officer. The Senior Officer noted that, although they may apply consistent allocation processes, the inherent difficulties in allocating costs (and the unavoidable arbitrary aspects of that exercise) and the lack of consensus on how to allocate those costs may render such allocation reports unreliable. The allocation reports were considered in the analysis by the Board but were determined to be of limited use.

The Board and the Senior Officer also reviewed a report compiled by Federated comparing profitability information for Federated to other publicly held fund management companies. In this regard, the Senior Officer noted the limited availability of such information, but nonetheless concluded that Federated's profit margins did not appear to be excessive and the Board agreed.

The Senior Officer's evaluation also discussed the notion of possible realization of "economies of scale" as a fund grows larger. The Board considered in this regard that the Adviser has made significant and long-term investments in areas that support all of the Federated funds, such as personnel and processes for the portfolio management, compliance, and risk management functions; and systems technology; and that the benefits of these efforts (as well as any economies, should they exist) were likely to be enjoyed by the fund complex as a whole. Finally, the Board also noted the absence of any applicable regulatory or industry guidelines on this subject, which (as discussed in the Senior Officer's evaluation) is compounded by the lack of any common industry practice or general pattern with respect to structuring fund advisory fees with "breakpoints" that serve to reduce the fee as the fund attains a certain size. The Senior Officer did not recommend institution of breakpoints in pricing Federated's fund advisory services at this time.

It was noted in the materials for the Board meeting that for the period covered by the report, the Fund's investment advisory fee, after waivers and expense reimbursements, if any, was above the median of the relevant peer group. The Board reviewed the fees and other expenses of the Fund with the Adviser and was satisfied that the overall expense structure of the Fund remained competitive. The Board will continue to monitor advisory fees and other expenses borne by the Fund.

The Senior Officer's evaluation noted his belief that the information and observations contained in his evaluation supported a finding that the proposed management fees are reasonable, and that Federated appeared to provide appropriate administrative services to the Fund for the fees paid. Under these circumstances, no changes were recommended to, and no objection was raised to, the continuation of the Fund's advisory contract. The Board concluded that the nature, quality and scope of services provided the Fund by the Adviser and its affiliates were satisfactory.

In its decision to continue an existing investment advisory contract, the Board was mindful of the potential disruptions of the Fund's operations and various risks, uncertainties and other effects that could occur as a result of a decision to terminate or not renew an advisory contract. In particular, the Board recognized that many shareholders have invested in the Fund on the strength of the Adviser's industry standing and reputation and with the expectation that the Adviser will have a continuing role in providing advisory services to the Fund. Thus, the Board's approval of the advisory contract reflected the fact that it is the shareholders who have effectively selected the Adviser by virtue of having invested in the Fund.

The Board based its decision to approve the advisory contract on the totality of the circumstances and relevant factors and with a view to past and future long-term considerations. Not all of the factors and considerations identified above were necessarily relevant to the Fund, nor did the Board consider any one of them to be determinative. With respect to the factors that were relevant, the Board's decision to approve the contract reflects its determination that Federated's performance and actions provided a satisfactory basis to support the decision to continue the existing arrangements.

Voting Proxies on Fund Portfolio Securities

A description of the policies and procedures that the Fund uses to determine how to vote proxies, if any, relating to securities held in the Fund's portfolio is available, without charge and upon request, by calling 1-800-341-7400. A report on "Form N-PX" of how the Fund voted any such proxies during the most recent 12-month period ended June 30 is available from Federated's website at FederatedInvestors.com. To access this information from the "Products" section of the website, click on the "Prospectuses and Regulatory Reports" link under "Related Information," then select the appropriate link opposite the name of the Fund; or select the name of the Fund and from the Fund's page, click on the "Prospectuses and Regulatory Reports" link. Form N-PX filings are also available at the SEC's website at www.sec.gov.

Quarterly Portfolio Schedule

The Fund files with the SEC a complete schedule of its portfolio holdings, as of the close of the first and third quarters of its fiscal year, on "Form N-Q." These filings are available on the SEC's website at www.sec.gov and may be reviewed and copied at the SEC's Public Reference Room in Washington, DC. (Call 1-800-SEC-0330 for information on the operation of the Public Reference Room.) You may also access this information from the "Products" section of Federated's website at FederatedInvestors.com by clicking on "Portfolio Holdings" under "Related Information," then selecting the appropriate link opposite the name of the Fund; or select the name of the Fund and from the Fund's page, click on the "Portfolio Holdings" link.

Mutual funds are not bank deposits or obligations, are not guaranteed by any bank and are not insured or guaranteed by the U.S. government, the Federal Deposit Insurance Corporation, the Federal Reserve Board or any other government agency. Investment in mutual funds involves investment risk, including the possible loss of principal. Although money market funds seek to maintain a stable net asset value of $1.00 per share, there is no assurance that they will be able to do so.

This report is authorized for distribution to prospective investors only when preceded or accompanied by the Fund's Prospectus, which contains facts concerning its objective and policies, management fees, expenses and other information.

Federated
World-Class Investment Manager

Government Cash Series
Federated Investors Funds
4000 Ericsson Drive
Warrendale, PA 15086-7561
Contact us at FederatedInvestors.com
or call 1-800-341-7400.

Federated Securities Corp., Distributor

Cusip 147551204

28564 (7/09)

Federated is a registered mark of Federated Investors, Inc. 2009 (c)Federated Investors, Inc.

Federated
World-Class Investment Manager

Municipal Cash Series

A Portfolio of Cash Trust Series, Inc.

ANNUAL SHAREHOLDER REPORT

May 31, 2009

Not FDIC Insured * May Lose Value * No Bank Guarantee

Financial Highlights

(For a Share Outstanding Throughout Each Period)

Year Ended May 31	2009		2008		2007		2006	¹	2005
Net Asset Value, Beginning of Period	$1.00		$1.00		$1.00		$1.00		$1.00
Income From Investment Operations:
Net investment income	0.010		0.023		0.027		0.020		0.008
Net realized gain on investments	0.000	²	0.000	²	0.000	²	- --		- --
TOTAL FROM INVESTMENT OPERATIONS	0.010		0.023		0.027		0.020		0.008
Less Distributions:
Distributions from net investment income	(0.010	)	(0.023	)	(0.027	)	(0.020	)	(0.008	)
Distributions from net realized gain on investments	(0.000	)²	(0.000	)²	(0.000	)²	- --		- --
TOTAL DISTRIBUTIONS	(0.010	)	(0.023	)	(0.027	)	(0.020	)	(0.008	)
Net Asset Value, End of Period	$1.00		$1.00		$1.00		$1.00		$1.00
Total Return³	1.03	%	2.36	%	2.72	%	1.98	%	0.76	%

Ratios to Average Net Assets:
Net expenses	1.08	%⁴	1.05	%⁴	1.05	%	1.05	%	1.05	%
Net investment income	1.00	%	2.26	%	2.69	%	1.92	%	0.81	%
Expense waiver/reimbursement⁵	0.05	%	0.05	%	0.05	%	0.05	%	0.04	%
Supplemental Data:
Net assets, end of period (000 omitted)	$512,018		$476,382		$342,760		$334,001		$400,545

1 Beginning with the year ended May 31, 2006, the Fund was audited by Ernst & Young LLP. The previous year was audited by another independent registered public accounting firm.

2 Represents less than $0.001.

3 Based on net asset value.

4 The net expense ratio is calculated without reduction for fees paid indirectly for expense offset arrangements. The net expense ratios are 1.08% and 1.05% for the years ended May 31, 2009 and 2008, respectively, after taking into account this expense reduction.

5 This expense decrease is reflected in both the net expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Shareholder Expense Example (unaudited)

ACTUAL EXPENSES

The first section of the table below provides information about actual account values and actual expenses. You may use the information in this section, together with the amount you invested, to estimate the expenses that you incurred over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first section under the heading entitled "Expenses Paid During Period" to estimate the expenses attributable to your investment during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

The second section of the table below provides information about hypothetical account values and hypothetical expenses based on the Fund's actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund's actual return. Thus, you should not use the hypothetical account values and expenses to estimate the actual ending account balance or your expenses for the period. Rather, these figures are required to be provided to enable you to compare the ongoing costs of investing in the Fund with other funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of the other funds.

	Beginning Account Value 12/1/2008	Ending Account Value 5/31/2009	Expenses Paid During Period¹
Actual	$1,000	$1,002.30	$5.49
Hypothetical (assuming a 5% return before expenses)	$1,000	$1,019.45	$5.54

1 Expenses are equal to the Fund's annualized net expense ratio of 1.10%, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half-year period).

Portfolio of Investments Summary Tables (unaudited)

At May 31, 2009, the Fund's portfolio composition¹ was as follows:

		Percentage of Total Net Assets
Variable Rate Demand Instruments		85.1%
Municipal Notes		13.8%
Commercial Paper		0.8%
Other Assets and Liabilities - Net²		0.3%
TOTAL		100.0%

At May 31, 2009, the Fund's effective maturity schedule³ was as follows:

Securities with an Effective Maturity of:		Percentage of Total Net Assets
1-7 Days		85.1%
8-30 Days		1.2%
31-90 Days		3.6%
91-180 Days		5.5%
181 Days or more		4.3%
Other Assets and Liabilities - Net²		0.3%
TOTAL		100.0%

1 See the Fund's Prospectus and Statement of Additional Information for a description of these investments.

2 Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.

3 Effective maturity is determined in accordance with the requirements of Rule 2a-7 under the Investment Company Act of 1940, which regulates money market mutual funds.

Portfolio of Investments

May 31, 2009

Principal Amount					Value
			SHORT-TERM MUNICIPALS--99.7%^1,2
			Alabama--1.0%
$	1,794,500		Birmingham, AL IDA, IDRBs (Series 1999) Weekly VRDNs (Glasforms, Inc.)/(Wells Fargo Bank, N.A. LOC), 0.490%, 6/4/2009	$	1,794,500
	3,100,000		Piedmont, AL IDB Weekly VRDNs (Bostrom Seating, Inc.)/(Citibank N.A., New York LOC), 0.600%, 6/4/2009		3,100,000
			TOTAL		4,894,500
			Alaska--4.9%
	25,000,000		Alaska State Housing Finance Corp., (Series 2002 A) Weekly VRDNs (FSA INS)/(Dexia Credit Local LIQ), 2.250%, 6/4/2009		25,000,000
			Arizona--2.0%
	1,630,000		Pinal County, AZ IDA, (Series 2005) Weekly VRDNs (Three C Eloy LLC)/(Bank of America N.A. LOC), 0.500%, 6/4/2009		1,630,000
	5,500,000	^3,4	Salt River Project, AZ Agricultural Improvement & Power District, ROCs (Series 12039) Weekly VRDNs (Citigroup Financial Products, Inc. LIQ), 0.390%, 6/4/2009		5,500,000
	3,300,000		Show Low, AZ IDA, (Series 2006) Weekly VRDNs (Snowflake White Mountain Power LLC)/(JPMorgan Chase Bank, N.A. LOC), 0.490%, 6/4/2009		3,300,000
			TOTAL		10,430,000
			Arkansas--0.8%
	4,200,000		Greene County, AR Weekly VRDNs (Jimmy Sanders, Inc.)/(Regions Bank, Alabama LOC), 3.220%, 6/4/2009		4,200,000
			California--0.5%
	2,425,000		Oxnard, CA IDFA, (Series 2004) Weekly VRDNs (J. Harris Industrial Water Treatment, Inc.)/(City National Bank LOC), 2.500%, 6/4/2009		2,425,000
			Colorado--0.2%
	1,055,000		Colorado HFA, (Series 2000A) Weekly VRDNs (New Belgium Brewing Co., Inc.)/(Wells Fargo Bank, N.A. LOC), 0.450%, 6/4/2009		1,055,000
	140,000		Colorado HFA, (Series 2000B) Weekly VRDNs (New Belgium Brewing Co., Inc.)/(Wells Fargo Bank, N.A. LOC), 0.450%, 6/4/2009		140,000
			TOTAL		1,195,000
			Delaware--1.0%
	5,000,000		Delaware EDA IDRB, (Series D) Daily VRDNs (Motiva Enterprises LLC), 0.550%, 6/1/2009		5,000,000
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued^1,2
			Florida--3.2%
$	2,085,000	^3,4	Clipper Tax-Exempt Certificates Trust (Florida AMT)/(Series 2007-49) Weekly VRDNs (State Street Bank and Trust Co. LIQ), 0.510%, 6/4/2009	$	2,085,000
	2,000,000		Florida State Municipal Power Agency, (Series 2008E) Daily VRDNs (SunTrust Bank LOC), 1.150%, 6/1/2009		2,000,000
	4,700,000		Orlando & Orange County Expressway Authority, FL, (Series 2003D) Weekly VRDNs (FSA INS)/(Dexia Credit Local LIQ), 1.750%, 6/4/2009		4,700,000
	7,500,000		Polk County, FL IDA, (Series 2006) Daily VRDNs (Winter Haven Hospital, Inc.)/(SunTrust Bank LOC), 1.150%, 6/1/2009		7,500,000
			TOTAL		16,285,000
			Georgia--12.3%
	2,500,000		Atlanta, GA, Urban Residential Finance Authority, (Series 1995) Weekly VRDNs (West End Housing Development)/(FNMA LOC), 0.600%, 6/4/2009		2,500,000
	8,400,000		Atlanta, GA, Urban Residential Finance Authority, (Series 2006) Weekly VRDNs (Columbia at Sylvan Hills Apartments)/(Wachovia Bank N.A. LOC), 0.550%, 6/4/2009		8,400,000
	3,000,000		Bartow County, GA Development Authority, (Series 2002) Weekly VRDNs (Somerset Cove Apartments, LP)/(Compass Bank, Birmingham LOC), 0.350%, 6/4/2009		3,000,000
	350,000		DeKalb County, GA Development Authority, (Series 1999) Weekly VRDNs (Boy's and Girl's Clubs)/(SunTrust Bank LOC), 2.750%, 6/3/2009		350,000
	3,000,000		Fulton County, GA Development Authority, (Series 2008) Weekly VRDNs (Children's Healthcare of Atlanta, Inc.)/(Landesbank Hessen-Thueringen LIQ), 0.320%, 6/3/2009		3,000,000
	2,000,000		Gainesville & Hall County, GA Hospital Authority, (Series 2008C) Weekly VRDNs (Northeast Georgia Health System, Inc.)/(Landesbank Baden-Wuerttemberg LOC), 3.000%, 6/3/2009		2,000,000
	10,000,000		Kennesaw, GA Development Authority, (Series 2004) Weekly VRDNs (Lakeside Vista Apartments)/(FNMA LOC), 0.470%, 6/4/2009		10,000,000
	17,220,000		Macon-Bibb County, GA Hospital Authority, (Series 2000) Daily VRDNs (Central Georgia Senior Health, Inc.)/(SunTrust Bank LOC), 1.150%, 6/1/2009		17,220,000
	5,045,000		Macon-Bibb County, GA Industrial Authority, (Series 2007) Weekly VRDNs (Battle Lumber Co., Inc.)/(U.S. Bank, N.A. LOC), 0.510%, 6/4/2009		5,045,000
	3,500,000		Private Colleges & Universities Facilities of GA, (Series 2005C-1) Weekly VRDNs (Emory University), 0.100%, 6/4/2009		3,500,000
	8,040,000		Roswell, GA Housing Authority, (Series 2005) Weekly VRDNs (Wood Creek Apartments)/(FNMA LOC), 0.450%, 6/4/2009		8,040,000
			TOTAL		63,055,000
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued^1,2
			Illinois--7.0%
$	3,845,000		Chicago, IL MFH Revenue, (Series 2003) Weekly VRDNs (Churchview Supportive Living L.P.)/(Harris, N.A. LOC), 0.790%, 6/4/2009	$	3,845,000
	1,230,000		Chicago, IL, (Series 2000) Weekly VRDNs (Andre's Imaging & Graphics, Inc.)/(Bank of America N.A. LOC), 0.600%, 6/4/2009		1,230,000
	1,665,000		Chicago, IL, (Series 2001) Weekly VRDNs (J.M.B. Moesle LLC)/(Harris, N.A. LOC), 0.820%, 6/4/2009		1,665,000
	3,375,000		Fulton, IL, (Series 1998) Weekly VRDNs (Drives, Inc.)/(Harris, N.A. LOC), 0.790%, 6/4/2009		3,375,000
	6,700,000		Illinois Development Finance Authority, (Series 2003) Weekly VRDNs (West Chicago Senior Apartments, LP)/(Citibank N.A., New York LOC), 0.640%, 6/4/2009		6,700,000
	1,745,000		Illinois Development Finance Authority IDB Weekly VRDNs (T&D Investments LLC)/(U.S. Bank, N.A. LOC), 0.720%, 6/4/2009		1,745,000
	3,800,000		Illinois Development Finance Authority IDB, (Series 1997) Weekly VRDNs (Tempco Electric Heater Corp.)/(JPMorgan Chase Bank, N.A. LOC), 1.500%, 6/4/2009		3,800,000
	1,000,000		Illinois Development Finance Authority IDB, (Series 2001) Weekly VRDNs (Apogee Enterprises, Inc.)/(Bank of New York LOC), 0.640%, 6/4/2009		1,000,000
	2,630,000		Illinois Development Finance Authority IDB, Adjustable Rate IDRB (Series 1996A) Weekly VRDNs (Nimlok Co.)/(JPMorgan Chase Bank, N.A. LOC), 1.500%, 6/4/2009		2,630,000
	3,000,000		Illinois Development Finance Authority, (Series 2002) Weekly VRDNs (Kasbergen Family Living Trust)/(Bank of the West, San Francisco, CA LOC), 0.740%, 6/4/2009		3,000,000
	3,200,000		Illinois Finance Authority, (Series 2008) Weekly VRDNs (Jasper Meats, Inc.)/(Harris, N.A. LOC), 0.790%, 6/4/2009		3,200,000
	3,300,000		Lockport, IL IDA, (Series 1990) Weekly VRDNs (Panduit Corp.)/(Fifth Third Bank, Cincinnati LOC), 2.800%, 6/3/2009		3,300,000
	329,000		Peoria, IL, (Series 1996) Weekly VRDNs (J.T. Fennell Co., Inc.)/(JPMorgan Chase Bank, N.A. LOC), 3.000%, 6/4/2009		329,000
			TOTAL		35,819,000
			Indiana--7.9%
	770,000		Carmel, IN, (Series 1999) Weekly VRDNs (Telamon Corp.)/(Bank of America N.A. LOC), 0.700%, 6/4/2009		770,000
	405,000		Indiana Development Finance Authority, (Series 1996) Weekly VRDNs (Meridian Group LLC)/(JPMorgan Chase Bank, N.A. LOC), 3.000%, 6/4/2009		405,000
	1,500,000		Indiana Development Finance Authority, EDRB (Series 2002) Weekly VRDNs (Vreba-Hoff Dairy Leasing LLC)/(Wells Fargo Bank, N.A. LOC), 0.740%, 6/4/2009		1,500,000
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued^1,2
			Indiana--continued
$	25,000,000		Indianapolis, IN Local Public Improvement Bond Bank, (Series 2008C-1) Daily VRDNs (Indianapolis Airport Authority)/(FSA INS)/(Dexia Credit Local LIQ), 1.200%, 6/1/2009	$	25,000,000
	12,900,000		Indianapolis, IN MFH, (Series 2007A: Forest Ridge Apartments) Weekly VRDNs (Pedcor Investments-2006-LXXXVIII LP)/(RBS Citizens Bank N.A. LOC), 2.750%, 6/4/2009		12,900,000
			TOTAL		40,575,000
			Kansas--2.6%
	5,409,000	^3,4	Clipper Tax-Exempt Certificates Trust (Kansas-AMT)/(Series 2009-11) Weekly VRDNs (Sedgwick & Shawnee Counties, KS)/(GNMA COL)/(State Street Bank and Trust Co. LIQ), 0.510%, 6/4/2009		5,409,000
	815,000		Colwich, KS Industrial Development, IDRBs (Series 1999) Weekly VRDNs (EPCO Carbondioxide Products, Inc.)/(Regions Bank, Alabama LOC), 1.000%, 6/4/2009		815,000
	4,365,000	^3,4	Sedgwick & Shawnee Counties, KS, Floater Certificates (Series 2006-1670) Weekly VRDNs (GNMA COL)/(Morgan Stanley LIQ), 0.420%, 6/4/2009		4,365,000
	2,495,000		Wyandotte County, KS, (Series 1999) Weekly VRDNs (Shor-Line)/(U.S. Bank, N.A. LOC), 0.600%, 6/3/2009		2,495,000
			TOTAL		13,084,000
			Kentucky--0.6%
	800,000		Henderson County, KY, (Series 1996A) Weekly VRDNs (Gibbs Die Casting Corp.)/(Fifth Third Bank, Cincinnati LOC), 1.040%, 6/4/2009		800,000
	2,100,000		Kentucky Housing Corp. Weekly VRDNs (Arbors of Madisonville Apartments LP)/(U.S. Bank, N.A. LOC), 2.250%, 6/4/2009		2,100,000
			TOTAL		2,900,000
			Louisiana--1.5%
	5,000,000		Louisiana Public Facilities Authority, (Series 2008C) Daily VRDNs (Air Products & Chemicals, Inc.), 0.400%, 6/1/2009		5,000,000
	2,500,000		New Orleans, LA IDB, (Series 2000) Weekly VRDNs (Home Furnishings Store)/(JPMorgan Chase Bank, N.A. LOC), 0.640%, 6/4/2009		2,500,000
			TOTAL		7,500,000
			Maine--1.7%
	2,625,000		Dover-Foxcroft, ME, (Series 2005) Weekly VRDNs (Pleasant River Lumber Co.)/(Wachovia Bank N.A. LOC), 0.770%, 6/3/2009		2,625,000
	4,000,000		Maine State Housing Authority, (Series 2008 I), 2.00% TOBs, Mandatory Tender 12/16/2009		4,000,000
	2,305,000		Paris, ME, (Series 2001) Weekly VRDNs (Maine Machine Products Co.)/(Key Bank, N.A. LOC), 2.600%, 6/4/2009		2,305,000
			TOTAL		8,930,000
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued^1,2
			Massachusetts--0.8%
$	4,000,000		Massachusetts IFA, (Series 1992B), 1.15% CP (New England Power Co.), Mandatory Tender 6/12/2009	$	4,000,000
			Michigan--1.8%
	9,000,000		Michigan Strategic Fund, (Series 2007) Daily VRDNs (Air Products & Chemicals, Inc.), 0.550%, 6/1/2009		9,000,000
			Minnesota--0.0%
	250,000		Plymouth, MN Weekly VRDNs (Nuaire, Inc.)/(Wells Fargo Bank, N.A. LOC), 1.390%, 6/4/2009		250,000
			Missouri--0.6%
	2,412,900		Missouri State Housing Development Commission, 0.360% TOBs (Rabobank Nederland NV, Utrecht INV), Mandatory Tender 8/1/2009		2,412,900
	920,000		Springfield, MO IDA, (Series 1999) Weekly VRDNs (Dabryan Coach Builders, Inc.)/(U.S. Bank, N.A. LOC), 0.590%, 6/4/2009		920,000
			TOTAL		3,332,900
			Montana--0.6%
	3,300,000		Montana State Board of Investments, (Series 1989) Weekly VRDNs (Colstrip Energy LP)/(Union Bank of California, N.A. LOC), 0.450%, 6/3/2009		3,300,000
			Multi-State--7.3%
	7,299,000	^3,4	Clipper Tax-Exempt Certificates Trust (Multi-State AMT)/(Series 2007-40) Weekly VRDNs (GNMA COL)/(State Street Bank and Trust Co. LIQ), 0.540%, 6/4/2009		7,299,000
	3,860,000	^3,4	Clipper Tax-Exempt Certificates Trust (Multi-State AMT)/(Series 2007-52) Weekly VRDNs (State Street Bank and Trust Co. LIQ), 0.540%, 6/4/2009		3,860,000
	7,401,000		FHLMC, (Series M017-A) Weekly VRDNs (MFH Revenue Bond Pass-Through Certificates)/(GTD by FHLMC)/(FHLMC LIQ), 0.310%, 6/4/2009		7,401,000
	4,435,000		FHLMC, (Series M021-A) Weekly VRDNs (MFH Revenue Bond Pass-Through Certificates)/(GTD by FHLMC)/(FHLMC LIQ), 0.440%, 6/4/2009		4,435,000
	6,700,000	^3,4	Nuveen Dividend Advantage Municipal Fund 2, (Series 1), Weekly VRDPs (Deutsche Bank AG LIQ), 0.490%, 6/4/2009		6,700,000
	7,600,000	^3,4	Nuveen Insured Premium Income Municipal Fund 2, (Series 1), Weekly VRDPs (Deutsche Bank AG LIQ), 0.490%, 6/4/2009		7,600,000
			TOTAL		37,295,000
			Nevada--1.2%
	5,000,000		Clark County, NV Airport System, (Series 2008F), 3.00% BANs, 7/1/2009		5,004,249
	1,000,000		Clark County, NV, (Series 2008A: Airport Bonds) Weekly VRDNs (Landesbank Baden-Wuerttemberg LIQ), 3.000%, 6/3/2009		1,000,000
			TOTAL		6,004,249
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued^1,2
			New York--2.7%
$	1,455,000		Cattaraugus County, NY IDA, (Series 1999A) Weekly VRDNs (Gernatt Asphalt Products, Inc.)/(Manufacturers & Traders Trust Co., Buffalo, NY LOC), 0.540%, 6/4/2009	$	1,455,000
	1,225,000		Cayuga County, NY IDA, (Series 1998) Weekly VRDNs (NFR Northeast, Inc.)/(Citizens Bank of Pennsylvania LOC), 4.100%, 6/3/2009		1,225,000
	1,735,000		Erie County, NY IDA, IDRB (Series 1994) Weekly VRDNs (Servotronics, Inc.)/(Bank of America N.A. LOC), 0.590%, 6/4/2009		1,735,000
	1,700,000		Madison County, NY IDA, (Series A) Weekly VRDNs (Owl Wire and Cable)/(Key Bank, N.A. LOC), 2.400%, 6/3/2009		1,700,000
	1,600,000		New York City, NY IDA, IDRBs (Series 2003) Weekly VRDNs (Novelty Crystal Corp.)/(Commerce Bank N.A., Cherry Hill, NJ LOC), 0.590%, 6/4/2009		1,600,000
	1,700,000	^3,4	Nuveen Insured New York Dividend Advantage Municipal Fund, (Series 1), Weekly VRDPs (Deutsche Bank AG LIQ), 0.440%, 6/4/2009		1,700,000
	2,250,000		Riverhead, NY IDA, IDRB (Series 1998) Weekly VRDNs (Altaire Pharmaceuticals, Inc.)/(Mellon Bank N.A. LOC), 0.700%, 6/4/2009		2,250,000
	2,050,000		Yonkers, NY, 5.00% RANs, 6/30/2009		2,051,194
			TOTAL		13,716,194
			North Carolina--0.7%
	3,550,000		North Carolina Capital Facilities Finance Agency, (Series 2004) Daily VRDNs (Republic Services, Inc.)/(SunTrust Bank LOC), 1.250%, 6/1/2009		3,550,000
			Ohio--11.8%
	3,330,000		Ashtabula County, OH, 1.75% BANs, 5/28/2010		3,341,363
	2,300,000		Cleveland, OH Airport System, (Series A) Weekly VRDNs (Wachovia Bank N.A. LOC), 0.390%, 6/4/2009		2,300,000
	8,880,000		Elyria, OH, 2.50% BANs, 9/9/2009		8,893,113
	3,800,000		Fremont, OH City School District, 2.75% BANs, 9/23/2009		3,808,759
	3,000,000		Lakewood, OH, 3.00% BANs, 4/15/2010		3,034,710
	1,100,000		Licking County, OH Career & Technology Educational Centers, 3.00% BANs, 9/8/2009		1,102,923
	2,750,000		Louisville Ohio City School District, 3.20% BANs, 9/30/2009		2,756,254
	3,000,000		Maple Heights, OH City School District, 3.50% BANs, 11/5/2009		3,011,317
	2,000,000		Miami East Local School District, OH, 3.25% BANs, 7/16/2009		2,001,839
	3,150,000		Oakwood City, OH, 2.25% BANs, 3/11/2010		3,161,992
	1,991,000		Paulding County, OH, 2.75% BANs, 9/8/2009		1,995,245
	2,200,000		Perrysburg, OH, 3.50% BANs, 11/5/2009		2,202,287
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued^1,2
			Ohio--continued
$	1,052,000		Richland County, OH, 2.50% BANs, 7/30/2009	$	1,052,835
	5,000,000		Richland County, OH, 3.50% BANs, 1/12/2010		5,022,469
	3,000,000		Summit County, OH Port Authority, (Series 2007) Weekly VRDNs (American Original Building Products LLC)/(FirstMerit Bank, N.A. LOC), 1.640%, 6/4/2009		3,000,000
	2,990,000		Trumbull County, OH Sewer District, (Series B), 2.50% BANs, 3/23/2010		2,999,451
	3,000,000		Village of South Lebanon, OH, (Series 2003A) Weekly VRDNs (Pedcor Investments-2003-LX LP)/(Huntington National Bank, Columbus, OH LOC), 2.550%, 6/4/2009		3,000,000
	2,020,000		Warrensville Heights, OH, 3.00% BANs, 11/24/2009		2,022,364
	5,000,000		Williams County, OH, (Series 2008) Weekly VRDNs (Community Hospital and Wellness Centers)/(Fifth Third Bank, Cincinnati LOC), 2.050%, 6/5/2009		5,000,000
	1,000,000		Wood County, OH, (Series 1999) Weekly VRDNs (Dowa THT America, Inc.)/(Comerica Bank LOC), 1.250%, 6/3/2009		1,000,000
			TOTAL		60,706,921
			Oklahoma--0.4%
	2,000,000		Broken Arrow, OK EDA Weekly VRDNs (Blue Bell Creameries)/(JPMorgan Chase Bank, N.A. LOC), 0.500%, 6/4/2009		2,000,000
			Oregon--0.4%
	1,000,000		Oregon State EDRB, (Series 194) Weekly VRDNs (Tillamook County Creamery Association)/(BNP Paribas SA LOC), 0.740%, 6/4/2009		1,000,000
	1,000,000		Oregon State EDRB, (Series 195) Weekly VRDNs (Columbia River Processing, Inc.)/(BNP Paribas SA LOC), 0.740%, 6/4/2009		1,000,000
			TOTAL		2,000,000
			Pennsylvania--1.5%
	7,265,000		Chester County, PA IDA, (Series of 2003) Weekly VRDNs (West Chester University)/(Citizens Bank of Pennsylvania LOC), 3.000%, 6/3/2009		7,265,000
	675,000		McKean County, PA IDA, (Series 1997) Weekly VRDNs (Keystone Powdered Metal Co.)/(PNC Bank, N.A. LOC), 0.850%, 6/4/2009		675,000
			TOTAL		7,940,000
			Tennessee--0.2%
	700,000		Franklin County, TN IDB, (Series 1997) Weekly VRDNs (Hi-Tech)/(Regions Bank, Alabama LOC), 3.250%, 6/3/2009		700,000
	100,000		Hamilton County, TN IDB Weekly VRDNs (Pavestone Co.)/(JPMorgan Chase Bank, N.A. LOC), 1.500%, 6/4/2009		100,000
			TOTAL		800,000
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued^1,2
			Texas--7.2%
$	17,600,000		Houston, TX Airport System, (Series 2005A) Weekly VRDNs (FSA INS)/(Bank of America N.A. LIQ), 0.850%, 6/3/2009	$	17,600,000
	1,940,000		Houston, TX Higher Education Finance Corp., (Series 2003A: Tierwester Oaks and Richfield Manor) Weekly VRDNs (Houston Student Housing LLC)/(Bank of New York LOC), 1.100%, 6/1/2009		1,940,000
	4,160,000	^3,4	Texas State Department of Housing & Community Affairs, (PT-4594) Weekly VRDNs (Tranquility Housing Ltd.)/(FHLMC COL)/(FHLMC LIQ), 0.670%, 6/4/2009		4,160,000
	5,000,000		Texas State Department of Housing & Community Affairs, (Series 2007 A) Weekly VRDNs (Texas State LIQ), 0.400%, 6/4/2009		5,000,000
	1,120,000	^3,4	Texas State Department of Housing & Community Affairs, MERLOTS (Series 2001-A109) Weekly VRDNs (GNMA COL)/(Wachovia Bank N.A. LIQ), 0.460%, 6/3/2009		1,120,000
	7,230,000	^3,4	Texas State, MERLOTS (Series 2008-C47), 2.10% TOBs (Wachovia Bank N.A. LIQ), Optional Tender 7/8/2009		7,230,000
			TOTAL		37,050,000
			Vermont--0.8%
	4,000,000		Vermont HFA, (Series 24A) Weekly VRDNs (Vermont HFA SFM)/(FSA INS)/(TD Banknorth N.A. LIQ), 1.450%, 6/3/2009		4,000,000
			Virginia--9.5%
	12,300,000		Capital Beltway Funding Corporation, VA, (Series C) Weekly VRDNs (National Australia Bank Ltd., Melbourne LOC), 0.380%, 6/4/2009		12,300,000
	6,000,000		Capital Beltway Funding Corporation, VA, (Series D) Weekly VRDNs (Bank of Nova Scotia, Toronto LOC), 0.350%, 6/4/2009		6,000,000
	10,000,000		Charles City County, VA EDA, (Series 2004A) Weekly VRDNs (Waste Management, Inc.)/(JPMorgan Chase Bank, N.A. LOC), 0.450%, 6/4/2009		10,000,000
	4,600,000		Fauquier County, VA IDA, (Series 2008) Weekly VRDNs (Wakefield School, Inc.)/(PNC Bank, N.A. LOC), 0.290%, 6/4/2009		4,600,000
	4,500,000		Harrisonburg, VA Redevelopment & Housing Authority, (Series 2001A: Huntington Village Apartments) Weekly VRDNs (Richfield Place Associates LP)/(FNMA LOC), 0.450%, 6/4/2009		4,500,000
	500,000		James City County, VA IDA, (Series 1997) Weekly VRDNs (Riverside Health Systems), 0.530%, 6/3/2009		500,000
	9,000,000		King George County IDA, VA, (Series 1996) Weekly VRDNs (Garnet of Virginia, Inc.)/(JPMorgan Chase Bank, N.A. LOC), 0.500%, 6/4/2009		9,000,000
	2,000,000		Peninsula Port Authority, VA, (Series 2004) Weekly VRDNs (Riverside Health Systems), 0.550%, 6/3/2009		2,000,000
			TOTAL		48,900,000
Principal Amount					Value
			SHORT-TERM MUNICIPALS--continued^1,2
			Washington--0.6%
$	625,000		Washington State EDFA, (Series 2005B) Weekly VRDNs (Harold LeMay Enterprises, Inc.)/(Bank of America N.A. LOC), 0.680%, 6/3/2009	$	625,000
	2,250,000		Washington State Housing Finance Commission: MFH, (Series 1998A: Oxford Square Apartments) Weekly VRDNs (Oxford Housing LP)/(U.S. Bank, N.A. LOC), 0.630%, 6/4/2009		2,250,000
			TOTAL		2,875,000
			Wisconsin--4.2%
	2,000,000		Combined Locks, WI, Development Revenue Bonds, (Series 1997) Weekly VRDNs (Appleton Papers)/(Bank of America N.A. LOC), 0.640%, 6/4/2009		2,000,000
	3,255,000		Menomonee Falls Village, WI, (Series 2006) Weekly VRDNs (AJ Die-Namics, LP)/(Marshall & Ilsley Bank, Milwaukee LOC), 2.670%, 6/4/2009		3,255,000
	1,400,000		Menomonie, WI Area School District, 2.40% TRANs, 9/1/2009		1,400,898
	1,950,000		Mukwonago, WI, (Series 1999) Weekly VRDNs (Empire Level)/(Marshall & Ilsley Bank, Milwaukee LOC), 2.670%, 6/4/2009		1,950,000
	7,000,000		Rothschild Village, WI, (Series 2007) Weekly VRDNs (Schuette, Inc.)/(Marshall & Ilsley Bank, Milwaukee LOC), 2.670%, 6/4/2009		7,000,000
	3,935,000		Wausau, WI Community Development Authority, (Series 2008A) Weekly VRDNs (Clover Industries, Inc.)/(Marshall & Ilsley Bank, Milwaukee LOC), 2.670%, 6/4/2009		3,935,000
	1,960,000		Wisconsin Housing & EDA, Home Ownership Revenue Bonds (Series 2005C) Weekly VRDNs (Lloyds TSB Bank PLC, London LIQ), 0.500%, 6/3/2009		1,960,000
			TOTAL		21,500,898
			Wyoming--0.2%
	1,000,000		Wyoming Student Loan Corp., Student Loan Revenue Refunding Bonds (Series 2008 A-1) Weekly VRDNs (Royal Bank of Canada, Montreal LOC), 0.440%, 6/4/2009		1,000,000
			TOTAL INVESTMENTS--99.7% (AT AMORTIZED COST)⁵		510,513,662
			OTHER ASSETS AND LIABILITIES - NET--0.3%⁶		1,504,121
			TOTAL NET ASSETS--100%	$	512,017,783

Securities that are subject to the federal alternative minimum tax (AMT) represent 75.5% of the portfolio as calculated based upon total market value (percentage is unaudited).

1 The Fund may only invest in securities rated in one of the two highest short-term rating categories by nationally recognized statistical rating organizations (NRSROs) or unrated securities of comparable quality. An NRSRO's two highest rating categories are determined without regard for sub-categories and gradations. For example, securities rated SP-1+, SP-1 or SP-2 by Standard & Poor's, MIG-1 or MIG-2 by Moody's Investors Service, or F-1+, F-1 or F-2 by Fitch Ratings, are all considered rated in one of the two highest short-term rating categories.

Securities rated in the highest short-term rating category (and unrated securities of comparable quality) are identified as First Tier securities. Securities rated in the second highest short-term rating category (and unrated securities of comparable quality) are identified as Second Tier securities. The Fund follows applicable regulations in determining whether a security is rated and whether a security rated by multiple NRSROs in different rating categories should be identified as a First or Second Tier security.

At May 31, 2009, the portfolio securities were rated as follows:

Tier Rating Percentages Based on Total Market Value (unaudited)

First Tier		Second Tier
98.6%		1.4%

2 Current rate and next reset date shown for Variable Rate Demand Notes.

3 Denotes a restricted security that either: (a) cannot be offered for public sale without first being registered, or being able to take advantage of an exemption from registration, under the Securities Act of 1933; or (b) is subject to a contractual restriction on public sales. At May 31, 2009, these restricted securities amounted to $57,028,000, which represented 11.1% of total net assets.

4 Denotes a restricted security that may be resold without restriction to "qualified institutional buyers" as defined in Rule 144A under the Securities Act of 1933 and that the Fund has determined to be liquid under criteria established by the Fund's Board of Directors (the "Directors"). At May 31, 2009, these liquid restricted securities amounted to $57,028,000, which represented 11.1% of total net assets.

5 Also represents cost for federal tax purposes.

6 Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.

Note: The categories of investments are shown as a percentage of total net assets at May 31, 2009.

Various inputs are used in determining the value of the Fund's investments. These inputs are summarized in the three broad levels listed below:

Level 1--quoted prices in active markets for identical securities

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 an indication of the risk associated with investing in those securities.

The following is a summary of the inputs used, as of May 31, 2009, in valuing the Fund's assets carried at fair value:

Valuation Inputs		Investments in Securities
Level 1--Quoted Prices and Investments in Mutual Funds		$ --
Level 2--Other Significant Observable Inputs		510,513,662
Level 3--Significant Unobservable Inputs		- --
TOTAL		$510,513,662

The following acronyms are used throughout this portfolio:

AMT	- --Alternative Minimum Tax
BANs	- --Bond Anticipation Notes
COL	- --Collateralized
CP	- --Commercial Paper
EDA	- --Economic Development Authority
EDFA	- --Economic Development Financing Authority
EDRB	- --Economic Development Revenue Bond
FHLMC	- --Federal Home Loan Mortgage Corporation
FNMA	- --Federal National Mortgage Association
FSA	- --Financial Security Assurance
GNMA	- --Government National Mortgage Association
GTD	- --Guaranteed
HFA	- --Housing Finance Authority
IDA	- --Industrial Development Authority
IDB	- --Industrial Development Bond
IDFA	- --Industrial Development Financing Authority
IDRB(s)	- --Industrial Development Revenue Bond(s)
IFA	- --Industrial Finance Authority
INS	- --Insured
INV	- --Investment Agreement
LIQ	- --Liquidity Agreement
LOC	- --Letter of Credit
MERLOTS	- --Municipal Exempt Receipts -- Liquidity Optional Tender Series
MFH	- --Multi-Family Housing
RANs	- --Revenue Anticipation Notes
ROCs	- --Reset Option Certificates
SFM	- --Single Family Mortgage
TOBs	- --Tender Option Bonds
TRANs	- --Tax and Revenue Anticipation Notes
VRDNs	- --Variable Rate Demand Notes
VRDPs	- --Variable Rate Demand Preferreds

See Notes which are an integral part of the Financial Statements

Statement of Assets and Liabilities

May 31, 2009

Assets:
Total investments in securities, at amortized cost and value			$	510,513,662
Cash				20,914
Income receivable				1,713,365
Receivable for shares sold				3,285
Prepaid temporary guarantee program insurance (Note 2)				53,592
TOTAL ASSETS				512,304,818
Liabilities:
Payable for shares redeemed	$	32,424
Income distribution payable		13,545
Payable for custodian fees		6,082
Payable for transfer and dividend disbursing agent fees and expenses		40,773
Payable for portfolio accounting fees		16,215
Payable for share registration costs		11,286
Payable for printing and postage		10,538
Payable for Directors'/Trustees' fees		841
Payable for distribution services fee (Note 5)		41,939
Payable for shareholder services fee (Note 5)		103,933
Accrued expenses		9,459
TOTAL LIABILITIES				287,035
Net assets for 512,024,365 shares outstanding			$	512,017,783
Net Assets Consist of:
Paid-in capital			$	512,022,069
Distributions in excess of net investment income				(4,286	)
TOTAL NET ASSETS			$	512,017,783
Net Asset Value, Offering Price and Redemption Proceeds Per Share:
$512,017,783 ÷ 512,024,365 shares outstanding, $0.001 par value, 12,500,000,000 shares authorized				$1.00

See Notes which are an integral part of the Financial Statements

Statement of Operations

Year Ended May 31, 2009

Investment Income:
Interest							$	9,774,825
Expenses:
Investment adviser fee (Note 5)				$	2,340,848
Administrative personnel and services fee (Note 5)					364,482
Custodian fees					23,587
Transfer and dividend disbursing agent fees and expenses					493,070
Directors'/Trustees' fees					6,837
Auditing fees					17,000
Legal fees					13,754
Portfolio accounting fees					91,765
Distribution services fee (Note 5)					468,008
Shareholder services fee (Note 5)					1,168,533
Account administration fee					1,891
Share registration costs					73,013
Printing and postage					55,023
Insurance premiums					5,268
Taxes					37,198
Miscellaneous					131,307
TOTAL EXPENSES					5,291,584
Waivers and Reduction:
Waiver of investment adviser fee (Note 5)	$	(206,852	)
Waiver of administrative personnel and services fee (Note 5)		(8,204	)
Reduction of custodian fees (Note 6)		(2,927	)
TOTAL WAIVERS AND REDUCTION					(217,983	)
Net expenses								5,073,601
Net investment income								4,701,224
Net realized gain on investments								351
Change in net assets resulting from operations							$	4,701,575

See Notes which are an integral part of the Financial Statements

Statement of Changes in Net Assets

Year Ended May 31		2009			2008
Increase (Decrease) in Net Assets
Operations:
Net investment income	$	4,701,224		$	9,533,429
Net realized gain on investments		351			102,014
CHANGE IN NET ASSETS RESULTING FROM OPERATIONS		4,701,575			9,635,443
Distributions to Shareholders:
Distributions from net investment income		(4,705,446	)		(9,535,689	)
Distributions from net realized gain on investments		(73,748	)		(105,172	)
CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS TO SHAREHOLDERS		(4,779,194	)		(9,640,861	)
Share Transactions:
Proceeds from sale of shares		1,437,187,268			1,853,688,088
Net asset value of shares issued to shareholders in payment of distributions declared		4,870,545			9,447,426
Cost of shares redeemed		(1,406,344,774	)		(1,729,508,126	)
CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS		35,713,039			133,627,388
Change in net assets		35,635,420			133,621,970
Net Assets:
Beginning of period		476,382,363			342,760,393
End of period (including distributions in excess of net investment income of $(4,286) and $(64), respectively)	$	512,017,783		$	476,382,363

See Notes which are an integral part of the Financial Statements

Notes to Financial Statements

May 31, 2009

1. ORGANIZATION

Cash Trust Series, Inc. (the "Corporation") is registered under the Investment Company Act of 1940, as amended (the "Act"), as an open-end management investment company. The Corporation consists of four portfolios. The financial statements included herein are only those of Municipal Cash Series (the "Fund"), a diversified portfolio. The financial statements of the other portfolios are presented separately. The assets of each portfolio are segregated and a shareholder's interest is limited to the portfolio in which shares are held. Each portfolio pays its own expenses. The investment objective of the Fund is to provide current income exempt from federal regular income tax consistent with stability of principal. Interest income from the Fund's investments may be subject to the federal AMT for individuals and corporations and state and local taxes.

2. SIGNIFICANT ACCOUNTING POLICIES

Investment Valuation

Investment Income, Expenses and Distributions

Investment transactions are accounted for on a trade-date basis. Realized gains and losses from investment transactions are recorded on an identified cost basis. Interest income and expenses are accrued daily. Distributions to shareholders are recorded on the ex-dividend date. Distributions of net investment income are declared daily and paid monthly.

Premium and Discount Amortization

All premiums and discounts are amortized/accreted.

Federal Taxes

Other Taxes

When-Issued and Delayed Delivery Transactions

Restricted Securities

Restricted securities are securities that either: (a) cannot be offered for public sale without first being registered, or being able to take advantage of an exemption from registration, under the Securities Act of 1933; or (b) are subject to contractual restrictions on public sales. In some cases, when a security cannot be offered for public sale without first being registered, the issuer of the restricted security has agreed to register such securities for resale, at the issuer's expense, either upon demand by the Fund or in connection with another registered offering of the securities. Many such restricted securities may be resold in the secondary market in transactions exempt from registration. Restricted securities may be determined to be liquid under criteria established by the Directors. The Fund will not incur any registration costs upon such resales. Restricted securities are valued at amortized cost in accordance with Rule 2a-7 under the Act.

Temporary Guarantee Program

The Fund is participating in the Temporary Guarantee Program for Money Market Funds (the "Program") offered by the U.S. Treasury Department (the "Treasury"). The Fund's coverage under the Program is limited to investors who were shareholders of the Fund as of the close of business on September 19, 2008 (Eligible Shareholders) up to the Eligible Shareholder's investment balance as of September 19, 2008 (Eligible Holdings). As the Program is currently structured, if a shareholder was not a shareholder in the Fund on September 19th and subsequently purchases shares of the Fund, such shareholder generally will not be an Eligible Shareholder of the Fund. Fund shares acquired by an Eligible Shareholder after September 19, 2008 generally are not eligible for coverage under the Program to the extent that an Eligible Shareholder's balance in that Fund exceeds the amount of the Eligible Shareholder's Eligible Holdings. The Treasury's obligation under the Program is triggered only if the Fund's net asset value (NAV) per share falls below $0.995, and remains below $0.995 until the Fund is liquidated. Pursuant to the Guarantee Agreement that a Fund was required to enter into in order to participate in the Program, a Fund generally is required to liquidate within 30 days of the date on which its NAV fell below $0.995. The Treasury will make payments under the Program after the Fund has liquidated and otherwise complied with various technical requirements imposed by the Treasury. The distribution of liquidation proceeds to shareholders would be delayed beyond the normal period for payment of proceeds on a normal redemption of shares. The Program would cover Eligible Shareholders in the amount necessary to bring the NAV of their holdings (to a maximum based on their Eligible Holdings) up to $1.00 per share. As of the date of this Report, the Program has approximately $50 billion available to support all participating money market funds. For the initial three months of the Program, which expired on December 18, 2008, the fee incurred by the Fund was 0.01% of the amount of its net assets as of September 19, 2008. For the period December 19, 2008 to April 30, 2009 and the period May 1, 2009 to September 18, 2009, the fee incurred by the Fund is 0.015% and 0.015%, respectively, of the amount of its net assets as of September 19, 2008 (accordingly, the Fund's gross expenses will increase by these amounts). The fees indicated above would equate to approximately 0.04% of Fund expenses on an annualized basis, which amount may vary depending upon asset levels. This fee is recognized ratably over the period of participation in the Program and is included in miscellaneous expense on the Fund's Statement of Operations. Given that asset levels may vary, the yield impact of these fees may vary over time.

Other

3. CAPITAL STOCK

The following table summarizes capital stock activity:

Year Ended May 31	2009		2008
Shares sold	1,437,187,268		1,853,688,088
Shares issued to shareholders in payment of distributions declared	4,870,545		9,447,426
Shares redeemed	(1,406,344,774	)	(1,729,508,126	)
NET CHANGE RESULTING FROM FUND SHARE TRANSACTIONS	35,713,039		133,627,388

4. FEDERAL TAX INFORMATION

The tax character of distributions as reported on the Statement of Changes in Net Assets for the years ended May 31, 2009 and 2008 was as follows:

		2009		2008
Tax-exempt income	$	4,705,446	$	9,535,689
Ordinary income¹	$	17,896	$	61,350
Long-term capital gains	$	55,852	$	43,822

1 For tax purposes, short-term capital gain distributions are considered ordinary income distributions.

As of May 31, 2009, the components of distributable earnings on a tax basis were as follows:

Distributions in excess of tax-exempt income

(4,286)

5. INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES

Investment Adviser Fee

Administrative Fee

Administrative Fee		Average Aggregate Daily Net Assets of the Federated Funds
0.150%		on the first $5 billion
0.125%		on the next $5 billion
0.100%		on the next $10 billion
0.075%		on assets in excess of $20 billion

Distribution Services Fee

The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule 12b-1 under the Act. Under the terms of the Plan, the Fund will reimburse Federated Securities Corp. (FSC), the principal distributor, from the daily net assets of the Fund to finance activities intended to result in the sale of these shares. The Plan provides that the Fund may incur distribution expenses of up to 0.35% of average daily net assets, annually, to reimburse FSC. FSC may voluntarily choose to waive any portion of its fee. FSC can modify or terminate this voluntary waiver at any time at its sole discretion. When FSC receives fees, it may pay some or all of them to financial intermediaries whose customers purchase shares. For the year ended May 31, 2009, FSC retained $114 of fees paid by the Fund.

Shareholder Services Fee

Interfund Transactions

During the year ended May 31, 2009, the Fund engaged in purchase and sale transactions with funds that have a common investment adviser (or affiliated investment advisers), common Directors/Trustees, and/or common Officers. These purchase and sale transactions complied with Rule 17a-7 under the Act and amounted to $1,361,408,000 and $1,670,058,000, respectively.

General

Certain Officers and Directors of the Fund are Officers and Directors or Trustees of the above companies.

6. EXPENSE REDUCTION

Through arrangements with the Fund's custodian, net credits realized as a result of uninvested cash balances were used to reduce custody expenses. For the year ended May 31, 2009, the Fund's expenses were reduced by $2,927 under these arrangements.

7. LINE OF CREDIT

8. INTERFUND LENDING

9. LEGAL PROCEEDINGS

Since October 2003, Federated Investors, Inc. and related entities (collectively, "Federated") and various Federated funds ("Federated Funds") have been named as defendants in several class action lawsuits now pending in the United States District Court for the District of Maryland. The lawsuits were purportedly filed on behalf of people who purchased, owned and/or redeemed shares of Federated-sponsored mutual funds during specified periods beginning November 1, 1998. The suits are generally similar in alleging that Federated engaged in illegal and improper trading practices including market timing and late trading in concert with certain institutional traders, which allegedly caused financial injury to the mutual fund shareholders. These lawsuits began to be filed shortly after Federated's first public announcement that it had received requests for information on shareholder trading activities in the Federated Funds from the SEC, the Office of the New York State Attorney General ("NYAG") and other authorities. In that regard, on November 28, 2005, Federated announced that it had reached final settlements with the SEC and the NYAG with respect to those matters. As Federated previously reported in 2004, it has already paid approximately $8.0 million to certain funds as determined by an independent consultant. As part of these settlements, Federated agreed to pay for the benefit of fund shareholders additional disgorgement and a civil money penalty in the aggregate amount of an additional $72 million. Federated entities have also been named as defendants in several additional lawsuits that are now pending in the United States District Court for the Western District of Pennsylvania, alleging, among other things, excessive advisory and Rule 12b-1 fees. The Board of the Federated Funds retained the law firm of Dickstein Shapiro LLP to represent the Federated Funds in these lawsuits. Federated and the Federated Funds, and their respective counsel have been defending this litigation, and none of the Federated Funds remains a defendant in any of the lawsuits (though some could potentially receive any recoveries as nominal defendants). Additional lawsuits based upon similar allegations may be filed in the future. The potential impact of these lawsuits, all of which seek unquantified damages, attorneys' fees and expenses, and future potential similar suits is uncertain. Although we do not believe that these lawsuits will have a material adverse effect on the Federated Funds, there can be no assurance that these suits, the ongoing adverse publicity and/or other developments resulting from the regulatory investigations will not result in increased Federated Fund redemptions, reduced sales of Federated Fund shares or other adverse consequences for the Federated Funds.

10. RECENT ACCOUNTING PRONOUNCEMENTS

In April 2009, FASB released 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 Orderly" (FSP FAS 157-4) which is effective for interim and annual reporting periods ending after June 15, 2009. FSP FAS 157-4 provides additional guidance for estimating fair value in accordance with FASB Statement No. 157, F air Value Measurements .. Management has concluded that the adoption of FSP FAS 157-4 is not expected to have a material impact on the Fund's net assets or results of operations.

11. FEDERAL TAX INFORMATION (UNAUDITED)

For the year ended May 31, 2009, the amount of long-term capital gains designated by the Fund was $55,852.

For the year ended May 31, 2009, 100.0% of the distributions from net investment income is exempt from federal income tax, other than the federal AMT.

Report of Independent Registered Public Accounting Firm

TO THE BOARD OF DIRECTORS OF CASH TRUST SERIES, INC. AND SHAREHOLDERS OF MUNICIPAL CASH SERIES:

We have audited the accompanying statement of assets and liabilities of Municipal Cash Series (the "Fund") (one of the portfolios constituting the Cash Trust Series, Inc.), including the portfolio of investments, as of May 31, 2009, and the related statements of operations for the year then ended, the statement of changes in net assets for each of the two years in the period then ended and the financial highlights for each of the four years in the period then ended. These financial statements and financial highlights are the responsibility of the Fund's management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. The financial highlights for the year ended May 31, 2005 were audited by another independent registered public accounting firm whose report, dated July 19, 2005, expressed an unqualified opinion on those financial highlights.

We conducted our audits in accordance with standards of the Public Company Accounting Oversight Board (United States). 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. We were not engaged to perform an audit of the Fund's internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Fund's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements and financial highlights, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of May 31, 2009 by correspondence with the custodian and brokers. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of the Municipal Cash Series, a portfolio of Cash Trust Series, Inc., at May 31, 2009, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the four years in the period then ended, in conformity with U.S. generally accepted accounting principles.

Ernst & Young LLP

Boston, Massachusetts
July 20, 2009

Board of Directors and Corporation Officers

INTERESTED DIRECTORS BACKGROUND


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
John F. Donahue* Birth Date: July 28, 1924 DIRECTOR Began serving: May 1989		Principal Occupations: Director or Trustee of the Federated Fund Complex; Chairman and Director, Federated Investors, Inc.; Chairman of the Federated Fund Complex's Executive Committee. Previous Positions: Chairman of the Federated Fund Complex; Trustee, Federated Investment Management Company; Chairman and Director, Federated Investment Counseling.


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
J. Christopher Donahue* Birth Date: April 11, 1949 DIRECTOR AND PRESIDENT Began serving: May 1989		Principal Occupations: Principal Executive Officer and President of the Federated Fund Complex; Director or Trustee of some of the Funds in the Federated Fund Complex; President, Chief Executive Officer and Director, Federated Investors, Inc.; Chairman and Trustee, Federated Investment Management Company; Trustee, Federated Investment Counseling; Chairman and Director, Federated Global Investment Management Corp.; Chairman, Federated Equity Management Company of Pennsylvania and Passport Research, Ltd. (investment advisory subsidiary of Federated); Trustee, Federated Shareholder Services Company; Director, Federated Services Company. Previous Positions: President, Federated Investment Counseling; President and Chief Executive Officer, Federated Investment Management Company, Federated Global Investment Management Corp. and Passport Research, Ltd.

INDEPENDENT DIRECTORS BACKGROUND


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
John T. Conroy, Jr. Birth Date: June 23, 1937 DIRECTOR Began serving: August 1991		Principal Occupations: Director or Trustee of the Federated Fund Complex; Chairman of the Board, Investment Properties Corporation; Partner or Trustee in private real estate ventures in Southwest Florida; Assistant Professor of Theology, Blessed Edmund Rice School for Pastoral Ministry. Previous Positions: President, Investment Properties Corporation; Senior Vice President, John R. Wood and Associates, Inc., Realtors; President, Naples Property Management, Inc. and Northgate Village Development Corporation.

Nicholas P. Constantakis Birth Date: September 3, 1939 DIRECTOR Began serving: February 1998		Principal Occupation: Director or Trustee of the Federated Fund Complex. Other Directorships Held: Director and Chairman of the Audit Committee, Michael Baker Corporation (engineering and energy services worldwide). Previous Position: Partner, Andersen Worldwide SC.


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
John F. Cunningham Birth Date: March 5, 1943 DIRECTOR Began serving: January 1999		Principal Occupations: Director or Trustee of the Federated Fund Complex. Other Directorships Held: Chairman, President and Chief Executive Officer, Cunningham & Co., Inc. (strategic business consulting); Trustee Associate, Boston College. Previous Positions: Director, QSGI, Inc. (technology services company); Director, Redgate Communications and EMC Corporation (computer storage systems); Chairman of the Board and Chief Executive Officer, Computer Consoles, Inc.; President and Chief Operating Officer, Wang Laboratories; Director, First National Bank of Boston; Director, Apollo Computer, Inc.

Peter E. Madden Birth Date: March 16, 1942 DIRECTOR Began serving: August 1991		Principal Occupation: Director or Trustee, and Chairman of the Board of Directors or Trustees, of the Federated Fund Complex. Other Directorships Held: Board of Overseers, Babson College. Previous Positions: Representative, Commonwealth of Massachusetts General Court; President, State Street Bank and Trust Company and State Street Corporation (retired); Director, VISA USA and VISA International; Chairman and Director, Massachusetts Bankers Association; Director, Depository Trust Corporation; Director, The Boston Stock Exchange.

Charles F. Mansfield, Jr. Birth Date: April 10, 1945 DIRECTOR Began serving: January 1999		Principal Occupations: Director or Trustee of the Federated Fund Complex; Management Consultant. Other Directorships Held: Chairman, Audit Committee. Previous Positions: Chief Executive Officer, PBTC International Bank; Partner, Arthur Young & Company (now Ernst & Young LLP); Chief Financial Officer of Retail Banking Sector, Chase Manhattan Bank; Senior Vice President, HSBC Bank USA (formerly, Marine Midland Bank); Vice President, Citibank; Assistant Professor of Banking and Finance, Frank G. Zarb School of Business, Hofstra University; Executive Vice President, DVC Group, Inc. (marketing, communications and technology).


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years, Other Directorships Held and Previous Position(s)
R. James Nicholson Birth Date: February 4, 1938 DIRECTOR Began serving: January 2008		Principal Occupations: Director or Trustee of the Federated Fund Complex; Senior Counsel, Brownstein Hyatt Farber Schrek, P.C.; Former Secretary of the U.S. Dept. of Veterans Affairs; Former U.S. Ambassador to the Holy See; Former Chairman of the Republican National Committee. Other Directorships Held: Director, Horatio Alger Association; Director, The Daniels Fund. Previous Positions: Colonel, U.S. Army Reserve; Partner, Calkins, Kramer, Grimshaw and Harring, P.C.; General Counsel, Colorado Association of Housing and Building; Chairman and CEO, Nicholson Enterprises, Inc. (real estate holding company); Chairman and CEO, Renaissance Homes of Colorado.

Thomas M. O'Neill Birth Date: June 14, 1951 DIRECTOR Began serving: October 2006		Principal Occupations: Director or Trustee of the Federated Fund Complex; Managing Director and Partner, Navigator Management Company, L.P. (investment and strategic consulting); Consultant, EZE Castle Software (investment order management software); Partner, Midway Pacific (lumber). Other Directorships Held: Board of Overseers, Children's Hospital of Boston; Visiting Committee on Athletics, Harvard College; Director, EZE Castle Software. Previous Positions: Chief Executive Officer and President, Managing Director and Chief Investment Officer, Fleet Investment Advisors; President and Chief Executive Officer, Aeltus Investment Management, Inc.; General Partner, Hellman, Jordan Management Co., Boston, MA; Chief Investment Officer, The Putnam Companies, Boston, MA; Credit Analyst and Lending Officer, Fleet Bank.

John S. Walsh Birth Date: November 28, 1957 DIRECTOR Began serving: January 1999		Principal Occupations: Director or Trustee of the Federated Fund Complex; President and Director, Heat Wagon, Inc. (manufacturer of construction temporary heaters); President and Director, Manufacturers Products, Inc. (distributor of portable construction heaters); President, Portable Heater Parts, a division of Manufacturers Products, Inc. Previous Position: Vice President, Walsh & Kelly, Inc.

James F. Will Birth Date: October 12, 1938 DIRECTOR Began serving: April 2006		Principal Occupations: Director or Trustee of the Federated Fund Complex; formerly, Vice Chancellor and President, Saint Vincent College. Other Directorships Held: Trustee, Saint Vincent College; Alleghany Corporation. Previous Positions: Chairman, President and Chief Executive Officer, Armco, Inc.; President and Chief Executive Officer, Cyclops Industries; President and Chief Operating Officer, Kaiser Steel Corporation.

OFFICERS


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years and Previous Position(s)
John W. McGonigle Birth Date: October 26, 1938 EXECUTIVE VICE PRESIDENT AND SECRETARY Began serving: May 1989		Principal Occupations: Executive Vice President and Secretary of the Federated Fund Complex; Vice Chairman, Executive Vice President, Secretary and Director, Federated Investors, Inc. Previous Positions: Trustee, Federated Investment Management Company and Federated Investment Counseling; Director, Federated Global Investment Management Corp., Federated Services Company and Federated Securities Corp.

Richard A. Novak Birth Date: December 25, 1963 TREASURER Began serving: January 2006		Principal Occupations: Principal Financial Officer and Treasurer of the Federated Fund Complex; Senior Vice President, Federated Administrative Services; Financial and Operations Principal for Federated Securities Corp., Edgewood Services, Inc. and Southpointe Distribution Services, Inc. Previous Positions: Controller of Federated Investors, Inc.; Vice President, Finance of Federated Services Company; held various financial management positions within The Mercy Hospital of Pittsburgh; Auditor, Arthur Andersen & Co.

Richard B. Fisher Birth Date: May 17, 1923 VICE CHAIRMAN Began serving: August 2002		Principal Occupations: Vice Chairman or Vice President of some of the Funds in the Federated Fund Complex; Vice Chairman, Federated Investors, Inc.; Chairman, Federated Securities Corp. Previous Positions: President and Director or Trustee of some of the Funds in the Federated Fund Complex; Executive Vice President, Federated Investors, Inc.; Director and Chief Executive Officer, Federated Securities Corp.

Brian P. Bouda Birth Date: February 28, 1947 CHIEF COMPLIANCE OFFICER AND SENIOR VICE PRESIDENT Began serving: August 2004		Principal Occupations: Senior Vice President and Chief Compliance Officer of the Federated Fund Complex; Vice President and Chief Compliance Officer of Federated Investors, Inc. and Chief Compliance Officer of its subsidiaries. Mr. Bouda joined Federated in 1999 and is a member of the American Bar Association and the State Bar Association of Wisconsin.


Name Birth Date Positions Held with Corporation Date Service Began		Principal Occupation(s) for Past Five Years and Previous Position(s)
Deborah A. Cunningham Birth Date: September 15, 1959 CHIEF INVESTMENT OFFICER Began serving: May 2004		Principal Occupations: Deborah A. Cunningham has been the Fund's Portfolio Manager since January 1994. Ms. Cunningham was named Chief Investment Officer of money market products in 2004 and serves as a Senior Portfolio Manager. Ms. Cunningham was named an Executive Vice President of the Fund's Adviser in 2009. She joined Federated in 1981 and was a Senior Vice President of the Fund's Adviser from 1997 to 2009. Ms. Cunningham is a Chartered Financial Analyst and received her M.S.B.A. in Finance from Robert Morris College.

Mary Jo Ochson Birth Date: September 12, 1953 VICE PRESIDENT Began serving: November 1998		Principal Occupations: Ms. Ochson was named Chief Investment Officer of tax-exempt fixed-income products in 2004 and is a Vice President of the Corporation. She joined Federated in 1982 and has been a Senior Portfolio Manager and a Senior Vice President of the Fund's Adviser since 1996. Ms. Ochson is a Chartered Financial Analyst and received her M.B.A. in Finance from the University of Pittsburgh.

Evaluation and Approval of Advisory
Contract - May 2009

MUNICIPAL CASH SERIES (THE "FUND")

Voting Proxies on Fund Portfolio Securities

Quarterly Portfolio Schedule

Federated
World-Class Investment Manager

Municipal Cash Series
Federated Investors Funds
4000 Ericsson Drive
Warrendale, PA 15086-7561
Contact us at FederatedInvestors.com
or call 1-800-341-7400.

Federated Securities Corp., Distributor

Cusip 147551303

28565 (7/09)

Federated is a registered mark of Federated Investors, Inc. 2009 (c)Federated Investors, Inc.

Federated
World-Class Investment Manager

Prime Cash Series

A Portfolio of Cash Trust Series, Inc.

ANNUAL SHAREHOLDER REPORT

May 31, 2009

Not FDIC Insured * May Lose Value * No Bank Guarantee

Financial Highlights

(For a Share Outstanding Throughout Each Period)

Year Ended May 31	2009		2008		2007		2006	¹	2005
Net Asset Value, Beginning of Period	$1.00		$1.00		$1.00		$1.00		$1.00
Income From Investment Operations:
Net investment income	0.014		0.036		0.043		0.031		0.011
Less Distributions:
Distributions from net investment income	(0.014	)	(0.036	)	(0.043	)	(0.031	)	(0.011	)
Net Asset Value, End of Period	$1.00		$1.00		$1.00		$1.00		$1.00
Total Return²	1.39	%	3.70	%	4.42	%	3.15	%	1.08	%

Ratios to Average Net Assets:
Net expenses	1.08	%	1.05	%	1.05	%	1.05	%	1.05	%
Net investment income	1.34	%	3.58	%	4.34	%	3.07	%	1.11	%
Expense waiver/reimbursement³	0.01	%	0.02	%	0.01	%	0.02	%	0.02	%
Supplemental Data:
Net assets, end of period (000 omitted)	$6,661,244		$5,787,122		$4,758,790		$3,850,411		$4,074,633

1 Beginning with the year ended May 31, 2006, the Fund was audited by Ernst & Young LLP. The previous year was audited by another independent registered public accounting firm.

2 Based on net asset value.

3 This expense decrease is reflected in both the net expense and the net investment income ratios shown above.

See Notes which are an integral part of the Financial Statements

Shareholder Expense Example (unaudited)

ACTUAL EXPENSES

The first section of the table below provides information about actual account values and actual expenses. You may use the information in this section, together with the amount you invested, to estimate the expenses that you incurred over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number in the first section under the heading entitled "Expenses Paid During Period" to estimate the expenses attributable to your investment during this period.

HYPOTHETICAL EXAMPLE FOR COMPARISON PURPOSES

	Beginning Account Value 12/1/2008	Ending Account Value 5/31/2009	Expenses Paid During Period¹
Actual	$1,000	$1,003.90	$5.50
Hypothetical (assuming a 5% return before expenses)	$1,000	$1,019.45	$5.54

1 Expenses are equal to the Fund's net annualized expense ratio of 1.10%, multiplied by the average account value over the period, multiplied by 182/365 (to reflect the one-half-year period).

Portfolio of Investments Summary Tables (unaudited)

At May 31, 2009, the Fund's portfolio composition¹was as follows:

Security Type		Percentage of Total Net Assets
Bank Instruments		38.6%
Commercial Paper and Notes		31.8%
Variable Rate Demand Instruments		21.5%
Repurchase Agreement		7.2%
U.S. Government Agencies		0.8%
Other Assets and Liabilities - Net²		0.1%
TOTAL		100.0%

At May 31, 2009, the Fund's effective maturity³ schedule was as follows:

Securities With an Effective Maturity of:		Percentage of Total Net Assets
1-7 Days		27.3%
8-30 Days		15.3%
31-90 Days		41.7%
91-180 Days		14.9%
181 Days or more		0.7%
Other Assets and Liabilities - Net²		0.1%
TOTAL		100.0%

1 See the Fund's Prospectus and Statement of Additional Information for more complete information regarding these security types. With respect to this table, Commercial Paper and Notes includes any fixed-rate security that is not a bank instrument. A variable rate instrument is any security which has an interest rate that resets periodically.

2 Assets, other than investments in securities, less liabilities. See Statement of Assets and Liabilities.

3 Effective maturity is determined in accordance with the requirements of Rule 2a-7 under the Investment Company Act of 1940, which regulates money market mutual funds.

Portfolio of Investments

May 31, 2009

Principal Amount					Value
			ASSET-BACKED SECURITIES--1.8%
			Finance - Automotive--1.5%
$	22,232,466		Ford Credit Auto Owner Trust 2009-A, Class A1, 1.860, 4/15/2010	$	22,232,466
	3,593,445		Honda Auto Receivables Owner Trust 2008-2, Class A1, 3.135%, 12/21/2009		3,593,445
	11,119,738		Honda Auto Receivables Owner Trust 2009-1, Class A1, 1.977%, 2/16/2010		11,119,738
	25,557,080	¹	NIF-T 2009-1, Class A1, 2.565%, 4/6/2010		25,557,080
	3,073,196		Nissan Auto Receivables Owner Trust 2008-C, Class A1, 3.037%, 12/15/2009		3,073,195
	33,000,000		Volkswagen Auto Lease Trust 2009-A, Class A1, 1.452%, 5/17/2010		33,000,000
			TOTAL		98,575,924
			Finance - Equipment--0.3%
	22,311,625	¹	CIT Canada Equipment Receivables Trust 2009-1, Class A1, 2.419%, 5/7/2010		22,311,625
			TOTAL ASSET-BACKED SECURITIES		120,887,549
			CERTIFICATES OF DEPOSIT--27.1%
			Finance - Banking--27.1%
	40,000,000		BNP Paribas S.A., 1.380%, 9/8/2009		40,000,000
	75,000,000		Banco Bilbao Vizcaya Argentaria S.A., 1.070%, 11/2/2009		75,003,191
	20,000,000		Bank of Montreal, 3.650%, 6/15/2009		20,000,000
	230,000,000		Bank of Tokyo-Mitsubishi UFJ Ltd., 0.500% - 1.050%, 7/15/2009 - 8/21/009		230,000,000
	305,000,000		Barclays Bank PLC, 0.600% - 3.700%, 6/9/2009 - 9/23/2009		305,000,044
	75,000,000		Bayerische Landesbank, 1.120%, 7/17/2009		75,000,956
	260,000,000		Calyon, Paris, 0.450% - 1.300%, 7/9/2009 - 9/1/2009		260,000,000
	121,000,000		Canadian Imperial Bank of Commerce, 1.000% - 2.550%, 6/4/2009 - 8/4/2009		121,000,000
	25,000,000		Credit Agricole S.A., 3.350%, 9/14/2009		25,000,000
	100,000,000		Credit Suisse, Zurich, 1.250% - 1.450%, 7/9/2009 - 7/21/2009		100,000,000
	114,000,000		Lloyds TSB Bank PLC, London, 1.680% - 1.700%, 6/30/2009 - 7/8/2009		114,000,815
Principal Amount					Value
			CERTIFICATES OF DEPOSIT--continued
			Finance - Banking--continued
$	50,000,000		Mizuho Corporate Bank Ltd., 1.000%, 6/11/2009	$	50,000,000
	15,000,000		Regions Bank, Alabama, 1.140%, 7/15/2009		15,000,000
	100,000,000		State Street Bank and Trust Co., 1.150% - 1.300%, 7/9/2009 - 7/22/2009		100,000,000
	48,000,000		Sumitomo Mitsui Banking Corp., 0.500%, 8/21/2009		48,000,000
	49,000,000		Svenska Handelsbanken, Stockholm, 1.010%, 6/12/2009		49,000,149
	179,500,000		Toronto Dominion Bank, 1.170% - 1.900%, 8/31/2009 - 12/14/2009		179,500,000
			TOTAL CERTIFICATES OF DEPOSIT		1,806,505,155
			COLLATERALIZED LOAN AGREEMENTS--8.1%
			Finance - Banking--8.1%
	125,000,000		Citigroup Global Markets, Inc., 0.620% - 0.720%, 6/1/2009		125,000,000
	266,000,000		Deutsche Bank Securities, Inc., 0.500% - 0.720%, 6/1/2009 - 6/3/2009		266,000,000
	150,000,000		Greenwich Capital Markets, Inc., 0.500%, 6/12/2009		150,000,000
			TOTAL COLLATERALIZED LOAN AGREEMENTS		541,000,000
			COMMERCIAL PAPER--31.8%³
			Aerospace - Auto--1.9%
	57,000,000	^1,2	Nissan Motor Acceptance Corp., (Nissan Motor Co., Ltd. SA), 1.550% - 1.700%, 6/12/2009 - 6/19/2009		56,966,047
	66,000,000	^1,2	Volkswagen of America, Inc., (GTD by Volkswagen AG), 0.750% - 3.450%, 6/4/2009 - 7/2/2009		65,925,221
			TOTAL		122,891,268
			Chemicals--0.2%
	15,000,000		PPG Industries, Inc., 0.700% - 1.200%, 7/6/2009 - 7/9/2009		14,984,783
			Consumer Non-Durables--0.4%
	21,084,000		Clorox Corp., 0.550% - 0.600%, 6/2/2009 - 6/19/2009		21,080,901
	8,000,000		Kellogg Co., 1.200%, 6/9/2009		7,997,867
			TOTAL		29,078,768
			Diversified--0.1%
	9,000,000	^1,2	ITT Corp., 1.200% - 1.550%, 7/6/2009 - 7/28/2009		8,983,356
Principal Amount					Value
			COMMERCIAL PAPER--continued³
			Finance - Banking--19.3%
$	50,000,000	^1,2	Banco Bilbao Vizcaya Argentaria S.A., 1.000%, 11/16/2009	$	49,766,667
	50,000,000		Banco Santander, S.A., 2.520%, 6/2/2009		49,996,500
	50,000,000		Bayerische Landesbank, 1.000%, 7/21/2009		49,930,556
	150,000,000	^1,2	Clipper Receivables Company LLC, 1.300%, 7/15/2009		149,761,667
	100,000,000		Danske Corp., Inc., (GTD by Danske Bank A/S), 1.000% - 1.050%, 6/5/2009 - 7/20/2009		99,922,986
	100,000,000	^1,2	Danske Corp., Inc., 0.400%, 8/13/2009		99,918,889
	75,000,000		ING (U.S.) Funding LLC, 0.900%, 6/22/2009		74,960,625
	40,000,000	^1,2	KBC Financial Products International Ltd., (GTD by KBC Bank N.V.), 0.650% - 0.800%, 6/5/2009 - 6/25/2009		39,987,889
	315,000,000		Landesbank Baden-Wuerttemberg, 0.740% - 1.150%, 7/14/2009 - 8/17/2009		314,513,056
	205,000,000		Societe Generale North America, Inc., (GTD by Societe Generale, Paris), 1.020% - 1.140%, 7/13/2009 - 10/21/2009		204,435,083
	100,000,000		Svenska Handelsbanken, Inc., (GTD by Svenska Handelsbanken, Stockholm), 0.995%, 6/15/2009		99,961,306
	50,000,000	^1,2	Ticonderoga Funding LLC, (Bank of America N.A. SWP), 0.730%, 6/1/2009		50,000,000
			TOTAL		1,283,155,224
			Finance - Commercial--6.4%
	100,000,000		General Electric Capital Services, 0.750%, 11/9/2009 - 11/10/2009		99,663,021
	325,000,000	^1,2	Versailles Commercial Paper LLC, 0.600% - 0.650%, 6/15/2009 - 6/29/2009		324,868,611
			TOTAL		424,531,632
			Finance - Retail--1.5%
	70,000,000	^1,2	Alpine Securitization Corp., 0.250% - 0.600%, 6/24/2009 - 7/6/2009		69,980,347
	29,000,000	^1,2	Enterprise Funding Co. LLC, 0.800%, 8/4/2009		28,958,756
			TOTAL		98,939,103
			Food & Beverage--1.3%
	20,000,000	^1,2	General Mills, Inc., 0.500%, 7/13/2009		19,988,333
	67,000,000	^1,2	H.J. Heinz Finance Co., (GTD by H.J. Heinz Co.), 0.700% - 1.220%, 7/2/2009 - 8/12/2009		66,891,804
			TOTAL		86,880,137
Principal Amount					Value
			COMMERICAL PAPER--continued³
			Packaging & Containers--0.1%
$	5,000,000		Bemis Co., Inc., 0.550%, 6/18/2009	$	4,998,701
			Retail--0.1%
	10,000,000	^1,2	CVS Caremark Corp., 0.430%, 6/4/2009		9,999,642
			Telecommunications--0.5%
	36,000,000	^1,2	Vodafone Group PLC, 0.470%, 6/1/2009		36,000,000
			TOTAL COMMERCIAL PAPER		2,120,442,614
			CORPORATE NOTE--0.0%
			Finance - Commercial--0.0%
	1,275,000		General Electric Capital Corp., 4.125%, 9/1/2009		1,279,534
			GOVERNMENT AGENCIES--0.8%
			Government Agency--0.8%
	50,000,000		Federal Home Loan Bank System, 0.720%, 1/27/2010		50,000,000
			LOAN PARTICIPATION--1.6%
			Chemicals--1.6%
	105,000,000		DuPont Teijin Films U.K. Ltd., (GTD by Du Pont (E.I.) de Nemours & Co.), 0.700%, 7/28/2009		105,000,000
			NOTES - VARIABLE--21.5%⁴
			Electronics--0.8%
	50,000,000	^1,2	IBM International Group Capital LLC, (GTD by IBM Corp.), 0.881%, 8/26/2009		50,000,000
			Finance - Banking--16.4%
	2,015,000		6380 Brackbill Associates LP, (Series 2000), (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.010%, 6/5/2009		2,015,000
	25,000,000		Abbey National PLC, London, 1.024%, 8/28/2009		25,001,827
	2,400,000		American Manufacturing Co., Inc., (Wachovia Bank N.A. LOC), 1.000%, 6/4/2009		2,400,000
	40,000,000		Australia & New Zealand Banking Group, Melbourne, 1.533%, 6/10/2009		40,000,000
	50,000,000	^1,2	Australia & New Zealand Banking Group, Melbourne, 1.671%, 6/5/2009		50,000,000
	40,000,000	^1,2	Bank of Montreal, 0.911%, 6/5/2009		40,000,000
Principal Amount					Value
			NOTES - VARIABLE--continued⁴
			Finance - Banking--continued
$	110,000,000		Bank of Montreal, 1.286% - 1.729%, 6/18/2009 - 8/14/2009	$	110,000,000
	5,510,000		Bond Holdings LP, (Wachovia Bank N.A. LOC), 0.600%, 6/5/2009		5,510,000
	25,935,000		COG Leasing Co. LLP, (Series 2007), (Regions Bank, Alabama LOC), 3.520%, 6/4/2009		25,935,000
	1,110,000		Capital One Funding Corp., (Series 1995-D), (JPMorgan Chase Bank, N.A. LOC), 0.800%, 6/4/2009		1,110,000
	3,235,000		Central Penn, Inc., (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.010%, 6/5/2009		3,235,000
	1,865,000		Crane Plastics Siding LLC, (Series 2000), (JPMorgan Chase Bank, N.A. LOC), 2.650%, 6/4/2009		1,865,000
	35,000,000		Credit Agricole S.A., 1.477%, 6/22/2009		35,000,000
	2,785,000		Damascus Co. Ltd., (Series 1998), (Huntington National Bank, Columbus, OH LOC), 3.400%, 6/4/2009		2,785,000
	365,000		Dave White Chevrolet, Inc., (Series 1996), (Huntington National Bank, Columbus, OH LOC), 3.400%, 6/4/2009		365,000
	13,925,000		Dayton Freight Lines, Inc., (Series 2005), (Fifth Third Bank, Cincinnati LOC), 3.300%, 6/4/2009		13,925,000
	15,500,000		Denham Springs Economic Development District, Bass Pro Shops Projects, (Series 2007-B), (JPMorgan Chase Bank, N.A. LOC), 1.320%, 6/4/2009		15,500,000
	550,000		Dewberry III LP, (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.030%, 6/3/2009		550,000
	21,920,000		Dynetics, Inc., (Series 2004), (Compass Bank, Birmingham LOC), 0.900%, 6/4/2009		21,920,000
	1,410,000		Engle Printing & Publishing, (Series 2001), (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.010%, 6/5/2009		1,410,000
	45,625,000		FEM Portfolio No. 1, (Series 2007), (Huntington National Bank, Columbus, OH LOC), 3.400%, 6/4/2009		45,625,000
	45,335,000		Fiore Capital LLC, (Series 2005-A), (Marshall & Ilsley Bank, Milwaukee LOC), 3.170%, 6/4/2009		45,335,000
	13,665,000		First Assembly of God, (Series 2004), (Regions Bank, Alabama LOC), 3.520%, 6/4/2009		13,665,000
	3,985,000		Franklin County, OH, Edison Welding, (Series 1995), (Huntington National Bank, Columbus, OH LOC), 3.400%, 6/4/2009		3,985,000
Principal Amount					Value
			NOTES - VARIABLE--continued⁴
			Finance - Banking--continued
$	4,820,000		Gannett Fleming, Inc., (Series 2001), (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.010%, 6/4/2009	$	4,820,000
	3,000,000		Georgia Ports Authority, Colonel's Island Terminal Project (Series 1996-A), Revenue Bonds, (SunTrust Bank LOC), 3.000%, 6/3/2009		3,000,000
	6,510,000		Goldleaf Mortgage LLC, (Series 2007-A), (Marshall & Ilsley Bank, Milwaukee LOC), 3.170%, 6/4/2009		6,510,000
	1,770,000		Graywood Farms LLC, (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.010%, 6/4/2009		1,770,000
	2,285,000		Great Southern Wood, Inc., (Wachovia Bank N.A. LOC), 1.000%, 6/5/2009		2,285,000
	4,560,000		Grob Systems, Inc., (Series 1998 & 1999), (Fifth Third Bank, Cincinnati LOC), 3.650%, 6/4/2009		4,560,000
	17,060,000		HD Greenville LLC, (Series 2004), (Regions Bank, Alabama LOC), 3.520%, 6/4/2009		17,060,000
	950,000		Hanna Steel Corp., (Wachovia Bank N.A. LOC), 0.650%, 6/5/2009		950,000
	18,000,000	^1,2	ING Bank NV, 1.496%, 6/26/2009		18,000,000
	15,000,000		Interlock Realty Co., (U.S. Bank, N.A. LOC), 0.500%, 6/4/2009		15,000,000
	1,935,000		Iowa 80 Group, Inc., (Series 2001), (Wells Fargo Bank, N.A. LOC), 2.000%, 6/1/2009		1,935,000
	25,000,000		Lloyds TSB Bank PLC, London, 0.364%, 6/6/2009		25,000,000
	3,730,000		Maryland State Economic Development Corp., Human Genome Sciences (Series 1999A), (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.030%, 6/2/2009		3,730,000
	50,000,000		Maryland State Economic Development Corp., (Series 2001A) Human Genome Sciences, (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.030%, 6/2/2009		50,000,000
	3,955,000		Memphis, TN Center City Revenue Finance Corp., South Bluffs Project (Series1998-A), (SunTrust Bank LOC), 3.820%, 6/4/2009		3,955,000
	14,670,000		Mississippi Business Finance Corp., Howard Industries, Inc. Project (Series 2205), (Regions Bank, Alabama LOC), 4.000%, 6/4/2009		14,670,000
	13,000,000		N.A.R.A.J.J.P.K. LLC, (Series 2008-A), (Marshall & Ilsley Bank, Milwaukee LOC), 3.170%, 6/4/2009		13,000,000
	55,000,000		National Australia Bank Ltd., Melbourne, 1.507%, 6/8/2009		55,000,000
	17,700,000		New York City Housing Development Corp., (Series 2009-A1), (RBS Citizens Bank N.A. LOC), 3.250%, 6/3/2009		17,700,000
Principal Amount					Value
			NOTES - VARIABLE--continued⁴
			Finance - Banking--continued
$	3,585,000		Olive Baptist Church, Inc., (Regions Bank, Alabama LOC), 3.520%, 6/4/2009	$	3,585,000
	7,000,000		RP Huntsville, LLC, (Series 2008), (Regions Bank, Alabama LOC), 3.520%, 6/4/2009		7,000,000
	3,630,000		RT Anderson LLC, (Series 2003), (Regions Bank, Alabama LOC), 3.520%, 6/4/2009		3,630,000
	50,000,000	^1,2	Rabobank Nederland NV, Utrecht, 0.561%, 7/7/2009		50,000,000
	7,560,000		Remington Leasing LLC, (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.010%, 6/5/2009		7,560,000
	16,523,000		Societe Generale, Paris, 1.676%, 6/4/2009		16,476,590
	2,600,000		South Pittsburg, TN IDB, Lodge Manufacturing Co. Project, (Series 1999), (SunTrust Bank LOC), 3.000%, 6/3/2009		2,600,000
	3,870,000		Sun Valley, Inc., (Wachovia Bank N.A. LOC), 1.000%, 6/5/2009		3,870,000
	2,735,000		Sussex County, DE, Rehoboth Mall Project, (Manufacturers & Traders Trust Co., Buffalo, NY LOC), 2.010%, 6/5/2009		2,735,000
	50,000,000	^1,2	Svenska Handelsbanken, Stockholm, 1.462%, 7/27/2009		50,000,000
	53,500,000		Svenska Handelsbanken, Stockholm, 1.135% - 1.396%, 7/6/2009 - 8/20/2009		53,500,000
	375,000		TDB Realty Ltd., (Huntington National Bank, Columbus, OH LOC), 3.400%, 6/4/2009		375,000
	5,475,000		Trinity Baptist Church, (Series 2002-A), (Regions Bank, Alabama LOC), 3.520%, 6/4/2009		5,475,000
	27,380,000		Urban Campus Environments LLC, (Series 2006), (Wachovia Bank N.A. LOC), 0.500%, 6/4/2009		27,380,000
	31,000,000		Utah Telecommunication Open Infrastructure Agency, (Series 2008), (Key Bank, N.A. LOC), 2.400%, 6/4/2009		31,000,000
	135,000		Valleydale Baptist Church, (Series 2003), (Regions Bank, Alabama LOC), 3.520%, 6/4/2009		135,000
	11,500,000		Village Green Finance Co. LLC, (Series 1997), (Wachovia Bank N.A. LOC), 0.500%, 6/3/2009		11,500,000
	45,000,000		Wachovia Bank N.A., 1.586%, 7/6/2009		45,000,000
	1,040,000		Wexner Heritage House, (Series 2000), (Huntington National Bank, Columbus, OH LOC), 3.400%, 6/4/2009		1,040,000
	830,000		White Brothers Properties, (Series 1996), (Huntington National Bank, Columbus, OH LOC), 3.400%, 6/4/2009		830,000
			TOTAL		1,089,773,417
Principal Amount					Value
			NOTES - VARIABLE--continued⁴
			Finance - Commercial--1.1%
$	51,000,000		General Electric Capital Corp., 0.422% - 0.774%, 6/9/2009 - 8/31/2009	$	50,801,077
	7,600,000		KORDSA, Inc., (Series 2006), (General Electric Capital Corp. LOC), 1.750%, 6/4/2009		7,600,000
	14,570,000		Mountain Creek Properties LLC, (General Electric Capital Corp. LOC), 1.750%, 6/4/2009		14,570,000
			TOTAL		72,971,077
			Finance - Retail--0.5%
	32,000,000		AFS Insurance Premium Receivables Trust, (Series 1994-A), 0.899%, 6/15/2009		32,000,000
			Government Agency--0.4%
	19,000,000		BBC Enterprises LLC, (Series 2007), (FHLB of San Francisco LOC), 0.750%, 6/4/2009		19,000,000
	10,000,000		Capital Trust Agency, FL, (FNMA LOC), 0.750%, 6/4/2009		10,000,000
			TOTAL		29,000,000
			Health Care--0.5%
	35,000,000	^1,2	Roche Holding AG, 1.661%, 8/25/2009		35,000,000
			Insurance--1.6%
	9,000,000		Hartford Life Global Funding Trust, 0.374%, 6/15/2009		9,000,000
	15,000,000		ING USA Annuity and Life Insurance Co., 1.876%, 6/13/2009		15,000,000
	35,000,000		Monumental Life Insurance Co., 1.681%, 6/1/2009		35,000,000
	20,000,000	^1,2	Pacific Life Global Funding, 1.226%, 8/10/2009		20,000,000
	30,000,000		Security Life of Denver Insurance Co., 2.938%, 8/11/2009		30,000,000
			TOTAL		109,000,000
			Oil & Oil Finance--0.2%
	10,000,000		BP Capital Markets PLC, (GTD by BP PLC), 1.433%, 6/11/2009		10,000,000
			TOTAL NOTES - VARIABLE		1,427,744,494
Principal Amount					Value
			REPURCHASE AGREEMENT--7.2%
$	481,398,000		Interest in $8,200,000,000 joint repurchase agreement 0.17%, dated 5/29/2009 under which J.P. Morgan Securities, Inc. will repurchase securities provided as collateral for $8,200,116,167 on 6/1/2009. The securities provided as collateral at the end of the period were U.S. Treasury securities with various maturities to 5/15/2018 and the market value of those underlying securities was $8,364,000,305.	$	481,398,000
			TOTAL INVESTMENTS--99.9% (AT AMORTIZED COST)⁵		6,654,257,346
			OTHER ASSETS AND LIABILITIES - NET--0.1%⁶		6,986,293
			TOTAL NET ASSETS--100%	$	6,661,243,639

1 Denotes a restricted security that either: (a) cannot be offered for public sale without first being registered, or being able to take advantage of an exemption from registration, under the Securities Act of 1933; or (b) is subject to a contractual restriction on public sales. At May 31, 2009, these restricted securities amounted to $1,438,865,934, which represented 21.6% of total net assets.

2 Denotes a restricted security that may be resold without restriction to "qualified institutional buyers" as defined in Rule 144A under the Securities Act of 1933 and that the Fund has determined to be liquid under criteria established by the Fund's Board of Directors (the "Directors"). At May 31, 2009, these liquid restricted securities amounted to $1,390,997,229, which represented 20.9% of total net assets.

3 Discount rate at time of purchase.

4 Floating rate notes with current rate and next reset date shown.