Exhibit ____
Sub-Item 77I
Dreyfus Yield Advantage Fund
Dreyfus Institutional Yield Advantage Fund
As described in the current prospectus of each series, on
November 15, 2001, the Management Agreement between The
Dreyfus Corporation ("Dreyfus") and Dreyfus Investment Grade
Bond Funds, Inc. (the "Fund") was amended to include two new
series, the Dreyfus Yield Advantage Fund (the "Retail
Series") and Dreyfus Institutional Yield Advantage Fund (the
"Institutional Series", and along with the Retail Series,
each a "Series"), whereby Xxxxxxx now serves as investment
manager of each Series.
Overview.
The Series have identical investment objectives and
policies. The primary investment objective of each Series is
to seek as high a level of current income as is consistent
with the preservation of capital with minimal changes in
share price. To pursue its goal, each Series invests all of
its assets in investment grade fixed-income securities of
U.S. and foreign issuers or the unrated equivalent as
determined by Dreyfus. These securities include: U.S.
government bonds and notes, corporate bonds, municipal
bonds, convertible securities, preferred stocks, asset-
backed securities, mortgage-related securities and foreign
bonds. In addition, each Series will maintain a minimum
average credit quality rating of "A" for its portfolio
securities.
Each series is designed to provide a very high degree of
share price stability while generating returns higher than
money market funds over time and, thus, may be an investment
alternative to money market funds and other fixed income
funds. Each series will focus primarily on U.S. securities,
but may invest up to 10% of its total assets in fixed-income
securities of foreign issuers.
To help maintain a very high degree of share-price stability
and preserve shareholders' capital, each Series seeks to
keep the average effective duration of its overall portfolio
at one year or less.
Compensation.
The annual management fee for the Retail Series and
Institutional Series is 0.50% and 0.20%, respectively, of
their respective average daily net assets. Total expenses
will be capped at least until July 31, 2002 at 0.75% for the
Retail Series and 0.45% and 0.20%, respectively, for the
Investor shares and Institutional shares of the
Institutional Series.
Different Account Policies.
The Retail Series has a minimum initial investment of
$10,000, while both classes of the Institutional Series have
a minimum of $10,000,000 (in the aggregate among the
Institutional Series and the Dreyfus Cash Management Funds).
All shares of both the Retail and Institutional Series are
sold at net asset value per share, with no sales load or
contingent deferred sales charge, except that the Retail
Series has an early redemption fee of 0.25% for shares sold
within 30 days of purchase.
The Retail Series does not have check-writing privileges.
The Fund has adopted a Shareholder Services Plan pursuant to
which it pays the Distributor for the provision of certain
services to shareholders a fee at the annual rate of 0.25%
of the value of the average daily net assets of The Retail
Series.
The Institutional Series's Investor shares are subject to a
Service Plan adopted pursuant to Rule 12b-1 under the 1940
Act. Under the Service Plan, the Fund pays the Distributor
for distributing Investor shares, for advertising and
marketing Investor shares and for providing certain services
relating to Investor shares shareholder accounts, such as
answering shareholder inquiries regarding the Fund and
providing reports and other information, and services
related to the maintenance of such shareholder accounts
("Servicing"), at an annual rate of 0.25% of the value of
the Institutional Series's average daily net assets
attributable to Investor shares. The Distributor may pay one
or more Service Agents a fee in respect to the Institutional
Series's Investor shares owned by shareholders with whom the
Service Agent has a Servicing relationship or for whom the
Service Agent is the dealer or holder of record.
The Agreements and Plans mentioned above are fully described
where indicated below:
Management Agreement - Exhibit (d) of Post-Effective
Amendment No. 19 to the Registration Statement on Form N-1A,
filed on November 14, 2001.
Distribution Agreement - Exhibit (e)(1) of Post-Effective
Amendment No. 19 to the Registration Statement on Form N-1A,
filed on November 14, 2001.
Service Plan - Exhibit (m) of Post-Effective Amendment No.
19 to the Registration Statement on Form N-1A, filed on
November 14, 2001.
Shareholder Services Plan - Exhibit (e) of Post-Effective
Amendment No. 15 to the Registration Statement on Form N-1A,
filed on May 2, 2001.
Rule 18f-3 Plan - Exhibit (n) of Post-Effective Amendment
No. 19 to the Registration Statement on Form N-1A, filed on
November 14, 2001.
