A BNY MELLON COMPANY

Accounts & Services

Average Cost Accounting Statement

Click here for answers to several Frequently Asked Questions about your Average Cost Accounting Statement.

Your Average Cost Accounting Statement is a record of any gains or losses generated from the sale or exchange of certain fund investments during 2011, calculated using the average basis, single category method.* This statement is not sent to the Internal Revenue Service (IRS); it is being provided to you as a courtesy. However, all redemption transactions resulting in gains or losses must be reported separately on your federal personal income tax return.

When preparing your federal personal income tax return, you should verify the information provided in the Average Cost Accounting Statement against your own records. For your information, the IRS provides its 564 Publication, entitled “Mutual Fund Distributions,” which details the various other methods available to calculate the cost basis of your fund shares.** You may obtain a copy of this and any IRS Publication by calling the IRS directly at 1-800-829-3676. Also, be sure to consult your tax advisor with any questions regarding your use of our calculation.

As stated above, Dreyfus uses the average basis, single category method to calculate the cost basis of your fund shares. Under this method, the cost of all fund shares purchased is added and then divided by the total number of shares owned to determine the average per share cost of all shares owned. When you redeem shares from your fund, we compute the cost basis of the shares redeemed by multiplying the average per share cost of your fund shares by the number of shares redeemed. Gain (or loss) from the sale of your fund shares is then computed as the difference between the redemption amount and the determined average cost basis.

The following section explains each item of your Average Cost Accounting Statement in order to assist you in the preparation of your federal personal income tax return. If you have checked with your tax advisor, and have determined to use the information provided to you on the Statement, please refer to Table 1 on page 16 of the Guide for information on how to enter cost basis information on your Form 1040, Schedule D.

Dreyfus may not be able to provide an Average Cost Accounting Statement for accounts that had certain types of transaction activity.

* Information is provided on this Statement only for accounts opened after certain dates, as follows: Dreyfus funds (excluding each series of Dreyfus Funds, Inc.) – accounts opened after July 1, 1991, that did not have a redemption during 1991 or 1992; former Dreyfus Laurel funds – accounts opened after January 1, 1992, that did not have a redemption during 1992, 1993 or 1994; each series of Dreyfus Funds, Inc. – accounts opened after January 1, 1984, or, for accounts opened by a transfer of ownership, accounts opened after January 1, 1995.

** The cost basis of the fund shares you sold or exchanged is calculated using the average basis, single category method. There are circumstances that may require additional adjustments to your cost basis and/or net capital gain/loss that we cannot determine and there may be circumstances under which you shouldn’t use our calculation, as you may not be eligible to use this method. You should consult your tax advisor regarding your use of the information provided in the Statement.

Average Cost

1: RECIPIENT'S NAME & ADDRESS

Your registration and mailing address. You are the recipient as owner of the account(s) listed on this Statement.

2: FUND NAME, ACCOUNT NUMBER & TRADE DATE

The fund name and account number from which shares were sold or exchanged, as well as the date of each sale or exchange.

3: NUMBER OF SHARES REDEEMED

The number of shares applicable to the long-term or short-term portion of the gain/loss for this transaction. Each separate transaction will on listed on a different row.

4: REDEMPTION PROCEEDS

The total value of the shares redeemed. These amounts are equivalent to the proceeds reported in Box 2 of Form 1099-B. If the redemption transaction resulted in both a short-term and long-term gain/loss, the proceeds and gain/loss will be reported as two separate transactions on the Average Cost Accounting Statement.

5: AVERAGE COST BASIS

Your average cost per share at the redemption date multiplied by the number of fund shares redeemed. Sales load fees, if any, imposed by your fund are already included in the amount reported on this line.

6: GAIN (LOSS) Note - losses are indicated by parentheses

The capital gain/(loss) resulting from the sale or exchange of fund shares.

7: HOLDING PERIOD

The redemption of fund shares held for one year or less will have a short-term holding period — "short." Shares held for more than one year will have a long-term holding period — "long" — and may be eligible for reduced capital gains treatment.

Click here for answers to several Frequently Asked Questions about your Average Cost Accounting Statement.