N-CSR 1 form.htm FORM N-CSR form
UNITED STATES 
SECURITIES AND EXCHANGE COMMISSION 
Washington, D.C. 20549 
 
 
FORM N-CSR 
 
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT 
INVESTMENT COMPANIES 
 
Investment Company Act file number 811-5719 
 
Dreyfus Stock Index Fund, Inc. 
(Exact name of Registrant as specified in charter) 
 
 
c/o The Dreyfus Corporation 
200 Park Avenue 
New York, New York 10166 
(Address of principal executive offices) (Zip code) 
 
Mark N. Jacobs, Esq. 
200 Park Avenue 
New York, New York 10166 
(Name and address of agent for service) 
 
Registrant's telephone number, including area code: (212) 922-6000 

Date of fiscal year end:    12/31 
Date of reporting period:    12/31/06 

FORM N-CSR 

Item 1.    Reports to Stockholders. 

The views expressed in this report reflect those of the portfolio manager only through the end of the period covered and do not necessarily represent the views of Dreyfus or any other person in the Dreyfus organization. Any such views are subject to change at any time based upon market or other conditions and Dreyfus disclaims any responsibility to update such views.These views may not be relied on as investment advice and, because investment decisions for a Dreyfus fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Dreyfus fund.

Not FDIC-Insured • Not Bank-Guaranteed • May Lose Value

Contents
 
    THE FUND 
2    A Letter from the CEO 
3    Discussion of Fund Performance 
6    Fund Performance 
8    Understanding Your Fund’s Expenses 
8    Comparing Your Fund’s Expenses 
With Those of Other Funds
9    Statement of Investments 
25    Statement of Financial Futures 
26    Statement of Assets and Liabilities 
27    Statement of Operations 
28    Statement of Changes in Net Assets 
30    Financial Highlights 
32    Notes to Financial Statements 
41    Report of Independent Registered 
    Public Accounting Firm 
42    Important Tax Information 
43    Board Members Information 
46    Officers of the Fund 
 
FOR MORE INFORMATION
    Back Cover 

Dreyfus 
Stock Index Fund, Inc. 

The Fund

A LETTER FROM THE CEO

Dear Shareholder:

We are pleased to present this annual report for Dreyfus Stock Index Fund, Inc., covering the 12-month period from January 1, 2006, through December 31, 2006.

2006 proved to be a good year for the financial markets.Virtually all sectors and capitalization ranges of the U.S. equity markets generated strong returns, especially over the second half of the year.A number of positive factors contributed to the markets’ gains in 2006, including an expanding domestic economy, subdued inflation, stabilizing interest rates, rising productivity and robust corporate profits.

In our analysis, 2006 provided an excellent reminder of the need for a long-term investment perspective. Adopting too short a time frame proved costly for some investors last year, as chasing recent winners often meant buying the next month’s losers. Indeed, history shows that reacting to near-term developments with extreme shifts in strategy rarely is the right decision.We believe that a better course of action is to set a portfolio mix to meet future goals, while attempting to ignore short term market fluctuations in favor of a longer-term view.

For information about how the fund performed during the reporting period, as well as market perspectives, we have provided a Discussion of Fund Performance given by the fund’s portfolio manager.

Thank you for your continued confidence and support.We wish you good health and prosperity in 2007.

2

DISCUSSION OF FUND PERFORMANCE

Thomas Durante, CFA, Portfolio Manager

How did Dreyfus Stock Index Fund perform relative to its benchmark?

For the 12-month period ended December 31, 2006, Dreyfus Stock Index Fund produced total returns of 15.50% for its Initial shares and 15.21% for its Service shares.1 In comparison, the fund’s benchmark, the Standard & Poor’s 500 Composite Stock Price Index (“S&P 500 Index”), produced a total return of 15.78% for the same period.2,3

After producing relatively lackluster returns over the first half of 2006, the U.S. stock market rallied strongly over the second half as investors became less concerned about inflationary pressures and corporate earnings continued to grow.The difference in returns between the fund and the S&P 500 Index was primarily the result of transaction costs and operating expenses that are not reflected in the S&P 500 Index’s results.

What is the fund’s investment approach?

The fund seeks to match the total return of the S&P 500 Index by generally investing in all 500 stocks in the S&P 500 Index in proportion to their respective weighting. Often considered a barometer for the stock market in general, the S&P 500 Index is made up of 500 widely held common stocks across 10 economic sectors. Each stock is weighted by its market capitalization; that is, larger companies have greater representation in the S&P 500 Index than smaller ones. The S&P 500 Index is dominated by large-cap, blue-chip stocks that comprise nearly 75% of total U.S. market capitalization.

What other factors influenced the fund’s performance?

During the first four months of the reporting period, the U.S. economy remained relatively strong, characterized by healthy corporate earnings, low unemployment and subdued inflation. In this environment, stock prices rose modestly. However, the stock market fell sharply in May after hawkish comments from members of the Federal

The Fund 3

DISCUSSION OF FUND PERFORMANCE (continued)

Reserve Board (the “Fed”) sparked renewed concerns about the potential effects of higher interest rates and resurgent energy prices on the U.S. economy. Indeed, the Fed continued to raise short-term interest rates over the first six months of 2006, driving the overnight federal funds rate to 5.25% by the end of June.

Over the second half of the year, oil prices fell and employment gains moderated, helping to alleviate investors’ inflation fears. The Fed lent credence to a more benign inflation outlook when it refrained from further rate hikes at its meetings between August and December, its first pauses in more than two years. In addition, U.S. housing markets began to cool, primarily due to affordability concerns in certain areas of the country, an excess supply of new homes and poor buyers’ psychology.

In this environment, the S&P 500 Index posted gains in all 10 of its economic sectors, with particularly strong contributions from banks and asset management firms within the financials sector. Banks benefited from the healthy economy and low loan default rates. In addition, credit card use accelerated when borrowing through home equity loans slowed in the wake of declining home values. Financial results from brokerage firms improved due to higher stock market trading volumes, increased mergers-and-acquisitions activity and strength in international businesses.

Despite declining oil and gas prices over the second half of the year, the stocks of integrated energy producers, suppliers and drillers generally made positive contributions to the return of the S&P 500 Index. Many of these energy companies continued to benefit from mergers-and-acquisitions activity, record output levels and robust worldwide demand, most notably from China, India and other emerging markets.

Telecommunications stocks also fared relatively well, due in large part to mergers-and-acquisitions activity in a consolidating industry. In addition, many of these companies rebounded from earlier weakness as they upgraded their networks to handle bandwidth-heavy services, such as television programming. Finally, pharmaceutical stocks posted solid gains, the result of an improved litigation environment and the development of a number of promising new drugs.

4

Only a few industry groups detracted from the S&P 500 Index’s overall return. For example, some Internet companies in the information technology area produced disappointing results due to intensifying competitive pressures. Semiconductor stocks also produced relatively modest returns as a result of rising inventories of unsold products. Finally, a number of homebuilders saw their stock prices fall due to the slowdown in the housing market.

What is the fund’s current strategy?

As an index fund, our strategy is to attempt to replicate the returns of the S&P 500 Index by maintaining an asset allocation that closely approximates that of the S&P 500 Index. In our view, one of the benefits of broadly diversified index funds is that they can help investors manage risks by limiting the impact on the overall portfolio of unexpected losses in any single industry group or holding.

January 16, 2007
    The fund is only available as a funding vehicle under variable life insurance policies or variable 
    annuity contracts issued by insurance companies. Individuals may not purchase shares of the fund 
    directly. A variable annuity is an insurance contract issued by an insurance company that enables 
    investors to accumulate assets on a tax-deferred basis for retirement or other long-term goals.The 
    investment objective and policies of Dreyfus Stock Index Fund, Inc. made available through 
    insurance products may be similar to other funds/portfolios managed or advised by Dreyfus. 
    However, the investment results of the fund may be higher or lower than, and may not be 
    comparable to, those of any other Dreyfus fund/portfolio. 
1    Total return includes reinvestment of dividends and any capital gains paid. Past performance is no 
    guarantee of future results. Share price and investment return fluctuate such that upon redemption, 
    fund shares may be worth more or less than their original cost.The fund’s performance does not 
    reflect the deduction of additional charges and expenses imposed in connection with investing in 
    variable insurance contracts, which will reduce returns. Return figures provided reflect the absorption 
    of certain fund expenses by The Dreyfus Corporation pursuant to an agreement in which 
    shareholders are given at least 180 days’ notice, at which time it may be extended, terminated or 
    modified. Had these expenses not been absorbed, the fund’s returns would have been lower. 
2    SOURCE: LIPPER INC. — Reflects reinvestment of dividends daily and, where applicable, 
    capital gain distributions.The Standard & Poor’s 500 Composite Stock Price Index is a widely 
    accepted, unmanaged index of U.S. stock market performance. 
3    “Standard & Poor’s®,”“S&P®,”“Standard & Poor’s 500®” and “S&P 500®” are trademarks 
    of The McGraw-Hill Companies, Inc., and have been licensed for use by the fund.The fund is 
    not sponsored, endorsed, sold or promoted by Standard & Poor’s and Standard & Poor’s makes no 
    representation regarding the advisability of investing in the fund. 

The Fund 5

  FUND PERFORMANCE
Average Annual Total Returns as of    12/31/06         
 
    1 Year    5 Years    10 Years 
Initial shares    15.50%    5.92%    8.12% 
Service shares    15.21%    5.66%    7.95% 
 
The data for Service shares includes the results of Initial shares for the period prior to December 31, 2000 
(inception date of Service shares). Actual Service shares’ average annual total return and hypothetical growth 
results would have been lower. See notes below.             
† Source: Lipper Inc.             
Past performance is not predictive of future performance.The fund’s performance shown in the graph and table does not 
reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares. 
The fund’s performance does not reflect the deduction of additional charges and expenses imposed in connection 
with investing in variable insurance contracts which will reduce returns.         
The above graph compares a $10,000 investment made in Initial and Service shares of Dreyfus Stock Index Fund, Inc. 
on 12/31/96 to a $10,000 investment made in the Standard & Poor’s 500 Composite Stock Price Index (the 
“Index”) on that date.             
6             

The fund’s Initial shares are not subject to a Rule 12b-1 fee.The fund’s Service shares are subject to a 0.25% annual Rule 12b-1 fee.The performance figures for Service shares reflect the performance of the fund’s Initial shares from their inception date through December 30, 2000, and the performance of the fund’s Service shares from December 31, 2000 (inception date of Service shares) to December 31, 2006 (blended performance figures).The performance figures for each share class reflect certain expense reimbursements, without which the performance of each share class would have been lower. In addition, the blended performance figures have not been adjusted to reflect the higher operating expenses of the Service shares. If these expenses had been reflected, the blended performance figures would have been lower. All dividends and capital gain distributions are reinvested.

The fund’s performance shown in the line graph takes into account all applicable fund fees and expenses (after any expense reimbursements).The Index is a widely accepted, unmanaged index of U.S. stock market performance, and includes the reinvestment of dividends daily.The Index does not take into account charges, fees and other expenses. Further information relating to fund performance, including expense reimbursements, if applicable, is contained in the Financial Highlights section of the prospectus and elsewhere in this report.

The Fund 7

U N D E R S TA N D I N G YO U R F U N D ’ S E X P E N S E S ( U n a u d i t e d )

As a mutual fund investor, you pay ongoing expenses, such as management fees and other expenses. Using the information below, you can estimate how these expenses affect your investment and compare them with the expenses of other funds.You also may pay one-time transaction expenses, including sales charges (loads) and redemption fees, which are not shown in this section and would have resulted in higher total expenses. For more information, see your fund’s prospectus or talk to your financial adviser.

Review your fund’s expenses

The table below shows the expenses you would have paid on a $1,000 investment in Dreyfus Stock Index Fund, Inc. from July 1, 2006 to December 31, 2006. It also shows how much a $1,000 investment would be worth at the close of the period, assuming actual returns and expenses.

Expenses and Value of a $1,000 Investment     
assuming actual returns for the six months ended December 31, 2006 
    Initial Shares    Service Shares 
Expenses paid per $1,000 †    $ 1.55    $ 2.89 
Ending value (after expenses)    $1,126.00    $1,124.60 

COMPARING YOUR FUND’S EXPENSES WITH THOSE OF OTHER FUNDS (Unaudited)

Using the SEC’s method to compare expenses

The Securities and Exchange Commission (SEC) has established guidelines to help investors assess fund expenses. Per these guidelines, the table below shows your fund’s expenses based on a $1,000 investment, assuming a hypothetical 5% annualized return. You can use this information to compare the ongoing expenses (but not transaction expenses or total cost) of investing in the fund with those of other funds.All mutual fund shareholder reports will provide this information to help you make this comparison. Please note that you cannot use this information to estimate your actual ending account balance and expenses paid during the period.

Expenses and Value of a $1,000 Investment assuming a hypothetical 5% annualized return for the six months ended December 31, 2006

    Initial Shares    Service Shares 
Expenses paid per $1,000 †    $ 1.48    $ 2.75 
Ending value (after expenses)    $1,023.74    $1,022.48 

† Expenses are equal to the fund’s annualized expense ratio of .29% for Initial shares and .54% for Service shares; 
multiplied by the average account value over the period, multiplied by 184/365 (to reflect the one-half year period). 

8
STATEMENT OF INVESTMENTS
December 31, 2006
Common Stocks—99.6%    Shares    Value ($) 
Consumer Discretionary—10.6%         
Amazon.com    101,200 a,b    3,993,352 
Apollo Group, Cl. A    45,850 b    1,786,774 
AutoNation    49,000 b    1,044,680 
AutoZone    16,600 b    1,918,296 
Bed Bath & Beyond    92,600 b    3,528,060 
Best Buy    132,125    6,499,229 
Big Lots    35,900 a    822,828 
Black & Decker    22,300    1,783,331 
Brunswick    30,100    960,190 
Carnival    145,724 a    7,147,762 
CBS, Cl. B    255,993    7,981,862 
Centex    38,900 a    2,188,903 
Circuit City Stores    46,500    882,570 
Clear Channel Communications    161,747    5,748,488 
Coach    120,300 b    5,168,088 
Comcast, Cl. A    681,625 a,b    28,853,186 
D.R. Horton    90,400    2,394,696 
Darden Restaurants    48,050    1,930,168 
Dillard’s, Cl. A    19,900    695,903 
DIRECTV Group    252,500 b    6,297,350 
Dollar General    102,209 a    1,641,476 
Dow Jones & Co.    21,300 a    809,400 
E.W. Scripps, Cl. A    27,300    1,363,362 
Eastman Kodak    94,100 a    2,427,780 
Family Dollar Stores    49,650    1,456,234 
Federated Department Stores    172,008    6,558,665 
Ford Motor    618,650 a    4,646,062 
Fortune Brands    49,550    4,231,075 
Gannett    76,788    4,642,602 
Gap    172,551    3,364,745 
General Motors    185,248 a    5,690,819 
Genuine Parts    55,850    2,648,966 
Goodyear Tire & Rubber    58,100 a,b    1,219,519 
H & R Block    105,600    2,433,024 
Harley-Davidson    84,900    5,982,903 
Harman International Industries    21,400    2,138,074 

The Fund 9

STATEMENT OF INVESTMENTS (continued)
Common Stocks (continued)    Shares    Value ($) 
Consumer Discretionary (continued)         
Harrah’s Entertainment    60,950    5,041,784 
Hasbro    52,050    1,418,363 
Hilton Hotels    126,650 a    4,420,085 
Home Depot    668,344    26,840,695 
IAC/InterActiveCorp    73,100 a,b    2,716,396 
International Game Technology    111,200    5,137,440 
Interpublic Group of Cos.    144,493 a,b    1,768,594 
J.C. Penney    73,700    5,701,432 
Johnson Controls    64,100    5,507,472 
Jones Apparel Group    36,100    1,206,823 
KB Home    25,700    1,317,896 
Kohl’s    107,123 b    7,330,427 
Leggett & Platt    58,600 a    1,400,540 
Lennar, Cl. A    45,200    2,371,192 
Limited Brands    112,000    3,241,280 
Liz Claiborne    33,600    1,460,256 
Lowe’s Cos.    498,720    15,535,128 
Marriott International, Cl. A    110,100    5,253,972 
Mattel    124,895    2,830,121 
McDonald’s    405,055    17,956,088 
McGraw-Hill Cos.    116,000    7,890,320 
Meredith    12,700 a    715,645 
New York Times, Cl. A    47,100 a    1,147,356 
Newell Rubbermaid    90,778    2,628,023 
News, Cl. A    766,600    16,466,568 
NIKE, Cl. B    61,550    6,095,297 
Nordstrom    74,900    3,695,566 
Office Depot    91,200 b    3,481,104 
OfficeMax    24,400    1,211,460 
Omnicom Group    55,980    5,852,149 
Pulte Homes    69,200 a    2,291,904 
RadioShack    44,500 a    746,710 
Sears Holdings    27,188 b    4,565,681 
Sherwin-Williams    36,600    2,327,028 
Snap-On    19,100 a    909,924 
Stanley Works    26,600 a    1,337,714 
Staples    236,625    6,317,888 
 
10         

Common Stocks (continued)    Shares    Value ($) 
Consumer Discretionary (continued)         
Starbucks    247,600 b    8,769,992 
Starwood Hotels &         
Resorts Worldwide    69,400    4,337,500 
Target    281,242 a    16,044,856 
Tiffany & Co.    44,300 a    1,738,332 
Time Warner    1,307,468    28,476,653 
TJX Cos.    149,050    4,250,906 
Tribune    62,430 a    1,921,595 
Univision Communications, Cl. A    82,600 a,b    2,925,692 
VF    29,300    2,404,944 
Viacom, Cl. B    228,993 b    9,395,583 
Walt Disney    677,409    23,214,806 
Wendy’s International    31,300    1,035,717 
Whirlpool    25,632 a    2,127,969 
Wyndham Worldwide    64,860 b    2,076,817 
Yum! Brands    86,850    5,106,780 
        442,844,885 
Consumer Staples—9.2%         
Altria Group    686,443    58,910,538 
Anheuser-Busch Cos.    251,750    12,386,100 
Archer-Daniels-Midland    215,205    6,877,952 
Avon Products    145,600    4,810,624 
Brown-Forman, Cl. B    25,800    1,708,992 
Campbell Soup    71,349    2,774,763 
Clorox    49,750    3,191,462 
Coca-Cola    667,842    32,223,377 
Coca-Cola Enterprises    90,800    1,854,136 
Colgate-Palmolive    168,450    10,989,678 
ConAgra Foods    166,850    4,504,950 
Constellation Brands, Cl. A    68,800 b    1,996,576 
Costco Wholesale    150,050    7,933,144 
CVS    269,680    8,335,809 
Dean Foods    43,800 b    1,851,864 
Estee Lauder Cos., Cl. A    41,700    1,702,194 
General Mills    112,400    6,474,240 
H.J. Heinz    107,900    4,856,579 
Hershey    56,978 a    2,837,504 

The Fund 11

STATEMENT OF INVESTMENTS (continued)
Common Stocks (continued)    Shares    Value ($) 
Consumer Staples (continued)         
Kellogg    82,200 a    4,114,932 
Kimberly-Clark    150,098    10,199,159 
Kroger    234,948    5,420,250 
McCormick & Co.    43,000    1,658,080 
Molson Coors Brewing, Cl. B    14,950 a    1,142,778 
Pepsi Bottling Group    44,850    1,386,314 
PepsiCo    537,791    33,638,827 
Procter & Gamble    1,037,741    66,695,614 
Reynolds American    56,100 a    3,672,867 
Safeway    145,169    5,017,041 
Sara Lee    244,598    4,165,504 
SUPERVALU    67,451    2,411,373 
SYSCO    202,450    7,442,062 
Tyson Foods, Cl. A    82,500    1,357,125 
UST    52,700 a    3,067,140 
Wal-Mart Stores    805,329    37,190,093 
Walgreen    328,600    15,079,454 
Whole Foods Market    46,800    2,196,324 
Wm. Wrigley Jr.    71,925    3,719,961 
        385,795,380 
Energy—9.8%         
Anadarko Petroleum    150,568    6,552,719 
Apache    107,922    7,177,892 
Baker Hughes    105,060 a    7,843,780 
BJ Services    96,000    2,814,720 
Chesapeake Energy    136,200 a    3,956,610 
Chevron    713,961    52,497,552 
ConocoPhillips    538,993    38,780,546 
Consol Energy    59,800 a    1,921,374 
Devon Energy    144,800    9,713,184 
El Paso    230,979    3,529,359 
EOG Resources    79,700    4,977,265 
Exxon Mobil    1,910,118    146,372,342 
Halliburton    329,302    10,224,827 
Hess    88,700    4,396,859 
Kinder Morgan    35,100    3,711,825 
Marathon Oil    115,090    10,645,825 
 
12         

Common Stocks (continued)    Shares        Value ($) 
Energy (continued)             
Murphy Oil    61,300        3,117,105 
Nabors Industries    98,000 a,b      2,918,440 
National Oilwell Varco    57,500 b      3,517,850 
Noble    44,400        3,381,060 
Occidental Petroleum    282,200        13,779,826 
Peabody Energy    86,400        3,491,424 
Rowan Cos.    36,200 a      1,201,840 
Schlumberger    385,900        24,373,444 
Smith International    65,300        2,681,871 
Sunoco    40,300        2,513,108 
Transocean    95,733 b      7,743,843 
Valero Energy    198,000        10,129,680 
Weatherford International    111,300 b      4,651,227 
Williams Cos.    195,271        5,100,479 
XTO Energy    119,866        5,639,695 
            409,357,571 
Financial—22.2%             
ACE    106,650        6,459,790 
Aflac    161,992        7,451,632 
Allstate    204,671        13,326,129 
Ambac Financial Group    34,794        3,099,101 
American Express    394,573        23,938,744 
American International Group    851,373        61,009,389 
Ameriprise Financial    79,234        4,318,253 
AON    101,450        3,585,243 
Apartment Investment & Management, Cl. A    31,600        1,770,232 
Archstone-Smith Trust    71,500        4,162,015 
Bank of America    1,470,665        78,518,804 
Bank of New York    250,232        9,851,634 
BB & T    177,200        7,784,396 
Bear Stearns Cos.    38,452        6,259,216 
Boston Properties    38,300        4,285,004 
Capital One Financial    133,600        10,263,152 
CB Richard Ellis Group, Cl. A    60,500 b      2,008,600 
Charles Schwab    334,978        6,478,475 
Chicago Mercantile Exchange Holdings    11,400 a      5,811,150 
Chubb    134,800        7,132,268 

The Fund 13

STATEMENT OF INVESTMENTS (continued)
Common Stocks (continued)    Shares        Value ($) 
Financial (continued)             
Cincinnati Financial    56,730        2,570,436 
CIT Group    64,900        3,619,473 
Citigroup    1,609,190        89,631,883 
Comerica    52,000        3,051,360 
Commerce Bancorp/NJ    61,400 a      2,165,578 
Compass Bancshares    42,494        2,534,767 
Countrywide Financial    203,398        8,634,245 
E*TRADE FINANCIAL    139,800 b      3,134,316 
Equity Office Properties Trust    115,100 a      5,544,367 
Equity Residential    95,650        4,854,238 
Fannie Mae    319,309        18,963,762 
Federated Investors, Cl. B    29,600        999,888 
Fifth Third Bancorp    182,792        7,481,677 
First Horizon National    40,800 a      1,704,624 
Franklin Resources    54,600        6,015,282 
Freddie Mac    226,915        15,407,528 
Genworth Financial, Cl. A    145,100        4,963,871 
Goldman Sachs Group    139,450        27,799,357 
Hartford Financial Services Group    103,750        9,680,912 
Huntington Bancshares/OH    77,804 a      1,847,845 
Janus Capital Group    64,900        1,401,191 
JPMorgan Chase & Co.    1,136,126        54,874,886 
KeyCorp    131,566        5,003,455 
Kimco Realty    74,000        3,326,300 
Legg Mason    43,000        4,087,150 
Lehman Brothers Holdings    173,560        13,558,507 
Lincoln National    94,000        6,241,600 
Loews    149,650        6,205,986 
M & T Bank    25,400        3,102,864 
Marsh & McLennan Cos.    180,458        5,532,842 
Marshall & Ilsley    83,500 a      4,017,185 
MBIA    44,150        3,225,599 
Mellon Financial    134,857        5,684,223 
Merrill Lynch & Co.    289,531 a      26,955,336 
MetLife    249,000        14,693,490 
MGIC Investment    27,200 a      1,701,088 
Moody’s    77,000        5,317,620 
 
14             

Common Stocks (continued)    Shares    Value ($) 
Financial (continued)         
Morgan Stanley    346,716    28,233,084 
National City    206,799    7,560,571 
Northern Trust    61,390    3,725,759 
Plum Creek Timber    57,950    2,309,308 
PNC Financial Services Group    96,223    7,124,351 
Principal Financial Group    88,350    5,186,145 
Progressive    249,428    6,041,146 
ProLogis    81,000    4,922,370 
Prudential Financial    156,250    13,415,625 
Public Storage    40,100 a    3,909,750 
Realogy    70,200 b    2,128,464 
Regions Financial    238,788 a    8,930,671 
Safeco    34,450 a    2,154,848 
Simon Property Group    72,500 a    7,343,525 
SLM    133,900    6,530,303 
Sovereign Bancorp    117,705    2,988,530 
St. Paul Travelers Cos.    225,934    12,130,396 
State Street    108,750    7,334,100 
SunTrust Banks    115,950    9,791,978 
Synovus Financial    106,450    3,281,854 
T. Rowe Price Group    86,300    3,777,351 
Torchmark    32,100    2,046,696 
U.S. Bancorp    575,705    20,834,764 
UnumProvident    112,169 a    2,330,872 
Vornado Realty Trust    42,300    5,139,450 
Wachovia    624,208    35,548,646 
Washington Mutual    309,517    14,079,928 
Wells Fargo & Co.    1,105,614    39,315,634 
XL Capital, Cl. A    59,100    4,256,382 
Zions Bancorporation    35,000    2,885,400 
        928,305,859 
Health Care—12.0%         
Abbott Laboratories    502,676    24,485,348 
Aetna    170,964    7,382,225 
Allergan    50,400    6,034,896 
AmerisourceBergen    62,918    2,828,793 
Amgen    382,024 b    26,096,059 

The Fund 15

STATEMENT OF INVESTMENTS (continued)
Common Stocks (continued)    Shares    Value ($) 
Health Care (continued)         
Applera—Applied Biosystems Group    60,050    2,203,235 
Barr Pharmaceuticals    34,800 b    1,744,176 
Bausch & Lomb    17,600    916,256 
Baxter International    214,350    9,943,697 
Becton, Dickinson & Co.    80,800 a    5,668,120 
Biogen Idec    110,427 a,b    5,431,904 
Biomet    80,225 a    3,310,886 
Boston Scientific    386,163 b    6,634,280 
Bristol-Myers Squibb    644,128    16,953,449 
C.R. Bard    33,700    2,796,089 
Cardinal Health    132,600    8,543,418 
Caremark Rx    139,700    7,978,267 
Celgene    122,000 b    7,018,660 
CIGNA    33,571    4,416,936 
Coventry Health Care    52,200 b    2,612,610 
Eli Lilly & Co.    322,437    16,798,968 
Express Scripts    44,400 a,b    3,179,040 
Forest Laboratories    103,700 a,b    5,247,220 
Genzyme    86,050 b    5,298,959 
Gilead Sciences    150,600 b    9,778,458 
Health Management Associates, Cl. A    78,800    1,663,468 
Hospira    51,077 b    1,715,166 
Humana    54,400 b    3,008,864 
IMS Health    64,950    1,784,826 
Johnson & Johnson    949,502    62,686,122 
King Pharmaceuticals    79,666 a,b    1,268,283 
Laboratory Corp. of America Holdings    41,100 a,b    3,019,617 
Manor Care    24,200 a    1,135,464 
McKesson    96,969    4,916,328 
Medco Health Solutions    96,099 b    5,135,531 
MedImmune    78,300 b    2,534,571 
Medtronic    376,973    20,171,825 
Merck & Co.    710,966    30,998,118 
Millipore    17,500 a    1,165,500 
Mylan Laboratories    69,400 a    1,385,224 
Patterson Cos.    45,500 a,b    1,615,705 
PerkinElmer    40,268    895,158 
 
16         

Common Stocks (continued)    Shares    Value ($) 
Health Care (continued)         
Pfizer    2,361,411    61,160,545 
Quest Diagnostics    52,400    2,777,200 
Schering-Plough    485,551    11,478,426 
St. Jude Medical    115,800 b    4,233,648 
Stryker    97,300    5,362,203 
Tenet Healthcare    154,400 a    1,076,168 
Thermo Fisher Scientific    133,600 a    6,050,744 
UnitedHealth Group    441,100    23,700,303 
Waters    33,250 b    1,628,252 
Watson Pharmaceuticals    33,600 a,b    874,608 
WellPoint    203,100 b    15,981,939 
Wyeth    441,020    22,456,738 
Zimmer Holdings    78,202 a,b    6,129,473 
        501,311,966 
Industrial—10.8%         
3M    241,198    18,796,560 
Allied Waste Industries    83,200 b    1,022,528 
American Power Conversion    55,400    1,694,686 
American Standard Cos.    56,800    2,604,280 
Avery Dennison    30,950    2,102,433 
Boeing    258,920    23,002,453 
Burlington Northern Santa Fe    117,592    8,679,466 
Caterpillar    213,030    13,065,130 
Cintas    44,700    1,775,037 
Cooper Industries, Cl. A    29,800    2,694,814 
CSX    142,500    4,906,275 
Cummins    17,200 a    2,032,696 
Danaher    77,600    5,621,344 
Deere & Co.    75,700    7,196,799 
Dover    66,850    3,276,987 
Eaton    48,800    3,666,832 
Emerson Electric    262,780    11,585,970 
Equifax    40,950    1,662,570 
FedEx    100,440    10,909,793 
Fluor    28,800 a    2,351,520 
General Dynamics    132,472    9,849,293 
General Electric    3,375,883    125,616,606 

The Fund 17

STATEMENT OF INVESTMENTS (continued)
Common Stocks (continued)    Shares    Value ($) 
Industrial (continued)         
Goodrich    40,900    1,862,995 
Honeywell International    267,424    12,098,262 
Illinois Tool Works    137,400    6,346,506 
Ingersoll-Rand, Cl. A    100,400    3,928,652 
ITT Industries    60,500    3,437,610 
L-3 Communications Holdings    40,902    3,344,966 
Lockheed Martin    116,660    10,740,886 
Masco    129,100 a    3,856,217 
Monster Worldwide    42,000 b    1,958,880 
Norfolk Southern    129,950    6,535,186 
Northrop Grumman    113,104    7,657,141 
Paccar    81,368    5,280,783 
Pall    40,101 a,b    1,385,490 
Parker Hannifin    38,575    2,965,646 
Pitney Bowes    72,700    3,358,013 
R.R. Donnelley & Sons    71,050    2,525,117 
Raytheon    145,650 a    7,690,320 
Robert Half International    54,900    2,037,888 
Rockwell Automation    55,700    3,402,156 
Rockwell Collins    54,750    3,465,127 
Ryder System    19,900 a    1,016,094 
Southwest Airlines    259,312    3,972,660 
Terex    33,300 b    2,150,514 
Textron    41,100    3,853,947 
Tyco International    651,371    19,801,678 
Union Pacific    88,328    8,127,942 
United Parcel Service, Cl. B    351,550    26,359,219 
United Technologies    328,682    20,549,199 
W.W. Grainger    23,900    1,671,566 
Waste Management    175,254    6,444,090 
        451,938,822 
Information Technology—15.1%         
ADC Telecommunications    38,414 b    558,155 
Adobe Systems    191,000 b    7,853,920 
Advanced Micro Devices    179,700 a    3,656,895 

18
Common Stocks (continued)    Shares    Value ($) 
Information Technology (continued)         
Affiliated Computer Services, Cl. A    38,800 b    1,894,992 
Agilent Technologies    133,890 b    4,666,066 
Altera    118,500 b    2,332,080 
Analog Devices    112,000    3,681,440 
Apple Computer    278,500 b    23,627,940 
Applied Materials    454,900    8,392,905 
Autodesk    75,900 b    3,070,914 
Automatic Data Processing    180,278    8,878,691 
Avaya    148,692 b    2,078,714 
BMC Software    67,200 b    2,163,840 
Broadcom, Cl. A    153,587 b    4,962,396 
CA    134,509 a    3,046,629 
Ciena    27,685 a,b    767,151 
Cisco Systems    1,988,818 b    54,354,396 
Citrix Systems    59,100 b    1,598,655 
Cognizant Technology Solutions, Cl. A    46,400 b    3,580,224 
Computer Sciences    56,200 b    2,999,394 
Compuware    115,400 b    961,282 
Comverse Technology    66,200 b    1,397,482 
Convergys    45,102 b    1,072,525 
Corning    512,298 b    9,585,096 
Dell    743,912 b    18,664,752 
eBay    379,000 a,b    11,396,530 
Electronic Arts    101,000 b    5,086,360 
Electronic Data Systems    169,350    4,665,593 
EMC/Massachusetts    721,244 b    9,520,421 
Fidelity National Information Services    53,000    2,124,770 
First Data    250,840    6,401,437 
Fiserv    56,682 b    2,971,270 
Google, Cl. A    70,200 b    32,325,696 
Hewlett-Packard    896,980 a    36,946,606 
Intel    1,888,410    38,240,303 
International Business Machines    493,368    47,930,701 
Intuit    114,200 b    3,484,242 
Jabil Circuit    60,500    1,485,275 

The Fund 19

STATEMENT OF INVESTMENTS (continued)
Common Stocks (continued)    Shares    Value ($) 
Information Technology (continued)         
JDS Uniphase    69,099 a,b    1,151,189 
Juniper Networks    185,300 b    3,509,582 
KLA-Tencor    65,200 a    3,243,700 
Lexmark International, Cl. A    32,050 b    2,346,060 
Linear Technology    97,950    2,969,844 
LSI Logic    131,200 b    1,180,800 
Maxim Integrated Products    105,050    3,216,631 
Micron Technology    247,050 a,b    3,448,818 
Microsoft    2,833,096    84,596,247 
Molex    46,475    1,470,004 
Motorola    791,685    16,277,044 
National Semiconductor    94,500    2,145,150 
NCR    58,400 b    2,497,184 
Network Appliance    122,400 b    4,807,872 
Novell    111,000 b    688,200 
Novellus Systems    40,500 a,b    1,394,010 
NVIDIA    116,400 a,b    4,307,964 
Oracle    1,310,192 b    22,456,691 
Paychex    110,875    4,383,998 
PMC-Sierra    68,700 a,b    460,977 
QLogic    51,600 b    1,131,072 
QUALCOMM    541,200    20,451,948 
Sabre Holdings, Cl. A    43,350    1,382,432 
SanDisk    73,700 a    3,171,311 
Sanmina-SCI    174,472 b    601,928 
Solectron    299,500 b    964,390 
Sun Microsystems    1,152,684 b    6,247,547 
Symantec    307,179 a,b    6,404,682 
Symbol Technologies    83,406    1,246,086 
Tektronix    27,000    787,590 
Tellabs    144,700 b    1,484,622 
Teradyne    62,200 a,b    930,512 
Texas Instruments    485,948    13,995,302 
Unisys    112,800 b    884,352 
VeriSign    80,300 b    1,931,215 
Western Union    251,040    5,628,317 
 
 
20         

Common Stocks (continued)    Shares    Value ($) 
Information Technology (continued)         
Xerox    316,166 b    5,359,014 
Xilinx    110,100    2,621,481 
Yahoo!    400,876 a,b    10,238,373 
        630,439,877 
Materials—2.9%         
Air Products & Chemicals    72,150    5,070,702 
Alcoa    283,956    8,521,519 
Allegheny Technologies    33,036 a    2,995,704 
Ashland    18,700    1,293,666 
Ball    34,100 a    1,486,760 
Bemis    34,300    1,165,514 
Dow Chemical    312,852    12,495,309 
E.I. du Pont de Nemours & Co.    301,250    14,673,888 
Eastman Chemical    26,900    1,595,439 
Ecolab    58,400    2,639,680 
Freeport-McMoRan Copper & Gold, Cl. B    64,500 a    3,594,585 
Hercules    37,200 a,b    718,332 
International Flavors & Fragrances    25,600    1,258,496 
International Paper    149,020    5,081,582 
MeadWestvaco    59,339    1,783,730 
Monsanto    177,926    9,346,453 
Newmont Mining    147,454    6,657,548 
Nucor    98,900    5,405,874 
Pactiv    43,550 b    1,554,300 
Phelps Dodge    66,798    7,997,057 
PPG Industries    54,133    3,475,880 
Praxair    105,700    6,271,181 
Rohm & Haas    46,541    2,379,176 
Sealed Air    26,373    1,712,135 
Sigma-Aldrich    21,600 a    1,678,752 
Temple-Inland    35,000    1,611,050 
United States Steel    38,800    2,837,832 
Vulcan Materials    30,900 a    2,776,983 
Weyerhaeuser    77,500    5,475,375 
        123,554,502 

The Fund 21

STATEMENT OF INVESTMENTS (continued)
Common Stocks (continued)    Shares    Value ($) 
Telecommunication Services—3.5%         
Alltel    122,400    7,402,752 
AT & T    1,258,574    44,994,021 
BellSouth    597,401    28,143,561 
CenturyTel    37,600    1,641,616 
Citizens Communications    105,400    1,514,598 
Embarq    48,908    2,570,604 
Qwest Communications International    526,662 a,b    4,408,161 
Sprint Nextel    948,061    17,908,872 
Verizon Communications    956,113    35,605,648 
Windstream    156,128    2,220,140 
        146,409,973 
Utilities—3.5%         
AES    217,500 b    4,793,700 
Allegheny Energy    54,100 b    2,483,731 
Ameren    67,600 a    3,632,148 
American Electric Power    129,550    5,516,239 
CenterPoint Energy    102,446 a    1,698,554 
CMS Energy    72,800 b    1,215,760 
Consolidated Edison    84,100    4,042,687 
Constellation Energy Group    58,950    4,059,886 
Dominion Resources/VA    115,892    9,716,385 
DTE Energy    58,250 a    2,819,883 
Duke Energy    411,247    13,657,513 
Dynegy, Cl. A    123,956 b    897,441 
Edison International    106,700    4,852,716 
Entergy    67,750    6,254,680 
Exelon    219,750    13,600,327 
FirstEnergy    104,533    6,303,340 
FPL Group    132,400 a    7,205,208 
KeySpan    57,450    2,365,791 
Nicor    14,600 a    683,280 

22
Common Stocks (continued)    Shares    Value ($) 
Utilities (continued)         
NiSource    89,453    2,155,817 
Peoples Energy    12,600 a    561,582 
PG & E    114,250    5,407,453 
Pinnacle West Capital    32,700    1,657,563 
PPL    125,000 a    4,480,000 
Progress Energy    83,285 a    4,087,628 
Public Service Enterprise Group    82,550    5,479,669 
Questar    28,100    2,333,705 
Sempra Energy    85,895    4,813,556 
Southern    243,210 a    8,964,721 
TECO Energy    68,500 a    1,180,255 
TXU    150,360    8,151,016 
Xcel Energy    133,295 a    3,073,783 
        148,146,017 
Total Common Stocks         
(cost $2,429,161,032)        4,168,104,852 
    Principal     
Short-Term Investments—.2%    Amount ($)    Value ($) 
U.S. Treasury Bills:         
4.68%, 1/4/07    3,000,000    2,999,610 
4.85%, 3/29/07    3,500,000 c    3,459,715 
Total Short-Term Investments         
(cost $6,457,807)        6,459,325 
Total Unaffiliated         
(cost $2,435,618,839)        4,174,564,177 
 
Other Investment—.2%    Shares    Value ($) 
Registered Investment Company;         
Dreyfus Institutional Preferred         
Plus Money Market Fund         
(cost $9,023,000)    9,023,000 d    9,023,000 

The Fund 23

STATEMENT OF INVESTMENTS (continued)
Investment of Cash Collateral         
for Securities Loaned—3.4%    Shares    Value ($) 
Registered Investment Company;         
Dreyfus Institutional Cash         
Advantage Plus Fund             
(cost $143,753,680)        143,753,680 d    143,753,680 
Total Affiliated             
(cost $152,776,680)            152,776,680 
 
Total Investments (cost $2,588,395,519)    103.4%    4,327,340,857 
 
Liabilities, Less Cash and Receivables    (3.4%)    (142,290,854) 
 
Net Assets        100.0%    4,185,050,003 
 
a    All or a portion of these securities are on loan. At December 31, 2006, the total market value of the fund’s securities 
    on loan is $144,314,511 and the total market value of the collateral held by the fund is $150,030,241, consisting 
    of cash collateral of $143,753,680 and U.S. Government and agency securities valued at $6,276,561. 
b    Non-income producing security.         
c    All or partially held by a broker as collateral for open financial futures positions.     
d    Investment in affiliated money market mutual fund.         
 
 
 
 
Portfolio Summary    (Unaudited) †         
 
        Value (%)        Value (%) 
Financial    22.2    Short-Term/     
Information Technology    15.1    Money Market Investments    3.8 
Health Care    12.0    Telecommunication Services    3.5 
Industrial    10.8    Utilities    3.5 
Consumer Discretionary    10.6    Materials    2.9 
Energy    9.8    Futures    (.0) 
Consumer Staples    9.2        103.4 
 
†    Based on net assets.             
See notes to financial statements.         

24

STATEMENT OF FINANCIAL FUTURES

December 31, 2006

        Market Value        Unrealized 
        Covered by        (Depreciation) 
    Contracts    Contracts ($)    Expiration    at 12/31/2006 ($) 
 
Financial Futures Long                 
Standard & Poor’s 500    60    21,426,000    March 2007    (132,175) 

See notes to financial statements.

The Fund 25

STATEMENT OF ASSETS AND LIABILITIES

December 31, 2006

    Cost    Value 
Assets ($):         
Investments in securities—See Statement of     
Investments (including securities on loan,     
valued at $144,314,511)—Note 1(b):     
Unaffiliated issuers    2,435,618,839    4,174,564,177 
Affiliated issuers    152,776,680    152,776,680 
Cash        394,010 
Dividends and interest receivable        5,785,721 
Receivable for investment securities sold    658,430 
Receivable for shares of Common Stock subscribed    46,541 
Prepaid expenses        51,757 
        4,334,277,316 
Liabilities ($):         
Due to The Dreyfus Corporation and affiliates—Note 3(c)    1,004,197 
Liability for securities on loan—Note 1(b)    143,753,680 
Payable for shares of Common Stock redeemed    4,201,349 
Payable for futures variation margin—Note 4    82,230 
Interest payable—Note 2        756 
Accrued expenses        185,101 
        149,227,313 
Net Assets ($)        4,185,050,003 
Composition Net Assets ($):         
Paid-in capital        2,951,282,777 
Accumulated undistributed investment income—net    497,350 
Accumulated net realized gain (loss) on investments    (505,543,287) 
Accumulated net unrealized appreciation (depreciation)     
on investments [including ($132,175) net unrealized     
(depreciation) on financial futures]    1,738,813,163 
Net Assets ($)        4,185,050,003 
 
 
Net Asset Value Per Share         
    Initial Shares    Service Shares 
Net Assets ($)    3,594,085,463    590,964,540 
Shares Outstanding    99,424,915    16,344,052 
Net Assets Value Per Share ($)    36.15    36.16 

See notes to financial statements.
26
STATEMENT OF OPERATIONS
Year Ended December 31, 2006
Investment Income ($):     
Income:     
Dividends:     
Unaffiliated issuers    78,264,868 
Affiliated issuers    932,727 
Interest    341,074 
Income on securities lending    241,443 
Total Income    79,780,112 
Expenses:     
Management fee—Note 3(a)    10,061,215 
Distribution fees (Service Shares)—Note 3(b)    1,356,418 
Prospectus and shareholders’ reports    795,207 
Directors’ fees and expenses—Note 3(d)    104,647 
Professional fees    63,996 
Shareholder servicing costs (Initial Shares)—Note 3(c)    43,132 
Loan commitment fees—Note 2    28,738 
Interest expense—Note 2    9,103 
Miscellaneous    170,308 
Total Expenses    12,632,764 
Investment Income—Net    67,147,348 
Realized and Unrealized Gain (Loss) on Investments—Note 4 ($): 
Net realized gain (loss) on investments    30,771,497 
Net realized gain (loss) on financial futures    3,772,675 
Net Realized Gain (Loss)    34,544,172 
Net change in unrealized appreciation (depreciation)     
on investments (including $241,635 net change in     
unrealized appreciation on financial futures)    487,048,921 
Net Realized and Unrealized Gain (Loss) on Investments    521,593,093 
Net Increase in Net Assets Resulting from Operations    588,740,441 

See notes to financial statements.

The Fund 27

STATEMENT OF CHANGES IN NET ASSETS

    Year Ended December 31, 
    2006    2005 
Operations ($):         
Investment income—net    67,147,348    66,996,953 
Net realized gain (loss) on investments    34,544,172    (107,603,672) 
Net change in unrealized appreciation         
(depreciation) on investments    487,048,921    240,329,084 
Net Increase (Decrease) in Net Assets         
Resulting from Operations    588,740,441    199,722,365 
Dividends and Distributions to Shareholders from ($):     
Investment income—net:         
Initial shares    (58,504,884)    (59,436,329) 
Service shares    (7,682,739)    (7,091,644) 
Distributions of return of capital:         
Initial shares    —    (310,500) 
Service shares    —    (39,323) 
Total Dividends and Distributions    (66,187,623)    (66,877,796) 
Capital Stock Transactions ($):         
Net proceeds from shares sold:         
Initial shares    214,641,802    210,040,722 
Service shares    71,589,515    157,277,486 
Net assets received in connection with         
reorganization—Note 1    —    166,871,392 
Dividends reinvested:         
Initial shares    58,504,884    59,746,829 
Service shares    7,682,739    7,130,967 
Cost of shares redeemed:         
Initial shares    (748,919,033)    (779,602,799) 
Service shares    (87,250,920)    (153,914,282) 
Increase (Decrease) in Net Assets from         
Capital Stock Transactions    (483,751,013)    (332,449,685) 
Total Increase (Decrease) in Net Assets    38,801,805    (199,605,116) 
Net Assets ($):         
Beginning of Period    4,146,248,198    4,345,853,314 
End of Period    4,185,050,003    4,146,248,198 
Undistributed investment income—net    497,350    203,205 

28
    Year Ended December 31, 
    2006    2005 
Capital Share Transactions:         
Initial Shares         
Shares sold    6,432,965    6,823,178 
Shares issued in connection with         
reorganization—Note 1    —    5,653,156 
Shares issued for dividends reinvested    1,728,125    1,932,364 
Shares redeemed    (22,393,535)    (25,134,308) 
Net Increase (Decrease) in Shares Outstanding    (14,232,445)    (10,725,610) 
Service Shares         
Shares sold    2,117,508    5,125,869 
Shares issued for dividends reinvested    226,501    230,306 
Shares redeemed    (2,654,935)    (4,994,213) 
Net Increase (Decrease) in Shares Outstanding    (310,926)    361,962 

See notes to financial statements.

The Fund 29

FINANCIAL HIGHLIGHTS

The following tables describe the performance for each share class for the fiscal periods indicated. Total return shows how much your investment in the fund would have increased (or decreased) during each period, assuming you had reinvested all dividends and distributions. These figures have been derived from the fund’s financial statements.

            Year Ended December 31,     
Initial Shares    2006    2005    2004    2003    2002 
Per Share Data ($):                     
Net asset value, beginning of period    31.82    30.89    28.43    22.47    29.36 
Investment Operations:                     
Investment income—net a    .56    .49    .51    .37    .34 
Net realized and unrealized                     
gain (loss) on investments    4.33    .94    2.48    5.96    (6.89) 
Total from Investment Operations    4.89    1.43    2.99    6.33    (6.55) 
Distributions:                     
Dividends from                     
investment income—net    (.56)    (.50)    (.53)    (.37)    (.34) 
Dividends from return of capital    —    (.00)b    (.00)b    —    — 
Total Distributions    (.56)    (.50)    (.53)    (.37)    (.34) 
Net asset value, end of period    36.15    31.82    30.89    28.43    22.47 
Total Return (%)    15.50    4.69    10.64    28.36    (22.36) 
Ratios/Supplemental Data (%):                     
Ratio of total expenses                     
to average net assets    .27    .27    .26    .28    .27 
Ratio of net investment income                     
to average net assets    1.67    1.60    1.76    1.52    1.33 
Portfolio Turnover Rate    4.91    6.09    3.78    2.80    6.05 
Net Assets, end of period                     
    3,594,085    3,616,211    3,842,771    3,771,728    3,093,295 
 
a    Based on average shares outstanding at each month end.                 
b    Amount represents less than $.01 per share.                 
See notes to financial statements.                     

30
        Year Ended December 31,     
Service Shares    2006    2005    2004    2003    2002 
Per Share Data ($):                     
Net asset value, beginning of period    31.82    30.90    28.40    22.44    29.33 
Investment Operations:                     
Investment income—net a    .47    .42    .46    .32    .29 
Net realized and unrealized                     
gain (loss) on investments    4.35    .93    2.46    5.93    (6.89) 
Total from Investment Operations    4.82    1.35    2.92    6.25    (6.60) 
Distributions:                     
Dividends from investment income—net    (.48)    (.43)    (.42)    (.29)    (.29) 
Dividends from return of capital    —    (.00)b    (.00)b    —    — 
Total Distributions    (.48)    (.43)    (.42)    (.29)    (.29) 
Net asset value, end of period    36.16    31.82    30.90    28.40    22.44 
Total Return (%)    15.21    4.43    10.35    28.05    (22.55) 
Ratios/Supplemental Data (%):                     
Ratio of total expenses                     
to average net assets    .52    .52    .51    .53    .51 
Ratio of net investment income                     
to average net assets    1.43    1.35    1.59    1.27    1.19 
Portfolio Turnover Rate    4.91    6.09    3.78    2.80    6.05 
Net Assets, end of period ($ x 1,000)    590,965    530,037    503,456    283,150    78,762 

a    Based on average shares outstanding at each month end. 
b    Amount represents less than $.01 per share. 
See notes to financial statements. 

The Fund 31

NOTES TO FINANCIAL STATEMENTS

NOTE 1—Significant Accounting Policies:

Dreyfus Stock Index Fund, Inc. (the “fund”) is registered under the Investment Company Act of 1940, as amended (the “Act”), as a non-diversified open-end management investment company, that is intended to be a funding vehicle for variable annuity contracts and variable life insurance policies to be offered by the separate accounts of life insurance companies.The fund’s investment objective is to match the total return of the Standard and Poor’s 500 Composite Stock Price Index. The Dreyfus Corporation (the “Manager” or “Dreyfus”) serves as the fund’s manager and Mellon Equity Associates (“Mellon Equity”), an affiliate of Dreyfus, serves as the fund’s index manager. Dreyfus is a wholly-owned subsidiary of Mellon Financial Corporation (“Mellon Financial”).

On December 4, 2006, Mellon Financial and The Bank of New York Company, Inc. announced that they had entered into a definitive agreement to merge. The new company will be called The Bank of New York Mellon Corporation. As part of this transaction, Dreyfus would become a wholly-owned subsidiary of The Bank of New York Mellon Corporation. The transaction is subject to certain regulatory approvals and the approval of The Bank of New York Company, Inc.’s and Mellon Financial’s shareholders, as well as other customary conditions prior to closing. Subject to such approvals and the satisfaction of the other conditions, Mellon Financial and The Bank of New York Company, Inc. expect the transaction to be completed in the third quarter of 2007.

As of the close of business on April 29, 2005, pursuant to an Agreement and Plan of Reorganization previously approved by the fund’s Board of Directors, all of the assets, subject to the liabilities, of Times Square VP S&P 500R Index Fund (“portfolio”), a series of CIGNA Variable Products Group, were transferred to the fund. Shareholders of the portfolio received Initial shares of the fund in an amount equal to the aggregate net asset value of their investment in the portfolio at the time of

32

the exchange.The net asset value of the fund’s Initial shares at the close of business on April 29, 2005, after the reorganization, was $29.52 per share and a total of 5,653,156 Initial shares representing net assets of $166,871,392 (including $711,591 net unrealized appreciation on investments) were issued to the portfolio’s shareholders, in the exchange.The exchange was a tax-free event to shareholders.

Dreyfus Service Corporation (the “Distributor”), a wholly-owned subsidiary of Dreyfus, is the distributor of the fund’s shares, which are sold without a sales charge.The fund is authorized to issue 400 million shares of $.001 par value Common Stock in each of the following classes of shares: Initial shares (250 million shares authorized) and Service shares (150 million shares authorized). Initial shares are subject to a shareholder services fee and Service shares are subject to a distribution fee. Each class of shares has identical rights and privileges, except with respect to the distribution plan and shareholder services plan and the expenses borne by each class and certain voting rights. Income, expenses (other than expenses attributable to a specific class), and realized and unrealized gains or losses on investments are allocated to each class of shares based on its relative net assets.

The fund’s financial statements are prepared in accordance with U.S. generally accepted accounting principles, which requires the use of management estimates and assumptions. Actual results could differ from those estimates.

In the normal course of business, the fund may enter into contracts and agreements that contain a variety of representations and warranties, which provide general indemnifications.The maximum exposure to the fund under these arrangements is unknown, as this would involve future claims that may be made against the fund that have not yet occurred. However, based on experience, the fund expects the risks of loss to be remote.

The Fund 33

NOTES TO FINANCIAL STATEMENTS (continued)

(a) Portfolio valuation: Investments in securities are valued at the last sales price on the securities exchange or national securities market on which such securities are primarily traded. Securities listed on the National Market System for which market quotations are available are valued at the official closing price or, if there is no official closing price that day, at the last sales price. Securities not listed on an exchange or the national securities market, or securities for which there were no transactions, are valued at the average of the most recent bid and asked prices, except for open short positions, where the asked price is used for valuation purposes. Bid price is used when no asked price is available. Registered open-end investment companies that are not traded on an exchange are valued at their net asset value.When market quotations or official closing prices are not readily available, or are determined not to reflect accurately fair value, such as when the value of a security has been significantly affected by events after the close of the exchange or market on which the security is principally traded (for example, a foreign exchange or market), but before the fund calculates its net asset value, the fund may value these investments at fair value as determined in accordance with the procedures approved by the Board of Directors. Fair valuing of securities may be determined with the assistance of a pricing service using calculations based on indices of domestic securities and other appropriate indicators, such as prices of relevant ADR’s and futures contracts. For other securities that are fair valued by the Board of Directors, certain factors may be considered such as: fundamental analytical data, the nature and duration of restrictions on disposition, an evaluation of the forces that influence the market in which the securities are purchased and sold, and public trading in similar securities of the issuer or comparable issuers. Financial futures are valued at the last sales price on the principal exchange.

On September 20, 2006, the Financial Accounting Standards Board (FASB) released Statement of Financial Accounting Standards No. 157 “Fair Value Measurements” (“FAS 157”). FAS 157 establishes an authoritative definition of fair value, sets out a framework for measuring fair value, and requires additional disclosures about fair-value measurements.

34

The application of FAS 157 is required for fiscal years beginning after November 15, 2007 and interim periods within those fiscal years. Management does not believe that the application of this standard will have a material impact on the financial statements of the fund.

(b) Securities transactions and investment income: Securities transactions are recorded on a trade date basis. Realized gain and loss from securities transactions are recorded on the identified cost basis. Dividend income is recognized on the ex-dividend date and interest income is determined on the basis of coupon interest accrued, adjusted for accretion of discount and amortization of premium on debt securities.

The fund has an arrangement with the custodian bank whereby the fund receives earnings credits from the custodian when positive cash balances are maintained, which are used to offset custody fees. For financial reporting purposes, the fund includes net earnings credits, if any, as an expense offset in the Statement of Operations.

Pursuant to a securities lending agreement with Mellon Bank, N.A., an affiliate of Dreyfus, the fund may lend securities to qualified institutions. It is the fund’s policy, that at origination, all loans are secured by collateral of at least 102% of the value of U.S. securities loaned and 105% of the value of foreign securities loaned. It is the fund’s policy that collateral equivalent to at least 100% of the market value of securities on loan is maintained at all times. Cash collateral is invested in certain money market mutual funds managed by Dreyfus.The fund is entitled to receive all income on securities loaned, in addition to income earned as a result of the lending transaction.Although each security loaned is fully collateralized, the fund bears the risk of delay in recovery of, or loss of rights in, the securities loaned should a borrower fail to return the securities in a timely manner. During the period ended December 31, 2006, pursuant to the securities lending agreement, Mellon Bank, N.A. earned revenues of $103,476 from the fund.

(c) Affiliated issuers: Investments in other investment companies advised by Dreyfus are defined as “affiliated” in the Act.

The Fund 35

NOTES TO FINANCIAL STATEMENTS (continued)

(d) Dividends to shareholders: Dividends are recorded on the ex-dividend date. Dividends from investment income-net are declared and paid on a quarterly basis. Dividends from net realized capital gain, if any, are normally declared and paid annually, but the fund may make distributions on a more frequent basis to comply with the distribution requirements of the Internal Revenue Code of 1986, as amended (the “Code”).To the extent that net realized capital gain can be offset by capital loss carryovers, it is the policy of the fund not to distribute such gain. Income and capital gain distributions are determined in accordance with income tax regulations, which may differ from U.S. generally accepted accounting principles.

(e) Federal income taxes: It is the policy of the fund to continue to qualify as a regulated investment company, if such qualification is in the best interests of its shareholders, by complying with the applicable provisions of the Code, and to make distributions of taxable income sufficient to relieve it from substantially all federal income and excise taxes.

In July 2006, the Financial Accounting Standards Board issued Interpretation No. 48,“Accounting for Uncertainty in Income Taxes -an Interpretation of FASB Statement No. 109” (the “Interpretation”). The Interpretation establishes for all entities, including pass-through entities such as the Fund, a minimum threshold for financial statement recognition of the benefit of positions taken in filing tax returns (including whether an entity is taxable in a particular jurisdiction), and requires certain expanded tax disclosures. Adoption of FIN 48 is required for fiscal years beginning after December 15, 2006 and is to be applied to all open tax years as of the effective date. Management does not believe that the application of this standard will have a material impact on the financial statements of the fund.

At December 31, 2006, the components of accumulated earnings on a tax basis were as follows: undistributed ordinary income $184,992, accumulated capital losses $393,293,738 and unrealized appreciation $1,626,875,972.

36

The accumulated capital loss carryover is available to be applied against future net securities profits, if any, realized subsequent to December 31, 2006. If not applied, $300,694,931 of the carryover expires in fiscal 2010, $27,409,843 expires in fiscal 2011, $15,235,400 expires in fiscal 2012 and $49,953,564 expires in fiscal 2013.

The tax character of distributions paid to shareholders during the fiscal periods ended December 31, 2006 and December 31, 2005, were as follows: ordinary income $66,187,623 and $66,527,973 and return of capital $0 and $349,823.

During the period ended December 31, 2006, as a result of permanent book to tax differences, primarily due to the tax treatment for real estate investment trusts, the fund decreased accumulated undistributed investment income-net by $665,580 and increased net realized gain (loss) on investments by the same amount. Net assets were not affected by this reclassification.

NOTE 2—Bank Line of Credit:

The fund participates with other Dreyfus-managed funds in a $350 million redemption credit facility (the “Facility”) to be utilized for temporary or emergency purposes, including the financing of redemptions. In connection therewith, the fund has agreed to pay commitment fees on its pro rata portion of the Facility. Interest is charged to the fund based on prevailing market rates in effect at the time of borrowings.

The average daily amount of borrowings outstanding under the Facility during the period ended December 31, 2006, was approximately $175,900 with a related weighted average annualized interest rate of 5.17% .

NOTE 3—Management Fee, Index Management Fee and Other Transactions With Affiliates:

(a) Pursuant to a Management Agreement with Dreyfus, the management fee is computed at the annual rate of .245% of the value of the

The Fund 37

NOTES TO FINANCIAL STATEMENTS (continued)

fund’s average daily net assets, and is payable monthly. Dreyfus has agreed to pay Mellon Equity a monthly index-management fee at the annual rate of .095% of the value of the fund’s average daily net assets. Dreyfus has undertaken from January 1, 2006 until such time as they give shareholders at least 180 days notice to the contrary that if any full fiscal year the fund’s aggregate expenses exclusive of brokerage commissions, Rule 12b-1 distribution plan fees, transaction fees and extraordinary expenses, exceed an annual rate of .40% of the fund’s average daily net assets, the fund may deduct from the payments to be made to Dreyfus, or Dreyfus will bear, such excess expense. During the period ended December 31, 2006, there was no expense reimbursement pursuant to the undertaking.

(b) Under the Distribution Plan (the “Plan”) adopted pursuant to Rule 12b-1 under the Act, Service shares pay the Distributor for distributing their shares, for servicing and/or maintaining Service shares shareholder accounts and for advertising and marketing for Service shares.The Plan provides payments to be made at an annual rate of .25% of the value of the Service shares average daily net assets. The Distributor may make payments to Participating Insurance Companies and brokers and dealers acting as principal underwriter for their variable insurance products.The fees payable under the Plan are payable without regard to actual expenses incurred. During the period ended December 31, 2006, Service shares were charged $1,356,418 pursuant to the Plan.

(c) Under the Shareholder Services Plan, Initial shares reimburse the Distributor an amount not to exceed an annual rate of .25% of the value of the Initial shares’ average daily net assets for certain allocated expenses with respect to servicing and/or maintaining Initial shares shareholder accounts. During the period ended December 31, 2006, Initial shares were charged $32,069 pursuant to the Shareholders Services Plan.

The fund compensates Dreyfus Transfer, Inc., a wholly-owned subsidiary of Dreyfus, under a transfer agency agreement for providing personnel and facilities to perform transfer agency services for the

38

fund. During the period ended December 31, 2006, the fund was charged $1,142 pursuant to the transfer agency agreement.

During the period ended December 31, 2006, the fund was charged $4,204 for services performed by the Chief Compliance Officer which is included in miscellaneous expenses.

The components of Due to The Dreyfus Corporation and affiliates in the Statement of Assets and Liabilities consist of: management fees $874,610, Rule 12b-1 distribution plan fees $124,313, shareholder services plan fees $3,000, chief compliance officer fees $2,044 and transfer agency per account fees $230.

(d) Each Board member also serves as a Board member of other funds within the Dreyfus complex. Annual retainer fees and attendance fees are allocated to each fund based on net assets.

(e) Pursuant to an exemptive order from the SEC, the fund may invest its available cash balances in affiliated money market mutual funds. Management fees of the underlying money market mutual funds have been waived by Dreyfus.

NOTE 4—Securities Transactions:

The aggregate amount of purchases and sales of investment securities, during the period ended December 31,2006,amounted to $200,621,768 and $663,987,109, respectively.

The fund may invest in financial futures contracts in order to gain exposure to or protect against changes in the market. The fund is exposed to market risk as a result of changes in the value of the underlying financial instruments. Investments in financial futures require the fund to “mark to market” on a daily basis, which reflects the change in the market value of the contract at the close of each day’s trading. Typically, variation margin payments are received or made to reflect daily unrealized gains or losses.When the contracts are closed, the fund recognizes a realized gain or loss.These investments require initial mar-

The Fund 39

NOTES TO FINANCIAL STATEMENTS (continued)

gin deposits with a broker, which consist of cash or cash equivalents. The amount of these deposits is determined by the exchange or Board of Trade on which the contract is traded and is subject to change. Contracts open at December 31, 2006 are set forth in the Statement of Financial Futures.

At December 31, 2006, the cost of investments for federal income tax purposes was $2,700,464,885; accordingly, accumulated net unrealized appreciation on investments was $1,626,875,972, consisting of $1,892,814,427 gross unrealized appreciation and $265,938,455 gross unrealized depreciation.

40

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Board of Directors and Shareholders of Dreyfus Stock Index Fund, Inc.

In our opinion, the accompanying statement of assets and liabilities, including the statements of investments and of financial futures, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Dreyfus Stock Index Fund, Inc. (the “Fund”) at December 31,2006,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 five years in the period then ended, in conformity with accounting principles generally accepted in the United States of America. These financial statements and financial highlights (hereafter referred to as “financial statements”) are the responsibility of the Fund’s management. Our responsibility is to express an opinion on these financial statements based on our audits.We conducted our audits of these financial statements in accordance with the 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 are free of material misstatement.An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation.We believe that our audits, which included confirmation of securities at December 31, 2006 by correspondence with the custodian and brokers, provide a reasonable basis for our opinion.

  PricewaterhouseCoopers LLP
New York, New York
February 7, 2007

The Fund 41

IMPORTANT TAX INFORMATION (Unaudited)

For federal tax purposes, the fund hereby designates 100% of the ordinary dividends paid during the fiscal year ended December 31, 2006 as qualifying for the corporate dividends received deduction. Shareholders will receive notification in January 2007 of the percentage applicable to the preparation of their 2006 income tax returns.

42

BOARD MEMBERS INFORMATION (Unaudited)

Joseph S. DiMartino (63) 
Chairman of the Board (1995) 
Principal Occupation During Past 5 Years: 
• Corporate Director and Trustee 
Other Board Memberships and Affiliations: 
• The Muscular Dystrophy Association, Director 
• Century Business Services, Inc., a provider of outsourcing functions for small and medium size 
companies, Director 
• The Newark Group, a provider of a national market of paper recovery facilities, paperboard 
mills and paperboard converting plants, Director 
• Sunair Services Corporation, engaging in the design, manufacture and sale of high frequency 
systems for long-range voice and data communications, as well as providing certain 
outdoor-related services to homes and businesses, Director 
No. of Portfolios for which Board Member Serves: 190 
——————— 
Peggy C. Davis (63) 
Board Member (2006) 
Principal Occupation During Past 5 Years: 
• Shad Professor of Law, New York University School of Law (1983-present) 
• Writer and teacher in the fields of evidence, constitutional theory, family law, social sciences 
and the law, legal process and professional methodology and training 
No. of Portfolios for which Board Member Serves: 80 
——————— 
David P. Feldman (67) 
Board Member (1989) 
Principal Occupation During Past 5 Years: 
• Corporate Director and Trustee 
Other Board Memberships and Affiliations: 
• BBH Mutual Funds Group (11 funds), Director 
• The Jeffrey Company, a private investment company, Director 
• QMED, a medical device company, Director 
No. of Portfolios for which Board Member Serves: 57 

The Fund 43

BOARD MEMBERS INFORMATION (Unaudited) (continued)

James F. Henry (76) 
Board Member (2006) 
Principal Occupation During Past 5 Years: 
• President,The International Institute for Conflict Prevention and Resolution, a non-profit 
organization principally engaged in the development of alternatives to business litigation 
(Retired 2003) 
• Advisor to The Elaw Forum, a consultant on managing corporate legal costs 
• Advisor to John Jay Homestead (the restored home of the first U.S. Chief Justice) 
• Individual Trustee of several trusts 
Other Board Memberships and Affiliations: 
• Director, advisor and mediator involved in several non-profit organizations, primarily engaged 
in domestic and international dispute resolution, and historic preservation 
No. of Portfolios for which Board Member Serves: 48 
——————— 
Ehud Houminer (66) 
Board Member (1996) 
Principal Occupation During Past 5 Years: 
• Executive-in-Residence at the Columbia Business School, Columbia University 
Other Board Memberships and Affiliations: 
• Avnet Inc., an electronics distributor, Director 
• International Advisory Board to the MBA Program School of Management, Ben Gurion 
University, Chairman 
• Explore Charter School, Brooklyn, NY, Chairman 
No. of Portfolios for which Board Member Serves: 78 
——————— 
Gloria Messinger (77) 
Board Member (1996) 
Principal Occupation During Past 5 Years: 
• Arbitrator for American Arbitration Association and National Association of Securities Dealers, Inc. 
• Consultant in Intellectual Property 
Other Board Memberships and Affiliations: 
• Theater for a New Audience, Inc., Director 
• Brooklyn Philharmonic, Director 
No. of Portfolios for which Board Member Serves: 48 

  44
Dr. Martin Peretz (67) 
Board Member (2006) 
Principal Occupation During Past 5 Years: 
• Editor-in-Chief of The New Republic Magazine 
• Lecturer in Social Studies at Harvard University (1965-2002) 
• Director of TheStreet.com, a financial information service on the web 
Other Board Memberships and Affiliations: 
• American Council of Trustees and Alumni, Director 
• Pershing Square Capital Management, Adviser 
• Montefiore Ventures, General Partner 
• Harvard Center for Blood Research,Trustee 
• Bard College,Trustee     
• Board of Overseers of YIVO Institute for Jewish Research, Chairman 
No. of Portfolios for which Board Member Serves: 48 
    ——————— 
Anne Wexler (76)     
Board Member (1991) 
Principal Occupation During Past 5 Years: 
• Chairman of the Wexler & Walker Public Policy Associates, consultants specializing in 
government relations and public affairs 
Other Board Memberships and Affiliations: 
• Wilshire Mutual Funds (5 funds), Director 
• Methanex Corporation, a methanol producing company, Director 
• Member of the Council of Foreign Relations 
• Member of the National Park Foundation 
No. of Portfolios for which Board Member Serves: 57 
    ——————— 
Once elected all Board Members serve for an indefinite term, but achieve Emeritus status upon reaching age 80.The 
address of the Board Members and Officers is in c/o The Dreyfus Corporation, 200 Park Avenue, New York, New York 
10166. Additional information about the Board Members is available in the fund’s Statement of Additional Information 
which can be obtained from Dreyfus free of charge by calling this toll free number: 1-800-554-4611. 
John M. Fraser, Jr., Emeritus Board Member 
Dr. Paul A. Marks, Emeritus Board Member 
T. John Szarkowski, Emeritus Board Member 

The Fund 45

OFFICERS OF THE FUND (Unaudited)

J. DAVID OFFICER, President since 
December 2006. 

Chief Operating Officer,Vice Chairman and a director of the Manager, and an officer of 90 investment companies (comprised of 190 portfolios) managed by the Manager. He is 58 years old and has been an employee of the Manager since April 1, 1998.

MARK N. JACOBS, Vice President since 
March 2000. 

Executive Vice President, Secretary and General Counsel of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 60 years old and has been an employee of the Manager since June 1977.

MICHAEL A. ROSENBERG, Vice President 
and Secretary since August 2005. 

Associate General Counsel of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 46 years old and has been an employee of the Manager since October 1991.

JAMES BITETTO, Vice President and 
Assistant Secretary since August 2005. 

Associate General Counsel and Assistant Secretary of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 40 years old and has been an employee of the Manager since December 1996.

JONI LACKS CHARATAN, Vice President 
and Assistant Secretary since 
August 2005. 

Associate General Counsel of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. She is 51 years old and has been an employee of the Manager since October 1988.

JOSEPH M. CHIOFFI, Vice President and 
Assistant Secretary since August 2005. 

Associate General Counsel of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 45 years old and has been an employee of the Manager since June 2000.

JANETTE E. FARRAGHER, Vice President 
and Assistant Secretary since 
August 2005. 

Associate General Counsel of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. She is 44 years old and has been an employee of the Manager since February 1984.

JOHN B. HAMMALIAN, Vice President and 
Assistant Secretary since August 2005. 

Associate General Counsel of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 43 years old and has been an employee of the Manager since February 1991.

ROBERT R. MULLERY, Vice President and 
Assistant Secretary since August 2005. 

Associate General Counsel of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 54 years old and has been an employee of the Manager since May 1986.

JEFF PRUSNOFSKY, Vice President and 
Assistant Secretary since August 2005. 

Associate General Counsel of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 41 years old and has been an employee of the Manager since October 1990.

  46
JAMES WINDELS, Treasurer since 
November 2001. 

Director – Mutual Fund Accounting of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 48 years old and has been an employee of the Manager since April 1985.

ERIK D. NAVILOFF, Assistant Treasurer 
since August 2005. 

Senior Accounting Manager – Taxable Fixed Income Funds of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 38 years old and has been an employee of the Manager since November 1992.

ROBERT ROBOL, Assistant Treasurer 
since August 2005. 

Senior Accounting Manager – Money Market and Municipal Bond Funds of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 42 years old and has been an employee of the Manager since October 1988.

ROBERT SVAGNA, Assistant Treasurer 
since December 2002. 

Senior Accounting Manager – Equity Funds of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 39 years old and has been an employee of the Manager since November 1990.

GAVIN C. REILLY, Assistant Treasurer 
since December 2005. 

Tax Manager of the Investment Accounting and Support Department of the Manager, and an officer of 91 investment companies (comprised of 206 portfolios) managed by the Manager. He is 38 years old and has been an employee of the Manager since April 1991.

JOSEPH W. CONNOLLY, Chief Compliance 
Officer since October 2004. 

Chief Compliance Officer of the Manager and The Dreyfus Family of Funds (91 investment companies, comprised of 206 portfolios). From November 2001 through March 2004, Mr. Connolly was first Vice-President, Mutual Fund Servicing for Mellon Global Securities Services. In that capacity, Mr. Connolly was responsible for managing Mellon’s Custody, Fund Accounting and Fund Administration services to third-party mutual fund clients. He is 49 years old and has served in various capacities with the Manager since 1980, including manager of the firm’s Fund Accounting Department from 1997 through October 2001.

WILLIAM GERMENIS, Anti-Money 
Laundering Compliance Officer since 
September 2002. 

Vice President and Anti-Money Laundering Compliance Officer of the Distributor, and the Anti-Money Laundering Compliance Officer of 87 investment companies (comprised of 202 portfolios) managed by the Manager. He is 36 years old and has been an employee of the Distributor since October 1998.

The Fund 47

NOTES

For More Information

Dreyfus Stock Index Fund, Inc. 
200 Park Avenue 
New York, NY 10166 
 
Manager 
The Dreyfus Corporation 
200 Park Avenue 
New York, NY 10166 
 
Index Fund Manager 
Mellon Equity Associates 
500 Grant Street 
Pittsburgh, PA 15258 

Custodian 
Mellon Trust of 
New England, N.A. 
One Boston Place 
Boston, MA 02108 
 
Transfer Agent & 
Dividend Disbursing Agent 
Dreyfus Transfer, Inc. 
200 Park Avenue 
New York, NY 10166 
 
Distributor 
Dreyfus Service Corporation 
200 Park Avenue 
New York, NY 10166 

Telephone Call your financial representative or 1-800-554-4611

Mail The Dreyfus Family of Funds, 144 Glenn Curtiss Boulevard, Uniondale, NY 11556-0144 Attn: Investments Division

The fund files its complete schedule of portfolio holdings with the Securities and Exchange Commission (“SEC”) for the first and third quarters of each fiscal year on Form N-Q. The fund’s Forms N-Q are available on the SEC’s website at http://www.sec.gov and may be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 1-202-551-8090.

A description of the policies and procedures that the fund uses to determine how to vote proxies relating to portfolio securities, and information regarding how the fund voted these proxies for the 12-month period ended June 30, 2006, is available at http://www.dreyfus.com and on the SEC’s website at http://www.sec.gov. The description of the policies and procedures is also available without charge, upon request, by calling 1-800-645-6561.

© 2007 Dreyfus Service Corporation

Item 2.    Code of Ethics. 

The Registrant has adopted a code of ethics that applies to the Registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. There have been no amendments to, or waivers in connection with, the Code of Ethics during the period covered by this Report.

Item 3. Audit Committee Financial Expert.

The Registrant's Board has determined that David P. Feldman, a member of the Audit Committee of the Board, is an audit committee financial expert as defined by the Securities and Exchange Commission (the "SEC"). Mr. Feldman is "independent" as defined by the SEC for purposes of audit committee financial expert determinations.

Item 4. Principal Accountant Fees and Services

(a) Audit Fees. The aggregate fees billed for each of the last two fiscal years (the "Reporting Periods") for professional services rendered by the Registrant's principal accountant (the "Auditor") for the audit of the Registrant's annual financial statements, or services that are normally provided by the Auditor in connection with the statutory and regulatory filings or engagements for the Reporting Periods, were $44,000 in 2005 and $46,000 in 2006.

(b) Audit-Related Fees. The aggregate fees billed in the Reporting Periods for assurance and related services by the Auditor that are reasonably related to the performance of the audit of the Registrant's financial statements and are not reported under paragraph (a) of this Item 4 were $0 in 2005 and $0 in 2006.

The aggregate fees billed in the Reporting Periods for non-audit assurance and related services by the Auditor to the Registrant's investment adviser (not including any sub-investment adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by or under common control with the investment adviser that provides ongoing services to the Registrant ("Service Affiliates"), that were reasonably related to the performance of the annual audit of the Service Affiliate, which required pre-approval by the Audit Committee were $0 in 2005 and $0 in 2006.

Note: For the second paragraph in each of (b) through (d) of this Item 4, certain of such services were not pre-approved prior to May 6, 2003, when such services were required to be pre-approved. On and after May 6, 2003, 100% of all services provided by the Auditor were pre-approved as required. For comparative purposes, the fees shown assume that all such services were pre-approved, including services that were not pre-approved prior to the compliance date of the pre-approval requirement.

(c) Tax Fees. The aggregate fees billed in the Reporting Periods for professional services rendered by the Auditor for tax compliance, tax advice and tax planning ("Tax Services") were $3,000 in 2005 and $3,300 in 2006. These services consisted of (i) review or preparation of U.S. federal, state, local and excise tax returns; (ii) U.S. federal, state and local tax planning, advice and assistance regarding statutory, regulatory or administrative developments, (iii) tax advice regarding tax qualification matters and/or treatment of various financial instruments held or proposed to be acquired or held.

>

The aggregate fees billed in the Reporting Periods for Tax Services by the Auditor to Service Affiliates which required pre-approval by the Audit Committee were $0 in 2005 and $0 in 2006.

(d) All Other Fees. The aggregate fees billed in the Reporting Periods for products and services provided by the Auditor, other than the services reported in paragraphs (a) through (c) of this Item, were $0 in 2005 and $0 in 2006.

The aggregate fees billed in the Reporting Periods for Non-Audit Services by the Auditor to Service Affiliates, other than the services reported in paragraphs (b) through (c) of this Item, which required pre-approval by the Audit Committee were $0 in 2005 and $0 in 2006.

Audit Committee Pre-Approval Policies and Procedures. The Registrant's Audit Committee has established policies and procedures (the "Policy") for pre-approval (within specified fee limits) of the Auditor's engagements for non-audit services to the Registrant and Service Affiliates without specific case-by-case consideration. Pre-approval considerations include whether the proposed services are compatible with maintaining the Auditor's independence. Pre-approvals pursuant to the Policy are considered annually.

Non-Audit Fees. The aggregate non-audit fees billed by the Auditor for services rendered to the Registrant, and rendered to Service Affiliates, for the Reporting Periods were $75,000 in 2005 and $90,000 in 2006.

Auditor Independence. The Registrant's Audit Committee has considered whether the provision of non-audit services that were rendered to Service Affiliates which were not pre-approved (not requiring pre-approval) is compatible with maintaining the Auditor's independence.

Item 5.    Audit Committee of Listed Registrants. 
    Not applicable. 
Item 6.    Schedule of Investments. 
    Not applicable. 
Item 7.    Disclosure of Proxy Voting Policies and Procedures for Closed-End Management 
    Investment Companies. 
    Not applicable. 
Item 8.    Portfolio Managers of Closed-End Management Investment Companies. 
    Not applicable. 
Item 9.    Purchases of Equity Securities by Closed-End Management Investment Companies and 
    Affiliated Purchasers. 
    Not applicable. 
Item 10.    Submission of Matters to a Vote of Security Holders. 

The Registrant has a Nominating Committee (the "Committee"), which is responsible for selecting and nominating persons for election or appointment by the Registrant's Board as Board members. The Committee has adopted a Nominating Committee Charter (the "Charter"). Pursuant to the Charter, the Committee will consider recommendations for nominees from shareholders submitted to the Secretary of the

Registrant, c/o The Dreyfus Corporation Legal Department, 200 Park Avenue, 8th Floor East, New York, New York 10166. A nomination submission must include information regarding the recommended nominee as specified in the Charter. This information includes all information relating to a recommended nominee that is required to be disclosed in solicitations or proxy statements for the election of Board members, as well as information sufficient to evaluate the factors to be considered by the Committee, including character and integrity, business and professional experience, and whether the person has the ability to apply sound and independent business judgment and would act in the interests of the Registrant and its shareholders.

Nomination submissions are required to be accompanied by a written consent of the individual to stand for election if nominated by the Board and to serve if elected by the shareholders, and such additional information must be provided regarding the recommended nominee as reasonably requested by the Committee.

Item 11.    Controls and Procedures. 

(a) The Registrant's principal executive and principal financial officers have concluded, based on their evaluation of the Registrant's disclosure controls and procedures as of a date within 90 days of the filing date of this report, that the Registrant's disclosure controls and procedures are reasonably designed to ensure that information required to be disclosed by the Registrant on Form N-CSR is recorded, processed, summarized and reported within the required time periods and that information required to be disclosed by the Registrant in the reports that it files or submits on Form N-CSR is accumulated and communicated to the Registrant's management, including its principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure.

(b) There were no changes to the Registrant's internal control over financial reporting that occurred during the second fiscal quarter of the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Registrant's internal control over financial reporting.

Item 12.    Exhibits. 

(a)(1)    Code of ethics referred to in Item 2. 
(a)(2)    Certifications of principal executive and principal financial officers as required by Rule 30a-2(a) 
under the Investment Company Act of 1940. 
(a)(3)    Not applicable. 
(b)    Certification of principal executive and principal financial officers as required by Rule 30a-2(b) 
under the Investment Company Act of 1940. 

  SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the Registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.

  Dreyfus Stock Index Fund, Inc.
By:    /s/ J. David Officer 
    J. David Officer 
    President 
 
Date:    2/14/07 

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this Report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated.

By:    /s/ J. David Officer 
    J. David Officer 
    President 
 
Date:    2/14/07 
 
By:    /s/ James Windels 
    James Windels 
    Treasurer 
 
Date:    2/14/07 

EXHIBIT INDEX

(a)(1)    Code of ethics referred to in Item 2. 
 
(a)(2)    Certifications of principal executive and principal financial officers as required by Rule 30a- 
2(a) under the Investment Company Act of 1940. (EX-99.CERT) 
 
(b)    Certification of principal executive and principal financial officers as required by Rule 30a- 
2(b) under the Investment Company Act of 1940. (EX-99.906CERT)