FOR IMMEDIATE RELEASE

Jefferies Adds Investment Banking, Research and Sales Teams From Robertson Stephens; 21 Professionals Join Full-Service Investment Bank Catering to the Middle Market

NEW YORK, Sep 9, 2002 (BUSINESS WIRE) -- Jefferies & Company, Inc., the principal operating subsidiary of Jefferies Group, Inc. (NYSE: JEF), today announced the hiring of 21 professionals formerly of Robertson Stephens.

Among those joining Jefferies are David C. Reilly, a Managing Director who will lead Jefferies' investment banking effort in the Services sector, and Scott M. Sullivan, who will serve as Co-Head of Equity Research Sales. The additions significantly expand Jefferies' investment banking and research operations as the firm continues its efforts to serve middle market companies and investors.

The group of new hires is primarily comprised of investment bankers and research analysts formerly of Robertson Stephens' Services Group. The new teams will be based in Jefferies' existing offices in New York, Boston, Chicago, Los Angeles and San Francisco.

"The addition of this experienced group of professionals furthers Jefferies' strategy to be the leading full-service Wall Street firm focused on middle-market companies. We believe the middle market is underserved in investment banking and research, and Jefferies intends to become the dominant force in this marketplace," said Richard B. Handler, Chairman and Chief Executive Officer of Jefferies. "We are pleased with the unprecedented opportunity for us to add this cohesive group of proven professionals to our team."

"This well-established Services Group fits Jefferies' sector-based approach and nicely complements our full product offering of trading, research, asset management, capital raising and advisory services in equity, high yield and convertible securities," commented John C. Shaw, Jr., President of Jefferies. "David Reilly's leadership of Jefferies' investment banking effort in the Services sector enhances our ability to serve middle-market companies. Similarly, Scott Sullivan is a top producer and will greatly enhance Jefferies' sales effort with institutional investors," he added.

With these additions, the number of Jefferies' research and investment banking professionals focused on the Services sector grows to thirty. Six new equity research professionals join the firm's existing research effort in a renamed Services Group. New senior analysts include Justin J. Hughes, CFA, Joseph A. Vafi, and Richard B. Shane, Jr. They will focus on, respectively, Brokerage and Asset Management, IT and Business Process Outsourcing, and Specialty Finance. Jefferies' worldwide research effort now includes 85 professionals covering over 800 companies in more than forty industries.

In addition, fourteen investment banking professionals, including Mr. Reilly, will be combined with those already working in related areas at Jefferies. In total, Jefferies investment banking professionals now number more than 140. Focus industries for the Services Group include IT and Business Process Outsourcing, Computer Services/Financial Technology, Brokerage and Asset Management, Trading and Depository Institutions, and Specialty Finance. Mr. Reilly most recently headed the Services Group at Robertson Stephens, where he worked for 11 years. He earned an MBA from the Wharton School of Business at the University of Pennsylvania and a Bachelor of Commerce from McGill University.

Mr. Sullivan will share responsibilities in managing Jefferies' Equity Research Sales Department with Glenn G. Geist. Mr. Sullivan will also head Jefferies' Research Sales effort in Boston and will continue to cover accounts. He was formerly Head of Institutional Sales at Robertson Stephens, where he worked for six years covering accounts in the Boston area.

About Jefferies

Jefferies & Company, Inc., the principal operating subsidiary of Jefferies Group, Inc. (NYSE: JEF), is a full-service investment bank and institutional securities firm focused on the middle market. Jefferies offers financial advisory, capital raising, mergers and acquisitions, and restructuring services to small and mid-cap companies. The firm provides outstanding trade execution in equity, high yield, convertible and international securities, as well as fundamental research and asset management capabilities, to institutional investors. Additional services include correspondent clearing, prime brokerage, private client services and securities lending. The firm's leadership in equity trading is recognized by numerous consulting and survey organizations, and Jefferies' affiliate, Helfant Group, Inc., executes approximately 10% of the daily reported volume on the NYSE.

Through its subsidiaries, Jefferies Group, Inc. employs more than 1,300 people in 20 offices worldwide, including Atlanta, Boston, Chicago, Dallas, Hong Kong, London, Los Angeles, New York, Paris, San Francisco, Tokyo and Zurich. Further information about Jefferies, including a description of investment banking, trading, research and asset management services, can be found at www.jefco.com.

CONTACT:
Jefferies & Company, Inc.
Tom Tarrant, 203/708-5989
ttarrant@jefco.com