FOR IMMEDIATE RELEASE

Jefferies Hires Senior Education Analyst Richard Close to Cover Knowledge Services Industry

Richard Close to Cover Knowledge Services Industry

NEW YORK, October 8, 2003 -- Jefferies & Company, Inc., the principal operating subsidiary of Jefferies Group, Inc. (NYSE: JEF), today announced the hiring of Richard C. Close, Jr. as a Managing Director and Senior Equity Research Analyst. Mr. Close, who will follow companies in the Knowledge Services industry, was named a "Best on the Street" analyst by The Wall Street Journal in both 2000 and 2002.

"Richard Close is an expert in the education space, as his industry rankings demonstrate, and will immediately add value for our institutional clients," said Steven R. Black, Director of Equity Research. "He is well known on the Street, and his extensive relationships in the industry enhance our firm's effort in this dynamic area."

"Jefferies' strong middle market focus is well suited to the growth companies in knowledge services that are often overlooked by Wall Street," said Mr. Close. "I look forward to bringing my views on the education space to the firm's longstanding institutional investor relationships."

Mr. Close has been involved in the securities industry for more than ten years and has covered the education sector for six. In addition to being included in the "Best on the Street" rankings, he received the "Home-Run Hitter" award from The Wall Street Journal in 2000. Prior to Jefferies, Mr. Close served as a Senior Research Analyst following Education Services at SunTrust Robinson Humphrey, and previously at SunTrust Equitable Securities. He reports to Mr. Black and is based in the firm's Nashville office.

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 eleven percent of the daily reported volume of the NYSE.

Through its subsidiaries, Jefferies Group, Inc. employs more than 1,400 people in offices worldwide, including Atlanta, Boston, Chicago, Dallas, London, Los Angeles, New York, Paris, San Francisco, Tokyo, Washington 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.