FOR IMMEDIATE RELEASE

Jefferies Makes Key Hire to Head Equity Division in Boston; Brian Devlin to Help Expand Firm's Leading Institutional Trading Platform in Key Market

NEW YORK--(BUSINESS WIRE)--May 2, 2006--Jefferies & Company, Inc., the principal operating subsidiary of Jefferies Group, Inc. (NYSE: JEF), today announced the hiring of Brian T. Devlin, as Head of Boston Equities. Mr. Devlin, a veteran sales management professional with a track record of building institutional brokerage business, will help expand Jefferies' leading equity sales, trading and capital markets effort in the Boston market. The Firm has had a presence in Boston since 1972 and currently has a significant and growing effort with approximately 40 sales, trading and research professionals, and nearly 40 investment banking professionals.

"We are delighted to have Brian Devlin join the Jefferies team," commented Richard B. Handler, Chairman and Chief Executive Officer of Jefferies. "His experience demonstrates successful leadership in building a firm's business and overall standing in Boston. Brian will play a strategic role in expanding Jefferies' equity capabilities in this key market."

"Jefferies' 40+ year reputation as a leading institutional brokerage firm and, more recently, its award-winning research product were key factors in my decision to lead their Boston-based equity operation," said Mr. Devlin. "I look forward to maximizing my experience and relationships in sales, trading and research sales in this market and contributing to the tremendous momentum of the Jefferies platform."

Jefferies has a 44-year history as a leading institutional brokerage and now has award-winning research and an equity underwriting business that has gained considerable recognition over the past few years, especially for growing and mid-sized companies. According to the Plexus Group, the Firm has ranked #1 for best execution of all exchange-listed stock trades for four consecutive quarters, including the most recent study covering the period ending 9/30/05. The Firm raised over $12 billion through 63 equity transactions in 2005 and, according to Dealogic, ranks #1 on Wall Street in the performance of lead-managed equity underwritings for the period January 1, 2005 - April 24, 2006 (among lead managers with 20 or more deals). In addition, Jefferies' equity research effort, comprised of more than 100 professionals with over 750 companies under coverage, was recently ranked #1 among investment banks by Investars for return on analyst recommendations, and was similarly recognized by last year's #2 ranking in the 2005 Best on the Street analyst ranking by The Wall Street Journal.

Jefferies has been serving institutional investors in equities since 1962 and has grown to be one of the leading firms providing liquidity and best execution to a broad group of customers around the world. With the continuing evolution of client needs, Jefferies has responded with an increasing array of trade execution capabilities. The Firm makes markets in over 5,000 stocks and trades the securities of more than 8,500 companies. Jefferies is a top broker in both NYSE and NASDAQ trading, and, through its affiliate Jefferies Execution Services, executes nearly 9% of the average daily reported volume on the NYSE. Mr. Devlin is expected to help the Firm increase its penetration and overall level of business with Boston-based institutional accounts.

Mr. Devlin has more than twelve years experience in the securities industry focused on sales, trading and research sales. He has held senior sales and sales management positions at various Wall Street firms.

About Jefferies

Jefferies, a global investment bank and institutional securities firm, has served growing and mid-sized companies and their investors for over 40 years. Headquartered in New York, with more than 25 offices around the world, Jefferies provides clients with capital markets and financial advisory services, institutional brokerage, securities research and asset management. The Firm is a leading provider of trade execution in equity, high yield, convertible and international securities for institutional investors and high net worth individuals. Jefferies & Company, Inc. is the principal operating subsidiary of Jefferies Group, Inc. (NYSE: JEF; www.jefferies.com).

Important Information Regarding Statements Made in this Release

The statements in this press release that are not historical facts, including, most importantly, information concerning possible results of operations, constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results to be materially different from any expected future results. Please refer to our most recent Form 10-K filed with the Securities and Exchange Commission on March 1, 2006 for a discussion of important factors that could cause actual results to differ materially from those projected in these forward-looking statements.

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

SOURCE: Jefferies & Company, Inc.