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JEFFERIES ADDS HEAD OF CONSUMER PRODUCTS INVESTMENT BANKING

NEW YORK, May 31, 2007 -- The Jefferies investment bank today announced the hiring of Kenneth A. Wasik as Managing Director and head of the Firm's dedicated consumer products investment banking team. Mr. Wasik joins Jefferies & Company, Inc., the principal operating subsidiary of Jefferies Group, Inc. (NYSE: JEF), and will be based in the Firm’s New York headquarters.

“Jefferies is committed to providing world-class, full-service investment banking capabilities in the consumer sector,” commented Chris M. Kanoff, Co-Head of Investment Banking at Jefferies. “Ken Wasik’s strong relationships and experience in building a consumer products business will jumpstart Jefferies’ build-out of the consumer sector, which should quickly become an integral part of our broad and thriving global investment bank.”

"I am looking forward to building Wall Street’s leading consumer products practice at Jefferies," added Mr. Wasik. "Jefferies' full-service capabilities and dedication to providing the best advice to its core middle market client base provide the ideal platform from which to accomplish this goal."

Jefferies has been gaining traction in the consumer products and retail space for a number of years. The Firm’s broad consumer effort specializes in providing a full suite of capital markets products and innovative financial advisory solutions to businesses that target consumers, including branded consumer product companies, retailers, restaurants, apparel and consumer services companies.

As a matter of practice, Jefferies brings all resources of the Firm to its industries of focus. Specifically, Jefferies has six securities traders and ten research analysts covering consumer and retail companies. Professionals throughout the Firm apply extensive experience in identifying the right solutions for clients.

As an investment banker, Mr. Wasik has completed advisory and underwritings transactions for high-profile consumer product companies including the sale of philosophy, Inc. to The Carlyle Group, the sale of SkinCeuticals Inc. to L’Oreal S.A., and the purchase and financing of the acquisition of Polaroid Holding Company by Petters Group Worldwide.

Mr. Wasik was most recently Head of Consumer Products investment banking at Houlihan Lokey Howard & Zukin, where he built that firm's industry effort over the past five years. In addition to this advisory-oriented experience, he previously provided full-service investment banking capabilities, including equity and debt underwriting, to consumer products companies as a senior banker at UBS and, prior to that firm, Merrill Lynch. Mr. Wasik earned an MBA from Columbia University Business School, and a bachelor’s degree from St. Joseph's University.

About Jefferies

Jefferies, a global investment bank and institutional securities firm, has served growing and mid-sized companies and their investors for 45 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).

For further information, please contact:
Tom Tarrant, Jefferies & Company, Inc., 203 708 5989, ttarrant@jefferies.com
Todd Miller, Cubitt Jacobs and Prosek, 203 378 1152, 149, tmiller@cjpcom.com