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JEFFERIES APPOINTS HEAD OF MARITIME SHIPPING INVESTMENT BANKING PRACTICE

Industry Veteran Hamish Norton To Lead Growing Practice

NEW YORK and LONDON, August 7, 2007 -- The Jefferies investment bank today announced the hiring of Hamish Norton as a Managing Director and Head of the Maritime Shipping Investment Banking Group at Jefferies & Company, Inc., the principal operating subsidiary of Jefferies Group, Inc. (NYSE: JEF). Mr. Norton has more than 23 years of experience as an investment banker and is an innovator in the global shipping industry.

Mr. Norton will lead a team of some 20 investment banking professionals in New York and London. He was most recently a Senior Managing Director in charge of the shipping practice at Bear Stearns. Previously he was a General Partner focused on the shipping industry at Lazard Frères & Co., where he worked for 15 years. Mr. Norton advised on the establishment of the first high-dividend public shipping companies, Nordic American Tanker Shipping and Knightsbridge Tankers, and pioneered the use of the master limited partnership structure. He holds an AB from Harvard University and a PhD in Physics from the University of Chicago.

“Maritime Shipping is an important component of our overall energy investment banking practice, as well as our initiatives in Europe and Asia,” commented Richard B. Handler, Chairman and CEO of Jefferies. “Hamish Norton is indicative of the caliber of professional attracted to the Jefferies platform, and his hiring demonstrates our commitment to serving growing companies and their investors in this vital segment of the world’s economy.”

“Hamish Norton’s industry experience and track record of developing innovative structures and practices make him a logical choice to drive our investment banking activities in
maritime shipping,” added Chris M. Kanoff, Co-head of Investment Banking at Jefferies. “We are confident that our leading practice will continue to thrive under his lead.”

“The cross-border nature of maritime shipping and multi-faceted needs of growing companies within the sector require global capabilities and an array of capital raising options and advisory expertise,” said Mr. Norton. “I look forward to leveraging my experience and perspective to support the needs of these companies as part of the Jefferies full-service platform.”

The Firm’s broader Energy and CleanTech/Alternative Energy investment banking efforts include nearly 150 professionals working on active engagements providing a full range of investment banking services to growing companies in the global energy sector. The Firm serves an international client base that includes multinationals and major integrated companies, national oil and oil service, public and private independents, and maritime and shipping as well as emerging clean technology companies. In 2006, Jefferies worked on more than 60 announced energy transactions, valued at over $12 billion, and ranked as a leading M&A energy advisor, according to Thomson Financial.

Mr. Norton will be based in the Firm’s New York Headquarters.


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 & Prosek, 203 378 1152, x149, tmiller@cjpcom.com