FOR IMMEDIATE DISTRIBUTION

JEFFERIES HIRES VETERAN FIXED INCOME STRATEGIST
AND CMSA PRESIDENT-ELECT

Lisa Pendergast Joins to Head CMBS Strategy and Risk
Within the Firm's MBS/ABS/CMBS Group

NEW YORK, July 14, 2009 -- Jefferies & Company, Inc., the principal operating subsidiary of Jefferies Group, Inc. (NYSE: JEF), today announced that Lisa A. Pendergast has joined the firm's Fixed Income Division as a Managing Director in the MBS/ABS/CMBS Group. She will be responsible for strategy and risk for Commercial Mortgage-Backed Securities (CMBS), and strategy for other structured commercial and multifamily real estate products. Ms. Pendergast has more than 20 years of industry experience and was most recently a Managing Director in the Fixed-Income Strategies Group at RBS Greenwich Capital, where she worked for eight years.

In a joint statement, Johan Eveland and William H. Jennings II, Co-Heads of Global MBS/ABS/CMBS at Jefferies commented, "Lisa Pendergast is a significant addition to our well-established team. Guided by years of valuable experience, her strategic insights and market knowledge will meaningfully enhance our client offering in the CMBS and related markets. With continued uncertainty in the mortgage markets, we see a tremendous opportunity for Jefferies to continue to add value for our clients."

Ms. Pendergast will provide analysis and commentary on commercial real estate credit fundamentals and relative value within the CMBS and structured-product markets. She has been a top-ranked research analyst in the highly competitive Institutional Investor All-American Fixed-Income Research Team survey in the CMBS category for the past several years. Ms. Pendergast joins the firm's leading CMBS and multifamily trading desk with dedicated traders for these products, including GNMA project loans.

"I'm excited to join the thriving MBS/ABS/CMBS team at Jefferies, where I see opportunity to continue the strong growth of the firm's fixed income platform," added Ms. Pendergast.

Ms. Pendergast has been active in the structured commercial and residential mortgage- and asset-backed markets for over 20 years. Prior to RBS Greenwich Capital, she worked as a CMBS Research Analyst at Prudential Securities. Ms. Pendergast is the President Elect of the Commercial Mortgage Securities Association (CMSA) and sits on the Editorial Board of the CMSA's quarterly journal, CMBS World. She has published several articles and reports on various aspects of the commercial and residential structured-mortgage markets that have appeared in industry handbooks and academic journals. Ms. Pendergast holds a BA from Fordham Marymount College, Tarrytown, New York.

About Jefferies

Jefferies, a major, full-service global securities and investment banking firm, has served companies and their investors for more than 45 years. Headquartered in New York City, with offices in more than 25 cities around the world, Jefferies provides clients with capital markets and financial advisory services, institutional brokerage, securities research and asset management. The firm provides investors with fundamental research and trade execution in equity, equity-linked, and fixed income securities, including corporate bonds, high yield bonds, US government and agency securities, repo finance, mortgage- and asset-backed securities, municipal bonds, whole loans and emerging markets debt, as well as commodities and derivatives. Jefferies offers companies capital markets, merger and acquisition, restructuring and other financial advisory services. 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
Desiree Maghoo, Jefferies International Ltd, 44 20 7029 8085, dmaghoo@jefferies.com
Josh Passman, CJP Communications, 212 279 3115, x203, jpassman@cjpcom.com