FOR IMMEDIATE DISTRIBUTION

JEFFERIES ADDS SENIOR INVESTMENT BANKER TO AEROSPACE & DEFENSE EFFORT

Industry Veteran Daniel Cornell To Focus On Government Services

NEW YORK, July 29, 2008 -- The Jefferies investment bank today announced the appointment of Daniel Cornell as a managing director in the Firm’s aerospace and defense investment banking group, Jefferies Quarterdeck. Mr. Cornell was most recently a managing director at Stifel Nicolaus, where he worked for more than six years.

As an investment banker, Mr. Cornell has extensive experience in advising a range of companies, including BAE SYSTEMS, SRS Technologies, AAR Corporation, DRS Technologies and RS Information Systems. He joins the Firm’s established industry team of more than 25 dedicated investment banking professionals based in New York, Washington DC, London and Los Angeles, and focused on the global aerospace, defense, federal IT and homeland security sectors.

"Dan Cornell is a great addition to our team and will significantly contribute to expanding the Firm's broad based offering in information services and aerospace/defense," said David Baxt, head of Jefferies' aerospace and defense investment banking group, Jefferies Quarterdeck.

"I look forward to re-joining Jefferies’ very successful team and contributing to the Firm’s continued leadership in aerospace and defense investment banking,” added Mr. Cornell.

Prior to joining Stifel Nicolaus, Mr. Cornell was an investment banker with Quarterdeck Investment Partners prior to its acquisition by Jefferies. He was previously a Senior Analyst with Price Waterhouse in New York, where he focused on business and intellectual property valuations for corporate finance, tax and litigation purposes. Mr. Cornell holds a B.B.A. from the College of William and Mary.

Jefferies’ established aerospace and defense investment banking effort has ranked as the top M&A advisor in the sector for the past three years, according to Thomson Financial. In 2007, this group completed nearly 40 transactions, valued at $6.7 billion, including the top two M&A Big Impact Deals of the Year, as ranked by industry publication Washington Technology.

About Jefferies

Jefferies, a global investment bank and institutional securities firm, has served growing and mid-sized companies and their investors for over 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
Josh Passman, Cubitt Jacobs & Prosek, 212 279 3115, x203, jpassman@cjpcom.com